I. SITUATION ANALYSIS:
A. Case Summary
The case is about the Accra Beach Hotel on the Caribbean island of Barbados. The hotel manager got a request from the West Indien Cricket Board (WICB) about hosting several cricket teams while the West Indien Cricket Servies, which is an important international sporting event. The head of the WICB was asking for a discount for 50 of the 141 rooms of the hotel. Now the sales manager has to decide whether to accept the inquiry or not. One important thing for her to consider is that business people, who are the most important guest group, would be stay away because of the cricket teams. On the other hand would hosting the teams have a publicity effect as the marketing exposure through the Board could be very beneficial for the hotel.
B. Factors that lead to variations in demand for rooms
Hotels like the Accra Beach Hotel, which are located in a holiday destination like Carribean islands, have both vacation guests and business guests. Variations in the demand of rooms by vacationers are caused by the different seasons for going into vacation. Hotels which are located in the Caribbean or other locations with hot periods while summer have lower occupancy rate while these periods but therefore have a higher occupancy rate while the winter month, when people try to escape the cold weather whereever they live.
Business guests demand hotel rooms during the whole year but have a tendency to prefer the month before summer like may and june to do their business.
C. Market segments
The Accra Beach Hotel on the islands of Barbados currently serves three different types of hotels guests. First the individual travelers who want to spend their vacations in a resort destination to relax and relieve stress from their daily life. Second the vacationers who travel with tour operators to have a scheduled vacations without the trouble of organizing. The number of guests from these two groups,