Marketing Basics
The 4 Ps of the marketing mix.
What are Product, Price, Place, and Promotion?
What is an Income Statement (or P&L Statement)?
The financial document that shows a business's revenue, expenses, and net profit or loss over a period.
What is Occupancy Rate?
The percentage of available hotel rooms filled by guests during a given timeframe.
What is a Contract?
A legally enforceable agreement between two or more parties.
What is an Elevator Pitch?
A concise, 30-to-60-second summary used to explain a business idea quickly to potential investors.
What is a target market?
The specific target group of customers a business aims to reach with its products and promotions.
What is Owner's Equity (or Shareholders' Equity)?
The basic accounting equation: Assets = Liabilities + ______.
What is RevPAR (Revenue Per Available Room)?
Key hotel performance metric calculated by multiplying Average Daily Rate (ADR) by Occupancy Rate.
What is a Sole Proprietorship?
A business ownership structure owned by a single individual who assumes all personal liability for business debts.
What is Venture Capital?
Capital provided by investors to early-stage, high-potential growth startup companies.
What is psychographic segmentation?
Market segmentation strategy that groups consumers based on lifestyles, values, interests, and attitudes.
What is the Break-Even Point?
The revenue level at which total revenues equal total expenses, resulting in zero profit and zero loss.
What is Yield Management (or Revenue Management)?
Dynamic pricing strategy that adjusts hotel room rates or flight prices based on real-time demand.
What is Planning?
The management function involving establishing organizational goals and outlining steps to achieve them.
What is Venture Capital?
Capital provided by investors to early-stage, high-potential growth startup companies.
What is a SWOT analysis?
A strategic tool used to evaluate a company's internal Strengths and Weaknesses along with external Opportunities and Threats.
What is Accounts Payable?
Short-term obligations owed by a business to suppliers for goods or services bought on credit.
What is Leisure Travel?
Travel conducted for personal enjoyment, relaxation, or recreation rather than work.
What are Antitrust Laws?
Regulations designed to prevent monopolies, encourage open market competition, and protect consumers.
What is Crowdfunding?
Funding a business project by collecting small amounts of money from a large group of people online.
What is a Value Proposition?
The clear statement explaining how a product solves a customer's problem and why it is better than competitors.
What is Return on Investment (ROI)?
A profitability metric calculated by dividing net profit by total investment costs.
What is a Property Management System (PMS)?
Software system used by lodging properties to manage bookings, front desk operations, room assignments, and billing.
What is Fiduciary Duty?
The legal obligation requiring board members and managers to act strictly in the financial best interest of company shareholders.
What is a Minimum Viable Product (MVP)?
An early, basic version of a product built with enough features to test customer demand with minimal resources.