Service Management 7th Edition by James Fitzsimmons, Mona Fitzsimmons

Exercise 10

Reconsider Example 11.1 (Surfside Hotel), because rising costs now have resulted in a $100 opportunity loss from a no-show. Assume that the no-show experience has not significantly changed and that the resulting loss when a guest is overbooked still is $100. Should Surfside revise its no-show policy?