Study On Room Allocation Of Hotel Revenue Management

Since China implemented the reform and open policy, the hotel industry has been developing very fast. The prospect of the hotel industry is very cheerful. At the same time, affiliating WTO not only brings a very big opportunity to our hotel industry, but also brings a rigorous challenge. A lot of foreign famous hotels have already come into our hotel market. Hotel rooms are perishable and can not be stored. That makes hotel industry can not satisfy the change of demand depending on stock in trade as manufacturing. So the revenue of the hotel rooms lies on the hotel rooms' utilance. Revenue management has been applied to airline industry, hotel industry and railway carrying trade in the international scope. So we adopt Revenue Management to manage hotel and it has very strong academic meaning and the value of practice.This paper analyzes the trading characteristics of the hotel industry, studies the development and application of Revenue Management. The main contents of the paper are as following:(1) Analyze the current environment between domestic and overseas. Introduce Revenue Management's concept, creation, development and qualification.(2) Discuss the application of Revenue Management in hotel rooms management from four aspects: demand forecasting, overbooking, capacity control and pricing. Analyze the difficult encountered in the application of Revenue Management and expect the respect.(3) Using exponential smoothing to construct room forecasting model. Using marginal utility, Newsboy model and linear programming to construct the models of Revenue Management for allocation of hotel rooms.(4) Using Lindo software to solve the linear programming model, make a practical analysis in room allocation of Hebei hotel.