CHIA Hospitality Industry Overview & Market Trends 2

Question 1

STR's chain scale segments are primarily based on which factor?

Accepted Answer

Actual system-wide average daily rate of the brand

Answer

Chain scales group branded hotels by their actual system-wide ADR.

Question 2

Which of the following is NOT one of STR's chain scale segments?

Accepted Answer

Boutique

Answer

Boutique is a property style, not an STR chain scale; the scales run Luxury through Economy plus Independent.

Question 3

An 'asset-light' strategy for a major hotel company means it primarily:

Accepted Answer

Earns fees through franchising and management contracts rather than owning hotels

Answer

Asset-light companies generate fee income from brands and operations while third parties own the buildings.

Question 4

A market sees room supply grow 4% while room demand grows 2% over the same year. What is the most likely effect on market occupancy?

Accepted Answer

Occupancy decreases

Answer

When supply grows faster than demand, occupancy falls because more rooms are available per room sold.

Question 5

Extended-stay hotels typically differ from traditional transient hotels by having:

Accepted Answer

A longer average length of stay and in-room kitchen facilities

Answer

Extended-stay products target guests staying five or more nights with kitchens and lean service models.

CHIA - Certified in Hotel Industry Analytics Practice Test