MKT 723 Chapter Notes - Chapter 15: Customer Satisfaction, Relate, Shortage
24 Oct 2014
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Chapter 15 managing demand & capacity perishability perishability: how to fill up rooms when demand is low, and how to prevent everyone coming at the same time when the demand is high, what do you have with unfilled rooms, delta demand fluctuations, seasonal. How to deal with high demand at airport: more flights, more people working/more security. How to deal with low demand: discounted prices. Incentive to fly and travel at low periods: weekly, relate to segments. Managing capacity: why is it so important to manage capacity, to prevent frustrated employees and customers during high times, during low times the company is not being optimized in profitability not making money, fixed costs, customer satisfaction, employee satisfaction. Variations in demand relative to capacity: the area in the middle of the figure are labelled to represent four basic scenerios that can result from different combinations of capacity and demand, excess demand.
