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krystine77 krystine77
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6 years ago
Explain how a luxury hotel in Salt Lake City might achieve a lower ADR than a midscale property in San Francisco and still be profitable.
 
  What will be an ideal response?
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wrote...
6 years ago
Location will define the cost structure and cost of living within an area and local lodging rates will reflect these levels. Even though ADR may be lower than in another area, when that happens, chances are that operating costs will be correspondingly lower.
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