An Analysis of Overbooking and Impacts on Customer Behavior Within the

IntroductionThis report seeks to investigate and see the main characteristics of overbooking and the impacts this can have on a hotels guidance systems and customers. It examines the consequences of both(prenominal) roaring and in raiseive overbooking management decisions depending on the way in which it is managed and the final result this can have on the hotels favorableness of the hotel. It also looks at the effect that overbooking has on customer behaviour and loyalty and legislations that have been passed in the USA. subsisting research on yield management analyses overbooking and how this can be implement effectively within hotels, some researchers have then expanded upon this to hold effects on profitability, customer service and service recovery. Secondary information was collect through journals, books, hospitality related magazines and hospitality news articles in order to gain framework for the research topic.Literature ReviewCompanies throughout the hospitality industry a keen to implement the most successful techniques in order to make the best of their efficiency and increase their profitability and yield management, including overbooking strategies which is important in the operation of a hotel to maximise tax and are increasingly putting these in to practise throughout the play along (Hwang et al, 2009), an unoccupied room in a hotel offers a revenue opportunity, whether or not the no show customer has paid for it. Overbooking forms a crash of a hotels yield management, also known as revenue management and can be defined as the application of information systems and set strategies to allocate the right capacity to the accurate customers, cost and time (Kimes et al, 2003 30), by expanding on this term it ... ...a donnybrook. Hotel oversight Magazine, New York.Noone, B. & Kimes, S. & Renaghan, L. (2003) Integrating customer alliance management and revenue management a hotel perspective Cornell University, Journal for hospitality R esearch.Simon, J. (1968) An Almost Practical Solution to air lane Overbooking London, Journal of Transport political economy and Policy.Sulistio, A. & Kyong, K. & Byya, R. (2008) Managing cancelations and no-shows of reservations with overbooking to increase resource revenue Washington, CCGRID 08 Proceedings.Talluri, K. & Van-Ryzin, G. (2004) The Theory and Practice of Revenue Management New York, SpringerTodorov, A. & Zhechev, V. (2010) The impact of overbooking on hotels operation management Unknown, Unknown.Vickrey, W. (1972) Airline Overbooking Some Further Solutions Journal of Transportation and Economic Policy.