For this week’s discussion, consider the following:
if you are not familiar with Priceline.com Inc., go to its website. Assume that an individual “names a price” of $85 on www.priceline.com (Links to an external site.) for a room in Nashville, Tennessee, on August 22. Assume that August 22 is a Saturday, with low expected room demand in Nashville at a Marriott International, Inc. hotel, so there is excess room capacity. The fully allocated cost per room per day is assumed from hotel records as follows:
For your initial post, discuss if Marriott should accept the customer bid for a night in Nashville on August 22 at a price of $85? Why or why not?
