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Question - With its location close to a major university campus, a small local Mexican restaurant in Los Angeles has been busy and successful for several years. However, its owner has never calculated the amount of revenue generated for each available seat. Instead, the owner relies on the guest check averages. The owner would like to apply more sophisticated revenue management principles such as revenue per available seat hour (RevPASH).
1. What are the advantages of using RevPASH?
2. What will make this restaurant more efficient using RevPASH principles? Why?
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This individual assignment is based on the TerraCycle Inc.
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