CHIA certification exam 100% VERIFIED ANSWERS 2024/2025 SOLUTIONS, Exams of Business Administration

Download CHIA certification exam 100% VERIFIED ANSWERS 2024/2025 SOLUTIONS and more Exams Business Administration in PDF only on Docsity! CHIA certification exam 100% VERIFIED ANSWERS 2024/2025 SOLUTIONS Most of the entities below are classified as "Chains". Which one is a "Parent Company" consisting of multiple chains? a. Hampton Inn b. Motel 6 c. Choice d. Holiday Inn Express Choice Which is a true statement about Parent Companies? a. Parent Companies and the related chains have changed over time b. Parent Companies must consist of no more than five chains c. Parent Companies can only consist of chains in a single Scale d. Parent Companies can only have hotels in a single country A What are the three different operation types? a. Corporate, Managed, Independent b. Managed, Franchise, Independent c. Managed, Clustered, Independent d. Corporate, Franchise, Independent D Which is a true statement about independent hotels? a. Independent hotels are not affiliated with a specific chain b. Chain hotels outnumber independent hotels in every country of the world c. Independent hotels are mostly Luxury Class hotels in Urban Locations with more than 150 rooms d. Independent hotels may never be managed by an outside entity A Which is a true statement about Management Companies? a. Management companies have contracts where they receive payment for their services and/or some portion of profits b. Management companies may manage only one chain c. Management companies will always own the hotels they manage d. Management companies serve the exact same role as asset management companies A ) Which is a true statement regarding geographic categorization? a. STR geographic categories are limited to North America b. STR uses the UNWTO definitions when it comes to recognizing countries c. General managers of hotels do not need to know geographic categories d. The hotel industry uses seven continents to categorize hotels B Which is a true statement regarding markets? a. Markets include hotels that are in big cities, not rural areas b. A country would never have more than 100 markets and never have less than 2 hotel in Japan can be in a different Class group c. A Ritz Carlton hotel will always be in the same Scale and Class groups in every country throughout the world d. Ritz Carlton may choose which Scale and which Class they are in C Which one of the following is an accurate statement regarding Class groups? a. The names of the Class group are very different than the names of the Scale groups b. Class groups are more popular and relevant in North America rather than outside North America a. Independent hotels are slotted into Class groups based upon the ADR of the independent hotel compared to the chain hotels in the same market c. Once an independent hotel is slotted into a Class group, it will never change C Which one of the following is NOT a Location Category used by the hotel industry? a. Airport b. Suburban a. Oceanfront c. Urban C Which is NOT a valid non-geographic category? a. Extended Stay b. Boutique c. Guest Satisfaction Rating d. Destination Resort C Benchmarking in the hotel industry takes place at what level? a. Property level for an individual hotel versus their Competitive Set b. Corporate level for a hotel company, for example one brand versus others c. Geographic level for tourism organizations, for example city versus comparable cities d. All of the above levels D Comp sets are used for many purposes in hotel operations, which of the following is one of these purposes? a. Comp sets can be used to aid the sales and marketing departments in determining the effectiveness of various pricing decisions b. Comp sets can be used in management contracts for performance requirements c. Comp sets can have an effect on a general managers compensation d. All of the above are examples of how comp sets are used D The four key considerations when creating a Competitive Set are? a. Participation, Proximity, Policy and Product b. Participation, Proximity, Pricing and Product c. Participation, Parking, Policy and Pricing d. Participation, Perimeter, Pool and Pricing B All of the following are good reason for a hotel to have an additional competitive set, except which one? a. Have a local competitive set based upon geography and another based upon a special feature or niche, for example: waterpark, boutique, or conference b. Have different sets for weekday/weekend or group/transient business c. Have one set that you can easily beat and another which is a realistic target d. Different entities may not agree, for example, chain versus management company C When can a competitive set be created? a. A competitive set may be created once the hotel has opened b. A competitive set may be created while the hotel is under construction c. A competitive set may be created on the one year anniversary of a hotel's opening d. A competitive set may be created three months before a hotel opens B Who creates a competitive set for a chain hotel? a. Only the General Manager b. Only the Revenue Manager c. Only the Sales and Marketing Managers d. It is a joint effort involving many stakeholders D What is the average number of hotels in a competitive set? a. Between 3 and 4 b. Between 4 and 5 c. Daily, weekly, and monthly d. Daily, weekly, monthly and quarterly B You receive your monthly STAR and find that it includes weekday and weekend performance, what days are included in "weekday"? a. Sunday thru Thursday b. Friday and Saturday c. Sunday thru Saturday d. Monday through Friday A ) In which of the following situations will occupancy increase? a. Supply increases 10% and demand increases 5% b. Supply decreases 5% and demand increases 10% c. Supply increases 5% and demand decreases 5% d. None of these situations will result in an occupancy increase B Which statement is true regarding RevPAR? a. It is almost always higher than ADR b. It can be thought of as a combination of Supply and Demand c. When a hotel or GM is evaluated, the RevPAR metric is rarely considered d. It can be thought of as a combination of Occupancy and ADR D Which one of the following statements is accurate regarding "Sufficiency" as it related to competitive set data? a. If a competitive set is not sufficient for three consecutive months, you will no longer receive a STAR Report b. If a competitive set number for just a single month is not sufficient, it will still be displayed on the STAR Report c. Percent Change number for a single month will appear on the STAR report if either the "This Year" or "Last Year" data is sufficient d. The sufficiency rules are in place to protect the confidentiality of the data D Key Performance Indicators (KPI) for the Competitive Set (for example the average Occupancy) are: a. Always based upon the aggregated raw data of each member of the competitive set b. Always based upon a straight average of the metrics, for example the Occupancies, of each member of the competitive set c. The comp set methodology differs inside and outside of North America d. The comp set methodology differs by hotel company A When you receive your STAR report, your ADR for the month was $100 and the competitive set ADR was $90. What can you tell? a. You had the highest ADR of all of the members of the competitive set b. Your ADR was $10 higher than the average of all of the members of the competitive set c. There was one hotel that had a higher ADR than you d. Your RevPAR will be higher than the RevPAR of the competitive set B What happens when there is a non-reporting hotel in a competitive set? a. Modeled data is used for the non-reporting hotel b. Market data is used for the non-reporting hotel c. Prior year data for the non-reporting hotel is used d. The comp set average is calculated based upon the reporting hotels D The competitive set RevPAR (G6) for July is _____. a. $119.89 b. $143.42 c. $165.12 d. $155.16 A When you receive your STAR report your ADR index was 110 and your Occupancy index was 90. What do you know? a. The RevPAR index will be in the neighborhood of 115 b. The RevPAR index will be in the neighborhood of 100 c. The RevPAR index will be in the neighborhood of 105 d. The RevPAR index will be in the neighborhood of 85 B When you receive your STAR report, you see that your RevPAR index was 90 this year compared to 80 last year. What do you know for sure? a. Your hotel outperformed the competitive set when it comes to RevPAR both years b. Your hotel outperformed the comp set this year when it comes to RevPAR, but b. Euro only c. U.S. dollars only d. Local Currency, US dollars or a third currency (the company gets to decide) D Modeled data is used in which country? a. United Kingdom b. United States c. China d. All countries B How are exchange rates handled when it comes to multiple time periods, e.g. YTD, Running 3 month or Running 12 month? a. The exchange rate on the first month is used for all months b. Raw data is aggregated using the exchange rate for each individual month, then the KPIs are calculated for the time period. c. The exchange rate for each day is used d. The exchange rate for the last month is used B Which one of the following is a non-geographic category shown on the STAR report? a. Location b. Type c. Market d. Class D What information is never included on a STAR report? a. Performance data for individual competitors b. Performance data for an industry segment relevant to the subject hotel c. The names of hotels included in the subject hotels competitive set d. Index numbers and Index Percent Changes A Which statement is true regarding the format and timing of a STAR Report? a. They are normally generated in Excel b. If you change data on a STAR report, all of the related values will recalculate, since there are embedded formulas c. There are no graphs on the report d. Weekly STAR Reports are generated on Monday A ) Which statement is true regarding the industry data that a hotel may see on a STAR report? a. North America hotels will see industry data for Market, Market Class, Tract and Tract Scale b. North America hotels will see data for a single industry segment c. Non-North America hotels will not see any industry segment data d. North America and Non-North America hotels see the same exact tabs on the STR Report related to industry data A Which one of the following is an accurate statement regarding Segmentation and Additional Revenue data on the STAR Reports? a. Additional Revenue categories include "F&B", "Rentals", and "Other" in addition to Room Revenue b. Group Rooms and Revenue are defined as business sold in blocks of 50 rooms or more c. Very few Luxury and Upper Upscale chain hotels submit Segmentation and/or Additional Revenue data d. The most common example of Contract Rooms and Revenue is airline crew business D The line graph at the top of the Competitive Set Report in a monthly STAR report shows what? a. Actual values of Occupancy, ADR and RevPAR of the subject hotel and the competitive set b. Actual Percent Changes for Occupancy, ADR and RevPAR of the subject hotel and the competitive set c. Index values for Occupancy, ADR and RevPAR d. Index Percent Change values for Occupancy, ADR and RevPAR C The Competitive Set Report in a Monthly STAR Report shows what information? a. 12 months of monthly data and 3 years of YTD, Running 3-month, and Running 12- month data b. 18 months of monthly data and 3 years of YTD, Running 3-month, and Running 12- month data Which of the following is a rule related to requesting Trend report(s)? a. You must select four or more participating hotels b. A single hotel may account for a maximum of 40 percent of the participating room supply c. If you request multiple Trend reports, the hotels you have selected must differ by more than one participating hotel on subsequent Trend request d. All of the above are rules related to requesting a Trend Report D Which of following is NOT a valid way to select hotels for a Trend Report? a. Specify an industry segment such as a country, market or tract b. Specify a query based upon variables such as Open Date, Number of Rooms, or Meeting Space c. Obtain a Participation List of hotels and specify individual properties d. Ask STR to select the best performing hotels in an area D Trend reports are available in which currency? a. Any currency b. U.S. Dollars ($) only c. Euro ( )only d. Local currency only A Which of the following is NOT a valid type of data that you can request to include on a Trend Report, in addition to monthly data? a. Daily data b. Weekly data c. 12-month moving average data d. Segmentation data B Several tabs in the Trend Report display columns with Census Props and Rooms and STAR participation. Which is an accurate statement about this data? a. The data in these columns will not change over time b. These columns cannot help determine if there is a "consistent sample" for the Trend Report c. These columns show the total number of hotels and rooms for the selected group of hotels, as well as the percent of those rooms that submit performance data to STR d. All of the statements are accurate C What are the four phases for active hotel projects in the pipeline? a. In-Construction, Post Planning, Planning and Pre-Planning b. In-Construction, Final Planning, Planning and Pre-Planning c. In-Construction, Final Planning, Post Planning and Pre-Planning d. In-Construction, Post Planning, Planning and Pre-Permit B Which is a true statement regarding the Changes to Existing Supply tab of a Pipeline Report? a. It shows the net gain or loss of hotel rooms over time by brand and scale b. It shows changes to existing supply for two time periods, last 12 months and last 60 months c. It can be used to analyze the conversion activity in a specific area d. All of the above are true statements D Which is an accurate statement regarding the Construction Pipeline detail tab of a Pipeline Report? a. The Construction Pipeline tab lists each hotel under construction or in planning with detailed project information b. Some projects are identified as "Unaffiliated", which can mean that the hotel will be an Independent or the chain has not been decided upon yet c. Often times Owner and Architect information are provided for a project d. All of the statements above are accurate D A HOST or Profitability report displays what type of information? a. Profit and Loss information, including revenue, expenses and profit accounts b. Balance Sheet (Assets) information c. Monthly performance (Occupancy, ADR, RevPAR) data d. All of the above A The HOST Report displays data based upon what time period? a. Weekly b. Monthly c. Quarterly d. Annual