CHIA Certification Exam with Complete Solution

CHIA Certification Exam with Complete Solution. What are the different kinds of affiliations a single hotel can have? -Answer- Chain Parent Company Operation: Corporate, Franchise, or Independent Management Company ...

CHIA Certification Exam with Complete Solution. What are the different kinds of affiliations a single hotel can have? -Answer- Chain Parent Company Operation: Corporate, Franchise, or Independent Management Company Owner Asset Management Company Membership or Marketing Groups What does a chain represent? -Answer- The hotel brand There are __ chains in the US with 50,000 rooms or more and __ chains in the world with 75,000 rooms or more -Answer- 22; 24 Most people agree that _______ was the first chain. -Answer- Holiday Inn Parent Companies -Answer- Consist of multiple chains; often the parent company will havea variety of different types of chains T/F A parent company may have a range of high-end, middle, and low-end chains; or they may concentrate in one area -Answer- True What is the top parent company in the US? -Answer- Hilton Worldwide Corporate hotel -Answer- A chain hotel owned or managed by the chain or the parent company Franchise hotel -Answer- A chain hotel run by a 3rd party where the chain receives some sort of franchise fee Independent hotel -Answer- Not affiliated with a chain or parent company Of the 3 basic types of hotel operations (corporate, franchise, and independent), which one has the most US properties? Which one has the least? -Answer- Most=Franchise Least=Corporate Of the 3 basic types of hotel operations (corporate, franchise, and independent), which one has the most worldwide properties? Which one has the least? -AnswerMost=Independent Least=CorporateWhat is the ratio of chain hotels vs. independent hotels in the US? -Answer- 70% are chain; 30% are independent What is the ratio of chain hotels vs. independent hotels worldwide? -Answer- 40% are chain; 60% are independent Management company -Answer- Operates a hotel for another party; the company has a management contract where it receives payment/some portion of profits T/F Some chains or parent companies manage their own hotels -Answer- True Owner companies -Answer- There are many companies that own multiple hotels Asset management company -Answer- Represents the owner in the operation of a hotel T/F A hotel cannot have both a management company and an asset management company -Answer- False. They can. T/F The Holiday Inn and Holiday Inn Express are 2 different chains -Answer- True What are the 3 classifications of operation types? -Answer- 1. Corporate 2. Franchise 3. Independent T/F There is a very strong trend for US hotels to expand internationally because the opportunity for large US chains is there -Answer- True Describe the average independent hotel in the US -Answer- Classified as Economy, Located in a Suburban area, and has 25 rooms or less 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 -Answer- C. Choice Which is a true statement about parent companies? A. They and their related chains have changed over time B. They must consist of no more than 5 chains. C. They can only consist of chains in a single Scale. D. They can only have hotels in a single country. -Answer- A. They and their related chains have changed over time 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. -Answer- A. They're not affiliated with a specific chain. Which is a true statement about management companies? A. They have contracts where they receive payment for their services and/or some portion of the profits. B. They may manage only one chain. C. They will always own the hotels they manage. D. They serve the exact same role as asset management companies. -Answer- A. They have contracts... What are the major geographic categories? -Answer- World Continent Sub-continent Country Market Tract or Submarket What are the 4 continents (according to STR)? -Answer- Americas, Europe, Mideast/Africa, and Asia Pacific