You have recently been appointed as the marketing manager of a 100-room resort located in a regional area in Australia which currently does not employ revenue management. You have read that a revenue management pricing strategy applied in the accommodation context can increase revenues by up to 17%. You immediately call a meeting so that you have an opportunity to:

1. briefly outline how revenue management would work in benefiting the resort (3 marks); and
2. and propose a revenue management strategy for the resort (7 marks).