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This article discusses how an over supply of rooms, a weaker economy, and more widespread use of powerful computers are forcing hoteliers to increasingly use discounting as a marketing tool. An over supply of rooms and a weaker economy have combined to create a price sensitive buyer's market. The increased availability of powerful computers has accelerated the use of discounting by providing management with the information it needs to use discounting more effectively.
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Robert Nelson (1992) studied this question.
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