Pearson New International Edition International pcl tp indd 1

Methods of Classification
As shown in Figure 3, common classifications of lodging properties are location,
rate, and size. In 2003, most U.S. hotels were in suburban and highway locations, were
low- to mid-priced ($30 to $59.99), and had fewer than 75 rooms. This description of
an “average” hotel may be of interest to those aspiring to careers in the lodging indus-
try. Even though there are many excellent positions available in the industry, the
number of large properties with high rack rates in large city centers or exotic loca-
tions is relatively small.
Objective 5
Review the many
challenges confronting
the lodging industry in
general and its
segments more
specifically
Objective 3
Discuss how hotels are
organized
Objective 2
Provide an overview
of common ways to
classify hotels
Objective 4
Describe the most
common structures 
of hotel affiliation,
ownership and
operation
Objective 1
Explain how the
lodging segment is
integral to the travel
and tourism/
hospitality industry
Hotel Ownership
and Management
Alternatives
Organization 
of Hotels
Classification 
of Hotels
Lodging as Part of the
Travel and Tourism/
Hospitality Industry
Lodging Industry
Challenges
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