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PRICING STRATEGIES OF HOTELS AND CUSTOMERS LODGING BEHAVIOUR IN CALABAR METROPOLIS

ABSTRACT

The study on pricing strategies of hotels and customers lodging behaviour in Calabar metropolis was aimed at determine the influence of pricing strategies such as Competitors oriented pricing strategy, Value based pricing strategy, Prestige pricing strategy and Dynamic pricing strategy on customers lodging behaviour in Calabar metropolis. The study adopted a survey research design which enabled die administration of a structured questionnaire on 246 hotel customers in Calabar, Cross River state that were drawn using purposive sampling technique. The responses obtained through the questionnaire were subjected to statistical analysis using multiple regression analysis, which in turn revealed that Competitors oriented pricing strategy, Value based pricing strategy, Prestige pricing strategy and Dynamic pricing strategy have an influence on customers lodging behaviour in Calabar metropolis. Based on the above result, it was concluded that pricing strategies have an influence on customers lodging behaviour in Calabar metropolis, and the various pricing strategies such as Competitors oriented pricing, Value based pricing, Prestige pricing and dynamic pricing strategy all influences customers lodging behaviour in Calabar metropolis. Hence, it was recommended that Due to the intense competition within the hotel industry in Calabar metropolis, hotel managers should endeavour to strive to understand competitors pricing techniques in order to imbibe or advance on such strategy to gain competitive advantage.

TABLE OF CONTENTS

TITLE PAGE                                                                          i

DECLARATION                                                                     ii

APPROVAL PAGE                                                                iii

DEDICATION                                                                        iv

ACKNOWLEDGEMENTS                                                     v

ABSTRACT                                                                            vii

TABLE OF CONTENTS                                                                  viii

LIST OF TABLES                                                                  xiii

CHAPTER ONE: INTRODUCTION

Background of the study                                                  1

Statement of the problem                                                 3

Objectives of the study                                                     5

Research questions                                                           5

Research hypotheses                                                                  6

Significance of the study                                                   7

Scope of the study                                                            7

Operational Definition of terms                                        8

CHAPTER TWO:THEORETICAL FRAMEWORK AND REVIEWLITERATURE

2.1.1  Adaptation-level theory                                                          11

Theory of reasoned action                                             13

2.1.3  Signalling theory                                                            15

2.2     An Overview of price and pricing strategy                    17

Objectives of pricing strategies                                                19

Types of pricing strategies                                             22

Factors affecting the choice of a pricing strategy           26

Lodging behaviour of consumers                                                29

Conceptual framework and model                                              32

Competitors oriented pricing strategy and the lodging

       behaviour of consumers                                                    33

Value base pricing and strategy and lodging behaviour of

       consumers                                                                        35

Prestige pricing strategy and the lodging behaviour of

       Consumers                                                                       37

Dynamic pricing strategy and the lodging behaviour of

       Consumers                                                                       38

Empirical review                                                               40

Summary of literature review                                            42

CHAPTER THREE: RESEARCH METHODOLOGY

Study area                                                                         44

Research Design                                                                46

Population of the study                                                     47

Sample procedure and sample size determination             47

Sources and methods of data collection method               49

Research Instrument                                                                   49

Validity and reliability of instrument                                      50

Data analysis technique                                                    50

Limitation of the study                                                     50

CHAPTER FOUR: DATA PRESENTATION, ANALYSISAND DISCUSSION OF FINDINGS

Data presentation                                                             51

Test of hypothesis                                                            78

Discussion of finding                                                        84

CHAPTER FIVE: SUMMARY OF FINDINGS, CONCLUSION AND RECOMMENDATION

Summary of findings                                                                  86    

Conclusion                                                                        87

Recommendation                                                              87

References      

Appendix

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