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    1. Callie’s Canine Cottage has 45 kennels for boarding dogs. During June, July, August, November and December, each of the kennels is booked. During these months, Callie’s always charges its regular price of $15 per day per kennel. When business is slow, Callie’s sometimes charges a discounted rate of $13 per day per kennel for the first 25 kennels booked and $15 for the rest. On September 15th, Callie’s filled 25 kennels at $13 per day and 10 kennels at $15 per day. Calculate Callie’s yield for September 15th.*
    2. What are the challenges and risks in using yield management?
    3. In many instances, “other customers” are present in the service environment and can affect the nature of the service outcome or process. List and discuss four ways that “other customers” can adversely affect the service delivery.  Describe an instance you’ve experienced where “other customers” negatively impacted your service.  What could the company have done to “recover”?

     
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