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Why do hotels care about the number of rooms they have?

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The number of rooms in a hotel is crucial for its overall business strategy. It directly influences the hotel's revenue potential, as more rooms mean a higher capacity for accommodating guests, leading to increased sales and profitability. The room count also affects operational efficiency, as managing a larger inventory efficiently requires careful planning and resource allocation. Moreover, having a diverse range of room options allows hotels to cater to different guest preferences and needs, making them more competitive in the hospitality market.
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