Auditoriums and theaters are considered similar types of public assembly venues (pav) with similar types of events. T/F
true
it is unlikely that a public assembly venue can be financially successful if its manager is required to adhere to all typical governmental policies and procedures.
true
A venues two most important commodities in a PAV are time and space. T/F
true
The most important tool used to determine whether or not to build a PAV as well as the type and size of facility to build is a:
feasibility study
All of the following are arguments used to support the construction and financing of public assembly venues except:
the venues always generate a great deal of revenue for the owner
Some communities create special taxes or taxing districts to subsidize operating budgets of public assembly venues. Which of the following is assessed to out of town visitors, thus saving local citizens the need for any additional tax?
transient occupancy tax (TOT)
The _________ provides a basis for the governing body when making policy decisions regarding booking priorities, tenant oversight, reporting and budget development.
mission statement
Which of the following core functions includes the management of the concessions and catering operations?
management of ancillary revenue sources
Which of the following determines how a particular venue is organized (ex: management and structure)?
-mission
-ownership
-purpose
-venue type
Most public assembly venues are built with private money. T/F
false
There is no standard, single form of organizational structure within the public assembly venue management industry. T/F
true
A growing trend has been for professional sports teams to manage the sports arenas and stadiums in which they are the prime tenant. T/F
true
An agreement for a private management company to manage a venue usually includes the potential for earning incentive income if the company exceeds predetermined financial and operational benchmarks. T/F
true
The most common type of ownership/management structure for public assembly is:
public ownership/public management
Governmental entities may decide to privatize the management of their venue for a number of reasons. Which of the following is NOT one of them?
the need for investment dollars
Which of the following is a typical responsibility of a venues managing authority or commission?
-hiring/firing of the venue manager
-annual operating and capital budget approval
-approving tenant lease agreements
-setting booking and usage policies
RFP stands for:
request for proposal
Which of the following is a key skill necessary for the successful venue manager?
-ability to negotiate
-team building
-entrepreneurial instincts
-ability to communicate
In all the major professional sport leagues, what is the most common ownership/management structure for the venues in which they play?
public owner/team management
When negotiating a contract with a private management company to handle the day to day operations of a venue, the venue owner must ensure they retain control of all major areas of responsibility including at least approval of all of the following except:
event staff uniforms
For most venues, the largest expense category is personnel. T/F
true
Audits should always be scheduled and announced to make sure employees are not surprised. T/F
false
Funding for capital improvements may come from excess operation revenues, designated tax funding sources and appointments from governmental agencies. T/F
true
_______ is the assignment of costs to one or more public assembly venue expense categories. The primary purpose is to identify the cost incurred by each cost center in the production of that product or service.
cost accounting
One of the financial systems used to track the significant amount of supplies and equipment used in a public assembly venue on a day to day and event to event basis is:
inventory control
Which of the following statements does not apply to a venue operating budget?
ensures the financial success of the venue
The acronym used for generally accepted accounting standards accountants use in recording and summarizing financial transactions and in preparing financial statements:
GAAP
The financials process a venue manager completes with the promoter os tenant to calculate and finalize the ticket revenue and event expenses after the event is referred to as the:
settlement
Which entity controls the money from the ticket sales between the time the tickets are sold and settlement the night of the event?
ticket office at the venue
_______ reports the financial performance of a venue for a specific period of time.
profit and loss statement
_______ reports a venues financial status at a particular point in time and includes the venue assets, liabilities, and any applicable equity of the organization.
balance sheet
_______ is the venue revenue remaining after expenses have been deducted. It may contribute to funding venue operating expenses, used for capital expenditures, or placed in reserve.
net income
_________ refers to balances owed to others for good, supplies, or services purchased by the venue.
accounts payable
One of the interesting dynamic about event bookings is that the venue normally does not have a contract with the performer. T/F
false
In order to properly take care of promoters and agents it is best for venues to have at least three different people booking and scheduling the venue. T/F
false
Ultimately the key to a venues success is the ability for the venue manager to effectively identify and book events as expected by venue ownership and desired by the marketplace. T/F
true
Challenging the hold date" enables the requesting promoter to immediately gain top priority if the other promoter with the first hold, releases it or fails to meet agreed-upon deadlines.
true
Date protection policies refer to procedures put in place to ensure the venue does not book too many events within a specific time frame.
false
A straight rental/lease model is the most popular with venue managers because it represents the greatest opportunity to make the most money. T/F
false
The primary commodities of any public assembly venue are _____& _____
time and space
In a standard flat rental deal which one of the following is responsible for paying the rental fee and bears the bulk of the financial risk when an event is held is a public asembly venue?
promoter
At which point in the booking process should the venue manager place an event on sale?
contracted
Venue date protection policies:
provide scheduling criteria requiring a reasonable degree of separation between similar attractions
In the United Sates a controversial event might be protected under the provision of free speech afforded by the _______ Amendment of the Constitution.
first
One of the most important aspects of the booking process is determining the viability of an event which is referred to as:
qualifying the event
All of the following are benefits of a prime tenant, except:
provides for increased flexibility of the venues event calendar
Based on a tentative hold as agreed to by the booking manager and the promoter, the promoter can assume all of the following to be true except:
the contract has been issued and event will be confirmed when the signed contract is returned
Which of the following is not one of the variables that help determines the appropriate event mix for a venue?
managements personal preferences
Publicity is paid, non-personal communication through various media by an organization identified in the message with the hope of informing or persuading members of a particular audience. T/F
false
Promoters expect to pay a fee to access the venues customers database to promote their event. T/F
false
There are generally two different types of marketing within the public assembly venue management industry and they are:
event and venue marketing
Effective venue marketing and event marketing require different strategic approaches and therefore require separate and distinct strategic marketing plans. T/F
true
The purpose of a venue marketing plan is to guide the establishment of the venues market position to achieve stated objectives with the venues purpose and mission statements. T/F
true
Which of the following is an example of a commercial right within a public assembly venue?
pouring rights, naming rights, sponsorships
What are the two primary considerations when determining the duration of an event advertising campaign?
budget and event sales history
A ticket is limited contract between a guest and the venue. T/F
true
The secondary ticket market was developed as a residual of the re-sale or scalping of tickets by people who originally purchased the tickets from a primary authorized ticket sales organization. T/F
true
The practice of dynamic pricing involves the manipulation of prices in order to price tickets and seating location differently based on customer demand. T/F
true
ADA stands for
Americans with Disabilities Act
A disadvantage of general admission seating is that:
safety and crown control issues may occur