PHOENIX-“We have failed as an industry to recognize the demandand adjust rates,” said Wayne Goldberg, president and CEO, LQManagement LLC. He pointed to a possible historic peak for roomdemand, but noted some of the industry’s poor choices in handlingdemand in the past.

David Kong, president and CEO, Best Western International, notedthat supply was a problem last year and that Internet transparencydrove a lot of room rates down, as some hotels panicked andaffected the rest of the industry. Goldberg politely disagreed thatthe Internet was to blame. “We have inflicted some pain onourselves as an industry.”

The 16th annual Lodging Conference held at the Arizona BiltmoreSpa & Resort began its Wednesday general session with “A Viewfrom the Top – Part I,” gathering a prominent panel to discuss theproblems facing the industry, as well as some of its emergingtrends.