What is a GOP hotel? What does hotel GOP mean?

1, "GOP" is the abbreviation of "gross profit", that is, operating gross profit, which is reflected in the income statement as the balance of income MINUS costs, labor costs, direct expenses of business departments and indirect expenses of back-office departments. It is advocated that "GOP" is used to measure management performance, and the general manager of the hotel can control the consumables in the daily operation of the hotel.

2. The investment in hotel construction, interior and exterior decoration, operating equipment and other fixed assets is a matter for investors, which is beyond the control of the general manager. Therefore, the depreciation of fixed assets, loan interest, etc. They are all investors' costs, and the balance of "GOP" after deducting depreciation expenses, interest expenses and organization expenses is the hotel's net profit, which is also the net profit that investors can get.

3. Using "GOP" to measure the general manager's operating performance really makes up for the shortage that domestic hotels used to measure their operating performance with net profit as the only indicator regardless of responsibility and hotel reality. Measuring business performance by net profit index makes the data of hotel industry generally lack comparability and objectivity. In the domestic financial system, depreciation of fixed assets is charged as management expenses or operating expenses, interest is charged as financial expenses, and amortization of start-up expenses during hotel preparation is also charged as management expenses.

4. This makes the operator's performance greatly influenced by the hotel's financial structure, sources of funds and investment in fixed assets. Because hotel investment has the characteristics of long cycle and large investment, the general manager often hasn't decided or participated when investors build hotels, but after opening, if the operators are responsible for these expenses, there will be deviations.