Occupancy rate refers to the percentage of rooms or accommodations that are occupied in a hotel, motel, bed and breakfast or other types of lodging establishments. It is an important metric used by businesses in the hospitality industry to measure their performance and profitability. The occupancy rate can be calculated by dividing the number of occupied rooms by the total number of available rooms and multiplying it by 100. For example, if a hotel has 100 rooms and 80 of them are occupied on a given night, its occupancy rate would be (80/100)*100 = 80%. A high occupancy rate indicates that the business is doing well as it means there is a demand for their services. On the other hand, low occupancy rates may indicate challenges in attracting customers or managing room availability.