A percentage is retained by the hotel for referring the business to the off premise caterer. The hotel sells the menu to the off premise caterer at a wholesale price and the caterer then marks it up accordingly. Both parties participate in the operation of the event, and each party receives a predetermined percentage of the profits. As with any business deal, be sure everything is in writing. Markets are usually static.
Weddings are life cycle events.
A shallow segment is low-budget business. There are over 20,000 associations headquartered in the United States. The association market is the largest market segment.