Article: Balancing act: the popular Los Cabos resort plans to boost promotion to increase demand. (Destination: Mexico).

Los Cabos is in the enviable position of trying to catch up with recent expansion to close the gap between supply and demand. The destination has experienced a 16 percent increase in room inventory in the past year, including construction by companies such as Hilton and Auberge Resorts. But although it will be beneficial in the long term, this rapid growth represents a short-term challenge for the destination to fill these rooms.

Patrick Sanchez, director of the marketing committee for the Los Cabos Hotel Association, says projections are that demand will grow about 9 percent this year, while supply will increase 11 percent. "So we would still have to close this ...

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