Analysis and Investment Consulting Report on China Tourism Industry Essay Example
Analysis and Investment Consulting Report on China Tourism Industry Essay Example

Analysis and Investment Consulting Report on China Tourism Industry Essay Example

Available Only on StudyHippo
  • Pages: 3 (594 words)
  • Published: December 21, 2017
  • Type: Case Study
View Entire Sample
Text preview

As society progresses, the tourism industry has emerged as a substantial and extensive sector in the global economy. It has only become stronger with time and plays a vital economic function in developing urban areas by generating social employment opportunities and promoting culture and the environment.

In 2006, tourism was still a crucial aspect of China's economic progress, as all three major markets made significant advancements. The year saw a total of 124.9421 million inbound tourists (including 49.9134 million overnight visitors), which marked a growth rate of 6.6% from the preceding year and generated 33 tourist foreign exchange revenues.

China experienced growth in various areas of its tourism industry. The revenue from foreign visitors rose by 3.9% to reach $949 billion, and domestic tourists generated ?623 billion in revenue, reflecting a rise of 15% compared to the previous p

...

eriod. Furthermore, there was an increase of 17.9% in the total number of domestic tourists, which reached 1.394 billion people. China also saw a surge in outbound tourism with a total of 34,523 individuals traveling abroad.

Compared to the previous year, there was an 11.3% growth in tourist numbers to 6,000 and a 16.3% increase in total tourism earnings, reaching 893 billion RMB. These earnings represent 4.27% of GDP.

In 2006, China launched its "11th Five Years" plan to develop domestic tourism and achieved promising results. From January to November of 2007, the main cities in China welcomed a total of 39,970,340 tourists with a YoY increase of 13.37%. Among them were foreign tourists (23,330,404), Hong Kong compatriots (11,176,899), Macao compatriots (722,831), and Taiwan compatriots (4,740,206). Out of the total foreign visitors during this period (23,938139), some came for conferences or

View entire sample
Join StudyHippo to see entire essay

business activities (6,434616), sightseeing tours (12,049859), visiting friends or relatives(72.866) , inbound service staffs(2 ,122 ,858 ) and other purposes(3 ,257 ,940 ). Regulations were also issued in October regarding national vacations on different festivals and anniversaries as well as paid leave for employees.In 1999, the period of “three golden weeks and one not too long holiday (New Year’s Day)” per year was changed to “two golden weeks and five not too long holidays” starting in 2008. This alteration of official holidays will greatly impact the current golden tour products, causing corresponding adjustments to be made. Short distance tours will likely become the new popular option in the market, while 4-6 day long line tours will also be affected in terms of tour product structure. Furthermore, China’s two golden weeks, the Chinese New Year and “Oct. 1st,” will reach a historic high in terms of tourism. As a new industry in the national economy, China’s tourism has established basic policies for development and construction during its early stages.China is implementing an investment policy that targets both domestic and foreign capital, as well as public and private investments in tourism developments. The objective of this approach is to enhance China's reception capabilities and stimulate activity within the tourism investment market, in order to facilitate the growth of tourism. Despite encountering obstacles such as inadequate marketization levels within its management structure and investment mechanisms, China's overall investment environment continues to improve. It is projected that over the next ten years, China's tourism industry will experience a steady annual growth rate of 10%, with personal tourist expenditures increasing at an average pace of 9.8% annually along with corporate

and government investments rising by 10%.

China is poised to achieve a 9% growth rate by 2020, making it the top choice for inbound tourists and the fourth most popular destination for outbound travelers. Additionally, China's tourism revenues as a percentage of its GDP are anticipated to rise from 5.44% in 2002 to 8% by 2010. With tourism being one of six new industries that highlight consumption potential, there are significant investment opportunities on the horizon.

Get an explanation on any task
Get unstuck with the help of our AI assistant in seconds
New