Serviced Apartments On Beach Resorts Tourism Essay Example
Serviced Apartments On Beach Resorts Tourism Essay Example

Serviced Apartments On Beach Resorts Tourism Essay Example

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  • Pages: 27 (7227 words)
  • Published: October 8, 2017
  • Type: Case Study
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A preliminary theoretical account of concern development factors was created from both literature reappraisal and interviews conducted with international serviced flat operators in Singapore. Subsequently, the theoretical account was being tested in a instance survey visit to Pattaya. The field survey encompassed observations, interviews with authorities functionaries, serviced flat operators and installations operators. Through these manners of information assemblage, the pilot theoretical account of concern development factors was modified. A station theoretical account was drawn up to show the concluding list of concern development factors, every bit good as three other complementary factors which affect the puting up of serviced flats indirectly.

Primary findings include the importance of drawn-out stay markets, beginnings of exiles, a feasible and booming tourer market, good conveyance connectivity, handiness of installations, proactiv


e authorities support, high degree of security and safety, warm and stable clime every bit good as affordability of the location. The hereafter development of serviced flats on beach resorts is besides explored to include the possibility of venture into timesharing, holiday nine, fractional belongings ownership or loanblends of the above mentioned.

The history of beach resorts, or seaside resorts, dates back to Great Britain in the mid eighteenth century. Back so, visitants frequently went to beach resorts for their stylish pattern of sunbathing in a belief that it will assist in disease intervention ( The great British seaboard resort: a brief history, 2009 ) . However, times have changed and this tendency has shifted from Europe to Asia Pacific. Hobson ( 1994 ) identified that future growing in the Asia Pacific part will be focused on the enlargement of resort-type finishs, peculiarly in states such as Thailand, Malaysia and Indonesia.


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the development of beach resorts in Asia Pacific, adjustment has changed within different phases of development, as reflected in the Beach Resort Model ( Smith, 1991 ) . Serviced flats are one of the newer adjustment types found on beach resorts, originating from the demands of modern travelers such as exiles who are seeking an drawn-out stay in a location, and households who intend to remain in a location for a longer vacation.

As few surveies have been done on serviced flats on beach resorts, a instance survey on Pattaya beach resort was done to better grok the concern development features for set uping serviced flats at that place.


This paper foremost aims to supply penetrations on the current growing and incursion of serviced flats on beach resorts. Second, it seeks to urge a theoretical account of concern development factors that lead to the growing of serviced flats in Pattaya and besides brings across how these factors may act upon beach development and vice-versa. Finally, the deductions of the concern development factors to assorted stakeholders of serviced flats are studied.


This paper is written in the context of beach resorts in Asia Pacific.

Value of Research

This paper provides cognition about the different concern development factors in lending to the success of serviced flats on beach resorts. Assorted stakeholders, particularly developers and operators who are interested in set uping serviced flats in Pattaya, will happen this cognition utile. For proprietors and operators of bing belongingss, this cognition can heighten their direction abilities.


Bing full-time undergraduates, this survey was conducted on a parttime footing. As such, merely one instance survey was conducted due to clip and budget restraints. Additionally, the subject of

serviced flats on beach resorts is still comparatively new and non widely explored. Therefore, there is limited information available. Furthermore, available publications largely focused on the Western context, therefore non specific to Asia Pacific.


Serviced Apartments


While there is no standard definition of a serviced flat, serviced flats are typically considered to offer self-contained adjustment with extra services. The flat will by and large include a little kitchen or kitchenette, with a life room in add-on to the sleeping room ( s ) , or a studio sleeping room ( Foxley, 2001 ) . Apartments are cleaned hebdomadal and more frequently if client prefers, and a day-and-night response desk for questions and advice is normally available ( Collins, 2007 ) . The entreaty of serviced flats is that they offer the comfort and installations of a hotel, with the privateness and installations of place ( Foxley, 2001 ) . In add-on, it is a cost-efficient adjustment solution as invitees remaining for longer periods of 7 darks or more will usually profit from a decreased monetary value per dark ( The Association of Serviced Apartment Providers, 2009 ) .A Globally, serviced flats are sometimes referred to as serviced abodes, condotels, extended stay hotels, and the similar ( Serviced Apartments Association Singapore, 2005 ) .

Target Sections

With altering work patterns and increased globalization of concern, concern executives are progressively required to work off from place on a short to medium term footing ( Foxley, 2001 ) . Hence, serviced flats supply the perfect solution for this group of professionals, who form the primary section for serviced flats. With a comparatively long remain off from place, these

concern executives seek more infinite and a friendly home-from-home feel ( Fearis, 2006 ) . Besides concern travelers, leisure markets with an drawn-out stay purpose are besides targeted by serviced flat operators ( Harris, 2008 ) . Greater international leisure travel and a turning tendency towards taking extended interruptions between occupations, holidaies and working-holidays are besides ensuing in the demand for impermanent adjustment ( Foxley, 2001 ) . Families form an built-in portion of the leisure market as the infinite and installations serviced flats offer suits their demands.

Current Tendencies and Growth

Serviced flats concern has been turning at 15-20 % yearly compared to a modest 6-8 % notched by hotels ( Choudhury, 2009 ) . Harmonizing to STR Global, demand for extended-stay adjustment had been turning by 4.9 % in 2004, the fastest rate since 2000, and exceling the 4.6 % leap reported for the overall hotel industry ( Ligos, 2005 ) . One key driver for this tendency is tight corporate budgets. The recent planetary economic convulsion forced many companies to cut down their travel disbursals in an effort to understate costs, leting serviced flat operators to sit on this by fiting limited budgets with competitory monetary values ( Chinmaneevong, 2009 ) . This was reflected in Asia, where demand for serviced flats remains high despite the crisis ( Harris, 2008 ) . The addition in supply of serviced flats is farther bolstered by the predicted uninterrupted growing in planetary concern travel, with Asia Pacific being poised for significant growing between 2008 and 2013 ( NBTA/IHS Global Insight, 2009 ) .

Another driver for this rush in popularity of extended-stay hotels is that more companies are

willing to pay to relocate new employees ( NBTA/IHS Global Insight, 2009 ) , or direct them for cross-border corporate preparation programmes ( Foxley, 2001 ) . Employers regard this as an investing due to the deficiency of qualified and skilled labors ( NBTA/IHS Global Insight, 2009 ) . The per centum of such willing employers has increased from 2007 to 2008 by 14 % ( Fryson, 2008 ) .


The locations of serviced flats will find the mix of studios, one-bedroom and two-bedroom flats ( Geieregger & A ; Oehmichen, 2008 ) , every bit good as the quality of adjustment and service ( Foxley, 2001 ) . Typically, serviced flats are found in urbanized locations ( Harris, 2008 ) , where many transnational companies set up their central offices or fabrication workss. This facilitates motion of concern executives in metropoliss for meetings and conventions. However, serviced flats can besides be found along beaches.

Beach Resort Development

Beach resorts are defined as geographic countries offering a assortment of installations, services and activities which are orientated towards seaside diversion for the adjustment, usage and enjoyment of visitants ( Smith, 1991 ) .

Resort morphology goes through a predictable sequence of phases: from pre-tourism low through high-density development to an urbanized province ( Andriotis, 2006 ; Smith, 1992 ) . Barrett ( 1958 ) foremost noted the significance of the seafront in the construction and location of the commercial nucleus, distinguishable zonation of adjustment types which expands in a semi-circular manner inland from the commercial nucleus and an elongation of colony analogue to the seashore. Stansfield ( 1970 ) subsequently observed the development of the Recreational Business District ( RBD

) dwelling chiefly retail, nutrient and drink and amusement services along the beach forepart. The Commercial Business District ( CBD ) is clearly separated from the RBD and normally found more inland. Pigram ( 1977 ) noted that improved public conveyance played a important portion in the agreement and development of zones of land-use. In add-on, recreational concerns and adjustment constitutions tend to orientate themselves on major entree paths to the resorts.

Smith ( 1991 ) created the Beach Resort Model ( BRM ) which describes ad-hoc beach development from phases 1 to 8. The phases were determined by 6 classs of alteration - morphology, physical, environmental, societal, economic and political. Four coastal resorts in Asia Pacific were studied in developing the BRM ; nevertheless, it can still be applied at big to other coastal resorts. BRM paperss the start of a beach resort from a colony in pre-tourism data point to a to the full urbanized metropolis resort.

Accommodation Development on Beach Resorts

Adjustment at resorts fall into two groups: traditional and self-catering ( Stallibrass, 1980 ) . Traditional adjustment includes personal service both in the private suites and public countries while self-catering adjustment is self-contained, with its ain kitchen installations.

Adjustments on beach resorts often start with 2nd places, followed by hotels which are the traditional adjustment ( Smith, 1991 ) . There would be structural alterations to accommodation typically at the last two phases of the BRM, because resorts mature and narrow adjustment bases diversify to include important constituents of all categories of adjustment ( Smith, 1991 ) . In add-on, alterations experienced when a beach matures, such as greater handiness and new installations, consequences in

visitant profile alterations ( Strapp, 1988 ) . This besides affects the type of adjustment in demand.

Multi-titled touristry adjustments ( MTTA ) , which include serviced flats, have been on the rise due to take down fiscal hazards compared to single-titled belongingss, and the larger mark market available due to its assorted usage ( tourers and residential ) ( Warnken, Guilding, & A ; Cassidy, 2008 ) . MTTA composites now represent an built-in portion of, or even rule many popular seaboard and ski resorts in many parts of the developed universe ( Warnken & A ; Guilding, 2009 ) .

Serviced Apartments on Beach Resorts

In ulterior phases of beach development, beach resorts may get down to see year-around residence. The country could go more of a residential community with people remaining good past the traditional tourer season ( Strapp, 1988 ) . Anecdotal grounds suggests an addition in demand for self-catering short vacations ( long weekends up to one hebdomad ) amongst immature households and self-catering adjustment for progressively affluent retired persons ( Warnken et al. , 2008 ) . Together with increased demand for adjustment, providers are encouraged to add higher quality substructure typified by a displacement from cheap motels to fall back flats such as serviced flats ( Prideaux, 2000 ) . Majority of internet adjustment hunt engines for major finishs returned listings with MTTA-style composites ( Warnken et al. , 2008 ) , and these include serviced flats.

Reasons which could hold spurred the constitution of serviced flats on beach resorts encompass the followers:

Presence of an exile market working in nearby industrial hubs necessitating impermanent adjustment ( Appendix A, B & A ;

C )

Presence of a retired silver-haired market traveling to beach resorts during winter months in order to remain in heater climes ( Foster & A ; Murphy, 1991 ; Williams, King, Warnes, & A ; Patterson, 2000 )

Transport connectivity for convenient entree to the beach resort ( Appendix C )

Top-notch installations such as schools, medical attention and amusement ( Appendix B )

Serviced Apartments on Beach Resorts in Asia Pacific

Serviced flats were the fastest turning section of the tourer adjustment sector in Australia during the late ninetiess ( Foxley, 2001 ) . The figure of serviced flat belongingss in Gold Coast has been increasing over the past few old ages. In 1998, the figure of serviced flat guest suites was 3,180 ( Australian Bureau of Statistics, 1999 ) , while in 2007, this figure was 5,371 ( BusinessGC, 2007 ) . In the twelvemonth ended June 2009, serviced flats saw the strongest addition in constitutions ( 0.9 % ) and room darks available ( 2.4 % ) out of all adjustment types, while the motel and hotel sector experienced a contraction of 4.7 % and 6.1 % severally in figure of constitutions ( Tourism Queensland, 2009 ) .

Presently, here are non many major international operators located on beach resorts in Asia Pacific. Some international operators feel that there are chances for serviced flats to be located on beach resorts in the part. With intelligence releases bespeaking the programs of Ascott and Oakwood to come in Pattaya, Thailand ( The Ascott Limited, 2005 ; Viboonchart, 2009 ) , it suggests that development of serviced flats on beach resorts in other parts of Asia Pacific is deriving impulse.

Currently, Frasers Hospitality already has a belongings in Pattaya named Fraser Resort Pattaya.


The function of the market has non been the chief focal point in bing research for the development of beach resorts. The undermentioned subdivision takes a closer expression at market conditions and operation of the supply side in spurring beach resort development, specifically the development of adjustment to include serviced flats. The three most of import stakeholders in a beach resorts are invitees ( who are the chief cause for induced development ) ; hosts ( who by back uping development and by being involved in touristry contribute to the success of a finish ) ; and political relations ( which influence overall development ) ( Andriotis, 2006 ) . As such, the factors which are considered below are greatly influenced by features of these three stakeholders.

Industrial countries and metropolis Centres

Resettlement of corporate forces would bring forth demand for serviced flats. For beach resorts, there would normally be a presence of exiles if there are nearby industrial countries and busy metropolis Centres ( Appendix A & A ; C ) . Furthermore, coastal countries are emerging as major Centres of economic activity and new human dynamos of touristry involvement ( Prideaux, 2009 ) , perchance conveying in an exile market.

Feasible and booming tourer market

During weekends, serviced flats aim leisure travelers to make full suites. This is supported by Foxley 's ( 2001 ) observation of a tendency amongst the international leisure travelers to take drawn-out interruptions. In add-on, there is apparently an addition in demand for self-catering short

vacations amongst immature households ( Warnken et al. , 2008 ) . Hence, a feasible tourer market should besides be present for serviced flats to tap on.

Medical touristry

Medical touristry has grown quickly in the past decennary ( Connell, 2006 ) . Peoples travel long distances overseas to obtain medical, dental, and surgical attention while at the same time being tourists. Reasons for the growing of this niche touristry are high costs of intervention in developed states, long waiting lists, comparative affordability of air travel, and favorable exchange rates ( Connell, 2006 ) .

Medical touristry has grown in Thailand who intentionally linked medical attention to touristry, therefore hiking beaches ' attractive forces ( Connell, 2006 ) . The Phuket Health and Travel website provinces that it aims to unite wellness and vacation facets of travel. Their wellness and vacation bundle could include hotel adjustment, pre-doctor assignment, sightseeing, island Tourss and dark amusement attractive force engagements ( Phuket Health Travel, 2009 ) .

As medical touristry additions popularity, operators may set up serviced flats next to big infirmaries to provide to this sort of demand ( Sharma, 2005 ) .

Transport Connectivity

Transport entree to the resort is likely a cardinal determiner of the resort 's rate and size of growing. Kim ( 1998 ) mentioned that the appraisal of touristry potency would put great accent on conveyance communications and general entree to the country. As handiness improves through new route, rail, sea and air services, new and more distant markets will go accessible ( Prideaux, 2000 ) . In add-on, a good conveyance system is indispensable in conveying clients to the flats ' doorsills, and conveying clients to their

finishs in the twenty-four hours.


Guests of serviced flats require nearby installations for basic life necessities and recreational activities. Recreational activities include athleticss, shopping and amusement ( Prideaux, 2000 ) , while basic necessities encompass health care and educational establishments. Healthcare and educational establishments are particularly of import for exiles who have brought their households along when they are relocated by their companies ( Appendix B ) .

Political facets

Government policies can rush the development of beach resorts ( Prideaux, 2000 ) and besides implement favorable conditions to hike touristry which potentially encourages serviced flat constitutions due to healthy tourer market chances. National Tourism Organizations are besides responsible in courting tourers to the state. Ooi ( 2002 ) discovered that the political environment can hold a important influence on the image of the finish and touristry publicity policies.

Safety and Security

Safety is a major concern for tourers ( Kim, 1998 ) . Davidoff and Davidoff ( 1994 ) concluded that people would non go to a location believed to be insecure. Given that expatriates can remain up to a considerable period of clip and may convey their households along when they are relocated, security for the household and ego becomes an of import concern.

A sum-up of the above mentioned factors are integrated into the tabular array below:

Table 1.png

The factors identified above can perchance determine future growing and development of beach resorts. Additionally, they besides aid in future planning by recognizing supply short-comings and foretelling lifting demands of the market, leting sufficient clip and infinite for operators to provide to these tendencies.

Chapter 4 - Research Methodology

Case Selection

The instance method ( Yin, 2003 ) is used in this survey and

the unit of research is a beach resort. The instance selected in this survey is Pattaya. In Pattaya, there is one major international serviced flat operator, Fraser Resort Pattaya. Interestingly, a immense industrial development is located E of Pattaya. As a developed beach resort, Pattaya has good installations and substructure in topographic point to back up its touristry activities. These indexs provide an intimation of the entry of more international operators finally, therefore supplying equal informations for this survey.

Data Collection

Formal interviews were conducted with major international serviced flat operators headquartered in Singapore to derive a better apprehension of the industry. A preliminary theoretical account was created through book, diary and cyberspace research, newspapers and interviews in Singapore. A field survey to Pattaya was so conducted from 8 to 11 December 2009 to roll up primary informations.

Detailss of the site visit are:

Interview with

an international service flat operator

several local operators

an functionary from the Tourism Authority of Thailand ( TAT ) , Chon Buri ( Pattaya )

international infirmaries

Physical observations of the installations, constitutions and general environment

Subsequently, a post-trip theoretical account was constructed. This is a refined and condensed theoretical account after farther cognition gathered through the field survey. Complementary factors which contribute to the listed factors are besides identified to supply a wider position.

Chapter 5 - PATTAYA CASE

A seaside state located on Thailand 's E seashore, Chon Buri 's scenic positions earns itself a repute as one of Thailand 's popular sanctuaries for vacation retreats. Situated near the metropolis of Chon Buri is Pattaya, a vacation Eden for fun-lovers. As Thailand 's premier beach resort that attracts a big figure of tourers, Pattaya is charmed by a tropical

resort atmosphere suited for entire relaxation. Besides its blest natural beauty, Pattaya besides offers a broad scope of H2O athleticss and vivacious night life ( TAT, 2006 ) . Today, it boasts the alone differentiation of a beach resort with a metropolis position ( TAT, 2007 ) .

5.1 Accommodation Development in Pattaya

The increasing inflow of visitants over the old ages has stimulated alterations in adjustment types. Most of the big hotel ironss, resorts and serviced flats are located in two parts - North and cardinal of Pattaya metropolis. In the stretch right in forepart of the coastline, the smaller hotels or budget adjustments are found. This stretch is besides the part where there are many eating houses, bars, saloons and a figure of shopping promenades spread out along the coastline. Although most of the serviced flats are in the North and cardinal part of the metropolis, there are still a few serviced flats located in the beachfront stretch ( Appendix T ) .

This happening as described by the BRM theoretical account is due to development impregnation of the original beachfront strip doing subsequent adjustment to develop along the same strip but widening farther inland ( Smith, 1991 ) . As serviced flats are merely late developed on beach resorts, their locations are therefore farther off from the beachfront. In add-on, beachfront part is considered to be nosy with activities ongoing boulder clay tardily. Since serviced flats are targeted at long-run stay visitants who might desire a more contributing environment, serviced flat operators have therefore established the flats off from the noise. The contrasting location of some serviced flats in the beachfront stretch is due to

their smaller sizes and absence of a serviced flat 's full capacities.

Chapter 6 - Case Evaluation

The concern development factors in the preliminary theoretical account are assessed against observations and interviews conducted at Pattaya. Further findings are besides indicated.

Evaluation of Preliminary Model

Industrial Areas and City Centres

As concern executives are the primary mark audience of serviced flats, the being of beginnings bring forthing exiles, such as industrial countries and metropolis Centres, are critical. In Pattaya, industrial countries are of noteworthy importance as a drive factor for invitees in serviced flats.

Chon Buri state is located in the industrial development part of Thailand, a short thrust to southeast Bangkok ( Tanvatanakul, Saowakontha, Amado, & A ; Vicente, 2007 ) . Business executives who work in both Bangkok metropolis and Chon Buri are therefore able to transpose to Pattaya rapidly. Besides Chon Buri, Rayong state besides houses several industrial countries and is about 220 kilometers from Bangkok (, 2009 ) . Five chief industrial countries ( Appendix N ) situated in both states - Laem Chabang, Map Ta Phut, Eastern Seaboard, Amata City and Pinthong, are beginnings of the exile market who seek adjustment in Pattaya metropolis ( Appendix I ) . Some local operators revealed that the majority of their clients come from the industrial countries. The close propinquity to both states makes Pattaya a preferable topographic point for many exiles to remain in ( Thailand Guru, 2007 ) . This spells concern chances for serviced flats.

Positive statistics draw links to a perchance burgeoning expatriate market coming to Pattaya, as reflected in the rise in tourer reachings in Pattaya for concern activities over the old ages. Arrivals based

on concern intents increased by 38.08 % from 349,010 in 2006 to 481,916 in 2007 ( TAT, 2007 ) . In add-on, the proportion of these concern reachings out of entire reachings besides increased from 5.7 % in 2006 to 7.21 % in 2007. For conference/seminar intent, figures rose from 95,887 in 2006 to 260,695 in 2007 ( TAT, 2007 ) , stand foring an amazing 171.9 % addition. The proportion of this conference/seminar-driven touristry out of entire tourer reachings increased from 1.6 % in 2006 to 3.9 % in 2007. These tendencies may farther spur the growing of serviced flats in Pattaya.

Feasible and Booming Tourist Market

Apart from concern travelers, serviced flats may besides function leisure travelers who are on drawn-out vacations. A promising influx of tourers is likely to impact the growing of serviced flats. The undermentioned subdivision assesses the tourer market in Pattaya based on figures retrieved from TAT for old ages 2005 to 2007. TAT indicated that figures for 2008 and 2009 are non available.

Tourist Arrivals

Table 2.png

Table 3.png

Figure 1. Internal Tourism in Pattaya

Tourist reachings have been increasing steadily from 1997 to 2007. It increased by 14.55 % in 2006 as compared to 2005, to a decennary high of 6,680,658 in 2007 ( +9.25 % ) . The chief intent of visits has been for leisure, which comprises about 83 - 90 % of tourer reachings in old ages 2005 to 2007. This shows a booming leisure tourer market.

Table 4.png

Interviews conducted with local serviced flat operators revealed that their chief clients are Europeans. Figures have shown that out of the 4,481,630 international travelers who visited Pattaya in 2007, 40 % are Europeans. As

Pattaya remains a popular beach resort finish for European visitants, the European tourer market in Pattaya will either keep its size or expand in the hereafter. Local operators besides mentioned that these Europeans clients can remain for long periods runing from a few hebdomads to a few months. Aside from Europeans, Pattaya is besides a popular finish amongst Asians due to its location and repute for supplying a beach pickup.

A dip in figures is expected for 2008 and 2009 due to the planetary economic recession and H1N1 pandemic. Other beginnings suggest that following a 5 % addition in touristry Numberss in the first half of 2008, international touristry began to decelerate down quickly in mid-2008, reflecting lifting oil and trade good monetary values, volatile exchange rate fluctuations, political instability, and the impact of the planetary economic recession ( UNWTO 2008 ; UNWTO 2009a ; UNWTO 2009b ) . However, as the universe emerges from the recession, touristry in Pattaya is expected to pick up in late 2009 or early 2010 onwards.

Tourist Grosss

Table 5.png

Adjustment disbursals by and large comprise the majority of tourer outgo. Furthermore, tourer grosss have been increasing from 48,522.13 million tical in 2005 to 59,347.61 million tical in 2007. As both tourer reachings and outgo addition, this means more concern chances for serviced flats in Pattaya.

Average Length of Stay of Tourists

Table 6.png

The mean length of stay has decreased from 3.41 yearss in 2005 to 3.13 yearss in 2007. However, local operators revealed that the mean length of stay scopes from a few yearss to a few months for leisure travelers, while the mean length of stay can be up to 2 old ages

for exiles.

Major Attractions and Future Plans

The two chief beaches are Pattaya and Jomtien beach, which offer a scope of recreational and amusement services. Aside from the beaches which saw 61 % and 31 % of entire tourer reachings in 2007 severally, other cardinal attractive forces include bars and cabarets ( 30 % ) and shopping promenades ( 13 % ) ( TAT, 2007 ) . As beaches remain the most visited topographic point in Pattaya, programs are proposed for a big new wharf and marina for featuring and leisure trade on Pattaya beach ( Channgam, 2008 ) , rejuvenating the beach and therefore maintaining it attractive for tourers.

In add-on, the Pattaya 's city manager wants to switch the image of Pattaya off from a red-light territory to one full of other exciting activities such as a possible indoor ski resort which could pull more international concern ironss and bring on more long-stay invitees ( Appendix J ) .

Therefore a feasible and booming leisure tourer market helps to raise tenancy rates in serviced flats. However, the touristry industry needs to maintain bettering to prolong or develop new involvement in tourers.

Medical Tourism

The presence of international infirmaries may excite the constitution of serviced flats next to them to provide to possible medical tourers who stay for long-run intervention. Three international infirmaries dominate Pattaya, viz. Bangkok Pattaya Hospital ( BPH ) , Pattaya International Hospital ( PIH ) and Pattaya Memorial Hospital ( PMH ) . Of these infirmaries, merely BPH is programme certified by Joint Commission International. It besides has 400 beds, holding the ability to suit more patients as compared to PIH 's 70 beds, and PMH

's 80 inpatient beds. However, from interviews with the infirmaries, it was revealed that patients are mostly locals and to a lesser extent, international visitants. Medical tourers are therefore an undistinguished lending long-stay market. However, it may turn in significance in the hereafter.

Transport Connectivity

Favorable conveyance connectivity helps visitants and locals to orientate their manner to and around Pattaya easy, a basic indispensable factor required to pull invitees to remain. Features impacting conveyance connectivity are analysed below:

Distance and clip to airport

Located about 110 kilometers off, Pattaya has near propinquity to Suvarnabhumi Airport, with travelling clip about 1.5 to 2 hours. This comparatively short distance and travelling clip makes Pattaya a coveted metropolis to see.

Manners of conveyance to Pattaya

Visitors can entree Pattaya handily via air, rail, cab, manager or local coachs.

Manners of conveyance around Pattaya

The most normally seen conveyance is the Baht Buses, which are transformed from pickup trucks. Other signifiers of conveyance include bike, bike, auto, local coach and cab. Local coachs, nevertheless, are non easy to descry and therefore frequently underutilised.

Road InterconnectivityC: UsersLoyAppDataLocalTempRoad Map.jpg

Figure 2. Pattaya Road Map

The route system can be complex and confounding for first-time visitants. However, after deriving acquaintance, it is simpler to voyage around. From North to South, there are Beach Road ( besides known as First Road ) which faces the sea, Pattaya Second Road and Pattaya Third Road. Beach Road is a one-way route which runs due souths, while Second Road runs due norths. These one-way roads pose incommodiousness and a fuss to go. In between these roads are smaller and busier streets which connect the three roads together. From East to West, there are the North Pattaya Road,

Central Pattaya Road and South Pattaya Road. Sukhumvit Road is an of import main road, conveying visitants to and from Bangkok and the Suvarnabhumi Airport.

Traffic Congestion

Traffic is congested at the busiest cardinal countries, and parking infinites can be hard to happen in the eventide and weekend periods. Traffic disturbance frequently happens along Beach Road as it is a hustling shopping country.

Baht coachs are frequently the cause of congestions due to their undisciplined fillet and parking ( Nuamsawat, 2008 ) . In add-on, there are unequal traffic visible radiations and ill-defined route markers, escalating traffic congestion. Such traffic conditions have persisted over the old ages and can negatively impact touristry ( Somchart, 2003 ) .

Distance and clip to industrial estates and Bangkok

From Pattaya metropolis to Laem Chabang in Chon Buri state, it takes around 20 proceedingss and a distance of 20 kilometers. As for Amata City, Eastern Seaboard and Map Ta Phut, which are all located in Rayong state, it takes around 53, 60, and 54 proceedingss, with a distance of 40.5, 47.2 and 52.7 kilometers severally. Bangkok is located 147 kilometers off and can be reached in a short 2-hour thrust.

On the whole, Pattaya is easy accessible from the industrial estates, Suvarnabhumi Airport and Bangkok, doing it an ideal topographic point to travel to for both tourers and locals. Many locals from Bangkok metropolis make their manner to Pattaya during the weekend particularly for seafood banquets ( Appendix J ) . However, within Pattaya, conveyance substructure can be farther improved to ease congestion. As increased efficiency of traffic conditions can function as an attractive factor for toursts to remain in Pattaya, impeling the market for

serviced flats.


rapid climb ( installations ) .png

Figure 3. Facilities and Serviced Apartments on Pattaya Beach

The being of installations provides serviced flats ' invitees the necessities and amusement required for an drawn-out stay. Observations indicated that the locations of serviced flats have a close nexus with the locations of basic installations. Shopping promenades, eating houses and bars are within walking distances. These installations offer guests the basic necessities such as nutrient, vesture, food markets and amusement. Three international infirmaries are located handily. Proper medical health care seems to be a critical concern for long-stay invitees, based on interviews conducted with serviced flat operators.

The presence of international instruction establishments is besides a concern for long-stay invitees with kids. Presently, Pattaya has five international schools. Of these schools, the International School of Pattaya is located closest to Pattaya metropolis. The remainder are located within the Chon Buri part and are within driving distances from Pattaya metropolis Centre.

Golfing was discovered to be a major beginning of activity for many tourers. Pattaya is served by first-class golf classs which are moderately priced and of world-class criterions ( TAT, 2009 ) . International golf competitions are held on these golf classs and serviced flats have become a pick of adjustment for these golf players ( Appendix J ) .

The ascertained installations seem to hold a direct and important impact on the locations of the service flats, every bit good as the growing and development of serviced flats on Pattaya.

Political Aspects

The support and engagement of the authorities and local governments in footings of the touristry policies they introduce may impact the development of service flats. The Pattaya City Council initiated 'Restore Pattaya

Tourism ' , supported by a stimulus budget of 20 million tical ( The State, 2009 ) , to keep Pattaya 's touristry verve. Governments have besides waived visa fee for a twelvemonth to pull tourers to the state ( TAT News, 2009 ) . These programs are likely to hold a positive impact in pulling more tourers to Pattaya.

Further programs that are good to serviced flats include doing long-stay non-immigrant visas easy available from Thai missions abroad ( TAT News, n.d. ) . The Thai Longstay Management Company ( 2009 ) , established by an indorsement of the Royal Thai Government, serves as a one-stop service supplier facilitate retiring tourers to use for annual retirement visa. This will cut down clip on administrative procedures, therefore pulling tourers to take Pattaya as their finish for drawn-out stay.

The authorities besides encourages long-stay tourers by conveying in more business communities for Meeting, Incentive, Convention and Exhibition ( MICE ) intents. Thailand 's Convention and Exhibition Bureau ( TCEB ) , a publicly-owned administration, aims to advance MICE in Thailand. TCEB formed an confederation with Pattaya by subscribing a Memorandum of Understanding that boosts the metropolis to the position of an international MICE finish ( TCEB, 2009 ) . TCEB and Pattaya will work together to drive more MICE or concern events to Pattaya. They will besides reexamine Pattaya 's programs for betterments in substructure and public transit to heighten Pattaya 's fight as a globally celebrated MICE finish.

Pattaya 's position as a top MICE finish, made possible by active authorities support, would convey in business communities who stay for extended periods. All these lay out promising chances

for serviced flats.

Safety and Security

A safe location with lower offense rates and high security would promote serviced flat operators to set up their concerns in that location. As tourer reachings increased quickly, the private sector and TAT decided that there is a demand to step up attempts on guaranting tourers ' safety and minimise tourer extortion ( Pattaya Tourist Police, 2009 ) . The Royal Thai Police formed a new constabulary division, specializing in managing tourers. The Tourist Assistance Centre ( TAC ) was besides formed to decide tourers ' ailments about offense and use. The importance of TAC led the authorities to set up a lasting Tourist Police Organization in Pattaya ( Pattaya Tourist Police, 2009 ) .

The locals contribute to societal security by looking out for one another, hence raising security degrees for tourers ( Appendix J ) . Some locals besides volunteer their services with the tourer constabulary. With the combined attempt of the constabulary and locals, this tightened safety is likely to be a conducive factor for serviced flat operators to set up concerns in Pattaya.

6.2 New Discoveries

The field survey led to the find of extra important concern development factors. Complementary drivers which have an indirect yet critical consequence are besides identified.

Extra Business Development Factors


Most international retiring migrators tend to travel to other developed states. However, Warnes ( 2001 ) noted that in 1999, British province pensionaries collected their pensions in over 200 states including Thailand. Adventurous retirees settle in developing states to return to their birth state, seek lower life costs or warmer climes, etc. ( Warnes, 2001 ) . Motivations specific to Thailand include extended pensions which translate to

higher passing power than in Westerners ' place states, attractive forces of Thailand 's civilization and friendly locals, every bit good as the handiness of sexual spouses ( Howard, 2008 ) .

It was discovered that a important proportion of invitees at serviced flats are so retired persons. For retired persons who love the Sun and sea, Pattaya is an attractive option with its low monetary values and beautiful beach scenery. Hence, they may be induced to remain for long in Pattaya, spurring the constitution of more serviced flats.

Warm and stable clime

Climate may be critical to the enjoyment of a scope of out-of-door chases in touristry activities ( Elwin, 1989 ) , particularly for beach resorts. Pattaya 's clime is tropical all-year unit of ammunition, with mean day-to-day maximal temperature of 29A°C ( Pattaya Weather & A ; Climate, 2009 ) . Pattaya 's stable clime ensures that the beaches are functional and appealing to tourers throughout the twelvemonth. In add-on, Pattaya 's tropical clime is of import for long-stay invitees who wish to avoid cold climes during winter months. This applies peculiarly for European tourers who are capable to extreme clime alterations back in their hometowns.

Affordability of location

Many tourers and exiles are attracted by Pattaya 's low cost of life. Excellent and inexpensive installations include healthcare services provided by international infirmaries, and alveolar consonant services which offers a high degree of intervention making similar to that from Western states ( Dentist @ Beach, 2009 ) . Adjustment can besides be rented or bought at a cheaper rate relation to other states, and even other beach resorts in Thailand such as Phuket. With such strong demand

due to Pattaya 's affordability, adjustment supply springs up to run into this inflow of visitants. Serviced flat operators are able to profit from comparatively inexpensive rents and revenue enhancements as compared to other beach resorts or locations.

Complementary Factors

Aside from the 9 factors identified in the theoretical account, there are other complementary factors which, in general, would heighten visitant reachings that perchance translate to more concerns at serviced flats. If embraced by the serviced flats, they would play a function in pulling invitees to remain.

Good linguistic communication accomplishments

Sharing a common linguistic communication between host and invitee is indispensable in doing touristry meaningful. English is the cosmopolitan linguistic communication and a good bid of English in the host state may heighten its attraction to tourers and encourage longer corsets. Good linguistic communication accomplishments besides aid in bettering service criterions and attitudes ( Appendix J ) . Pattaya locals by and large can non discourse nor compose good in English. Hence, this may be a drawback for visitants to see or remain longer in Pattaya. In order to pull and retain more visitants, the locals ' lingual abilities should be enhanced to fit the usage of English.

Positive service attitude

Ritchie and Zins ( 1978 ) identified 'attitudes towards tourers ' as a general factor which influences the attraction of a touristry finish. This involves the heat of response by the local population and willingness to supply information. Good service criterions and attitudes enhance the repute of the state and perchance increase tourer reachings.

Thailand 's repute as the 'Land of Smiles ' is extremely touted in the travel literature ( Meyer & A ; Geary, 1993 ) due to

the Thais ' gracious manners and all right cordial reception criterions. This is a plus point for tourers to see Thailand.


Chapter 6 indicated the usage of the field survey in changing the preliminary theoretical account. A comparing of the pre and post-model is presented below:

Table 7.png

The preliminary theoretical account proposed that industrial countries and metropolis Centres would be important as they bring in long-stay exiles for serviced flats. This factor is re-categorised into two chief factors under the revised theoretical account. The first factor, Presence of long-stay market, focuses on demand and by and large comprises concern travelers, exiles, retired persons and long-stay leisure tourers. The 2nd factor focuses on the beginnings of exiles as they are the major demand market. Here, Beginnings of exiles will come from the nearby industrial countries, metropolis Centres such as Bangkok metropolis and CBDs.

Medical Tourism has been removed from the revised theoretical account as there was deficient informations to back up this factor as a major concern development factor for the service operators.

The staying factors were tweaked somewhat to better the fullness of the theoretical account and are all adopted into the revised theoretical account. Data collected in the field survey reflected these factors as indicated in the preliminary theoretical account.

Two new factors, Warm and stable clime and Affordability of location, were discovered in the field survey and included in the revised theoretical account.

The field survey has shown that there are factors that contribute indirectly to the development of serviced flats, which are cardinal yet important. These are Good linguistic communication accomplishments and Positive service attitudes Therefore, they are considered in

the revised theoretical account.


Chapter 8 - Decision

8.1 Key Findingss

The growing of serviced flats has resulted in its infiltration to locations outside its domination in urban countries. Beach resorts, on the other manus, have been undergoing assorted developments with clip and are going progressively urbanized. Adjustment on beach resorts grew to encompass many more types of adjustment, including serviced flats. Serviced flats ' presence on beach resorts is to function long-stay corporate executives working at nearby metropoliss and industrial countries, and besides to capture the increasing figure of retired persons and long-stay leisure travelers. Along with bring forthing markets, other favorable concern development factors have been identified which stimulate the growing of serviced flats. These factors include beginnings of exiles, booming tourer market, good conveyance connectivity, handiness of installations, proactive authorities support, high degree of security and safety, warm and stable clime and affordability of the location.


Owners of serviced flats

The concern development factors serve as a usher to proprietors when measuring the feasibleness of set uping serviced flats on beach resorts. This is normally of extreme importance to proprietors as they bear the majority of the cost of edifice and would depend on the future success of the belongings for income. The theoretical account reminds proprietors to look out for the presence of bring forthing markets, and the overall development and attraction of the beach resort. Therefore, it helps proprietors to make up one's mind on the most ideal beach resort and the location within the beach resort to set up concern.

Operators of serviced flats

Operators bear the duty of accomplishing high tenancy rates and gross revenues at the belongingss. The revised theoretical account comes into drama

as operators can place countries which are missing and curtailing them from accomplishing higher gross revenues. Once these countries are identified, they can suggest alterations to better concern and client satisfaction. Examples can include identifying and selling to the right mark sections at the beach resort and supplying shuttle services to get the better of conveyance insufficiencies.

Tourists and Locals

Serviced flats widen the choice of adjustment for both tourers and locals, heightening the assortment of picks and therefore client satisfaction. Knowledge of the concern development factors facilitates better communicating and apprehension among operators, tourers and locals. Besides, development of serviced flats increases the scope of installations, hiking employment chances for the locals. Transportation and other basic installations will be improved farther, increasing the quality of life of locals.

Restrictions of Findingss

The theoretical account is by and large applicable to other beach resorts. However, in using this theoretical account to measure a beach resort, local conditions of the beach resort should be taken into consideration. It should be noted that some factors may be entirely specific to Pattaya.

Additionally, concern development factors listed in the theoretical account are non thorough. As such, other factors which could besides impact the concern development of serviced flats have non been identified as yet.

Future Research

Further research can be conducted on other beach resorts to detect similarities and differences. As the phenomenon of serviced flats is still comparatively new, the construct of its development is deserving analyzing. Furthermore, its development would lend farther to the maturing of beach resort finishs and besides affect the spacial development.

Timesharing could widen beyond the resort industry to be the following stage of development for serviced flats ( Appendix

C ) , with the increasing attraction of the timeshare industry. Timesharing warrants hard currency flow as a timeshare purchase requires a fiscal committedness at today 's monetary values ( Marriott Vacation Club, 2010 ) . This is good for serviced flat proprietors as they now possess both tenancy and gross warrant. With timesharing, dominant visitant profile of serviced flats on beach resorts may alter from long-stay concern travelers to leisure travelers seeking an drawn-out vacation. Additionally, timesharing in serviced flats may be an excess inducement for international operators to come in beach resorts.

It is imperative to observe that the go oning development of serviced flats on beach resorts may non be restricted to merely timesharing, but besides fluctuations of it in the signifier of fractional belongings ownerships, holiday nines or other loanblends.

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