Skip to main content

Digging the “Gold Mine” of China: Now Is the Time

Frits van Paasschen, the President and CEO of Starwood, talked about the outlook of lodging industry in an interview with CNBC, such as business demands, spending trends, and highlights of several geographic locations. China, of course, was mentioned several times.

Last summer, I shared with you that Starwood was opening a new hotel in China every other week. Today, Starwood still has 100 projects on the way. It may seem obvious that Starwood is doing very well in China.

Outside the mainland, I also feel Starwood is doing a great job in capturing the business opportunities from China. For example, Starwood’s top executives actually “lived” in Shanghai last summer to get “localized” by the Chinese culture and learn the “Chinese way” of doing business. Recently, Starwood is making a system-wide initiative to welcome the Chinese outbound travelers. Properties in the U.S. are required to add Chinese items in the restaurant and room service menus, make different amenities available (e.g., tea kettle and slippers), and provide Chinese-speaking service upon request.

Sheraton Suzhou Hotel & Towers, China

Starwood reported a strong EPS (earnings per share) in the second quarter. Even though I am unable to estimate how much the Chinese market had contributed to the account, I believe that Starwood’s initiative of catering to Chinese tourists was an important factor. Indeed, the more we invest in a market, the more we will understand the customers, and the more we can secure in return.        

It really is the time to invest in the Chinese market. I believe there are other hotels that are taking similar approach as Starwood does to welcome Chinese travelers. What other examples do you see? Do you think that the lodging industry is doing well in catering to the Chinese market? Why or why not? What else can be done?

Relevant discussions:

Visit NBCNews.com for breaking news, world news, and news about the economy

References:
The picture of Sheraton Hotel Suzhou was downloaded from the website of Sheraton Suzhou.

Comments

  1. I do not leаve а comment, however after lοoking at ѕome of the responѕes
    on "Digging the "Gold Mine" of China: Now Is the Time".
    I aсtuаlly do havе ѕome quеstiοns for уou if уou ԁon't mind. Could it be simply me or does it look like a few of the remarks appear as if they are coming from brain dead individuals? :-P And, if you are writing at other social sites, I would like to keep up with you. Could you make a list of all of all your social networking pages like your twitter feed, Facebook page or linkedin profile?
    Feel free to visit my web page attorney List

    ReplyDelete
    Replies
    1. I will be looking forward to reading your insightful comments and feedback then.

      Twitter: @LinchiKwok
      Facebook Page: http://facebook.com/drkwok
      LinkedIn: http://linkedin.com/in/linchikwok

      You can find the info of all my social media profiles on my blog via http://linchikwok.blogspot.com/p/linchi-kwoks-social-media-profiles.html

      Delete
  2. This article is an Excellent one. This article is useful for everyone. I received some coupons of Walmart Products. Didn't you try like that offers? http://www.takemyoffers.com/

    ReplyDelete

Post a Comment

Popular posts from this blog

Yammer: A Social Networking Site Exclusively for the Workplace

Effective internal communications among employees are related to some desirable organizational outcomes, such as robust morale, a clear vision, low turnover, and high employee engagement. The question is what platform can serve the purpose. This ABC News video introduces “ Yammer ,” an exclusive internal communication tool for companies. A user must use a valid company e-mail address to sign up for an account. Once an account is validated, the user will be led to the company page that is pretty much like a Facebook page. The difference is that only the users whose e-mail addresses share the same domain can see the wall and communicate with each other. I have no question about whether Yammer could be a useful internal communication tool for companies, but I just wonder: how many social networking sites do people need for communication? Why people have to “create” so many platforms or channels for “effective communications”? To many people, Facebook is only for “friends,” whe

Can leisure and work-from-home demand stimulate extended-stay hotel growth beyond COVID-19?

The lodging industry is   struggling   to fill the empty rooms in 2020. For months, U.S. hotels are running at an occupancy of 50% or lower.     Not every segment   suffers the same impact from the pandemic, however. Demand for   home-sharing  facilities had already bounced back over the summer. Airbnb reported a higher booking than last year. Marriott’s home-sharing arm is also doing well, seeing a sevenfold increase in booking over last summer.     Similar to what a residential rental or home-sharing facility   offers , guestrooms in extended-stay hotels also feature a full-size kitchen or a kitchenette. Extended-stay hotels are designed for travelers who want to stay at a “home” when away from home. A guestroom at the Residence Inn Miami Sunny Isles Beach   Extended-stay hotels vs. home-sharing facilities     Because COVID-19 is primarily transmitted through direct or indirect human contacts, people are highly encouraged to avoid unnecessary human interactions, leading to more   con

Will restaurants of the future still need a dining room?

It does not seem the coronavirus is leaving us soon, although we have seen good   progress in developing the vaccine . In recent weeks, many places reported   a surge of new infected COVID-19 cases . Some even resumed   lockdowns   and the mask-mandate order, forcing restaurants to   shut down indoor dining   services again.     As a short-term remedy, restaurants immediately shifted their offering to   curbside pickup and delivery  services. Meanwhile, restaurants are testing new concepts to embrace the   contactless self-service  trend for the future. Here are some examples,     Chipotle opened its first digital-only restaurant     The new prototype, known as the   Chipotle Digital Kitchen , debut in Highland Falls, NY, earlier this month. Different from the traditional Chipotle restaurant, the Chipotle Digital Kitchen features:     A lobby designated for pickup services through off-premise orders.   A see-through kitchen, allowing customers to see, smell, and hear what is going on b