Source: CCTV.com

11-29-2008 12:28

A global slowdown is having its effect on China's travel industry. But a downturn can also mean time and opportunity for new strategies for expansion. Many insiders are exploring other avenues such as more tourism within the country or improving the travel experience for those headed overseas.

The global uncertainty has had an obvious impact on China's tourism industry. But many insiders say they are confident that China will continue to generate and meet new market demand.

Zhao Zhouwen, deputy manager of CITIC Group, said, "We made some changes in our tourism department last year. We are exploring other options, such as trips to Russia, Japan, Europe and the US. We also injected 120 million yuan into this business. So basically, our competitiveness in this sector is quite strong. Although the market is declining now, we believe the strong growth will return over the next 3 to 5 years."

Experts say the 2008 Beijing Summer Olympics have given a healthy boost to China's tourism industry, but there is still room for further expansion.

Zhang Huiguang, director of Beijing Tourism Bureau, said, "After the Beijing Olympics, the global financial turmoil did cause certain problems for Beijing's tourism sector. But this is also a good opportunity for us. We should seize the opportunity, and expand domestic demand. So this is what we should focus on in the future."

Zhang Dahua, director of Tourism Bureau, Hubei Province, said, "China has mapped out plans to stimulate domestic consumption. This decision is key to our growth. It will change Chinese people's way of living, and bring more opportunities to this sector."

Over the past 20 years, China has seen as many as 100 million arrivals from abroad, while as many as 40 million trips have been made overseas. The country currently has around 20,000 travel agencies, with annual revenues worth nearly 1 trillion yuan.

Analysts believe China's tourism industry is able to handle the downturn right now. And it's also time for a shake-up in the domestic sector, to improve services and develop new products to meet market demands.

 

Editor:Zhang Ning