Despite a short disruption caused by Corona, the thirst for international hotel companies to expand into the Chinese market seems to be stronger than ever. One, this is fueled by saturated markets elsewhere and by the stipulated growth in the Chinese travel market and an undersupply of international hotel brands in China. Furthermore, there is a strong interest by domestic investors. Your task is to critically evaluate the expansion strategies of international hotel chains (preferably a hotel chain which is predominantly present in European and US markets) into the Chinese market. You need to conduct a literature review on hotel expansion modes with a particular focus the Chinese market. A few articles are published for you on Moodle as a starting point, but you are expected to search for other relevant sources. As part of your assignment, you could consider the following indicative questions (do not attempt to simply answer the questions, you may answer only one question in depth): • What are distinct characteristics of the Chinese market that make it an attractive business place for international hotel companies? • Are there factors that would hinder international chains to expand into China? • Which expansion modes seem feasible for the Chinese market and why? • What could be reasons for Chinese investors to invest into hotel companies and properties abroad? • How has the internationalization strategy of European hotel companies into the Chinese market has been affected by Corona? Note: You are expected to appropriately reference all sources (refer to MU reference guide). All submissions will be subject to a plagiarism check.
