Hong Kong Tourism Symposium Hong Kong Tourism Symposium 20042004

Perspectives Perspectives of of

the travel agentsthe travel agents

Session 2Session 2

China marketChina marketChallenges & Opportunities?Challenges & Opportunities?

ChinaChina

China Heritage AssetsChina Heritage Assets

World Cultural HeritageWorld Cultural Heritage 2222

World Natural HeritageWorld Natural Heritage 33

World Cultural/Natural HeritageWorld Cultural/Natural Heritage 44

Diversity of tourism attractionsDiversity of tourism attractions

Nostagic old townNostagic old town

Historic grandeurHistoric grandeur

Tranquility of natureTranquility of nature

Modern architectureModern architecture

MetropolisMetropolis

Ethnic ritualEthnic ritual

Modern BeautyModern Beauty

China Tourism statisticsChina Tourism statisticsCNTA researchCNTA research

Total visitor by head countTotal visitor by head count

•• International International •• Hong KongHong Kong•• MacauMacau•• TaiwanTaiwan

20022002 20032003

97.9 m97.9 m 91.66 m91.66 m

1.35 m1.35 m 1.15 m1.15 m61.9 m61.9 m 58.8 m58.8 m18.9 m18.9 m 18.8 m18.8 m3.7 m3.7 m 2.8 m2.8 m

China Tourism Development China Tourism Development Projection 2004 Projection 2004 -- CNTACNTA

Projected arrival by head countProjected arrival by head count97.9 m 97.9 m (international, Hong Kong, Macau & Taiwan)(international, Hong Kong, Macau & Taiwan)

Projected tourism receipt Projected tourism receipt Y 560 b Y 560 b (international/domestic)(international/domestic)

China Tourism Development China Tourism Development Forecast Forecast 2020 2020 -- CNTACNTA

Top 5 world tourism destinationsTop 5 world tourism destinations

CountryCountry Estimated visitor receivedEstimated visitor received

1. China 137.1 m2. U S A 102.4 m3. France 93.3 m4. Spain 71 m5. Hong Kong SAR 59.3 m

Imminent threatsImminent threats

Overseas tourists by passing Hong KongOverseas tourists by passing Hong Kong

Diversity of tourism attractions.Diversity of tourism attractions.Increasing direct air services between Increasing direct air services between China and foreign countries.China and foreign countries.Competition from intraCompetition from intra--Asia cities to Asia cities to position as regional air hubs with position as regional air hubs with China.China.

Air services between regional cities with ChinaAir services between regional cities with China(winter schedule 03/04)(winter schedule 03/04)

FromFrom 03/04 03/04 02/0302/03 01/0201/02

Hong KongHong Kong 593593 +11%+11% +22%+22%BangkokBangkok 9595 +5%+5% +28%+28%SeoulSeoul 246246 +11%+11% +46%+46%OsakaOsaka 116116 +59%+59% +73%+73%TokyoTokyo 195195 +14%+14% +156%+156%SingaporeSingapore 111111 +2%+2% +40%+40%

Imminent threatsImminent threats

M.I.C.E. events switch to cities in ChinaM.I.C.E. events switch to cities in China

Modern exhibition & convention facilities.Modern exhibition & convention facilities.Proximity to production sources & huge Proximity to production sources & huge consumer market.consumer market.Cheaper & unlimited supply of labor.Cheaper & unlimited supply of labor.Affluent entertainment & theme event Affluent entertainment & theme event facilities.facilities.

Opportunities & DeterminantsOpportunities & Determinants

Integrate with China on international tourism Integrate with China on international tourism marketing.marketing.

Corporate with Pearl Delta Region & Macau Corporate with Pearl Delta Region & Macau on MICE service.on MICE service.

Opportunities & DeterminantsOpportunities & Determinants

International air hub.International air hub.Cultural differentiation.Cultural differentiation.Service quality.Service quality.Ethic & integrity.Ethic & integrity.Share & complement resources.Share & complement resources.InfrastructureInfrastructure..

Desirous of opportunitiesDesirous of opportunitiesfrom Hong Kongfrom Hong Kong’’s travel agentss travel agents

To have a share in the outbound To have a share in the outbound market of Chinamarket of China