Chinese tourism industry

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Rio
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Joined: Dec 04, 2004
Posts: 4724

Posted: Apr 06, 2006 - 10:31 AM
Post subject: Chinese tourism industry

I am currently working in the MICE industry and have been approached by several of my clients (who are in tourism industry) to provide consultancy services regarding the Chinese tourism industry. Many of those clients are foreign companies and are looking to set up representative offices here in Shanghai. Their problem is that they do not know what they need to be able to do this (license, cooperation with Chinese outbound tour operators, etc.). They also do not have a good overview of the recent and future developments in the Chinese travel market.

One of my clients for instance has been approached by a company called www.travelworld.cn. This is a company that facilitates service for the Chinese outbound tourism. My client asked me to do research on this company and he is willing to pay for this information. He and also others suggested that I should set up a business to facilitate a specific service so they can set up their representative offices in Shanghai. I would not become their representative; I would facilitate and make sure they get in touch with the right people.

There surely must be many of these kinds of companies active in Shanghai (China) already. So my question is, apart from doing feasibility research myself, is there any potential for business like this in China? I have an extensive network in the (domestic and international) hospitality industry (tourism included), I know people working for the Shanghai Municipality, and the network is there. The idea I have is quite extensive and too much to post here, but I am interested in the input I can receive here from people who might know more about this. I am not thinking of starting my own business now, maybe in a few years, but it is still worth brainstorming about it and develop the idea.

Rio
Post Boaster

Joined: Dec 04, 2004
Posts: 4724

Posted: Apr 06, 2006 - 11:05 AM

That is a consultancy business indeed, an industry I find very interesting (my major as well).

Hong Kong is also quite an interesting market for foreign destinations/companies, they have also inquired about this market. My question is: “is it difficult to conduct business from Hong Kong within China, if you understand what I mean?” Are HK based companies not even more restricted to do consultancy business within China?

Setting up my own business is at this moment a big step I will and can not take right now. I need to gain more market knowledge, need more experience, need to expand the network and maybe most important of all, I need the funds and potential business. But I also know that those clients I spoke to (4 are very interested and want to set up their office here in Shanghai before the end of 2007). Basically I need time myself to set up my business and I will not be able to help them set up their business while I still have to take care of my own business. But I do think it is possible to provide them a personal/private consultancy service and get a grasp of the future.