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Section A (25 marks) – Hotel Business in Hong Kong Question A1 Answer the below short...

Section A – Hotel Business in Hong Kong Question A1 Answer the below short questions (a) to (i) according to A Statistical Review of Hong Kong Tourism 2018, published by Hong Kong Tourism Board in June 2019.

a) What is the total number of visitor arrival to Hong Kong upon 2018? How many visitors stayed overnight?

b) Identify Hong Kong’s top THREE source markets of visitors’ arrival to Hong Kong in 2018.

c) Which month contained the highest visitor arrivals number in 2018?

d) Briefly describe the hotel performance in 2018.

e) Which hotel category noted a highest gain percentage in room occupancy compare with 2017?

f) State TWO districts which recorded the highest room occupancy rate in Hong Kong.

g) In 2017, which department in the hotel earn the second highest revenue and what is the total percentage.

h) Refer to the hotel room occupancy rate and average achieved hotel room rate in 2018, illustrate TWO indicators or messages reflected from those figures.

i) The percentage distribution of visitor arrivals by months 2018 were quite steady along the year, the range of percentage starting from 7.2% to 10.1%. If you were the manager of a hotel, try to briefly explain the reasons behind of the distributions. (For example: What is/are the factor(s) may affect the percentage of arrival on Dec 2018.)

Solutions

Expert Solution

Q. i)

a) What is the total number of visitors arriving to Hong Kong upon 2018? How many visitors stayed overnight?

Ans- the total number of visitor arrival to Hong Kong upon 2018 was 65147555 and the total number of visitors who stayed overnight was 29262701.

b) Identify Hong Kong’s top THREE source markets of visitors’ arrival to Hong Kong in 2018.

Ans- Hong Kong’s top three visitor source markets in 2018 were the Mainland China, Taiwan, Korea, the United States of America.

c) Which month contained the highest visitor arrivals number in 2018?

Ans- September

d) Briefly describe the hotel performance in 2018.

The hotel performance in 2018 was quite impressive as this industry grew solidly in 2018. The total number of visitors increased by 11.4% as compared to 2017 financial year. The overnight arrivals and same-day arrivals in 2018 also grew by 4.9% and 17.3% respectively. The average hotel room occupancy rate also increased by 2% in 2018 and reached to an impressive figure of 91%. In 2018, the average spending by visitors also grew by 2.7%. This astonishing performance of hotel industry in 2018 was because of the concerted effort made by the government to expand this industry. Hence, it can be said that the performance of Hong Kong hotel industry in 2018 was quite impressive.

Q. ii) The percentage distribution of visitor arrivals by months 2018 were quite steady along the year, the range of percentage starting from 7.2% to 10.1%. If you were the manager of a hotel, try to briefly explain the reasons behind of the distributions. (For example: What is/are the factor(s) may affect the percentage of arrival on Dec 2018.)

Ans- It is true that Hong Kong hotel industry witnessed huge variation in the number of visitors in every month in 2018. It varied from 7.2% to 10.1%. As a manger of a hotel, I would contribute the reasons of this variation in the number of visitors to economic, political and environmental factors. The variation in the gross domestic product, exchange rates and interest rate greatly affected the tourism industry of Hong Kong in 2018. The political environment created in Hong Kong due to the issue of its sovereignty also impacted the tourism industry. And finally, the changes in the seasons of Hong Kong also affected the tourism industry and consequently hotel industry. Hence, in my analysyis as hotel manager, these were the reasons behind the variation of the number of visitors in 2018.


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