A Study On Foreign Direct Investment Of China's Tourism

Tourism industry is the pillar industry of China, which was open to the world relatively earlier and has obtained great achievements in attracting foreign direct investment. Until the end of 2002, the total amount of foreign direct investment had been over 50,000 million dollars. Foreign direct investment in China's tourism industry not only brings fund for the development of the industry, but also brings some advanced technologies and management skills to China, and provides more opportunities to the development of China's tourism.Based on a great deal of detailed data and the background of the current situation of the foreign direct investment in China's tourism, the thesis pointed out some problems existing in the process of utilizing foreign direct investment in China's tourism, such as sectoral and regional uneven distribution of foreign direct investment, monotonous mode of foreign direct investment of foreign direct investment, and low efficiency in the utilization of the fund, lack of government support and supervision mechanism and the imperfect investment environment. On the basis of international and domestic economic environment, the thesis analyzed the trends of the utilization of foreign direct investment of China's tourism industry, which includes the enlargement of tourism market after China's entry into WTO, travel agencies becoming the hot spot for foreign direct investment, rapid growth of foreign direct investment in tourism in mid and western regions of China, increased proportion of foreign investment in scenic spots, and the formation of economy of scale, consolidation and network information in tourism operation of China. Based on the existing problems and development trends in the utilization of foreign direct investment in China's tourism industry, some suggestions about the utilization of foreign direct investment were put forward, such as mode diversification of utilizing foreign direc investment, merger and acquisition, franchising, project financing and foreign loans for tourism infrastructure, project financing of scenic spots and the "going out" strategy of tourism enterprises.Hospitality industry is an important component of tourism industry. The characteristic of the thesis is to set China's hospitality industry as an example to analyze the opportunities and challenges which franchising of China's hospitality industry is encountering. Take Super 8 hotel which is developing fastest in China as a case in point, the thesis analyzed how specific mode of foreign direct investment----franchising is utilized and developed in China and explained how to apply these suggestions to practice. After China's entry into WTO, China's tourism and other related industries are accelerating the pace of meeting international standards, and the developing environment is optimized, which will become the impetus for the development of China's tourism industry. The thesis attempts to provide some beneficial references for parties the concerned to lay down foreign investment policies for China's tourism industry and Chinese tourism academia and tourism businesses. It expected that the thesis will contribute to the development for China's tourism industry, and provide some feasible and effective help and guidance for China's tourism industry in effectively utilizing foreign direct investment.