Capital Operation Of China's Hotel Industry Research

Before the reform and opening up to the outside world, there are only a few government guesthouses in China. But by 2002, more than 8880 star hotels of various kinds of grade and scale had been set up. Chinese hotel industry has scored brilliant achievements. The great development of the hotel industry not only cultivates large members of hotel managers, but also upgrades the hotel management level. The development of market economy impels the management of hotels going into market. Hotels will never serve only as reception establishment of the government. And the managers began to pay attention to the profit of hotels. The hotel industry turns from a close industry to an international open industry with high marketing level.But the increase of hotels turned the hotel products from bargainer's market to purchaser's market. The competition among hotels becomes furious, and the profit of hotel industry declines. After China's entry to WTO, more international hotel chains will and have come into china, and the competition will become even more furious. International great hotel chains have mature management modes, famous brands, and marketing network overcastting the whole global. They are experts in combining assets management with capital management. Through capital management, they fleetly grow up, and occupy vast market. On the country, most of the Chinese hotel managers do not have the experience of capital management, and many hotel managers of government owned hotels do not have the rights of capital management. In fact governments often exert this function as owners, but because of the abuse of the administer system and the property right of government owned hotels, there are still many problems in hotel capital management, and the efficiency and effect of capital management do not reach a satisfactory level. This paper mainly means to analyze the actuality of china's hotel capital managementand try to bring forward some advises.The structure and main contents of this paper are as following:The first paragraph of this paper briefly introduces the content, the meaning and the sense of capital management, and then analyses the relationship between capital management as a kind of advanced corporation mode and the development of corporation, and the meaning of capital management to the upgrade of industry frame and the evolution of industry organization.The second part of this paper analyses the relationship between capital management and hotel development in China, and discusses the actuality of hotel capital and the necessity of capital management to hotels in China.The third part of this paper analyses the actuality of hotel capital management in China and put forward some advices.The last part of this paper takes the combination of Jinjiang hotel group and Xinya hotel group as a case, discussing the background, the motivation and the characteristics of the combination. From this case, we can see the specialty of the capital management of hotel industry in China.