Marketing analysis of five-star hotels in Suzhou city, Jiangsu province. I. Introduction
“Oriental Venice” or “Paradise on Earth” that is how Suzhou usually called in travel directories. Suzhou was previously named the tourist city with the "most quintessential Chinese style" and a "Top 10 city of leisure in China" (1). Amazing places of interest as well as unique traditional festivals and local nature attract more and more international and domestic tourists every year. Obviously, this trend requires simultaneous development of the hotel industry. However, it is essential to keep the balance between growing supply and demand in the region as a main condition for a profitable hotel business.

II. Suzhou general information.
Suzhou is one of the key cities in Yangtze Delta which is renowned world-wide as a cultural, historic, industrial and tourism center. 1. Location 1.1 Geographical position and climate.
The city is located in the South of Jiangsu province, boarding Shanghai on the East, the Taihu Lake on the west, Zhejiang province on the south and the Yangtze River on the north. Situated at the temperate zone and with subtropical oceanic monsoon climate, Suzhou enjoys four distinctive seasons, mild temperature and abundant rainfall. Since 42% area of the city is covered by water, including a vast number of ponds and streams, Suzhou is praised as the 'Oriental Venice'. Together with its mild climate, making it an available destination all year round, fertile landscape and abundance of produce, it is no wonder that Suzhou is called 'paradise on earth' 1.2 Transportation.
By Air
Despite being an important tourist destination, Suzhou does not have its own international airport at present. It is best to use the airports of nearby Shanghai. Shanghai Hongqiao International Airport (SHA) is in 85 km from Suzhou. Upon arrival, passengers could walk to the connected Shanghai Hongqiao Railway Station, and then take a bullet train to get to Suzhou in 30 minutes.
By train
Suzhou Railway Station
Reconstructed in 2011, Suzhou Railway Station is the main gate for passengers to and from this city by rail. Through the Shanghai-Nanjing High-Speed Railway, there are bullet trains from Suzhou to Shanghai, Kunshan, Wuxi, Zhenjiang and Nanjing. Departing from Suzhou, passengers could get to Beijing in 5 hours.
By Long-distance Bus
The North Bus Station has the most bus routes to Anhui, Hubei, Fujian, Shandong, Jiangxi, and Zhejiang provinces. Buses also depart for Shanghai from the North Bus Station once every twenty minutes. 2. Cultural heritage. 3.1. History and culture of Suzhou
Written historical records indicate that Suzhou has a history of over 4,000 years. The city was entitled one of “24 Cultural and Historical Cites”, the first group of its kind, by the State Council.
Originally built in 514 B.C., the city is still at its old location in the Spring and Autumn Period, boasting a history of more than 2,500 years. The long history had nurtured growth of the unique Wu Culture. In ancient times, Suzhou boasted many remarkable politicians, philosophers, strategists, scientists and artists. Many great names and schools of art arose here. For example, the Wumen Fine Arts School is the finest in the city's history, represented by Shen Zhou, Wen Zhengming, Tang Yin and Qiu Ying, whose poems, calligraphy and paintings are considered to be historical artifacts. In the course of the history of China, it has been a metropolis of industry and commerce on the south-eastern coast of China. 3.2. Famous festivals and arts of Suzhou.
In Suzhou, colorful festivals and cultural celebrations abound all year round. There are traditional festivals, tourism official festivals, and new city-level events (Appendix).

Kunqu, also called Kun Opera, is one of the oldest forms of Chinese Operas, also considered to be one of its Four Great Characteristic Melodies.
Suzhou traditional handicrafts, such as embroidery, tapestry, silk production, jade carving, laquerwork and Taohuawu woodcut, enjoy a high reputation ay home and abroad.
Suzhou’s cuisine, painting, calligraphy, medicine and architecture have different schools and achievements. 3.3. Landmarks.
Well-preserved are its double chessboard layout of “water and land in parallel, canals composing three vertical, three horizontal and one ring, and its unique landscape of “small bridge, flowing water, white wall, black tile, cultural relies and classic gardens”.
At present more than 60 gardens are kept intact in the city, and a series of them have been listed in the World Heritage List, including the Humble Administrator's Garden, the Lingering Garden, the Garden of Master of Nets and the Mountain Villa with Embracing Beauty. Rating alongside these classical gardens are the exquisite water townships in Suzhou. In any water township, a number of Ming and Qing dynasty preserved buildings can be found.

III. Current market analysis.
As one of the famous tourist cities in China, Suzhou has made a great improvement to its basic facilities and tourist functions. With the economic development of Suzhou, hospitality industry creates an unprecedented prosperous situation. The hotel magnates all over the world surge to Suzhou. As a result, Suzhou becomes a focus of famous international hotel management groups. (appendix). 1. Existing 5 star hotels.
Currently, there are 17 five star hotels in Suzhou (according to research in the internet – booking web-sites Bookong.com, HotelClub.com, Agoda.com, SinoHotels.com), representing luxury international and domestic brands.

Hotel | Type | Opening date | Managing company | Rooms | Interior design | Average rate (RMB) | Hotel One | Boutique business | 2006 | Landis Management | 139 | Innovative | 643-1393 | InterContinental | Luxury business | 2010 | InterContinental Hotel Group | 433 | Modern oriental design | 1150-2800 | Kempinski | | 2008 | Global Hotel Alliance | 458 | European style | 1127-3427 | Pan Pacific | Cultural | 2008 | Global Hotel Alliance | 407 | Suzhou traditional designs | 1100-2650 | Regalia Serviced Residence | Serviced apartments | 2006 | Regalia Hotel Group | 200 | Modern design with local motives | 687-2087 | Marco Polo | | 2006 | Marco Polo Hotels | 314 | Traditional Chinese style | 868-1768 | Shangri-La | Luxuty business | 2006 | Shangri-La International Hotel Management Ltd. | 390 | Modern western design | 1000-2280 | Crowne Plaza | Theme business | 2009 | InterContinental Hotel Group | 344 | Cruise ship design | 1200-3120 | Frasers Suits | Serviced apartments | 2011 | Frasers Hospitality | 276 | Elegant western design | 1288-4500 | Grand Metro Park | Business luxuty | 2007 | CTS HK Metropark | 382 | Modern European design | 654-2000 | Gusu Jin Jiang Tower Hotel | | 2008 | Jin Jiang Int. Hotel Management Co. Ltd. | 335 | Modern design with Chinese elements | 400-1800 | Sofitel | | 2006 | Accor Group | 314 | Traditional Chinese style | 880-2033 | Marriott | | 2009 | Marriott International Inc. | 302 | | 1080-2580 | Howard Johnson | | 2011 | Wyndham Hotel Group | 290 | Blending Asian and Western designs | 763-2493 | Jinling Guanyuan International Hotel | | 2003 | Jinling hotel Management Company | 200 | European style | 668-2128 | Dushu Lake Hotel | Conference hotel | 2010 | Independent owner | 330 | Traditional Chinese mixed with contemporary design | 838-1680 | Wealthy All Suits Hotel | Serviced apartments | 2008 | Wealthy Int. Hotel Investment and Management Co. Ltd. | n/a | European style | 980-1780 | | | | | | | | | | | | | | |
Hotel supply growth is supported by an expanding real estate market and a growing regional economy. The pipeline until 2014, indicates that supply growth will increase across all the secondary cities. For Suzhou the growth will be +11.3%.

2. Market Environment
Suzhou has begun five projects to improve the tourism industry, in particular the quality of tourism services, since 2006.
In 2010, the city set the target of being a national demonstration city for tourism standards and passed the test with an outstanding score. The local government has a clear blueprint to promote changes of the economic model and adjustments in the industry's structure by developing "Suzhou Style Tourism". Thus, with the measures taken, Suzhou managed to achieve stainable increase of inbound and domestic tourists.
According to information released at the Suzhou Tourism Development Conference in February, in 2011, the total revenue of tourism industry reached 119 billion Yuan, up 17%. Suzhou welcomed 2,98 million overseas tourists, realizing total revenue of 1,47 billion USD, up 12.3% and 17,5 % respectively. The total number of tourists reached 101, 22 million, up 11,6%.

3.

At the end of 2015, Suzhou plans for total tourism revenue to increase 16 percent, contributing an additional 6.5 percent to the city's GDP, according to the local government.
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