Tourism and Local Development in China: Case Studies of Guilin, Suzhou and Beidaihe (English-Language Series of the Institute of Asian Affairs, Hamburg Number 4)

The boom in tourism to and within China is quite a recent phenomenon. China is now among the leading international tourist destinations, and demand for domestic tourism is rapidly increasing. This study examines the role of tourism in the local economic development in different areas of China, and identifies the decisive factors in determining the success or failure of tourism-oriented development strategy at the local level. The author juxtaposes case studies of Guilin, a domestic and international tourist destination in a less developed local area, Suzhou, also both a domestic and international destination but in a more mature local economy, and lastly Beidaihe, a mainly domestic tourist destination. Cover 1 Half Title 2 Title Page 4 Copyright Page 5 Table of Contents 6 Acknowledgements 10 List of Tables 12 List of Figures 15 Abbreviations 17 Part I: Theoretical and Empirical Background 18 1. Introduction 20 1.1 Tourism Impact Assessment: a Neglected Issue in China 20 1.2 Tourism and Its Effects: Comparative Perspectives 23 1.3 Scope and Research Questions of This Study 27 2. Incentives for Local Participation in Tourism Development 33 2.1 Decentralization and Local Development Initiatives 33 2.2 Tourism as a New Development Factor 35 2.3 Regional Implications of National Tourism Policies 40 2.3.1 Institution vs. Deregulating 40 2.3.2 Tourism Enterprise Reforms 41 2.3.3 The 1984/85 Tourism Policy 42 2.4 National and Local Goals of Tourism Development 44 3. Regional Settings of Tourism Development 47 3.1 Guilin, Suzhou and Beidaihe in National Perspectives 47 3.2 Guilin 50 3.2.1 Tourism in an Economically Less Developed Area 50 3.2.2 Tourism Potentials: Karst Landscape 54 3.3 Suzhou 58 3.3.1 Tourism in an Industrialized Area 58 3.3.2 Tourism Potentials: A Historical-Cultural City 60 3.4 Beidaihe 65 3.4.1 A Traditional Seaside Resort 65 3.4.2 Tourism Potentials: Sun and Sand 68 Part II: The Growth and Structure of Tourist Demand 72 4. International Tourism 74 4.1 The Rise of Commercial International Tourism 74 4.1.1 Early 'Political Reception' 74 4.1.2 The Growth Since the Early 1980s 75 4.2 Structural Changes in Tourist Demand 76 4.2.1 Foreigners, Compatriots and Overseas Chinese 76 4.2.2 Nationalities of Foreign Tourists 80 4.3 Organization and Form 81 4.3.1 Overseas Marketing 81 4.3.2 Tour Arrangements 83 4.4 Tour Activities 84 4.4.1 Guilin 84 4.4.2 Suzhou 87 5. Domestic Travel and Tourism 89 5.1 Mass Domestic Tourism: a National Perspective 89 5.1.1 Policy Trade-offs 89 5.1.2 General Patterns 92 5.2 Natural Sightseeing Tourism in Guilin 99 5.2.1 (Inter-regional) Individual Tourism 99 5.2.2 Travel Meetings 104 5.3 Cultural Sightseeing Tourism in Suzhou 107 5.3.1 One-day Excursions 108 5.3.2 Urban Tourism 112 5.3.3 Pilgrimage 113 5.3.4 (Inter-regional) Individual Tourism and Travel Meetings 114 5.4 Seaside Resort Tourism in Beidaihe 116 5.4.1 Danwei-financed Tourism 117 5.4.2 Individual Tourism 118 5.5 Summary: A Descriptive Model of Domestic Tourism in China 121 Part III: Tourism Infrastructure Development 126 6. International Hotel Industry 128 6.1 Growth in Hotel Capacity 129 6.1.1 Guilin 129 6.1.2 Suzhou 131 6.1.3 Qinhuangdao (Beidaihe) 133 6.1.4 Structure of Hotel Standards 134 6.2 The Role of Foreign Direct Investment 135 6.2.1 The Surge of Joint-venture Hotels 135 6.2.2 Incentive Factors 137 6.3 Over-investment 139 6.3.1 The Problem 139 6.3.2 Consequences of Over-capacity 140 6.3.3 Consequences of Over-involvement of FDI (Guilin) 145 7. Domestic Accommodation Sector 148 7.1 Discontinuities in Service Standards 148 7.2 Types and Forms 149 7.2.1 Domestic Hotels 150 7.2.2 Danwei Guest Houses 150 7.2.3 Lüshe/Kezhan (inns) 151 7.2.4 Danwei Holiday Quarters 152 7.3 Commercialization in the Early 1980s 153 7.4 Rapid Expansions and Restructuring 154 7.4.1 Rapid Growth in the Mid-1980s 154 7.4.2 The Role of Different 'Actors' 157 7.4.3 Restructuring Since the Late 1980s 161 7.4.4 "Ways of Functioning 162 Part IV: Economic Effects 166 8. Tourism Revenues and Their Distribution 168 8.1 The Growth of Foreign Exchange Receipts 168 8.1.1 Yuan-based Price System and Its Consequences 169 8.1.2 Dollar-based Price System and Its Effects 171 8.2 Local Shares of Foreign Exchange Receipts 173 8.2.1 Ownership Structure and Revenue Distribution 173 8.2.2 FDI and Leakage of Tourism Revenues in Guilin 175 8.2.3 Enterprise Structure and Souvenir Trading in Suzhou 177 8.3 Domestic Tourism Revenues 179 8.3.1 Size and Structure 179 8.3.2 Distributional Effects 182 9. Tourism Employment and Its Role in Local Labor Markets 185 9.1 Direct Tourism Employment 185 9.1.1 The Size 185 9.1.2 The Structure 188 9.1.3 Tourism and Urban Tertiary Sector Employment 191 9.1.4 Estimating the Capital/Labor Ratio 192 9.1.5 Income Effects 194 9.2 Individual and Self-Employment 196 9.2.1 Tourism and Private Sector Employment 196 9.2.2 The Form.s of Private Sector E:mploy:ment 199 9.2.3 Income Effects 200 9.3 Employment Spill-overs in Souvenir Manufacturing 202 9.3.1 The Prospering Souvenir Industry in Suzhou 203 9.3.2 Underdevelopment of Souvenir Industry in Guilin and Beidaihe 204 9.4 Tourism Job Opportunities and Rural-Urban Migration 207 9.4.1 Tourism Jobs as a 'Pull-Factor' 207 9.4.2 The Forms of Tourism-Induced Rural-Urban Migration 210 9.4.3 Access of Rural Migrants to Tourism Job Opportunities 213 9.5 Tourism Employment and Income Effects in Rural Areas 215 9.5.1 A Small Area Case: The Rural Communities Around Beidaihe 215 9.5.2 A Village Case: The ChunyanVillage (Guilin) 218 9.6 Summary: A Model of Tourism Employment and Labor Mobility 220 Part V: Summary, Prospects and Policy Issues 224 10. Summary 226 11. Prospects and Policy Issues 232 Bibliography 242 China Is Now Among The Leading International Tourist Destinations, And Demand For Domestic Tourism Is Rapidly Increasing. This Study Examines The Role Of Tourism In The Local Economic Development In Different Areas Of China, And Identifies The Decisive Factors In Determining The Success Or Failure Of Tourism-oriented Development Strategy At The Local Level. The Author Juxtaposes Case Studies Of Guilin, A Domestic And International Tourist Destination In A Less Developed Local Area, Suzhou, Also Both A Domestic And International Destination But In A More Mature Local Economy, And Lastly Beidaihe, A Mainly Domestic Tourist Destination.--book Jacket. Pt. I. Theoretical And Empirical Background -- 1. Introduction -- 2. Incentives For Local Participation In Tourism Development -- 3. Regional Settings Of Tourism Development -- Pt. Ii. The Growth And Structure Of Tourist Demand -- 4. International Tourism -- 5. Domestic Travel And Tourism -- Pt. Iii. Tourism Infrastructure Development -- 6. International Hotel Industry -- 7. Domestic Accommodation Sector -- Pt. Iv. Economic Effects -- 8. Tourism Revenues And Their Distribution -- 9. Tourism Employment And Its Role In Local Labor Markets -- Pt. V. Summary, Prospects And Policy Issues -- 10. Summary -- 11. Prospects And Policy Issues. Gang Xu. Published In Association With The Institute Of Asian Affairs, Hamburg. Includes Bibliographical References (p. 225-244).