Jin Jiang International Hotels' Entry to UAE Market - Case Study Example

The paper “Jin Jiang International Hotels’ Entry to UAE Market” is a worthy example case study on marketing. The hotel industry has become very attractive for many companies and businessmen especially in China and UAE. Despite the fact that the UAE has been seen as a poverty-stricken country in the past, this perception is changing with the increased investment in developing infrastructure and build business links with the international world. UAE has been receptive to businessmen throughout the world as indicated by favorable policies that have been adopted in the business sector. China is the most recent country to explore investment in UAE. The government of UAE has given its full support to Chinese companies desiring to invest in the country as it seeks to develop it's IT and Infrastructure to international standards.

As a marketing manager of Jin Jiang International Group, it is evident that UAE provides a favorable environment for investment in UAE. It is for this reason that the company will explore the possibilities of putting up a seven-star hotel in the country. Statistical analysis of the UAE hotel industry indicates that favorable growth has been experienced in the sector. In addition, the UAE has the highest hotel occupancy rate throughout the group. Based on the statistical analysis below, Jin Jiang has found it worth investing in the new market.

Jin Jiang International hotel group
Jin Jiang International Hotels Group Company Limited is a company based in Shanghai. It is a hotel group that is tasked with the management and operation of star-rated hotels but also manages other forms of hotels. The total number of hotels owned by the group is 420 inclusive of Jin Jiang budget hotels, commercial hotels, luxury hotels, and landmark hotels. In addition, the company offers management services to other star-rated hotels.

Exploration of new markets is based on the financial ability of the company and the good customer relationship that has been built and maintained for a long time. Bearing in mind that the number of Chinese tourists and businessmen visiting UAE has been on the increase, this market has become very attractive for many Chinese businessmen. One benefit that the company has is the preference of luxury products by the Chinese and this will form their first and primary target group.

Hotel Industry in the UAE
The hotel industry in UAE has experienced a drastic change with an increase in hotel occupancy rate as well as revenue collected. According to a report released in 2008 by the tourism department, the total number of non-UAE guests in 2006 constituted 94% of the total number of guests visiting the hotels. Out of these, European guests were more than any other group as indicated by the figure below.