A New law will change Travel Agencies Business in China !

A New law will change Travel Agencies Business in China ! 

A new Chinese law which prohibits travel agencies to sell abnormally shopping abroad low cost may have a slight impact on the market of the South Korean tourism in the short term, but will improve market conditions long-term , market observers said Tuesday .
Chinese tourists traveled to South Korea to an abnormally low cost in return for shopping in stores that cater directly to them , set up by the agencies of South Korean travel associated with Chinese travel agencies .

In Korea

 Agencies South Korean travel often reduces the cost of programs for Chinese tourist groups receiving money in the stores. source

Local observers said that the implementation of the law would increase the cost of travel programs for Chinese tourists about 30 percent , resulting in a short-term decline in the number of Chinese tourists to South Korea, but contribute to the normalization of the local tourism markets by removing abnormally travel goods at low prices.
" The implementation of the law will have little impact on the local tourism industry in the short term as the market share held by local travel agencies organizing shopping trips for groups of Chinese tourists is low "said Ryu Han- sun , the head of the Chinese team at the Korea Tourism state - run ( KTO ) .via
However, this prohibition may lead to a slowdown in the growing number of Chinese tourists visiting South Korea because of the rising cost of travel programs , he said.

According to data from the KTO , the number of Chinese tourists increased by 78.9 percent to 642,300 in August from 359,065 a year ago . The figure takes up 47.3 percent of the total number of foreign tourists , continuing a series amounting to three months.

Chinese tourist in Korea

The sharp rise in the number of Chinese tourists in South Korea due to the anti- Japanese sentiment in China caused by the dispute over the islands of the East China Sea at the beginning of this year , analysts said . Ryu also said local large as Lotte Department Store will not be affected by the implementation of the law retailers because they have not been attracting Chinese tour groups by giving discounts to travel agents. Small retailers only for Chinese tourists , however, will be seriously affected .
Jung Seon- hwa , a spokesman for Lotte Department Store, was not worried about the ban.
" We expect that the law will have no impact on our sales because we do not offer discounts to travel agents in exchange for attracting Chinese tourists ,"

Chinese tourists and Shopping ! 

She also said Chinese tourists visited spontaneously department stores to buy high quality products . In addition, Oh Seung- hwan , a spokesman for Hana Tour Service Inc. , the largest travel agency in the country, is optimistic about the long-term ban .
"The demands of travel South Korea are likely to decline in the short term due to the implementation of the law, but it will have a positive impact on the local tourism market by improving market order " 

The KTO is expected that the number of Chinese tourists visiting South Korea to reach 150,000 during the National Day of China , which falls on 1-7 October this year , up 60 percent ago year


 written by Pat
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