The Economy Hotel Industry Development Strategy Research

By the extensive study to the strategic environment among the budget hotels in China, there's an analysis for the domestic traveling environment and current situation of the budget hotel in the article. A comparison is also presented for the strengths, weaknesses and competitiveness of the different domestic and international hotel management companies. With the subtle analysis for the root cause of the rapid development of the budget hotels in China in the past several years, this article clearly states the major problems currently existing in the development process of the budget hotel in China and predicts its trends for further development in the future.With the study, the writer thinks that the Group Strategy, Differential Strategy and Cost Leading Strategy are the key strategies for the budget hotels' development. In its developing process, we not only need to take advantage of the successful development experience from abroad, but should create management mode which is fit in with the China's current real situation and in compliance with consuming concept of the Chinese people as well. Considering the developing strategy, the chain management is the best mode for the budget hotels' further development and it will enhance the improvement of the service standards for the middle and lower class hotels in the market.The hotel management companies will play an important role in the development process of the economic hotels. Brand image building and talent fostering are their priorities; creating company culture with innovation based on the classification of the market; establishing the sales network for market source and hotel internal management system with advanced scientific technology. Currently there're some contradictories and wrong ideas for the investment of the budget hotels. These will be gradually erased during the course of the steady development.