Research On Applicability Of Public-Private-Partnership To Tourism Project And Its Operation

For now, tourism project in China mainly financed by the government instead of public-private-partnership (PPP). As for public-goods with public welfare and private profits, Tourism project is characterized by large amount of investment, long construction cycle and high risk, which meet the demand of the PPP operation. From a theoretical and practical perspective, to explore and testify the effectiveness of application of PPP to tourism project has very strong practical significance.This paper, through literature research, comprehensive analysis and case study, discusses the applicability of PPP in tourism and its application. Based on discussion of superiority and feasibility, the paper builds the basic system of PPP mode in tourism from three aspects, which are relationship and contracts among the partners, elementary process and operation mechanism. Taking the "bird’s nest" national stadium for example, the article elaborates its basic process of PPP implementation, its financing mode and risk.The conclusions include:①tourism project itself has the attributes of public goods, profit-making and high financing requirement, which are coincides with PPP application. ②the implementation of PPP in tourism has at least four aspects of benefits, first is the ease of investment and financing difficulty, second is to maintain the public interest, third is to reduce government rent-seeking corruption, fourth is to improve project efficiency.③the detachable of tourism projects, national policy’s encourage, the expansion of the scale of private capital and the demonstration effect of existing exploration is feasibility of PPP application in tourism.④based on franchise and business contracts, the PPP project could links department of tourism, social capital, project companies, financial institutions and business together, and integrate them into a whole through mechanisms of fund-raising, risk sharing, benefit coordination and project exit. Specific processes include project approval, public bidding, project company build, project outsourcing and financing, operation and transfer.⑤the "bird’s nest" case analysis shows that the PPP financing mode has applicability in tourism, while it also proposes that the application should be handled so careful especially in aspects of scope, trade-off between social benefit and economic one and risk management, that in case of guarantee the effectiveness of its implementation.