Market, not officials, should decide hotel stars

By Wang Wenwen (Global Times) 07:58, February 08, 2014

Email|Print|Comments

twitter

facebook

Sina Microblog

Illustration: Peter C. Espina/GT

My mom works in a hotel. Her job is not that busy as far as I understand, but she didexperience a very busy period two years ago when her hotel was applying for a four-starrating, a one-star increase. "If the hotel is upgraded to four stars, it will attract morebusinessmen as well as more officials," my mom told me at the time.

Her hotel eventually succeeded in obtaining the higher rating and has earned betterrevenues ever since. But I bet it doesn't want to apply for higher ratings in the years tocome, because currently, swanky hotels in China are looking for ways to downgrade theirrankings.

The loss of prestige of the five-star rating, which used to be considered a crownguaranteeing profits for hotels, comes as the CPC began enforcing a spending limit onofficials' travel accommodation and other lavish activities at the public expense. Most five-star hotels have been put out-of-bounds, and lavish banquets held at these hotels are alsobanned.

One may get a sense of how dependent the hotel sector is on the extravagant habits ofofficials. According to a report released by the China Tourist Hotel Association, in the firsthalf of 2013, the average lodging rate of hotels with three-star ratings or higher dwindledby 6 percentage points from the same period in 2012.

It is estimated that the hotel industry will report a decline of 25 percent in its overallbusiness turnover in 2013. Almost one-third of these hotels hold extremely negative viewstoward the prospects of the hospitality industry in the next two years.

It is an encouraging sign that authorities are determined to crack down on corruptionthrough various austerity plans.

Yet hotels have to struggle to survive, and downgrading their star rating seems a plausibleoption. The old Chinese saying, "Higher authorities have policies, while common folks havecountermeasures," can be viewed as sarcasm, showing the disappointment of ordinarypeople toward malpractices in society, while it can also be taken as complacency from somelocal officials for bending the rules.

Therefore, that high-end hotels ask for downgrading is not necessarily to lower theconsumption in hotels but to open a convenient door for consumption at public expenseamid the authorities' extravagance ban, which equates to a breeding ground for corruption.

Since early 2013, the central authorities also began to crack down on gift giving to avoidthese being used in an attempt to curry favor. But reports by Xinhua News Agencyrevealed that something called a "gift brochure" has become popular on the Internet.

The recipients get a brochure with password to a gift website and choose the goods theywant. Of course the goods have already been paid for and will reach the recipients throughexpress delivery.

When the undercover reporter pretended to be a buyer and said his gifts were to offer to aState institution, the salesperson of the gift website promised to keep the institution asecret.

We hope the hospitality industry can restore normal and healthy development. Thisindustry should be put into the context of the market. The stars should be decided by ahotel's price, service and experience, not through any connection to corruption.

After all, what the brass nameplates behind the marbled front desks convey should not bea connection between officials and the hotel industry.

The author is a reporter with the Global Times.

（Editor：DuMingming、Yao Chun）

Related reading

High hopes for open market

China strives to clear barriers while building open market

China puts market in the middle

Market to play 'decisive role' in allocating resources: communique

China, a very attractive market for Spanish cava

Market in antiques booms in Shanghai

Commentary: Bolder reform steps needed for emerging markets to regain growth momentum

We Recommend