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The Development of China’s Outbound Tourism

Video: The Development of China's Outbound Tourism
Now in this part we going to look at the development of China’s outbound tourism. China is a country we talk about in the previous section that about international tourism and domestically tourism, and now we talk about China’s outbound tourism. There are three types of tourism which forms the overall development of tourism industry in China. Now let’s look at the development history of China’s outbound tourism. So basically it’s started in 1983 when the outbound tourism become an issue in the global tourism market. A direct reflection of China’s Opening-Up Policy to the outside world. Meaning the people within China can travel overseas. It is also a sign that China opens its door to the outside world.
It started from Guangdong Province which is near to Hong Kong. It also started from the type of visiting Hong Kong for relatives and friends as a sort of part of beginning of the tourism industry for China outbound.
So we often say that the development of China outbound reflects the ripple effect. This means that it followed the increase of domestic tourism meaning that a lot of people travel within China first, and then there is a demand and desire to travel to outside China, such as started from Hong Kong and Macao. People are willing to visit such nearby cities which are quite different from the cities within china. Later on it was extend to Asia, America and Europe. This table shows the number of mainland visitors and Chinese population from 1985 to 2016. In 1985, the proportion of mainland visitors to the population of China went from 0.03% in 1985 to 3.1% in 2016.
It shows that the outbound tourism develops quickly.
There are mainly two development trends of China’s outbound tourism. The first one is China’s huge population base which provides a great potential.
The second one is that even a small portion of the population can form an huge market demand for outbound travel.
Now let’s look at this chart, which shows the arrivals of mainland tourists from 1985 to 2016. As the chart shows that the number of China outbound arrivals that is very very small portion to where it is today, which means that with the economic development in China, people’s affordability improved, there will be a lot of travelers from China travelling to outside China.
Now let’s see the development history of China’s outbound tourism to Hong Kong as an example.
China’s outbound tourism to Hong Kong has four important events which happen historically. First of all is the Individual Visit Scheme we called IVS which was initiated in 2003. Second is the One-year multiple-entry visits for Shenzhen residents meaning that for those people who live in Shenzhen, they will be allowed to travel to Hong Kong as many times as they like.
Certainly all those with the first two policies happened in 2003 and 2009, the overall tourism arrivals from China to Hong Kong accounted for more than 77.7%, which is about 78% of all the visitors coming to Hong Kong in 2014.
And later on, another policy was introduced, which we called one week one entry for Shenzhen residents. As a result of too much demand from one city coming to Hong Kong which has caused some kind of over demand issues, meaning that Hong Kong as a city which can have limited capacity to accommodate those sort of cross-border visitors from Shenzhen. Now let’s see what other social economic and political factors influence China’s outbound tourism development We say there are mainly two type of factors. First of all is economic meaning that as a result of income level increased, more and more people from China would travel overseas. Second is the social and political related factors.
So China is a country which has certain control of travel overseas, but situation is improving a lot recently. But still people travel from China to overseas would need some kind of policy permissions, for example, different visa requirement for different countries. The coastal cities’ economic growth affects the outbound tourism development historical, (which) means that those people were traveling from China to outside China was started from the coastal of cities first. Another factors is that it’s a high level of savings which a fast overall travel demand for overseas. China is a country people have habit of saving. Historically, a lot of people like to save a lot of money.
But now recently, people tend to think that they would like to see what’s going on outside world. Therefore with the permission of traveling overseas and also with the level of leaving standard improving, we see those people are willing to spend their savings for travel overseas for leisure and purposes.

Professor Qiu would analyze outbound tourism in detail in the next video.

What are the factors influencing China’s Outbound Tourism development? Have any of you met any Chinese travelers when you are traveling?

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China’s Role in Global Tourism Development

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