Covid-19 Effect on China's Travel and Tourism Industry

The travel industry is a broad industry that is inclusive of major service sectors such as tourism products, travel agents, destination marketing, suppliers, etc. (Knowles & Westcott, n.d.). There is no universal definition to define tourism. However, Britannica interprets tourism to be the ability to travel away from home to find relaxation, pleasure, engage in a service, or recreational purposes (Walton, n.d.). Hotels, restaurants, attractions, events and conferences, and adventure are all examples of tourism sectors. The travel and tourism industry have a symbiotic relationship where both sectors rely on each other for success (Travel and Tourism Industry, n.d.). Every industry has a product or service that is being sold. Unlike many other industries, the travel and tourism products/services are intangible, meaning it cannot be touched. The success of a tourism product relies on whether or not it makes the customer feel good. People may love trying new things, but may need some motivation to buy the intangible tourism product that is being sold, and this is where marketing comes in. In travel and tourism, marketing involves the use of strategic planning and developing techniques to promote a destination or tourism related product/service. Like travel and tourism, sales and marketing have a symbiotic relationship. Sales involves direct efforts to sell tourism products. Both sales and marketing work together to create and develop strategies to help the tourism product to grow and make revenue. In order to market successfully, marketers are required to conduct research. Marketers would need to determine both their target market and potential market. Like every other industry, there are some avoidable and unavoidable challenges. One of the biggest problems the travel and tourism industry face is disease outbreaks.

China is located on the continent of Asia, covering 9,596,961 square kilometers of both land and water, resulting in the country being the 4th largest nation in the world. China has 26 provinces, Beijing as the capital. The overall population of China is 1.386 billion people. As of 2018, Beijing accounts for 21.54 million of the people living in China. The currency of China is Yuan Renminbi (CNY), more commonly known as Chinese money, which equates to 0.14 of the U.S. Dollar. China is a country that overflows with history dating back to over 3,000 years which makes the country famous for landmarks that reflect the rich history. From the infamous Great Wall of China located on the northern borders, to the Forbidden City, home to thousands of historical antiques located in the country’s capital, China has 55 World Heritage Sites (China’s Top 6 Landmarks, 2019). According to Statista, the tourism industry is one of the industries that makes a substantial contribution to the global economy (Global Travel and Tourism Industry, 2018). Over the years, China has seen the profitability of the industry and used their resources to contribute and benefit from the growing industry. Chinese people are making more money, allowing them to increase their spending and travel habits. As of 2019, China has been ranked 4th in their inbound tourist statistics, bringing in 60.7 million dollars in revenue (Mike, 2020). Sadly, Disease outbreaks has a negative effect on marketing for China’s travel and tourism because it disrupts markets and patterned traveling behavior which results in the decline of global travel, causing Chinese tourism related businesses to lose revenue. The Democratic Republic of Congo had an Ebola outbreak in 2014, and the United Republic of Tanzania was affected by a cholera in 2016. China has been the center of several disease outbreaks including the flu pandemic of 1968, Asian flu (1956), and SARS (2003). Now, the world is at a standstill as we watch China battle the coronavirus, COVID-19.