Wu Zhixiang
Founder and Chairman
Tongcheng Group
Q: Is your business / organization affected by the recent outbreak of coronavirus? To what extent?
A: The tourism industry has been greatly affected. The Tongcheng Group hasn’t been able to stay aloof.
Q: According to your optimistic estimate, how long will it take for tourism to fully recover from the negative impact of the outbreak?
A: Business travel as a market segment will be the first to recover because of the rigid demand. Along with the gradual resumption of work and production in regions across the country, business travel will outperform the hospitality and catering segments with its total business bouncing back to 50%, 80% and 90% of normal level in March, April and May, respectively. In general, domestic tourism services including business travel, leisure travel, sight-seeing, catering and lodging will achieve 100% recovery in June, and may even respond with a surge in July.
In comparison, the recovery of inbound and outbound tourism will be rather sluggish, primarily depending on the judgement of WHO on the situation of global epidemic. In addition, it also relies on the relaxation of visa policies of major destination countries, as well as the measures taken by major operators, destination countries and airlines to relaunch relevant products.
Q: What do you think is a key point that our industry must pay attention to when it recovers from the crisis? (Please pick only one)
A: The key factor would be the restoration of confidence when the epidemic ends. Confidence is crucial for consumers and business owners alike. Only when the confidence is restored can we start talking about the subject of recovery.
Q: What change (positive or negative) do you think the outbreak may eventually bring to the tourism industry in the future? (Please pick only one)
A: I think crises are double-edged. Every crisis brings with it an opportunity. As far as this particular crisis is concerned, a positive change could be that the whole industry will develop an in-depth thinking on the institutional prevention of external systematic risks of similar kind in the future. Market-oriented solutions may soon become available. This has to be a good thing for the long-term development of our industry.
Q: Please share with us a story of your business / organization in dealing with the crisis that others may draw experience from. (Please focus on one aspect)
A: A strong teamwork lays the foundation for a business in dealing with the crisis. When the crisis happens, the whole team must swift to turn on extreme survival mode, maintain strong confidence and morale, and dig deep into the crisis for alternative opportunities.