Rapid economic and tourism growth in Cambodia present opportunities for potential investors in the Kingdom’s hotel sector and the broader hospitality industry making the country financially attractive.
Yet due diligence is highly recommended as the best strategy for investors. Hotel development is a tricky sector as there is always quite a long gestation period when building from scratch. It is important to make sure unmet demand is being tapped several years in the future when the project is likely to be completed, in the specific location being targeted. Herd behaviour is common for developers in Asia – it is totally common to see people rushing in to developing of new hotels without carefully considering how many other new ones are already in train.
The main factor that influenced greatly the Kingdom's hospitality sector is the surge in arrivals from China, changing dramatically the demographic and the category of tourists. Thus the hospitality industry has to adapt to accommodate this new type of international tourists.
Another well pronounced trend is the rise in numbers of business travellers, mostly in Phnom Penh.
Growth of Tourism Makes Cambodia Attractive Destination for Hotel Investment
News in Asia
Tourism growth and other economic factors make Cambodia the best destination for investing into hotel industry among other places across Southeast Asia, experts assure.