Why AT hotels are needed in Korea?

Consumers's Need Consumers have limited options in moderate price sector due to the high price of deluxe hotels and poor quality of tourist class hotels. They require clean, safe, and comfortable rooms with assured privacy.

Hotelier's Need Hotel operators and managers lack systems, strong branding and operational skills. They also lack financial skills and central support.

Land Owners' s Need Land owners are faced with increased land tax leading declining values and high maintenance costs. They are unable to find feasible solutions to develop their land and are unable to find investors and financial support.

Government's Need The government has identified this lack of hotels. They wish to address this sector so the country can effectively compete for international tourists, major events and conventions as well as provide increased job opportunities. Korea will co-host the 2002 World Cup and yet faces a critical accommodation shortfall. The government has stated its support for the sector and has passed a special law to promote the development of tourist accommodation. It has also facilitated a less restrictive labor market and reduced payroll compliance costs.

Investor or Bank's Need Banks currently lack good lending and investment opportunities especially in the tourism industry.