Open AccessGlobal Serviced Apartment Innovation and Expansion
Author(s) -
Hangyu Li
Publication year - 2022
Publication title -
bcp business and management
Language(s) - English
Resource type - Journals
ISSN - 2692-6156
DOI - 10.54691/bcpbm.v17i.387
Subject(s) - accommodation , apartment , globalization , popularity , business , competition (biology) , tourism , profitability index , valuation (finance) , market economy , investment (military) , work (physics) , marketing , economics , industrial organization , commerce , economy , finance , engineering , ecology , civil engineering , neuroscience , politics , political science , law , biology , mechanical engineering , psychology , social psychology
Until recently, there have been limited alternatives and competition to hotels for leisure or business travelers who are looking for long term accommodation. Increased globalization of businesses and changing work practices are requiring business professionals to carry out their work away from home on a short to medium basis. Serviced apartments have grown in popularity as they do offer a different concept in alternative accommodation. What is presented as the most interesting element about this concept to investors is how it differs from hotel accommodation in terms of their product offering, the valuation considerations as well as their investment criteria. The paper seeks to examine the history and development serviced apartments in the various regions of the world and how the investments in this new sector has evolved in the creation of a whole new market. The article will present the argument that the innovation and expansion of the serviced apartment sector has boosted profitability, demand profile and competition in the accommodation market.