Risk Management in Chinese Hotel Projects: A Qualitative Exploratory Study

Purpose The objective of this research is to identify risk issues in hotel projects in China as seen through the views of hotel managers and to propose targeted recommendations. We use the lens of project management to understand the risks in the Chinese hospitality industry which is quickly evolving due to a surging economy. Design/methodology/approach To accomplish the research objectives, a qualitative approach was utilized. We conducted 8 semi-structured interviews with hotel managers in China to understand the nature of risks and risk management practices they employ to manage them. We use thematic descriptive analysis to unpack the interviews. Findings The key findings of this study indicate that: the risks associated with the hotel projects are broadly consistent with those associated with the hotel industry; the hotel projects are subject to high financial and security risks; the complexity of hotel project risk stems from customer behaviour and human resource, and the hotel project risk could be a threat or an opportunity. Originality/value Based on the findings, this study presents a risk management model for hotel projects that differs from general risk management process by including customer communication and the influence on the hotel's day-to-day operations.