45% Chinese companies expect business travel budget to rise
The Barometer indicates business travel growth in, and around, tier two and tier three cities a key growth area.
CITS American Express Global Business Travel, a joint venture between American Express Global Business Travel and China International Travel Service, released the 2018 China Business Travel Survey (the Barometer). The Barometer has revealed that 45% of Chinese companies expect business travel spending to increase over the next 12 months.
The portion of business travel expenditure allocated to domestic China (versus international) trips has increased by 18%, compared with last year's Barometer. This indicates that the level of business activity within tier two and tier three cities in Mainland China is rising.
Research conducted by the Economist Intelligence Unit (EIU) has revealed that inland and emerging cities within China are set to outpace top-tier cities in annual GDP growth over the next three years, creating attractive new business opportunities for Chinese firms.
The Barometer also revealed that 'cost savings' (62%) and 'compliance' (57%) are the top priorities for the travel programs of Chinese companies, whereas 'safety and security' has slightly dropped from the top priority in 2017. In line with prior year results, the top three concerns on the minds of Chinese business travelers, according to the Barometer, remain: the travel reimbursement processes being too complex (49%), pre-trip validation processes being too complex (37%), and travel conditions too strict in general (37%).
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