Abstract
Due to the impact of COVID-19 in 2019, the global hotel industry has been severely impacted by the disconnection of the tourism industry. However, even with the impact of the epidemic, the Japanese hotel industry’s investment in Taiwan has not stopped. What are the factors that drive the Japanese hotel industry to defy the threat of the epidemic and choose Taiwan as its destination for foreign direct investment? This is the research goal of this article. This article intends to adopt Push-Pull-Mooring (PPM)migration theory to construct the possible factors of why the Japanese hotel industry chooses Taiwan as its foreign direct investment destination. These factors consist of three effects to describe Japan Okura hotel’s migration. First, the push effect refers to factors that induce people to leave their place of origin. Second, the pull effect refers to factors that attract people to a destination. Third, the mooring effect refers to intervention variables for push and pull effects that facilitate or inhibit the determination of movement. The finding is that push and pull factors still play an active role in promoting Okura Hotel’s investment in Taiwan, even if the influence of some factors is slightly reduced due to the shift in international conditions. With the development of globalization and high technology, mooring factors are no longer the reason that hinders Japanese Okura’s investment in Taiwan. Combined with push and pull factors, PPM migration model can fully explain why the Japanese hotel industry chooses to conduct foreign direct investment in Taiwan, even if it is affected by COVID-19.It’s just that COVID-19 has not stopped so far, and the unstable situation on both sides of the strait may impact the original PPM model and affect the results of the analysis. It is worth further observation and research by subsequent researchers.
Highlights
1.1 Research Motivation The Japanese Tourism White Book (2015) pointed out that the number of tourists visiting Japan reached 10.36 million in 2013, ranking 27 in the world in the ranking of foreign tourists accepted survey, and 8 in Asia
Push factors and pull factors each represent the negative and positive factors of immigration theory, both of them drive Okura Hotel to expand its investment in Taiwan, even in the difficult period of the tourism supply chain disconnection during the COVID-19 period
5.1 Conclusion This research uses PPM theory to analyze the investment in Taiwan by Okura Hotel, one of the three largest hotels in Japan, in order to understand the main facts for the Japanese hotel industry’s investment in Taiwan
Summary
1.1 Research Motivation The Japanese Tourism White Book (2015) pointed out that the number of tourists visiting Japan reached 10.36 million in 2013, ranking 27 in the world in the ranking of foreign tourists accepted survey, and 8 in Asia. As the Japanese government will sign letters of intent for tourism with other countries and the relaxation of related tourism rules, it is expected that more tourists will be brought to Japan. European and American hotels, which mainly target Asian tourists to Japan, are accelerating their investment in the Japanese domestic market. The round-trip travel on the same day just replaced it (Table 1) as the domestic tourism market in Japan is shrinking and the competition for accommodation for foreign tourists is becoming increasingly fierce, how to obtain economies of scale and scope through foreign investments has become a major issue in the hotel industry that is closely related to the tourism industry. Taking the Okura Hotel, a representative Japanese hotel with great potential for internationalization, as an example, we use the push, pull, and mooring theory (PPM) commonly used in international investment by companies to analyze the main reasons why Okura Hotel invests in Taiwan
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