Expansion Policy

What is your policy to strengthen your company worldwide?

We aim to reach 10 000 room nights by 2009. We currently operate 8000 rooms in 21 properties worldwide.

What are the main obstacles – benefits in expanding your brand?

Main obstacles remain the high cost of entry into the key markets. This also works to our advantage as it is becoming increasingly difficult for competing hotels to come into the markets we have already gained a strong position in or simply shortening the list of hotel companies vying for the same location. As we go forward we are increasingly moving into management contracts with limited capital investment in the properties in order to give us stronger growth possibilities.

Which destinations have more dynamic potentials?

As a Hong Kong based company, we will continually strive to maintain our position as the leading luxury hotel Group in Asia. We are however, looking to expand in key business and leisure destinations worldwide and are especially interested in establishing ourselves in what are considered to be key feeder markets for the Group as a whole which will help us achieve the positioning and brand recognition we seek.

How did your company expand the previous decade and where are you going to invest in the next decade?

In 1998, we had 12 operating hotels with a worldwide occupancy of 60% and an average rate of 150 US$. Today, we have 21 operating hotels with a worldwide occupancy of 70% and an average rate of over 250 US$.

We will continue to invest in the brand by leveraging our Oriental heritage and our core competencies, particularly in Spa, technology, restaurants and bars. As we all know, the people make the difference. We are increasingly investing in enhancing our human resources. This will not be about standardisation but rather establishing internal processes which will allow us to nurture and engrave our culture in each of our properties.

We currently have announced developments in the US, Asia and Europe. We will continue to seek good development opportunities on all continents.

Mandarin Oriental announces development of a new luxury hotel in Prague

Mandarin Oriental to open luxury resort and spa on Hainan Island, China

Mandarin Oriental to open luxury hideaway resort and spa in prestigious Grand Cayman