Hotel Danube opened in 1992 and is among the top 4-star hotels in Slovakia. It is owned by the French company Meydan Hotels based in Paris. After almost 10 years of activity how would you describe the main steps that marked the development of your hotel?
Back to the '80s-'90s, Meydan hotels had this strategy to expand and develop in Eastern Europe and started to get present in the Czech Republic, Poland and Slovakia. As I always say, we are a management company, we are not investors. So, we generally accompany investors during the launch of the projects and then it up to them to decide on the management that is kept in place. As far as the Danube Hotel is concerned, our development here went along with the development of the economic and political framework of the country. Following the split from the Czech Republic in 1993, Slovakia got a bit isolated from the international community for political reasons. Then, in September 1998, the new government was more willing to become part of the EU, NATO as well as willing to establish more contacts with the USA. Therefore, the conditions became better, in terms of business opportunities with foreign investors, for Slovakia as well as for our hotel.
How would you describe the growth of your hotel since 1998?
Our hotel experienced a significant growth over the past 4 years, partly due to the recognition that Slovakia gained during that period, and which enabled our management to settle the basis for a sustainable development of the hotel. Myself, I arrived three and a half years ago and during that period, our occupancy rate grew from 40% to 70% on an annual basis.
And what are your expectations for 2002?
Well, 2002 is a key year for the country. As you know, in next Autumn will be elected a new government. So, everybody is to a certain extent waiting for the outcome of this election, and this has an impact on every business in Slovakia. In addition, competition in our sector is getting fiercer. So, we expect to turn around 63-64% occupancy rate for 2002.
Within this context do you still see a growth potential in the sector?
Yes, I believe that when there is competition, there is a market. Competition is necessary to improve the quality of services provided to our customers. This contributes to getting better known and to improving the image of our market and eventually it attracts more customers.
Around 80% of your guests are businessmen. What does your Marketing policy consists of in terms of attracting this category of guests?
I believe Slovakia has a great potential for the
development of foreign investments thanks to the
qualified manpower, the low wages. On top of it,
when you look at the map, you can see that we are
located right in the center of Europe. Also, when
you consider the development level of our neigboring
countries, Poland, Hungary and The Czech Republic,
there is no doubt that Slovakia has a great potential.
As for our strategy to attract businessmen, we collaborate
with a central reservation system based in Frankfurt
and with contacts and offices in some key towns
in the USA, in Asia and of course in Europe. But
we are mainly looking to attract far Eastern businessmen
from Japan, China, Thailand, etc. We are also looking
into the Israeli market. However it is obviously
impossible for us to ignore the US. Our approach
of those markets also partly consists of being present
on the most well known international fairs. |
Today, how would you evaluate Slovakia as an investment destination, especially within the tourism sector?
I would qualify Slovakia as a land of discovery. Not only Bratislava, but every region of Slovakia has its own history with its monuments, castles. You can also find a lot of lakes, rivers, which attract another kind of tourism. There is here a strong culture and tradition that Slovak people are more than willing to share with foreigners.
But first, this country needs more international exposure. Many foreigners still wonder where Slovakia is and many others make the confusion between Slovakia and Slovenia, which was part of the former Yugoslavia. Also, we are confronted to the visa issue. Too many foreigners need a visa to get into Slovakia and that is a catastrophe for us. For instance, if someone is in Vienna and wants to cross the border to see how Bratislava looks like, he cannot do it. It is of course not a problem for European citizens. But it is more complicated for Asian travellers who tend to include most capitals in a tour of Europe. Another disadvantage is that despite the fact that we have beautiful international airport, we do not have any international carrier. That is actually the reason most of our foreign guests come from Vienna airport.
Within this context, how do you see the perspective of Slovakia joining the EU? Do you think the country is prepared for it?
I believe the Slovak people have already made up their minds and have in majority accepted to take on the sacrifices that this long process implies. However, whether the country itself is ready or not is another issue. Certainly, our average standard of living is not as high as Greece for example before they joined the EU. But still, the people are highly motivated. They rebuilt the country from scratch after the fall of Comunism. There is still a lot to achieve and they need a lot of courage to eventually reach the EU requirements but I am convinced they are on the right track. You just need to see how well this country has cached up with the rest of the Visegrad group in only three years and you will understand.
Mr. Yu, you have been in Slovakia for more than three years now. What was your feeling about this country when you arrived and how would you describe it now?
Before coming here, I was in the Carribean. So, it was pretty much of a change to come to one of those Eastern European countries where the people may not look as welcoming at first sight. But afterwards, when you get to know them, they open their heart to you and maybe even more than in those so-called welcoming countries. Also, most youngsters can speak English, German and many other languages, which proves their ability to communicate with the international community. Finally, as a French person, I can tell you that Slovak people also love wine and that makes me feel even closer to them.
Note: World Investment News Ltd cannot be held responsible for the content of unedited transcriptions. |
