Business travel is the mainstay of luxury demand

Business travel is back

After recording significant declines during the global recession of 2008 and 2009, business travel is recovering.

Between 2010 and 2015, business travel is expected to grow by an annual average of 5%, with domestic business trips seeing considerable dynamism in Asia - Pacific.

Business travel in emerging markets

Emerging markets in Asia - Pacific and the Middle East and Africa are expected to see great dynamism in domestic business flows in the next five years, as a result of rapid economic development.
This is expected to positively impact sales of first class seats and luxury hotels.

This trend will be particularly strong in city destinations like Mumbai, where 5 - star and 5 - star deluxe hotels
account for nearly 50% of the city room supply, and business travellers account for 65% of all guests.

Luxury business travel regains growth in the UAE

The UAE recorded a strong return in business travel in 2010, led by wealthy domestic and international travellers from Russia, China and India.

According to industry sources, business activity in the UAE private sector hit an 18 -
month high in January 2011, as a result of stronger domestic demand for non - oil goods and services.

However, the current political turmoil in the Middle East is expected to lower future business prospects for the UAE, as instability rises in the region.