Frontiers in Business, Economics and Management ISSN: 2766-824X | Vol. 13, No. 3, 2024 163 Combination of Cultural Heritage and Hotel Tourism: A Case Study of Fabric Culture in Wufeng Village, Guangzhou Haoxuan Feng Macau University of Science and Technology, Macau, 999087, China Abstract: The Wufeng Village is an urban village that located in Haizhu District, Guangzhou city. Urban village is a special product of rapid urbanization since reform and open up of China. It’s the village (collective land) left in the city (state-owned land), wrapped up by the modern city. However, Wufeng Village has a long history and is one of the two largest textile cluster bases in China. Guangzhou Textile Trading Park, Yangtze River International Textile City, Dazhong Fabric Market, Zhongdajiangnan Textile City is located there, is the world’s fabric distribution center. The people there rely on the fabric industry for their livelihood. But in recent years, due to the deterioration of the economic environment, the rise of international competition, the rise of systematic risks in the industrial chain, and the impact of the pandemic, the industry of Wufeng Village needs an opportunity to upgrade and innovate. Keywords: Hotel tourism, Cultural heritage, Fabric culture, Wufeng Village. 1. Target Organization & Objective After our group conducted a two-day field visit, we positioned the industry in the hotel industry. The site was located in Wufeng Village, which was rebuilt from idle farmer houses in urban villages. The existing fabric market was combined with the fabric theme hotel to provide an innovative and practical commercial travel platform for merchants and tourists. On this platform, businesses and tourists can experience the natural scenery and fabric culture of Wufeng Village while completing business transactions. Our plan is to integrate the traditional industrial and cultural elements of Wufeng Village with the theme of fabric culture art to create a unique hotel atmosphere for visitors. The hotel is positioned as the “world’s first textile themed boutique hotel”, with the historical heritage value of the unique “world fabric raw material center” in Wufeng Village, to bring unprecedented experience to guests, opened up new ways for the development of local fabric market economy and inject new vitality into the tourism industry of Guangzhou. Our hotel named “ManBu Vibeo”. The hotel name can be divided into two parts: “ManBu” and “Vibeo”. “ManBu” has the same pronunciation as the Chinese word ramble, hopes that in the fast fashion stage, tourists and businesses can feel the slow life in our hotel. Vibeo, on the other hand, is an original word that combines Vibe and eo. Vibe is to describe the atmosphere or mood of a place or situation. And eo is a Latin suffix meaning to go or move. The combination of the two shows that our hotel not only provides a basic accommodation function, but also a carrier with cultural characteristics of fabric, on this basis can also promote the trade of fabric. 2. Macro-environment Trend Analysis The difficulty of creating a distinctive hotel lies in the policy support and economic foundation, so in the Macro- environment trend analysis, I will focus on the analysis of these two important parts. Firstly, the policy. On July 21, 2023, the Standing Committee of The State Council deliberated and adopted the Guiding Opinions on Actively and Steadily Promoting the Transformation of Urban Villages in megacities. The Guangzhou government has adopted deregulation policies for Wufeng Village, which is mainly reflected in the fact that the Guangzhou Government will combine various land expropriation procedures and declare, saving 50% of the time for approval. Then, let’s looking at the economic basis, there are three main economic sources of ManBu hotel: ZhuJiang Investment Group, government and the Wufeng village itself. Zhujiang Investment Group has begun to invest in Wufeng Village in 2021 to support its industrial upgrading. As the investors of the hotel, they injected the construction fund to provide strong financial support for the ManBu Hotel. At the same time, the group provides reasonable solutions for hotel planning and route design. As a regulatory authority, the government supervises the construction and daily operation of the hotel. At the same time, they supervise the compliant use of village collective land and real estate and provide Guangzhou Municipal Government urban village Transformation 2.0 funds for ManBu Hotel. As a material supporter, the village collective provided idle land and farmer houses, which became the actual construction basis of the ManBu hotel. This relationship also allows the village collective to benefit from the Pearl River Investment Group. 3. STP Analysis Since ManBu Hotel is a hotel created by us, our STP analysis is conducted from the perspective of the decision maker. 3.1. S: Market Segmentation Our main audiences are business travelers and tourists. Business traveler has the largest share with about 60%, Tourists are the second largest audience with about 40%. Business travelers is the main audience. Zhong Da Fabric 164 Market is the predecessor of the area, more than twenty years ago, Zhong Da Fabric Market was just a small-scale fabric market set up by the members of Wu feng Village. With the accumulation of time, there are now thousands of garment factories around Wu feng Village, and business continues every day. In recent years, with the introduction of various policies and fabric market and the upgrading of urban villages, the region is a huge business opportunities, such as: Zhong Da HK Innovation Valley is a district of Zhu Hai (Pa Zhou Internet Innovation Cluster), a valley (Zhong Da HK International Innovation Valley), a bay (after the channel waterfront innovation bay) in an important link. Innovation Valley planning area of 10 square kilometers, is one of the key nodes of the Guangzhou-Shenzhen Science and Technology Innovation Corridor. Thus, the area is deeply favored by businessmen. What we can know based on the previous content is that businessmen are the most important audience of our hotel, because the fabric trade is the root of the survival of this area, most of the foreign population here are businessmen, and more than 70% of them will stay here for 1 to 2 nights, so this group has also become our long-term and fixed main source of customers. The tourists are divided into three main categories: explorer, drifter and Internet celebrity. For explorer, Man Bu is committed to pioneering cultural and educational hotels, providing workshops, VR fabric experiences, cultural studies and other educational activities with fabric culture. This is in line with the curiosity of the guests to experience a new type of cultural and educational hotel. For drifter, guests can have an experience far away from the hustle and bustle of the world, slowing down the pace of life and experiencing the unique flavor of fabric. Internet celebrities (People who popular on the social media) are a special category of customers who care more about the kind of content that brings them traffic and buzz, and the hotel is special enough, both internally and externally, to garner eyeballs for their video content. 3.2. T: Market Targeting 3.2.1. Evaluating market segments Market size estimation: the size of the market can be set as an upper-middle market size, with an average daily flow of about 200 people. Rationale: The first is “demographic and geographic characteristics”, that is, consumers and the hotel's geographic location, the area is a village in the city, so the price of land here, the fabric market are our advantage. The second is “psychological characteristics and lifestyle”, according to Maslow's hierarchy of needs, needs tend to develop from low- level functional needs to high-level experiential needs, consumers not only put forward higher requirements for the physical function of goods, but also expect the value connotation of the brand and life information. Therefore, we not only provide accommodation functions, but also commercial value and experience value. The third is “product attitude and the pursuit of interests”, consumers buy a certain commodity is to pursue a certain interest, to meet certain needs. Different interests lead to different needs. For example, in our businessmen can meet and communicate directly with local suppliers to get price benefits, netizens to get traffic benefits, and tourists to gain cultural experience and exchange meaning. The fourth is “consumer behavior and value”, which divides customers into loyal customers and swing customers. Because we create our own hotel, there will not be too many loyal customers (a small portion of the suppliers), so even if there is a large flow of customers, our market is not particularly large at present. 3.2.2. Segment structural attractiveness Competitive strength of competitors: Firstly, new concept hotels in this area are extremely rare and our hotel has an inherent competitive advantage. Secondly, our hotel is built in an urban village, which means that our hotel is very close to the trading location, possibly only a step away, which greatly enhances the efficiency of the businessman. Buying power of consumers: For this hotel, the merchant community is the main clientele, and because of the long history of the fabric trading market here, the clientele is relatively stable and meets the demand for purchasing power. Power of suppliers: Fabric is what people here depend on for their livelihood, so naturally there is no shortage of suppliers. 3.2.3. Selecting market segments Differentiated marketing is our fundamental strategy: Our differentiated marketing focuses on both value differentiation and experience differentiation. Value differentiation: Different from other high to the pursuit of high-quality service hotel, “slow fabric culture” hotel design concept is to create a different from the fast life of the city of fabric culture hotel, in the ManBu, the residents can have a far away from the world of experience, let the rhythm of life slow down, feel the flavor of the fabric flavor of the unique charm. The level of demand is exactly ManBu hotel in line with the realization of the consumer’s psychology, can satisfy the spirit of the guests on the pleasure of the motivation of the sublimation. Experience Differentiation: Firstly, we offer quality basic accommodation services that can fulfill the basic functional needs of our guests. Secondly, refreshing decorations, environment: We use fabric as the design theme to create an unprecedented decorative environment for our customers, which greatly satisfies their curiosity. Thirdly, interactive experience of fabric culture: This is our most important purpose, to realize the output of cultural value while satisfying the emotional value of customers through various activities such as fabric DIY. According to the market segmentation and target market related content, we have drawn a perception map for the two main sources of Business travelers and tourists, in this section, our competitors are boutique hotels near the city center village. The details are as follows. For business travelers, efficiency and cost are their key concerns, because the essence of businessmen is to make money, and efficiency determines whether they can make more money, and cost determines whether they can save more money. In the process of the rapid development of the city, the village in the city is behind the pace of development of The Times, outside the modern city management, and the living standard is low. the village in the city is behind the pace of development of The Times, outside the modern city management, and the living standard is low. The extremely low consumption level here determines our rents are lower, so our prices will be lower as well. Most importantly, our location may be just a step away from where the traders trade, which greatly increases the traders’ efficiency. For tourists, experience and service quality are the primary factors of concern, because travelers enjoy the process of travel, good accommodation experience and high-quality 165 service will give travelers an unforgettable travel experience. A large number of fabric elements are our unique features, which will bring guests an unprecedented novelty experience. As far as service quality is concerned, we are on a par with our competitors. Although we do strive for high quality service, our geographical location prevents us from achieving perfection, for example, due to the aging wiring and relatively old electricity supply system in the town center village, which makes it possible for us to experience frequent power cuts in the summer months, and we are not able to install equipment that consumes a lot of electricity. Due to our small usable area, we are not able to provide our guests with facilities such as swimming pools, tennis courts, and so on. But even so, our high-quality service still makes up for the lack of these elements. Moreover, we will do our best to improve the above-mentioned problems in the next few years. 3.3. P: Market Positioning In this segment, we have developed the following seven points of orientation for our hotel. 3.3.1. Non-standardized decoration design The hotel brand needs to be combined with personalized design concepts, is reflected in all aspects of the hotel's architectural design, interior design, environmental layout and guest supplies design. The “Man Bu” boutique hotel takes fashion and fabric as its design theme, leads innovation as its future orientation, and focuses on art education and training as its service focus; the design style should also be personalized around the type of service, which in turn derives the characteristics of the hotel and adds recognition to the brand. The decoration design is created by independent/team designers, closely centered on the hotel's theme, and incorporates the hotel’s brand elements under the premise of ensuring a comfortable living environment for the residents. 3.3.2. Surpassing the overall level of the industry The value of the brand originates from the stable quality and cost-effective service of the hotel; through the consumption behavior of the customers, the customers will give the judgment and endorsement of the hotel's excellent service quality; thus, influencing the users' subsequent consumption decisions, forming repurchase and brand recognition. Therefore, “Man Bu” needs to aim at the highest standards in the industry, and achieve excellence in environment, service, catering and other basic aspects. As the hotel has differentiated characteristics, so in the establishment of standards, also need to be targeted, such as: the level of curatorial services should become the focus of quality service construction, placed in the highest priority development area. 3.3.3. Exclusive services that are renowned in the industry ManBu favors the “selective” mode in terms of function setting and service design. The service design focuses on sleep as the core demand, provides activities such as cultural and creative boutique stores and fabric DIY, which lengthens the “hotel-ring” experience of the guests and creates new consumption hotspots and revenues, thus realizing higher comprehensive market pricing. Boutique hotels need to combine with specific destination products to fully develop the operation of the extended market through the formation and marketing of their own brand's customer circle. ManBu is a local brand born in urban villages and the people of urban villages, and has a special responsibility to revitalize urban villages, which needs to be combined with the raw materials of Zhong Da HK's fabric and regional characteristics to create a hotel's point of identification with its special features and services, and attract guests to the hotel. It needs to be combined with Zhong Da HK's fabric materials and regional characteristics to form the hotel's identification point with special services, attracting a specific group of customers and launching marketing and business activities. Compared with the standardized product model, the maintenance and creation of special business content is an important means to increase customer stickiness. 3.3.4. A unique human environment ManBu is located at the entrance of Wu feng Village, facing the busy streets with heavy traffic. The hotel's strength lies in its location in Zhong Da HK, an old town that has been steeped in time. The hotel and its services, on the one hand, revitalize the new direction of urban village renovation and transformation through education and research, and on the other hand, reflect the unique lifestyle and cultural traditions of a city. This external environment is particularly special, not only valuable historical and cultural value, but also has a strong commercial value. Hotel publicity needs to build on its strengths and avoid its weaknesses, emphasizing the advantages of Zhong Da Fabric Market’s unique trade culture and industry birthplace, while avoiding the disadvantages of the native urban village environment. 3.3.5. Fabric co-branding marketing Cross-border fabric brand co-branding, launching fabric- themed products/services (e.g. themed rooms, themed events, peripheral products). Target Group: Boutique Hotel Audience - Post-95/00 young people who love trendy culture and fashionable art. Marketing features: creative, fun, practical, eye-catching, to attract a constant stream of hotel guests. 3.3.6. Word-of-mouth marketing - word-of-mouth, the industry's best stories Marketing features: high credibility, low cost and good results, utilizing potential customers’ trust and attention to word-of-mouth, and promoting hotel products or services through the recommendation, dissemination and diffusion of past customers. 3.3.7. Good Cause Marketing - Community Responsibility to Benefit the Public Marketing features: Combine hotel products and services with social issues (urban village redevelopment) to improve profitability while helping to develop these related causes. Help customers to enhance their recognition of the hotel brand and increase the likelihood of continued consumption. 4. 4PS analysis 4.1. Product In order to better show the characteristics of the hotel cloth art theme, I would like to introduce from two aspects. 4.1.1. Product In Corporeal In the indoor and outdoor design of the ManBu Vibeo, we use cloth art elements, integrating natural culture and traditional market style, presenting a unique cultural atmosphere and comfortable accommodation environment for customers. A large number of fabric decorations are used in the hotel interior, such as the curtains with traditional Chinese patterns and color cloth, and the rooms are designed by designers and named after different styles of cloth. We decorate with cloth on the walls of the hotel lobby and the restaurant, hang hand-woven fabric as the wall hanging, and 166 use cloth with rich patterns as the wall background. This design can not only add visual effects, but also create a warm and comfortable atmosphere. At the same time, there is a special area in the hotel to display local cloth crafts, looms, embroidery works and printing and dyeing technology, so that guests can get close contact and understand the cloth culture production process. Outside the hotel, there are fabric decorated sculptures and landscapes in the courtyard of the hotel, and cloth curtains are hung above the courtyard to create a comfortable and private space. These curtains can be made with bright colors, rich textured fabrics, and changed to different color styles depending on seasons or festivals. On the roof of the hotel, small cloth booths in the style of the market were set up to display cloth products for customers to visit. The booth is designed with a traditional layout and color, giving customers a sense of going to the market. In the hotel, there is a fine cloth shop selling exquisite cloth ornaments, and all the goods in the shop are made by local craftsmen. 4.1.2. Product In Incorporeal Based on the hotel function positioning and customer needs, we have launched three special services. Elite Fusion Cuisine Product: Wufeng Village has a long history about food culture. It is said that “the first shrimp dumplings in the world” come from here. Later, because of the residents of Hubei, Hunan and Chaoshan areas, Wufeng have formed a unique food culture. Our hotel invites chefs which begin to display one's talent to integrate different cultures into them, setting off a bottom-up food revolution with the slogan of “fight against homogenization” and “fight back against prepared dishes”. Due to a large number of food culture themed activities, ManBu Vibeo serves as a unique platform for chefs and bartenders from all over the country to exchange ideas, not only to add flavor to cultural activities, but also can become the incubator of new food brands. Experiential Travel Product: Because the hotel targets young designers, teachers and students of clothing and interior design departments, and fashion people interested in “Chinese design”, the hotel has created a unique experiential tourism project for the customers. During the residence period, customers can be led by local craftsmen to carry out their own design, material selection, board, modeling, production and shooting in Wufeng Village, so as to create their own exquisite costumes. In addition, customers can also make their own DIY fabric, and then cut out a small piece of paste on our hotel's unique “footprint wall”, leaving their own proof in Wufeng Village. Cultural Themed Events Product: The hotel attracts a large number of outstanding young designers to come to the store to create, and launches their own work exhibition, auction, workshop and other rich and diverse cultural theme activities in different seasons. At the same time, the new generation of designers and predecessors can communicate and learn from each other to reduce the generation gap between designers in the field of cloth art, improve co-creation value. 4.2. Price According to the positioning of the mid-range boutique hotel, we took the price of the competitors and the decoration cost of the hotel into consideration, and finally we decided to set the room price at 400 to 700 RMB per night. However, our hotel room fee does not include breakfast, which means that customers need to pay 38 RMB per person if they want to taste the local specialty breakfast prepared by our hotel. For the guests staying in the hotel, they can participate in one of our activities for free, but other activities will be charged normally. At the same time, for the ManBu Vibeo partners and cooperators, we will give a 5% to 10% discount on the accommodation fees. And for large group guests, we offer a 5% discount and open the hotel meeting rooms for them for free. 4.3. Place Our business philosophy is that choose the physical operation as the main mode and promote the hotel both online and offline. Because of this philosophy, we have decided to locate the hotel near the fabric city, where have more sufficient fabric resources and stronger cultural background. The transportation near the hotel is well-developed, which is not only convenient for tourists to enter and exit, but also makes the transportation of raw materials more convenient. At the same time, because of its proximity to Wufeng Village, it has higher advantages of employee and culture compared with other hotels at the same price. 4.4. Promotion Compared to the profitability of the hotel itself, ManBu Vibeo focuses more on promoting innovative theme hotels and driving the local economy. Based on this position, we summarize the four main development guidelines. Promote online promotion: Take advantage of the convenience of the Internet and cooperate with we-media people to expand clicks. By reaching cooperation with internet celebrity, which can advertise hotels in the form of exploration and publish them on social platforms (TikTok, Twitter, Red, etc), so as to achieve the purpose of promotion. Co-organize activities with well-known clothing brands: By holding theme activities with some clothing brands to expand the popularity of the hotel, let the ManBu Vibeo appear in the public view. Assume social responsibility and benefit the public：Pay more attention to social affairs, do something within the capacity to show the responsible side of the hotel, in order to win the goodwill of the public and the government. For example, support the local some anti-epidemic supplies and masks when the pandemic occurs again. Improve hotel reputation and maintain service quality: Use the word-of-mouth method to earn the reputation for the hotel. Ensure that the hotel products and service quality gradually improve instead of decline. To achieve this purpose, we need to cultivate high-quality staff to better bring guests a comfortable accommodation experience. 5. Mystery Shopping: 4PS of Our Competitor 5.1. Introduction of Competitor 5.1.1. Hotel name Pearl River International Hotel 5.1.2. Address The Pearl River International Textile City, No. 462, Yijing Road Guangzhou, Guangdong, 510000 5.1.3. Hotel Description The Pearl River International Hotel is an ideal place for 167 businesspeople and tourists to stay in Guangzhou. The hotel offers a variety of facilities and services that allow you to enjoy comfortable sleep. In the hotel, you will find facilities such as 24-hour food delivery, free in room wireless network, 24-hour front desk, accessible facilities, and quick check- in/check-out registration. Some rooms are equipped with flat screen TVs, free tea, storage cabinets, mirrors, and slippers. The hotel has specially prepared fitness centers and other facilities for guests, which can greatly enhance your satisfaction with the hotel. The staff of the Pearl River International Hotel are professional and friendly and will try to meet your needs in all aspects. 5.1.4. Level They classify themselves as 5-star hotels. 5.1.5. Hotel website https://www.chiangdao.com/hotels4/cn/asiahotels/chinaho tels/guangzhouhotels/pearlriverinternationalhotel.htm 5.2. 4PS analysis 5.2.1. Product Service and convenience: withdrawal services, concierge services, currency exchange, doorman, dry cleaning, accessible facilities, laundry services, luggage storage, safe deposit box, store, full range smoking ban, smoking area, hotel / airport transfer, parking lot (free), parking lot (nearby), pick-up and drop off services. Eating, drinking, and eating snacks: bar, coffee shop, restaurant, 24-hour meal delivery service. Fitness and leisure: playroom. hydrotherapy, indoor swimming pool, outdoor swimming pool. Service languages: Chinese, Cantonese, English. Specialty Rooms: parent-child theme room, little bear themed room and the little yellow duck themed room. The products of the Pearl River International Hotel are of a very traditional type, which can be seen in many four-star and five-star hotels. From the pictures, their product quality is also guaranteed to a certain extent. Compared to our hotel products, their products are not as attractive as ours. But customers won't have to worry about the quality of their products, nor will they have the nervousness and surprise of trying new hotels. Therefore, from the perspective of products, both hotels have their own advantages, and we are more likely to attract young people who like to try new things or tourists interested in fabric culture. And their hotels are more likely to attract traditional buyers or parent-child tourists. 5.2.2. Price Most ordinary room types are priced between 498- 588RMB. (Including single room, twin room, parent-child themed room) The price of a business suite is around 1100RMB. Online reservation offers a discount of 100- 200RMB. Breakfast: Free, extra purchase requires 38RMB. Compared to our hotel, the prices are basically the same. Because we are all boutique hotels in the same region and have similar market positioning, the price difference is not significant. We won't have too much competition due to price, but our costs are lower than their hotels, so our profits are higher. 5.2.3. Place The Pearl River International Hotel is 600 meters away from the fabric market, 2.0km away from the textile city, and 2.6km away from the ManBu Vibeo. Compared to our hotel located near the village, the Pearl River International Hotel is more convenient for travel. Various textile markets surround it, and there are also buses and subways around it. This is a disadvantage for us, and we can try to increase the hotel's shuttle service to make up for it. 5.2.4. Promotion Target audience: fabric buyer and the travelling parent child families. Middle-aged buyers will prefer traditional types of hotels, parent-child families may be attracted to their parent-child themed rooms. Promotion ways: online promotion through travel APP. (e.g.: when customers search for nearby attractions on online maps, their online advertisements will be prioritized). Offline through the physical advertising (e.g.: advertising flyer), or recommendations from loyal customers. 6. Conclusion The core philosophy of hotel industry even the entire hospitality industry is earning profit. So the money issue is the most important thing of our innovation hotel. Due to this, we can through two ways to achieve the goal of earning more profit. Saving cost and selling more. 6.1. Saving cost As a fabric culture hotel, we should design our hotel with more unique fabric elements, so the challenge is how specialized design could be achieved while aiming as a low cost brand. To address this, we can follow four points. Firstly, we can use some raw fabric materials that the fabric store not use due to out of the stage but also have a good looking. These materials will be sold at a low price, which means some decoration will cost less. Secondly, we can encourage our customers leave their DIY works in our hotel as the exhibited products. This kind of design not only have different interesting looking, but also saving the cost of design and make the exhibited products. Thirdly, our hotel provided a lot of fabric DIY activities, the teachers and raw materials of these activities are from the Wufeng village, which means from the source. Lastly, our hotel is located in the village, and the hotel building is belongs to the villagers. And also, the hotel is holding the responsibility to advertise the fabric industry here, so the renting fee is very low and the implied benefit is bigger than the room price. Obviously, it will saving a lot of cost at a low room price. Compared with our competitor, it a franchise hotel, so not only it needs to pay extra money to the head company, but also it needs to follow the rules that made by its head company means it has lower freedom to run it business. Also, the water and electricity fee for our competitor paid as business use, but our hotel is paid as civil use. The differnces of these cost behaves the money we saved. 6.2. Selling more Selling more is means we need more customers, so this challenge can be described as how can we use other ways to segment our customers population. To deal with this, we have three solutions. The first one is based on a theory from the Introduction to management class. Observational learning theory. Some special theme hotel in United Kingdom will use the works from the UAL as decorations, and the Seasons restaurant is also use the workd from MUST as decorations, so we can learn from this. We can cooperate with some college in Guangzhou, use their students works as our 168 decorations, hold some exhibitions and workshops for them, so that attarct more poeple have interest in fabric activities. Secondly, we can hold some educational activities. In Mainland China, more than half of students don’t have the opportunty to see some thing written on the text book. Fabric has a long history in China and the world, our hotel can hold the fabric exploration summer camp for the students I mentioned as a non-profit projects, and the cost is rasied from some famous business men. These can of activities is a behavior of holding CSR, so that acquire better more word of mouth. 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