Hotel Pricing Phuket

[cervaja]

now that the dollar has taken a beating throughout the globe,have the hotels repriced there rates accordingly???

same as all the tourist things to see and do e.g. restaurants,bars,hire cars etc etc

my thoughts are if they dont ajust to the dollar drop,less and less tourists again

ANY THOUGHTS??

[Artamus]

I'll assume you are refering to prices in Thaialnd? Why should the prices of anything here be related to the US$? May as well relate it to the Chinese Yuan or the Euro or whatever. Just becasue the US currency takes a beating doesn't mean everyone else has to follow suit. I don't get the point of the posting. To me the Thai baht seems superficially strong, but has been that way a long time. All the negative press and reduction in the Thai economy should pressure the baht, which would effect alter the exchange rate, leaving the baht weaker against currencies. Shoudl prices then go up? I don't think so.

[hawksway]

now that the dollar has taken a beating throughout the globe,have the hotels repriced there rates accordingly???

same as all the tourist things to see and do e.g. restaurants,bars,hire cars etc etc

my thoughts are if they dont ajust to the dollar drop,less and less tourists again

ANY THOUGHTS??

Th Hotel Industry is not effected by exchange rates fluctuations in the same way as commodities. An imported laptop computer's price will logically decrease as the Baht's strength increases simply because a lower denomination of Baht will be required to effectively buy the foreign currency.

However in the case of a Thai Hotel (unless it's owners fix their rates against foreign currency) the rate charged at the door will usually be demand driven because Thailand is largely self sufficient in food, materials and labour. The Thai Baht is one of the World's most resilient currencies when viewed against political stability. Perhaps this is in some part a reflection of Thailand's chaotic past. Politics and Economic peformance enjoy little correlation.

[steelepulse]

Hotels are plentiful and cheap right now in Phuket.

[madmitch]

Some of the chain hotels may work in dollars and the price may fluctuate accordingly but the vast majority have outgoings in Thai baht, need to account in Thai baht, have to pay their staff in Thai baht and therefore need income in Thai baht and hence will not adjust their rates due to currency fluctuations.

Even if they did, they would think about other Asian currencies, the Euro, GBP AUD and Swedish Kroner before the US dollar.

[witold]

Prices for almost everything are determined and listed in Baht.

What Baht-other currency exchange rate is at any given moment is your problem or your windfall.