The global hospitality playing field has been leveled. Transformation within the industry has created a new set of competitive pressures that were relatively isolated and continues to push hotel companies to explore more efficient business models.
For the last two years, the Sensex has been driven by good monsoons, the metal commodity cycle and foreign investments. Hotel stocks and real estate not only offer an opportunity to ride the Sensex euphoria in India but also to hedge portfolio risk.
The performance of Hotels across South Asia over the last 24 months has been consistent and impressive. Let's take a look at the effect on hotel values in India and Pakistan of a strongly improved industry performance.