Investment Rating - The report indicates a positive outlook for the tourism industry, emphasizing a shift from scale-driven growth to a focus on quality and efficiency during the 14th Five-Year Plan period [4][12]. Core Insights - The tourism industry is positioned as a key driver for economic growth, with a focus on enhancing domestic demand, promoting deep integration of culture and tourism, and addressing shortcomings in inbound tourism services [4][10]. - The report highlights the need for systemic solutions to current structural issues, including supply-demand mismatches and product homogenization, to optimize consumption structure and enhance service quality [5][12]. Summary by Sections 1. Strengthening Domestic Demand - The report states that domestic tourism is expected to reach 5.615 billion trips and generate 5.75 trillion yuan in total spending in 2024, reflecting year-on-year growth of 14.8% and 17.1% respectively, surpassing pre-pandemic levels [5]. - It emphasizes the importance of implementing paid leave and promoting diverse service offerings to address the dual characteristics of price sensitivity and quality pursuit among consumers [6]. 2. Deep Integration of Culture and Tourism - The report notes a strategic elevation of the relationship between culture and tourism, aiming for a deeper integration that transforms culture from a supporting element to the core of tourism products [8][9]. - It identifies the need for innovative expressions of cultural resources and the use of technology to create immersive experiences, thereby enhancing the quality of tourism offerings [9]. 3. Addressing Shortcomings in Inbound Tourism - The report highlights that inbound tourism recovery lags behind domestic tourism, with only 30% of 2019 levels achieved in 2023, prompting the government to introduce various facilitation measures [10][11]. - It projects that inbound tourism will see significant recovery in 2024, with an expected 131.9 million inbound visitors, a 61% increase year-on-year, and 26.94 million foreign tourists, reflecting a 96% growth [11].