Ctrip
Encyclopedia
Ctrip is a mainland China
-focused travel agency
, which runs the eponymous Ctrip.com travel website
.
-based Ctrip was founded by James Liang, Neil Shen, Min Fan, and Ji Qi in 1999. It listed on NASDAQ
in 2003 in a Merrill Lynch
-led offering, raising US$75 million (4.2 million ADRs at $18 each) and then further appreciated by 86% to close at $33.94 in its first day of trading. Ctrip traded at a peak of $37.35, making it the first company since the November 2000 IPO of Transmeta
to double its price in the first day of trading.
In 2006, about 70% of Ctrip's sales came from just four cities in China: Beijing
, Guangzhou
, Shanghai
, and Shenzhen
.
and South Korea
. Ctrip already had an agreement with Taiwan-based ezTravel to cooperate in offering air tickets and hotel rooms to mainland Chinese tourists in Taiwan once tourists from the mainland became able to travel to Taiwan. , Ctrip holds an 8.4% stake in NASDAQ-listed Home Inns as well as a minority stake in the privately-held BTC-Jianguo Hotels and Resorts. Ctrip also holds a 1.3% stake in the NASDAQ-listed China Lodging (owner of the Hanting brand).
.) , China UnionPay
Mobile Payment, and cash on delivery in selected cities in mainland China as well as cash payment by showing up in person at a Ctrip office. Most hotels in large cities accept foreign credit cards but some domestic hotels and domestic chain hotels do not. Payment is on check out unless guaranteed booking is required for very late check-ins.
Mainland China
Mainland China, the Chinese mainland or simply the mainland, is a geopolitical term that refers to the area under the jurisdiction of the People's Republic of China . According to the Taipei-based Mainland Affairs Council, the term excludes the PRC Special Administrative Regions of Hong Kong and...
-focused travel agency
Travel agency
A travel agency is a retail business that sells travel related products and services to customers on behalf of suppliers such as airlines, car rentals, cruise lines, hotels, railways, sightseeing tours and package holidays that combine several products...
, which runs the eponymous Ctrip.com travel website
Travel website
A travel website is a website on the world wide web, that is dedicated to travel. The site may be focused on travel reviews, the booking of travel, or a combination of both. Approximately seventy million consumers researched travel plans online in July 2006...
.
History
ShanghaiShanghai
Shanghai is the largest city by population in China and the largest city proper in the world. It is one of the four province-level municipalities in the People's Republic of China, with a total population of over 23 million as of 2010...
-based Ctrip was founded by James Liang, Neil Shen, Min Fan, and Ji Qi in 1999. It listed on NASDAQ
NASDAQ
The NASDAQ Stock Market, also known as the NASDAQ, is an American stock exchange. "NASDAQ" originally stood for "National Association of Securities Dealers Automated Quotations". It is the second-largest stock exchange by market capitalization in the world, after the New York Stock Exchange. As of...
in 2003 in a Merrill Lynch
Merrill Lynch
Merrill Lynch is the wealth management division of Bank of America. With over 15,000 financial advisors and $2.2 trillion in client assets it is the world's largest brokerage. Formerly known as Merrill Lynch & Co., Inc., prior to 2009 the firm was publicly owned and traded on the New York...
-led offering, raising US$75 million (4.2 million ADRs at $18 each) and then further appreciated by 86% to close at $33.94 in its first day of trading. Ctrip traded at a peak of $37.35, making it the first company since the November 2000 IPO of Transmeta
Transmeta
Transmeta Corporation was a US-based corporation that licensed low power semiconductor intellectual property. Transmeta originally produced very long instruction word code morphing microprocessors, with a focus on reducing power consumption in electronic devices. It was founded in 1995 by Bob...
to double its price in the first day of trading.
In 2006, about 70% of Ctrip's sales came from just four cities in China: Beijing
Beijing
Beijing , also known as Peking , is the capital of the People's Republic of China and one of the most populous cities in the world, with a population of 19,612,368 as of 2010. The city is the country's political, cultural, and educational center, and home to the headquarters for most of China's...
, Guangzhou
Guangzhou
Guangzhou , known historically as Canton or Kwangchow, is the capital and largest city of the Guangdong province in the People's Republic of China. Located in southern China on the Pearl River, about north-northwest of Hong Kong, Guangzhou is a key national transportation hub and trading port...
, Shanghai
Shanghai
Shanghai is the largest city by population in China and the largest city proper in the world. It is one of the four province-level municipalities in the People's Republic of China, with a total population of over 23 million as of 2010...
, and Shenzhen
Shenzhen
Shenzhen is a major city in the south of Southern China's Guangdong Province, situated immediately north of Hong Kong. The area became China's first—and one of the most successful—Special Economic Zones...
.
Associated companies
In 2006, Liang spoke to Bloomberg about the possibility of Ctrip buying travel companies in other Asian markets such as Hong KongHong Kong
Hong Kong is one of two Special Administrative Regions of the People's Republic of China , the other being Macau. A city-state situated on China's south coast and enclosed by the Pearl River Delta and South China Sea, it is renowned for its expansive skyline and deep natural harbour...
and South Korea
South Korea
The Republic of Korea , , is a sovereign state in East Asia, located on the southern portion of the Korean Peninsula. It is neighbored by the People's Republic of China to the west, Japan to the east, North Korea to the north, and the East China Sea and Republic of China to the south...
. Ctrip already had an agreement with Taiwan-based ezTravel to cooperate in offering air tickets and hotel rooms to mainland Chinese tourists in Taiwan once tourists from the mainland became able to travel to Taiwan. , Ctrip holds an 8.4% stake in NASDAQ-listed Home Inns as well as a minority stake in the privately-held BTC-Jianguo Hotels and Resorts. Ctrip also holds a 1.3% stake in the NASDAQ-listed China Lodging (owner of the Hanting brand).
Payment methods
Ctrip accepts foreign credit cards and PayPal (with a 3% service charge), as well as domestic credit cards (issued in mainland China, not Macau or Hong Kong) of certain banks (see footnote for full list). Non-credit card payment methods include Alipay, Tenpay (Tencent Holdings LtdTencent Holdings Ltd
Tencent Holdings Limited is a publicly owned holding company whose subsidiaries provide Internet and mobile phone value-added services and operate online advertising services in the People's Republic of China. Its headquarters are in Nanshan District, Shenzhen....
.) , China UnionPay
China UnionPay
China UnionPay , also known as UnionPay or by its abbreviation, CUP, is the only domestic bank card organization in the People's Republic of China . Founded in March 2002, China UnionPay is an association for China's banking card industry, operating under the approval of the People's Bank of China...
Mobile Payment, and cash on delivery in selected cities in mainland China as well as cash payment by showing up in person at a Ctrip office. Most hotels in large cities accept foreign credit cards but some domestic hotels and domestic chain hotels do not. Payment is on check out unless guaranteed booking is required for very late check-ins.