Starting up a Successful Hostel in Taipei

The business plan, “East Meets West” Hostel is a feasibility study to see the possibilities of and the supporting measures for opening a three-story, 180-ping hostel with a restaurant in Shilin District, Taipei. With statistics from the Taiwan Tourism Bureau that show significant growth in inbound tourism, I saw an opportunity in opening a business aiming at providing accommodations. As the hotel market is already saturated, I decided to focus on the hostel market. Hostels are becoming more popular among young adults and seen as a more appealing option than hotels due to its social aspects. The hostel is tailored towards foreign backpackers willing to pay a little more for a better experience. In this business plan, I start by analyzing the Taiwan tourism industry, and compare Hostels vs. Hotels. Next, I introduce the hostel features and room pricing. Further on, I analyze the hostel market developing a competitor analysis and propose a marketing plan. Then, I examine operations and the financial plan to estimate how much profit can be potentially made in running the hostel. Finally, looking at risks and possible future business opportunities.