Despite the continuing weakness in overall domestic hotel market, Chinese chain hotel industry was still accelerating the pace of store expansion.

Recently, Huazhu Hotels Group and Home Inns Group released its second-quarter earnings.

Despite the continuing weakness in overall domestic hotel market, Chinese chain hotel industry was still accelerating the pace of store expansion which was represented by Huazhu Hotels Group and Home Inns Group.

The industry insiders believe that Huazhu Hotels Group and Home Inns Group derive most of its profit from alliance expense which basically 80% will be converted into profit. On the other hand, with the expansion of the franchises, the rental rate will decrease.