The automobile industry opened the door for lots of other business opportunities like service stations and motels. Having an automobile allowed families to travel more and travel further. During the 1920s the automobile had a significant economic impact, went through several innovations, and also had an important social impact on the people that lived during this time. During the1920s the automobile began to rapidly gain popularity and this started to drastically change the economy as business popped up around major roadways. Service stations sprang, up along with hotels, and travel centers as more people were able to travel.
After the second World War, mass tourism increased substantially. Its first real boom, mainly experienced by the western countries, was related to the economic development of society and to the increase in number of tourism services and recreational opportunities. Throughout the years, tourism has impacted positively on the world economy and on the countries’ national balance of payments. As estimated in Francisco Vellas’ economic analysis, today world tourism represents over 45% of tourism 's total contribution to GDP (Vellas 6). In addition, the tourism industry accounts for the creation of new jobs, especially for young people.
By expanding their business to various countries, those countries not only for tourists’ destination but also provide suitable accommodation to businesses with attractive environment. The motivations of Shangri-La hotel to internalization their business because it is lower cost doing their business in different countries and can generate high revenue in those areas (Study Moose 2016). The foreign exchange that earn by the business abroad is one of the reason that Shangri-La hotel internationalization. Shangri-La hotel also gained advantages of opening in new location and in term of goodwill. As Shangri-La hotel gained benefits in terms of revenue from the international location, the popularity growth and now Shangri-La hotel has become five star hotels and resorts in