Ctrip, Qunar banding may end travel price wars

The coming together of Ctrip.com International Ltd and Qunar Cayman Islands Ltd, two of China's leading online travel companies, is expected to end the rampant price war in the sector, analysts said on Tuesday.

On Monday, Ctrip said it would acquire a 45 percent stake and form a partnership with Qunar, a company controlled by Baidu Inc.

Although executives from both Ctrip and Qunar confirmed that the two companies will continue to operate independently of each other, industry experts said that the banding will help end price wars and incentives being offered to customers by individual agencies.