Aging gracefully and growing gradually

As China is also becoming one of the world's largest sources of outbound travelers, Witter says he is making sure "where there are Chinese guests, there are Chinese employees", and he says the percentage of Chinese staff in all Kempinski hotels is growing year by year.

Although he admits there are visa difficulties, especially in Europe, Wittwer says he is negotiating with the German government and the European Union to demand an increased quota.

"People think luxury is all about brands and goods, but that is not the case. Luxury is to enjoy your life because you only live once."

Wittwer says no country in the world has so many modern luxury and new five-star hotels like China, which is both good and bad.

The sheer number is forcing five-star hotel rooms to sell at three-star rates, and that will hurt the industry.

"Luxury has a price. If you go to a Bentley or Rolls-Royce shop, they will not give any discount."

He says there are some countries where hotels which charge lower rates will be demoted in the hospitality ranking system.

"That may work in China," Wittwer says.