However, the rapid growth of the hotel portfolio in China has aroused concerns of oversupply.

"The oversupply of hotel rooms in China is inevitable," said Zhao Huanyan, a tourism industry expert with the Shanghai Academy of Social Sciences.

"If we compare the average occupancy rate and room rate of the hotels in Beijing and Shanghai with those in Hong Kong and New York, we can see a sign of oversupply on the Chinese mainland," he said.

For instance, in April, the average occupancy of five-star hotels in Beijing and Shanghai was 64 percent, while that in Hong Kong and New York was 88 percent.

Zhao said that the country will have more than 1,500 new hotels each year from 2010 through 2015, with total investment of nearly 400 billion yuan ($62.5 billion).

But the hotel operators remain optimistic.

IHG's interim financial results showed that the company's revenue per available room (RevPAR) in China was 12.7 percent up year-on-year, including rate growth of 7.1 percent, while its global RevPAR growth was 6.7 percent.

RevPAR is a performance gauge in the hotel industry. It is calculated by multiplying a hotel's average daily room rate by its occupancy rate.

"Morgan Stanley forecasts continued annual GDP growth for China in excess of 9 percent through 2015. Given the only modest reduction in GDP, Morgan Stanley forecasts China's hotel industry could experience double-digit RevPAR growth," said Barr.

The booming tourist market in China has brought changes to international hotel operators. Various international hotel chains have tailor-made packages to serve the unique preferences of Chinese travelers.

For instance, Hilton Worldwide and Starwood Hotels and Resorts launched similar programs in their properties in gateway cities around the world in the third quarter, which feature additional guest room amenities including kettles and slippers and Chinese food such as congee.

"Today, more than 50 percent of our guests in China are Chinese. The Chinese are beginning to become a major global travel force as well," said Simon Turner, president of global development for Starwood.

"When they travel abroad, the Chinese will stay with the hotel brands they know from home, which underscores the significance of our growing footprint of flagship hotels in China and its halo effect on Starwood's hotels around the world," he said.

IHG has moved a step further by developing a new five-star hotel brand especially for the mainland market. The first hotel under the new brand is scheduled to open in late 2012 or early 2013.

The company has signed 12 contracts for the new brand on the mainland, the name of which has not yet been unveiled. The new brand will be built in Beijing and Shanghai, but the majority will be located in second- and third-tier cities. The company plans to spread the brand globally two or three years after the first hotel opens.