2.1.1 Influencing factors on location selection of the homestay agglomeration

At present, domestic research on tourism location selection mainly focuses on tourism resorts, theme parks and hotels. The location selection of tourism resorts mainly starts from the resource conditions and the location conditions, in order to find the best locations of tourism resorts. Tourist resorts should be set up in areas with abundant tourism resources, well-developed economy, convenient transportation and sustained development (Liu and Ji, 2001) The factors influencing the location selection of theme parks include the tourist source market, traffic conditions, regional economic development level, the perceived urban tourism image, spatial clustering and competition, and decision-maker behaviors (Bao, 1997). Taking the three theme parks of Overseas Chinese Town in Shenzhen as an example, the factors such as tourism market, planning and construction, operation management and personnel composition provide some references for the location selection of other theme parks. An early study on location selection of tourism facilities focused on hotels (Li and Wang, 1995). The decision of hotel location selection is not limited to considerations of traffic conditions, but commercial districts, convention centers and airports are also important (Coltman, 1989). Hotel location selection not only emphasizes convenience and accessibility, but also the overall regional economic environment, regulations, geographical factors, natural resources and regional area (Gray and Liguori, 2002). After the macro location selection of tourist hotels is determined, the specific location, that is micro-site selection, needs to consider factors related to the investment and operation of the hotels, such as transportation, tourism resources, and land cost (Ma, 2008).The increase in land cost has led people to consider it as an important factor when choosing hotel location (Bao and Chu, 1999). Boutique hotels should analyze the characteristics of site selection from traffic, tourism resource, commerce, management and cultural aspects (Zha, 2017). The main service provided by budget hotels is simply accommodation service. According to the characteristics of the services they provide, the location selection of budget hotels should follow the four principles of convenience, economy, competitiveness and stability (Fan, 2015) and should consider the four major factors of social and economic foundations, traffic conditions, commerce and public services (Li and Xie, 2006). As an industry that serves tourists, hotels and restaurants are also independent accounting and self- financing enterprises(Ma, 2016). Their location selection shows clear agglomeration in practice (Ritchie et al., 2006).

According to a literature review, combined with the characteristics of homestay, this study includes some significant influencing factors, while eliminating the less relevant factors. The final five factors used to evaluate the location of the homestay agglomerations are economic environment, tourism development, geographical environment, supporting facilities and operating conditions.

(1) Economic Environment. The economic environment is the most basic factor to be considered in the location selection of the homestay agglomeration. The regional economic environment not only refers to the economic strength of individual cities, but also the radiation superposition effect of urban agglomerations formed by the high level of economic development in the vicinity surrounding the region(Qiu and Fu, 2008). The main elements for the measurement of the economic environment include the following factors: 1) Economic Development Level. At a higher level of economic development, the strong consumption power of tourists is supported, the new tourist products for residential accommodation are more acceptable, and weekend suburban tourists are also happy to experience homestay. Meanwhile, the infrastructure and tourism service facilities in the economically developed areas are also relatively ideal, which lays the foundation for the development of homestay tourism products and the construction of hardware connections. 2) Population Size. Population scale is the basis of the source of tourists. The number of tourist sources influences the choice of homestay and the occupancy rate. 3) Household Disposable Income. This factor is used to measure the income level and consumption level of residents. The higher it is, the stronger the willingness to purchase accommodation facilities and the higher the consumption level becomes. 4) Policy Environment. The location selection of homestay should be considered to fully understand the local policies and regulations, especially whether there is a policy of demolition or reconstruction in the alternative areas or the property has long investment payback period. If the policy in the area is unstable, it may bring economic loss to the homestay owner.

(2) Tourism Development. The homestay development is closely related to the overall tourism development. The development of regional tourism will directly affect the location and layout of various types of tourist accommodation facilities(Wang et al., 2010). With the upgrading of tourism consumption structures, the demand for personalized accommodation facilities is gradually increasing, which provides a huge market for homestay development. Its measurement mainly includes the following factors: 1) Enrichment of Tourist Resources. The tourism resources endowment determines the development potential of tourism destinations, and the high endowment of tourism resources is the fundamental driver which stimulates tourists and generates tourism motivation (Wang et al., 2015). Tourist resources of rich and diverse types can correspond to different types and different levels of tourist markets. The scenic area or surrounding area which has abundant tourism resources is the basis for the development of the homestay agglomeration. 2) Tourist numbers. The number of tourist reception provides a huge flow entrance for homestay, and the larger the tourist numbers, the more the demand for accommodation facilities. 3) Tourism Revenue. To some extent, tourism revenue reflects the developmental scale and level of the tourism industry. The more the tourism revenue, the more suitable it is for high-end homestay accommodation construction. Therefore, this index has an important influence on the location selection of homestay. 4) Tourist Accommodation Facilities. Different types of accommodation facilities satisfy different targeted market groups, which will provide different travel experiences. However, star hotels, budget hotels and other hotels will have alternative competitive relationships with homestay.

(3) Geographical Environment. The development of a homestay agglomeration area is closely related to the geographical environment, and the selection of its spatial location determines homestay management. Its measurement mainly includes the following indicators: 1) Distance to Central Cities. The distance to central cities determines the accessibility and tourist sources in homestay agglomeration areas. 2) Distance to Core Tourism Resources. The distance to core tourism resources determines the nature and style of homestay, which is one of the core elements of location selection. 3) Climatic Conditions. The climatic conditions determine the cycle of the tourism season, the length of the homestay operation time and the occupancy rate of the residential accommodations. 4) Regional Traffic. This mainly includes the distance from airports, railway stations, grade highway nodes, and the location of the homestay should consider not only the local market, but also the intermediate- and long-distance markets. 5) Close Traffic. This refers to the accessibility to the last kilometer within a small area where the homestay is located.

(4) Supporting Facilities. These are relevant auxiliary conditions in the location selection of the homestay agglomeration area, including infrastructure, public service facilities, parking area, etc. Its measurement mainly includes the following indicators: 1) Infrastructure. This mainly includes water supply, power supply, network, sewage discharge and other related supporting conditions in the homestay agglomeration. 2) Public supporting service. The convenience of access to surrounding hospitals, large-scale integrated shopping and entertainment venues, dining places, postal services and other public service facilities can provide more services for homestay guests and improve the competitiveness of the homestay agglomeration. 3) Parking Area. Many homestay consumers are self-driving travelers, and parking convenience is also a factor to consider.

(5) Operating Conditions. This indicator is relatively microscopic compared to the first four indicators, and it mainly focuses on specific business conditions. 1) Architectural Features. Compared with star hotels, homestay pays more attention to individualization and their characteristics. Whether the homestay has its own unique characteristics or reflects local customs are factors to consider when selecting its location. This indicator includes the building structure, useful life, maintenance, etc. 2) Rental cost. Many homestay facilities are idle houses which operate only by renting. It is more difficult to obtain a housing source which can operate homestay. The rental price is related to the return on investment of the homestay. Since the rental housing is affected by the relevant policies and the ability of the owner to perform relevant services, it is necessary to consider this factor. 3) Human Resources. The main attraction of homestay is dependent on its heart-warming service, so the quality of human resources and the economic costs are all conditions to be considered for the homestay operation. 4) Cultural Experiences. In addition to meeting accommodation needs, the biggest feature of homestay is to provide the owner’s lifestyle and unique cultural experiences, such as tea ceremony, yoga, batik, extreme sports and others.

2.1.2 Hierarchy of the evaluation system

As a basis for analyzing the influencing factors of the location selection for the homestay agglomeration, the indicators with targeted and appropriate characteristics for location selection were selected to determine the influencing factors, and adjusted through an expert consultation method. Twenty experts were selected from among the administrative personnel of the government departments, scholars in the research fields of homestay, hotels and tourism, tourism industry associations, homestay industry, homestay operators and media representatives. The evaluation system was constructed by the target level, the comprehensive evaluation level, the elements evaluation level, the factor evaluation level and the index level composed of the location selection evaluation index system of the homestay agglomeration area. Indicators that are not quantifiable were eliminated, such as specific cultural types with local characteristics and marketing factors. The evaluation system is composed of five levels, among which, the target level takes the reasonable location selection of the homestay agglomeration as the overall target. The comprehensive evaluation level includes five evaluation levels: economic environment, tourism development, geographical environment, supporting facilities and operating conditions. In the factor evaluation layer, economic environment factors are divided into four evaluation factors: economic development, residents' disposable income, population scale and policy environment. The tourism development can be divided into four evaluation factors: tourism resource enrichment, tourist reception, tourism income and accommodation facilities. The geographical environment can be divided into five evaluation factors: distance to the central city, distance to the core tourism resources, climate conditions, regional large traffic and small traffic factors. The supporting facilities include three evaluation factors: infrastructure support, public service support and parking space. The operating conditions include architectural features, rental cost, human resources and cultural experiences. The factor evaluation layer is divided into 35 evaluation factors including regional GDP, population, number of homestay inns and others.

The characteristics of the index system include synthesizing the macroscopic and microscopic influencing factors of the location of the homestay agglomeration area, which are comparatively comprehensive and objective, while the evaluation index is more detailed and systematic, so that the evaluation system of the residential agglomeration area location is more scientifically based. The evaluation method is used to make the index system more operable.

In this study, 20 experts were selected from the administrative personnel of the government departments, scholars in the research fields of homestay, hotels and tourism, associations of tourism industry, homestay industry, homestay operators and media representatives. The Delphi method was applied to allow the 20 experts to fine-tune the evaluation system in three rounds. The first round of expert consultation determines the evaluation indicators, the second round of expert consultation assigns weights to the indicators at all levels, and the third round determines the final evaluation system of location selection indicators for consultation. The weight calculation used the seven-level scale method to compare the two indexes and construct the judgment matrix. The final scores of the experts are taken as samples, and the number of samples meets the requirements of the analytic hierarchy process.

Taking the comprehensive evaluation level A-B as an example (Table1), the relative importance judgment values in the table are obtained as the geometric average of all elements of the expert judgment matrix data, where Wi is the weight of all indicators, and C.R. is the random consistency ratio. When C.R.<0.10, the judgment matrix has satisfactory consistency. According to the calculations, the C.R. values of all the matrices meet the requirements, and the evaluation levels and the weights of evaluation factors of the index system for the location selection of the homestay agglomeration area are calculated and shown in table 2. The weights of the evaluation index system for the location selection of the homestay agglomeration are shown in table 3.

Each evaluation index is assigned a set of percentages. Through research on resort and hotel location and academic expert consultation, scoring criteria and scoring items were set up. In order to facilitate practical operation and understanding, the ideal target level is set as 100 points, each of the indexes has 6 score levels of 0, 20, 40, 60, 80 and 100 points, and each score corresponds to the specific score content (Table3). The formula for calculating the evaluation score of the location selection of the homestay agglomeration area is as follows:

$A=\sum\limits_{i=1}^{n}{{{D}_{i}}\times {{W}_{i}}}$ (1)

where A is the score of the suitability of location selection for the homestay agglomeration; D_i is the score of the evaluation index i; W_i is the total weight of the evaluation index corresponding to the target level; and n is the total number of evaluation indicators.

In this evaluation index system, B1 (economic environment) and B2 (tourism development) are the location selection indicators at the macro level, and mainly consider various indicators of the city or cities where the homestay agglomeration is located. B3 (geographical environment) and B4 (supporting facilities) are the location selection indicators at the middle level, and mainly consider the various development indicators of the homestay agglomeration. B5 (operating condition) is the indicator of location selection at the micro level.

In the evaluation standard design of D indicators, except for relative indicators and descriptive indicators, assigning values of 60-points to the numerical indicators mainly takes into account the national average levels, such as per capita disposable income of urban residents, distance to airport, distance to scenic spots, number of scenic spots, etc. Values of 80 points or 40 points adjust the corresponding values up or down, respectively. Environmental comfort is mainly referred to in the study of regional tourism as climate comfort (Wang et al., 2015).

Values of 85 points and above are very suitable for location selection, 75-84 points are relatively suitable for location selection, 60-74 points are generally suitable for location selection, and less than 60 points are considered inappropriate for building the homestay agglomeration.

Baileqiao homestay agglomeration is located in Lingyin Street, Xihu District, Hangzhou, adjacent to Lingyin Temple, north peak, and in the West Lake Longjing tea area. Baileqiao originally belonged to Lingyin Village, and most of the villagers were tea farmers. Because of the poor housing and sanitation conditions, the government renovated the village in 2006 according to the concept of “Villages in scenery”. The first homestay facility in Baileqiao was registered and established in 1995. Homestay gradually increased after the renovation in 2006, and had shown a rapid growth from 2010. With quiet countryside as the carrier and secluded life as the concept, the Baileqiao homestay agglomeration has gradually brought together nearly 100 fine houses, each with their own characteristics, and the related supporting industries are becoming more and more mature.

The Qianjiadian Town homestay agglomeration located in Qianjiadian Town is a mountainous ecological conservation area in Yanqing District. The Qiujiadian Town homestay agglomeration is composed of 10 traditional villages represented by Dashiyao Village, with a total of 604residential courtyards that are planned for development of homestay agglomerations. The former village of Dashiyao was built on the rocky hillside, and the residents had difficulty in obtaining water. In 2005, the new village was rebuilt, and the villagers moved onto the flat ground 500 meters north of the former village. In 2015, Beijing northwest tourism company leased the former village and invested in the homestay construction. On the premise of not destroying its original character, the former village was modernized and redesigned. In the first phase, 23 sets of rooms were delivered for use, and another 75 sets were transformed in the second phase, which have served as models for building the high-quality homestay agglomeration in Qianjiadian Town.

The Baileqiao homestay agglomeration in Hangzhou is a typically representative southern homestay agglomeration, and Qianjiadian Town homestay agglomeration area in Yanqing District is a typically representative northern homestay, each of which has different development characteristics. These areas are of great significance for the development of national homestays and provide good cases for academic research.

Through collation of relevant literature and materials, searches of ctrip.com and qunar.com, and investigation to Baileqiao homestay agglomeration and Qianjiadian Town homestay agglomeration area in Yanqing, the scores were assigned according to the evaluation index system of location selection established in this study. A total of 15 experts in the research fields of homestay, hotels and tourism, associations of tourism industry, homestay industry, homestay operators and media representatives rated them through the Internet. Experts were invited to grade the content of qualitative evaluation in operation condition according to the evaluation index system established for location selection, and then the scores of each sub-item were weighted and summarized to form the total score. The calculated comprehensive evaluation score of the location selection of the homestay agglomeration area in Baileqiao was 92.644, and the comprehensive evaluation score of the site selection of the homestay agglomeration area in Qianjiadian Town in Yanqing was 88.734, both of which are very suitable for the location selection.

(1) In terms of the macro-influencing factors of the location selection, Baileqiao and Qianjiadian Town homestay agglomeration areas scored high. Baileqiao homestay agglomeration scored 43.062, and Qianjiadian Town homestay agglomeration scored 40.688 on B1 (economic environment), and both scored 29.22 on B2 (tourism development). Firstly, Baileqiao relies on good regional conditions since Hangzhou is located in the core area of the Yangtze River delta with the most developed economy in China. It has a strong economic foundation and a good development environment. In 2017, its GDP reached 1255.6 billion yuan, and its per capita disposable income reached 49832 yuan. Secondly, the mature development of tourism provides a good external environment and foundation for the homestay industry. According to the Hangzhou tourism statistics bulletin in 2017, the city has received a total of 162.8663 million tourists and achieved a total tourism revenue of 304.434 billion yuan. There are 55 tourist attractions at or above level 3A, 3 scenic spots at or above the provincial level and 21 traditional ancient villages in Hangzhou. Thirdly, the homestay industry in Hangzhou is representative, and has formed the homestay agglomeration that stretches from Baileqiao, Yangmeiling, Four-eye Well, Manjuelong and Yuhuang Mountain all the way to the banks of the Qiantang River. Hangzhou has formulated the “standard for classification and evaluation of services for the homestay industry” and implemented it on October 1, 2016. The first batch of 63 homestays have been assessed. In 2016, the homestay industry association in Hangzhou was established to promote the development of the homestay service industry in the field of tourism and leisure. The district conditions that the homestay agglomeration area in Qianjiadian Town rely on are excellent. As the capital, Beijing has the advantage of an economic development level of a super-large city. Its GDP reached 2800.04 billion yuan in 2017, and its residents' disposable income reached 57230 yuan. The development of its tourism industry is extremely mature. According to the data of Beijing tourism statistics bulletin in 2017, the total number of tourists received was 297.46 million, realizing a total tourism revenue of 546.9 billion yuan. There are 201 tourist attractions at or above level 3A in the city and 21 ancient villages. Beijing’s rural tourism has developed to an early stage, and a number of folk households and folk villages have been formed. At present, the rural tourism reception facilities are in the stage of improving quality and efficiency, transforming and upgrading to a boutique homestay.

(2) In terms of middle-influencing factors of the location selection, Baileqiao homestay agglomeration area scores 11.346 and Qianjiadian Town homestay agglomeration scores 10.21 on B3 (geographical environment). Meanwhile, Baileqiao homestay agglomeration scores 5.316, and Qianjiadian Town homestay agglomeration area scores 3.786 on B4 (supporting facilities). Baileqiao homestay agglomeration area is located in Lingyin scenic area of West Lake, about 35 km from the airport, 10 km from Hangzhou station, about 13 km from Hangzhou east station, 15.6 km from Hangzhou north station, 24.5 km from Hangzhou south railway station, about 1 km from Lingyin Temple, about 1.7 km from Beigaofeng, about 2.5 km from the West Lake scenic spot, 3.5 km from Yuewang Temple, about 3.9 km from the Xixi wetland, and within 5 km distance from Gu Mountain, Chinese Seal-study museum, tea culture village in Longjing park, China wetland museum and other attractions. It is within 3 km from many restaurants and hospitals, and there are plenty of parking lots. Public transportation is well-developed, making travel more convenient. In comparison, the location of the homestay agglomeration in QianjiadianTown is slightly less sufficient, as it is located 130 km from the downtown area of Beijing and 160 km from the capital airport. As a national 4a-level scenic spot “Hundred Miles of Landscape Gallery”, Qianjiadian Town has a good ecological environment, but the scenic spots are relatively scattered. Due to its location in the suburbs, relevant public services such as hospitals and shopping/entertainment facilities are also relatively scarce, and most of the tourists drive by themselves from Beijing.

(3) In terms of micro-influencing factors of site selection, Baileqiao homestay agglomeration scores 3.7, and Qianjiadian Town homestay agglomeration scores 4.83 on B5 (operating conditions). Baiyue Bridge has a long history. Its original name was Wanfo Bridge because it was the bridge connecting Wanfo Temple, and it was later transformed by Bai Juyi. After the transformation by the operators, the folk houses are full of humanistic sentiment. There are various themes such as Yue opera, tie-dye, family culture and many others. Homestay operators with unique personal services can bring different experiences. As an emerging industry, the lack of homestay professional talent is a common problem. There are a large number of colleges and universities in Hangzhou, and part-time internships of college students have relieved the pressure of human resources to a certain extent. The rent in this area has also increased year by year due to the increase in the reputation of the Baileqiao homestay experience in recent years, which has put great pressure on the homestay management. Because of the accumulative effect of the Baileqiao homestay agglomeration, professional companies serving homestay have appeared. They have operated either through deposit of the homestay facility, such as butler services, washing, and cleaning to lower the operating cost for the homestay facility; through brand marketing, activity operation, or media propaganda to enhance the brand popularity of homestay; or through the housing sharing, with price control linked to low and peak seasons to increase the overall reception and enhance the competitiveness of homestay. The former Dashiyao village in Qianjiadian Town homestay agglomeration area has retained its rural features. Through the collective exploitation and reconstruction of the whole village, the government strongly supports it and the company benefits, which greatly reduces various operating costs. At the same time, local villagers were absorbed in local employment, which saved human costs. Qianjiadian Town homestay agglomeration is still in its initial stage, and needs to build the library, art gallery, cafes, parent-child paradise, and other supporting facilities, meanwhile introducing five national first-class brands of homestay, homestay constructs, and createing a boutique homestay agglomeration.