Busan Hotels Face Scrutiny Over Price Gouging During Major Festivals
Hotels in Busan, South Korea, are significantly increasing their rates, in some cases up to four times their usual weekend prices, in anticipation of major autumn events like the Busan International Film Festival (BIFF) and the Busan Fireworks Festival. For instance, a high-floor room at a three-star hotel overlooking Gwangalli Beach is priced at 1.1 million won ($800) for the fireworks festival night, compared to 280,000 won for a regular weekend in October. This practice has drawn criticism, with the Busan metropolitan government planning to send official letters to lodging businesses urging them to refrain from price gouging and to conduct intensive inspections. However, current laws offer limited avenues to penalize hotels that set their own maximum rates. The city is exploring options like consulting with the Busan lodging association for voluntary price stability and certifying businesses that maintain fair prices. This issue previously arose during a K-pop concert in June, where average nightly rate...
