IN what proved a slow trading week for hotel stocks, three Hongkong-listed issues took a slight dip. CDL Hotels International, Harbour Centre and Regal Hotels went down between four and 0.8 per cent. One cloud hanging over Harbour Centre is the fact that Wharf Holdings' plans to privatise the company have yet to be resolved. However, despite the lacklustre performance, prospects for the hotel industry continue look good for the next few years. The recent announcement by the Hongkong Tourist Association (HKTA) that it would include visitors from China in its statistics reflects the impact the group has made on hotels, shopping and other tourism-related industries. And the first two months of this year alone recorded a total of one million visitors, in line with the HKTA's forecast of 7.5 million visitors expected to arrive in the territory this year. Lai Sun Development's $1.1 billion purchase of the Ritz Carlton also strengthened the optimism of the industry and will release an additional 214 luxury rooms on to the market. The proposed listing of a subsidiary of Shangri-La International further boosted optimism in the industry. But there were also reminders that its pays to be cautious in the industry. The CNT group's sale of China Harbour View Hotel in Wan Chai to Hongkong developer Pearl Glorious, which said it would redevelop the hotel into a commercial property, points to the difficulties in keeping a hotel profitable. in the face of persistent inflation.