It is a place where East meets West, where ancient merges with modern.

The De Ju Yuan Hotel in Pingyao Ancient City, named a UNESCO World Heritage Site in 1997, combines perfectly preserved traditional Chinese courtyards dating back to the Ming Dynasty (1368-1644), with guest rooms that feature telephones, Internet access, cable TV, air conditioning and hot running water.

Within the traditionally styled dining hall, stacks of newspapers and magazines in English and French fan out on the tables, while behind the bar there is a wide selection of foreign spirits including whisky, vodka and even Baileys Irish Cream.

We like to cater to our guests from Europe and the US, Lei Cailing, the hotel's English- and French-speaking owner, said.

"Baileys is popular with Western women, while men tend to go for whisky," Lei said.

"And unlike Chinese customers, our foreign guests don't talk so loud and are better mannered."

Forty-year-old Lei opened the hotel with her husband Yuan Zengfu in 2001, after they were both laid off from a local textile factory.

Located within China's best-preserved walled city, the courtyard hotel can accommodate as many as 30 guests in rooms that come complete with kang (traditional Chinese beds).

In 2005, former French President Valery Giscard d'Estaing and his wife stayed at the De Ju Yuan Hotel during a visit to Pingyao. A photograph of them has been on display there ever since.

"Thanks to word of mouth since their visit, our hotel became very popular with French customers," Yuan said.

"The hotel has friendly staff, a nice atmosphere and good food. I'll come again," one French guest told China Daily.

The key to the success of the hotel is providing great service and putting customers first, Lei said. "We try to provide a quality service and serve good food that appeals to all tastes," she said.

"Also, we don't hike our prices during the high season, which runs from April to early October." Rooms at the De Ju Yuan cost from 165 to 368 yuan ($22-$50) per night.

Lei Jun, a divisional director with the local tourism bureau, said Pingyao receives about 1 million tourists a year, about 18 percent of which are foreigners.

The city has become popular with foreigners due to its superb examples of traditional architecture and numerous cultural attractions, he said.

(China Daily November 20, 2007)