Tourism operators have expressed concern over the unsettled political situation, urging all parties to find the best solution to avoid large-scale demonstrations.
Tassapon Bijleveld, executive chairman of Asia Aviation, the holding company of Thai AirAsia, said the economy will be affected if the setting up of the new government is prolonged.
As the general election was held two months ago, this represents a long delay for the country, given that other countries might have already set up a new administration within a month of knowing the results.
He said the public and business operators want to see all related parties seek the best solution for the country as soon as possible to return to normalcy. The preferred solution should be acceptable to everyone.
"We would like to encourage every party involved to reconcile and find the best solution for the country. The new government should be established immediately, but this should also be done in a manner that would not trigger any conflict or unpleasant incidents, such as demonstrations, that would affect the tourism industry," said Mr Tassapon.
He said the tourism industry in the second half has already witnessed a slowdown, mainly attributed to the tepid Chinese market as the mainland is facing weak growth, while Chinese citizens have been encouraged to take domestic trips instead.
As the Tourism Authority of Thailand has downgraded the revenue target for the international market next year, and hopes to increase domestic revenue to 1.08 trillion baht, Mr Tassapon said it would be difficult to rely on the local market or hope it would compensate for the stagnant rate of foreign arrivals.
He said the tourism industry still needs international tourists to sustain growth.
During the low season, the average load factor for Thai AirAsia X dropped slightly to 70-80%.
Marisa Sukosol Nunbhakdi, president of the Thai Hotels Association, said the tourism sector is resilient and could adjust to any circumstances in the past, except for one situation -- political turmoil.
She said Thailand has very strong foundations on which to grow the tourism industry, such as attractions and the readiness of the business sector, but political issues had often stalled the development of the industry.
Thaniwan Kulmongkol, president of the Thai Restaurant Association, said as long as demonstrations did not last long, it wouldn't affect restaurant businesses.
She said medium and large operators have reserved some capital in case of an emergency, but small operators remain the most sensitive group and may not be able to adapt if any unrest occurs.