Positive and Negative Economic Impacts of Casino Gaming

Casino gaming has experienced extremely growth in the some other countries such as US, Macau of China during the past many years. Some researches shows that casino gambling is accepted by economically wrestling location and that it can be a potential development strategy. The impacts slowly come down to other area of the economy, including income maintenance payments recipient (Kale, S. H., 2004). However, many from the Singapore local community have blamed the casinos for the negative impacts caused to the country. On the other side, local governments and local workers do not appear to reap the big share of benefits, as much of the income gained by casinos is went to pot through leave out outside the main country.

Get Help With Your Essay

If you need assistance with writing your essay, our professional essay writing service is here to help!

Essay Writing Service

Positive Economical Impacts

Firstly, casino can provide more job opportunities for local employees. Almost jobs are relatively low-skilled, low-paying service types, though there is evidence that tips swing the balance to higher than average pay for some occupational groups. However, unionized casino workers are nearly ten times more than the national average to have their health coverage paid in full and have subsidize payment that surpassed the national average. Casino jobs have been a magnificence “welfare to work” example. Furthermore, casino jobs can create immediately employment opportunity in some areas.

Secondly, Economic development is a multifaceted concept that reflects numerous concerns not captured by conventional income statistics (Chen, J. S., 2010). Per-capita income, imperfect as it is, still provides one plausible measure of economic well-being. Per capita income grew nearly five percentage points faster in casino counties than in their non-casino county counterparts. This result is statistically significant. Therefore, casinos not only grow the local economy, but on average residents gain as well.

Thirdly, gambling can be a powerful economic development tool. The basic criteria for economic development success are for a project to increase a region’s net exports. Specifically, the amount of goods or services that are exported needs to be increased or the amount that are imported decreased. This is the only way that income can increase (Singapore EXPO Convention and Exhibition Centre, 2009). Projects can certainly be an overall economic success in terms of profit without doing either of these, but those profits come at the expense of other businesses.

Moreover, the city that casino is located in will gain a more amount of tax from the casino, also making that city more wealthy. If a casino is opened in a country side where there lack of businesses, there will bring other businesses in, such as restaurants, gas stations, hotels, and even theme parks, which will bring in more revenue for the city, in this case, Marina Bay Sand can be a very good example. The country will get more from the profits, taxes and anything the casino need to pay to the Singapore’s gaming commission in order to be able to operation. If the casino is not located near many other casinos or the size of the country is not so large such as Singapore, that will attractive more tourists to the area, bringing in even more profits (Alfonso, R. O., 1997).

On the other hand, this is not a sign that gambling in casinos should be banned permanently. Casinos have been in appears for hundreds of years and the games have been played for centuries. Moreover, as a form of entertainment, gambling also has its advantages, such as relaxation. Generally, the objective is to win if you can. One should not completely eliminate the aspect of losing. This means risking only the amount of money that you can to lose in game (Alfonso, R. O., 1997). The key to a successful game is simply managing it with the good mindset. In fact, in gambling, where betting risks are great, in which case a wagering system is advised. This includes of discipline or the ability to manage by yourself, especially if you come to a losing streak and your previous winnings start to reduce.

Negative Economical Impacts

The main negative impacts include the consuming on public services, like sewers and road maintenance, and the costs of increased crime prevention in casino neighborhoods and even in adjacent communities. In other word, the negative impacts are related to the economic carrying capacity of the region relative to the size of the new casino.

While the money invested in several gambling projects and the jobs at the first instance created are cleared, the industry has been criticized for inflating the potential grows economic impacts and unremarkable the negative impacts (Goodman, R., 2001). The industry tends to focus on specialized factors provides an unfair view of the localized economic positives, also refusing the strategic business economic costs to the country as an adequate. Using legalized gambling activities as a strategy for economic development was carefully reputation losing during the hearing.

Moreover, gambling activities and the gambling philosophy are straightly effect to the business principles and economic development. Legalized gambling activities also have bad effect to education at philosophically and fiscally (Clotfelter, C. T. & Cook, P. J., 1991).

On the other hand, states which grip legalized gambling activities can expect major socioeconomic costs and reduce the quality of life. Otherwise, legalized gambling activities provide addicted and potentially addicted consumers to the market, and most existing traditional businesses will find it a bit challenge to compete. For instance, some researchers strongly suggests that the introduction of popular legalized gambling in Resort World Sentona, including casinos and video lottery terminals, over a 4 months’ time span caused 1% increase in the number of problem and potential pathological gamblers (Sim, A., 2010). Based on a research, each new pathological gambler has been calculated to cost society from $26,200 SGD to $78,000 SGD per year (Hooi, D. H., 1999). These costs are not just impacted in society as a whole, but also impact on all businesses.

On the other hand, major businesses should be concerned with the expanding various forms trending of legalized gambling activities. Non-gambling related businesses will not be rivaling for benefits on a level playing field, because legalized gambling activities can provide to a potentially addicted market segment. Since the Singapore economies are extensive in scope, the socioeconomic negatives combined with legalized gambling activities can keep hidden for a long time period. However, a particular activity is legalized by a government not mean that the societal effects or negative business have been reduced.

In addition, varieties casino styles and locations are better than the others, but these factors are not outstanding specify of casino effects at this time. Nevertheless, a new casino catering to Singapore local market can generate positive secondary economic effects through its employees if it induces an increase in total employment in and around its host community. Such affects are greatest for new casinos in areas of high demand of employment.

Task 2

2.1. Target Markets

With highly competition around the ASIA, the IRs will enhance Singapore’s image as best destination. The IRs will allow Singapore can have more advantage from the Asia Pacific tourism sector. Factor in Singapore’s strategic location, its good flight connect with low cost airlines and a world-class infrastructure, the IRs will present lots of good opportunities for Singapore (The Business Times, 2010).

Using the Bahamas and Las Vegas as a comparison, the local Integrated Resorts will provide distinct world-class development coupled with a whole range of amenities such as luxury hotels, entertainment shows, theme attractions, convention facilities, and also casino gaming. The IRs is expected to create nearly 35,000 jobs, and the industry is expected to invest US$7.1 billion in IRs (US$3.5 billion in Marina Bay; US$3.6 billion in Resorts World) (singaporecasinopromo.com, 2010).

2.2. Location

There are different ways to look at potential markets. We might classify players as grind, middle or premium, or might also identify local, traveler or destination markets. What it boils down to understand how much that your customers will spend and how far they have to travel to reach the casino. Other significant niche markets include Asian or Middle-Eastern players (Dandurand, L., 1990).

The proposed world-class resort, suitably named Resorts World at Sentosa, is destined to be Asia’s most mesmerizing family resort and will entrench Singapore as one of world’s leading leisure holiday destinations. They are both established names in the region in the leisure, hospitality and gaming industries and boast a customer base spanning the globe with an impeccable track record, excellent industry relationships and an unrivalled sales and marketing distribution network in Asia and beyond. It will be develope on the island of Sentosa, off the southern coast of Singapore (temasekreview.com, 2010). The 49 hectare integrated resort will cost S$600 million solely for land, and S$1.6 billion just on a Universal Studios theme park called Universal Studios Singapore.

2.3. Entertainment

At a cost of just under $5 billion US, the integrated casino resort Singapore’s Resort World Sentosa just makes the others such as Mirage and Bellagio in Las Vegas, US look downright cheap.  If the Mirage needed $1 million US a day to cover its $630 million US price tag, early reports suggest RWS is so far an unqualified success.  According to Union Gaming Group they have been winning between $7 million US and $8 million US a day since doors opened in February 2010 (Livedealer.org, 2010).

Other while, Resort World Sentosa is neither the biggest nor the most ambitious casino project that has been built in the last five years.  Less than 5 kilometers down the road from Sentosa Island at Singapore’s Marina Bay, a casino is due to open in less than a fortnight’s time.  This one cost $5.5 billion US to build.  The Marina Bay Sands is the current benchmark for big budget casino resorts (CHP Partnership, 2005).

2.4. Current IR Promotions

Recently, Singapore could be one show closer to becoming the “Broadway of Asia” comes next March 2011. That’s when Disney’s award-winning Broadway musical, “The Lion King” will opens at the new 1,630-capacity Sands Theatre at Marina Bay Sands. Marina Bay Sands and BASE Entertainment, main partners who bringing in the musical, made the announcement together on 26 October 2010, to get the Southeast Asia debut of the mega-production, which will cost more than S$10 million to stage and produce over the next few years (Marina Bay Sands Singapore, 2010).

BASE Entertainment Asia’s vice president Milan Rokic said, “This production is one of the many 1st class events we’re bringing to Southeast Asian audiences, as part of BASE plan to help Singapore become the world best live entertainment destination for the region and all over the Asia.” (Channel News Asia, 2010).

On the other hand, Resorts World Sentosa offers venues for MICE, such as Meetings, Incentive Groups, Conventions and Exhibitions, that few places can match. Customers can showcase their business at the world’s biggest WaterWorld amphitheatre, or hold a stunning themed party in Egypt, or New York, or Hollywood, or the futuristic Sci-Fi City (Resort World Sentosa, 2010).

Task 3

Improving Security and Surveillance Procedures with Help of Technology

Each day, millions of dollars change hands in a casino in the form of chips and money. With the help of technology, casinos are able to modify the way security and surveillance procedures are being utilized in their premises.

IP Video Management Software

Marina Bay Sands Casino in Singapore is using a powerful complex surveillance problem-solving based on XProtectâ„¢ Corporate of Milestone Systems, a very big open platform company in IP video management software. From June 2010, Marina Bay Sands Casino also took over complete control of security monitoring for the Marina Bay Sky Park, close at hand within the casino, where some VIPs stayed during the Nation Day in August 2010 (Sim, A., 2010). “Like all other casinos we need to follow to standard laws and regulations for security and internal formalities. Our casino also tries to provide the best service to our customers. So we have decided to work with the best advanced surveillance technology on the market,” said Baybars Oral, Director-VIP Gaming (and also known as Director of Mass Table Games) (Sim, A., 2010).

The technology is used Milestone Systems’ IP video open platform solution, XProtect Corporate. With a few simple clicks, controllers can manage hundreds of oversee cameras at the same time, viewing reality or store images from different servers concomitantly. Furthermore, the video material is easily accessed when the police want evidence.

Thousands cameras are linked to the servers, with a storage capacity of 10 TB of each. This is necessary for the video storages since recordings from the gambling tables must be saved for 31 days followed the law, also the images from the cash transactions must be keeping around 62 days. The video records with sound and this gives a very good advantage: when customer asked to put the money on the table and there is reasoning, the operators can play back to determine precisely what did happen, which fast resolves any misunderstanding or mistake. The images are also used to ensure that all internal procedures are appear (Sim, A., 2010).

Find Out How UKEssays.com Can Help You!

Our academic experts are ready and waiting to assist with any writing project you may have. From simple essay plans, through to full dissertations, you can guarantee we have a service perfectly matched to your needs.

View our academic writing services

“With Milestone we can find correct views from many different corners, and scroll back, checking quickly, and also zoom in for close-ups. The checking often does with who has put a chip on the table at a certain time and for an unusual amount. We can collect the images from many cameras at the same time and see the details of a person action,” says Baybars Oral.

Overall, Baybars Oral believes that the systems based on Milestone platform, are priceless when one willing to take the risks related with operating a casino. According to Baybars Oral, there are many experts out there who have made a career out of cheating. “Our people are trained to identify those cheaters, and when that appears we are talking about huge money. That’s why it really important for us to invest in such high technological solutions, and that also provide more benefits to our customers from our security and service” Baybars Oral said (Sim, A., 2010).

Task 4

4.1. Concepts of Responsible Gambling Framework

Problem gambling is defined as all gambling behavior patterns that can compromise, disrupt or damage personal, family or vocational pursuits. It can affect both the person who gambles to excess as well as others (such as family members, co-workers, employers or community members) (Ministry of Public Safety and Solicitor General, n.d.).

Source: Journal of Gambling Studies (2002).

4.2. Reduction and Rehabilitation of problem Gamblers

Some research studies have shown that pathological gambling is a form of addiction affecting more than 5.5% of the general population. Researchers have developed a research on responsible gambling and problem gambling and associated addictive behavior. According to professionals, these researches help school and workplace managers recognize and manage gambling problems that may appear in students and employees. Moreover, to incurring significant debt, problem gamblers or compulsive gamblers typically display a lack of interest in school or work, develop relational, and emotional problems (Singapore EXPO Convention and Exhibition Centre, 2009). Hence, it is necessary that problem-gambling prevention should be incorporated into school and workplace regulation. Prevention is the action taken to prevent an undesirable problem. It identifies the needs of people who may be at risk of developing a gambling problem.

There several ways that Singapore government and other stakeholders can assist in the reduction and rehabilitation of problem gamblers as following:

Public awareness and media campaigns

Provide accurate, balanced information on gambling, the harmful consequences of problem gambling and promote healthier alternatives by:

• Promoting the awareness of problem gambling issues and services in Resort World Sentosa and Marina Bay Sands casino.
• Developing an overall prevention theme – Key messages that dispel myths.
• Proactive use of media to promote prevention messages and theme such as TV, Radio, Advertisement campaigns (Sentosa Casino Resort, 2010).
• Providing low risk guidelines that enable adults to self regulate and monitor gambling behavior.

Community Involvement

Support the development of municipal policies and prevention initiatives that foster a community environment where responsible gambling is the norm by:

• Inviting municipalities to partner in addressing issues related to problem gambling and responsible gambling – Partnership forum.
• Distributing information about the incidence and prevalence of problem gambling.
• Prevention providers working with schools and community groups.

Standards and Policies

Develop public interest standards and policies to decrease risks such as:

• Advertising Standards,
• Responsible Gambling Standards.

Professional Education and Skills Training

Develop and deliver ongoing training that is evidence based and reflects best practices in delivery of prevention programs:

• Develop accredited curriculum for delivery by some justice Institute.
• Develop and deliver curriculum to train allied professionals and collateral service providers.
• Develop and deliver training to increase skills of gaming providers – ART training.
• Support the development of problem gambling prevention components for university and college curricula.