Asia – Huge Prospects For Casino Industry
When the island of Macau opened up its doors for the casino industry, it introduced Asia to the fun and splendor that came with it. Casino owners in the west are rushing to open up shop in the East. This is mainly after seeing the success of the casinos in Macau. Now two casinos have opened up in Singapore and they too are profiting well. The Singapore venture has been so successful that it is set to overtake Las Vegas in terms of revenue.
The potential for casino owners in Asia is huge. Though there are many risks involved like stringent laws, political instability, and somewhat underdeveloped economy when compared to the west, the benefits outshines them. The emerging casino industry in Asia is attracting investors from all quarters. Companies like MGM Resorts, Wynn, Sands, among others, have all set up shop in Macau and are now planning their expansions into Singapore as well.
An advantage in the Asian continent is its huge local customer base. The people of Asia initially had to go to the USA to enjoy the real casino experience. But, now with all the great casinos in their own backyard, they are able to experience everything locally. Residents from neighboring Asian countries have also begun to visit the island nations to experience the casinos firsthand. This has increases the tourism revenue in these countries as well. Due to the great reviews about the casinos in Singapore and Macau, people are even flocking from Europe and the USA to visit them. Some of the casinos belonging to MGM and Wynn are considered to be way better than their sister concerns in Las Vegas. For the same reason Macau is now considered the world’s biggest gambling destination, leaving Las Vegas to trail in second place.
Risks to Look Out for
Every prospective business is not without risks. The setting up of casinos in Asia is definitely lucrative but not without some risks. First of all, the laws in the country can stand in the way of smooth setting up. For instance, in many countries around Asia, foreign ownership of land is prohibited. This means that the casino owners will have to lease the land or go into tie up with the land owner to start business. In some countries, gambling is a punishable act and as such setting up a casino is an absolute no go. Another risk faced by many of the casino owners is underdevelopment. In the midst of such underdevelopment, there is no scope for gambling as people do not have the monetary power to enjoy gambling. These coupled with political unrest on many parts of Asia, all pose as threats to setting up casinos in Asia. Due to these reasons, casinos are being concentrated in the more legally relaxed and prospective areas of Macau and Singapore.
Asia is definitely ripe when it comes to the gambling industry. More and more casino giants from Las Vegas are looking to open casino hotels and resorts in Asia and reap the benefits.