Transcript Chapter 12 Gaming Entertainment

Chapter 12
Gaming Entertainment
Introduction to Hospitality, Fourth Edition
John Walker
©2006 Pearson Education, Inc.
Pearson Prentice Hall
Upper Saddle River, NJ 07458
After Reading and Studying This
Chapter, You Should Be Able to:
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Outline the history of the gaming entertainment
industry
Describe the various activities related to gaming
entertainment
Explain how gaming entertainment is converging
with other aspects of the hospitality business
Discuss the controversies surrounding the gaming
entertainment industry
Gaming Entertainment
Defined
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432 casinos in 11 states
Commercial and Native American casinos
Card rooms
Charitable games
Lottery operated games
Wagering on greyhound and horse races
Definitions
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Handle
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Win
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What the consumer bets (wagers)
$500 billion dollars
Gross gambling revenue
$48 billion dollars
Casinos count for half of the U.S. gaming
dollars
Gaming Versus Gambling
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Gaming entertainment
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Casino floor (gambling)
High-quality food and beverage
Hotel rooms
Live performances
Theme park, theme rides and museums
Land-based and riverboats
Gambling
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Playing a game of risk for chance of making money
Who is the Guest?
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Increasing acceptance by all consumers
32% of US households gamble in casinos
Younger players
White-collar jobs
Wants total entertainment experience
History of Gaming
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Gambling legalized
in 1931 in Las Vegas
From 1940-1978 Las
Vegas was a
monopoly for gaming
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No hotel rooms
No entertainment
Gaming Control
Board and Nevada
Gaming Commission
The Move to New Jersey
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Gambling legalized in 1976
Looked at gaming to invest capital, create
jobs, pay taxes and attract tourists
Casino Control Act funded Casino Control
Commission
Native American Gaming
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In 1987 the Supreme Court determined if a state
has gaming, so can Native Americans
11% of all winnings are from Native American
casinos
Indian Gaming Regulatory Act (IGRA)
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Provides framework for games
Defines different “classes” of gaming
Key Players
Mirage Resorts
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Mirage Resorts
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Treasure Island
Golden Nugget
Monte Carlo
Bellagio
Atlantic City
Now MGM-Mirage Resorts
Key Players
Harrah’s Entertainment
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Harrah’s Entertainment
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Reno, Lake Tahoe, Las
Vegas, and Laughlin, NV
Atlantic City, NJ
Riverboat and dockside
casinos
Native American Casinos
Key Players
Hilton Hotels Corporation
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Hilton Hotels
Corporation
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Purchased Bally
Entertainment
Las Vegas, Reno,
and Laughlin
Atlantic City
New Orleans
riverboat
Canadian casino
Star Trek at Hilton, Las Vegas
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$70 million venture
Targets
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Baby boomers
Generation X
Simulation ride
Television screens
Key Players
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Caesars World hotel/casinos
Las Vegas, Lake Tahoe
Atlantic City
Key Players
Circus Circus
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Owns hotels and
casinos in three
states
Now MGM-Mirage Resorts
Luxor Owned by Circus Circus
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Based on Egyptian
pyramid
World’s largest atrium
4500 hotel rooms
Thrill seeking rides
Museum
Now MGM-Mirage Resorts
Excalibur Owned by
Circus Circus
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Based on medieval
period of time
4000 hotel rooms
Evening jousting
matches
Now MGM-Mirage Resorts
Key Players
MGM Grand
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113 acres
5000 hotel
rooms
“City of
Entertainment”
Six-story lion
entry
Now MGM-Mirage Resorts
New Players
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Boyd Gaming
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Grand Casinos
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10 gaming and hotel
facilities in 4 states
Develops, constructs and
manages land-based and
dockside casinos
New York, New York
Casino –now MGM-Mirage
Sands Venetian Resort
Careers in Gaming
Entertainment
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Hotel operations
Food and beverage operations
Casino operations
Retail operations
Entertainment operations
Trends
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Merging frenzy
Look at entertainment for profit & growth
Hotel room inventory in gaming properties is
expanding
Continued scrutiny by government
Exceptional service quality is key to success
Great management opportunities for students