Case 19 – The Global Casino Industry
To examine industry dynamics and how the structure of an industry has implications for competition.
PART I: (25 pts) Research on line gambling by reading and reviewing two Journal Articles. After you have review the on line gambling industry find five on line gambling sites and explain the pros and cons of each. Part I of our assignment should be a minimum of 700 words and not more than 900 .
PART II: (25 pts) Answer the following questions:
1. Examine the structure of the casino industry. Be Specific and provide examples.
2. What has been the effect of the changing industry structure on U.S. casinos?
3. Provide a DETAILED analysis of Porter’s Five Forces as it relates to the casino industry.
A new research released by the American gaming association shows that the casino gaming industry id driving growth by supporting 350000 small business jobs- which is twice the number of dentist and larger than the entire rail industry. According to the study casino generates 52$ billion revenue annually for Americas small business . casino offers $13 billion in small business employees wages. Casino industry has major impact on the small business growth in many ways like in increasing employment and in products and service .
There are legal US gambling and betting sites recommended for the best US friendly gaming sites.
Bitcoin gambling sites:- its a cryptocurrency which is sent direct from one person to another.
- The withdrawal and payment is fast
- You will play fair games
- No ID verification required
- There is no third party system
- Away from any threat
- No processing fees
Gambling sites are:-
- Sports betting
- Bet online
- Jackpot city casino
You can play online games like:-
- Heads and tails
- Scratch dice
- Pocket dice and many more
A). The casino and gaming industry contribute 1% of US GDP in 2010. In this way this industry is look as a significant potential industry. This industry not only offer gambling but also promotes hotel industry and other products and services. As a result this industry impacts a lot on economic growth of any country. This is complex organisation structure with multimillion dollar business. There are multiple number of CEO’s who report. They cover the gambling part. They have separate vice president for security and surveillance. They ensure that integrity of business is not hampered. They handle food and beverages operations and hotel maintenance.
Like socioeconomic sites of gaming machines in Melbourne and Sydney, Australia.
b). Recently las vegas casino caesars entertainment corp.’s implement to cut its debt of$10 billion. The institutional circumstances were not flexible to adjust too quickly .
c). Porter’s five forces:- states competition from the substitutes. Threat of entry and bargaining power of supplier and buyers. Rivalry between the established competitors.
1. The gaming industry is witnessed with intense competition as game developers. They compete on the basis of quality of gaming content and brand recognition.
2. The rapidly changing mobile platforms are also one of the concerns.
3. Because of intense competition many of the US based casinos are planning to establish operations in other countries like Singapore and macau.
4. Casinos located in some areas are engaged in aggressive marketing strategies.
5. The bargaining power of customer is strong and the bargaining power of supplier is weak.