Monday, June 07, 2010

Rise of Ethical Gambling

The recently opened Sands Casino at Marina Bay, Singapore seems to be a perfect 'Asian' answer to Las Vegas casinos. The USD 5.7 billion project by Las Vegas Sands Corporation is all set to become South-east Asia's new gambling and tourism hub. There's no doubt that the incumbent government is eyeing tourism as a source of revenue to foster Singapore’s development and growth plan. The Sands Casino will play a major role and go a long way in luring foreign tourists to Singapore. However, the casino is quite different from other traditional ones. Singapore's new casinos have taken steps to ensure that no permanent resident of the country gets addicted to gambling and loses his savings or earning. The Marina Bay Sands Casino, (the world's second most expensive casino) and Genting's Resorts World Casino at Sentosa is estimated to generate nothing less than USD 3.5 billion by next year. For the uninitiated, Las Vegas’ annual gambling revenue (thanks to their 37 casinos) stands at USD 6 billion while Macau’s 31 casinos collectively generate around $13 billion annually.

A cloud of apprehension, thanks to the new and upcoming casino culture, can be easily felt across the country. The Singapore government has put in place possible measures to contain such apprehensions and check the social-ills of the game. In order to discourage locals (the permanent residents) from going to the casinos often, the government has imposed an entry barrier of 100 Singaporean dollars (this allows them to stay inside the casino for 24-hours straight). Those suffering from bankruptcy are banned from entering the casinos. Another measure taken by its authorities to save families from the perils of this money-looting game, is to install free telephone connections where families can call and ask for their family member to be banned from entering and playing in the casino. There aren't any such severe restrictions on foreign tourists. However, under the National Council for Problem Gambling (NCPG), parents of adult foreign students studying in Singapore can apply for a family exclusion order, if they fear that the student can cause financial harm to the family because of gambling. Moreover, almost all casinos are part of integrated resorts, and thus no casinos can discreetly advertise themselves within Singapore but can only promote themselves as 'integrated resorts'.

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Source :
IIPM Editorial, 2009


An IIPM and Professor Arindam Chaudhuri (Renowned Management Guru and Economist) Initiative

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