James Packer’s Melco Crown Asian gaming joint venture is planning to build $5 billion Casino in Tokyo, Japan. The company is in talks with several Australian and Japanese companies to join forces to build a unique and culturally diverse casino in time for Olympics 2020.
ITodd Nisbet, the crown executive leading the Japan casino bid revealed that the company was pursuing a contract with the South Korean and Vietnamese Governments for building similar casino resorts. The company is also negotiating on a new project in Sri Lanka which would be completed by the end of this year. These are three of the larger projects for 2014 in the gaming industry and they are all coming from the same resources.
Despite company’s activeness in contacting multiple countries for making casinos and gambling establishments, it considers Japan the biggest potential market. Japan, which earns $40bn-a-year in gaming market, could be high turnout for the company if they have success early. The task has become much easier after recent changes in Japan’s legal rules that used to oppose gambling has now lifted the heavy regulation making the project financially plausible.
Mr Nisbet said the Company’s President, James Packer, would visit Japan accompanying business delegation along with Prime Minister Tony Abott who would visit Japan in the end of this year. 120 million population country located in north Asia was regarded a big spot for gambling games. The laws were restricting companies to consider Japan as next market, but again, recent legalization made the dream of more than one company come true. Although it will be years before the Japanese are competing against Macao China, the largest gambling destination in the world.
Other casino giants are also eyeing Japan as it aims to attract tourists and support economy with a new found commercial entity. Melco Crown’s position is far better in market because they have invested in a lot of money recently in Australia and abroad. They also pose an excellent business track record during previous few years and certainly have the money to invest according to their late earnings.
Mr Nisbet also considered sound financial position as their real strength. He said that the real difference between their company and other ones is that they had reinvested in their properties during bad times. The government should also keep in mind the fact that the company who is willing to invest in tough times can be the real companion, and the crown had done it brilliantly in past.
He said Melco Crown was not going to build just another mainstream casino. “The company will keep coming up with some unique ideas and way to entertain out guests for the future.” Nisbet has stated. They will bring cultural and regional touch in the resort as opposed to their outwardly corporate rivals. He showed his willingness to provide people with an entertaining environment.
The key ingredient is the involvement of local contractors in project. The Crown executive muttered that the company is also active in talks with local companies for steady workers. They have been meeting with several companies’ representatives for the purpose of planning their involvement but nothing is confirmed yet.
The Olympics have always changed the way governments, as well as companies, think and do business. Japan will be world’s stage in Olympics 2020 and these, and more companies want to make most out of it. The government also wants to reinvigorate the Japanese economy after intentionally making changes in the legal system solely to increase revenue.