A comparative study for determinants of gaming performance in Macao and Las Vegas

Qiang Deng; Xinhua Gu; Rob Law; Zhaotong Lian

doi:10.1016/j.tourman.2019.103964

A comparative study for determinants of gaming performance in Macao and Las Vegas

Qiang Deng, Xinhua Gu, Rob Law, Zhaotong Lian

Research output: Journal article publication › Journal article › Academic research › peer-review

11 Citations (Scopus)

Abstract

This paper studies gaming efficiency with data envelopment analyses (DEA) and its determinants with seemingly unrelated regressions (SUR). We show that gaming efficiency is higher in Macao than in Las Vegas and can be improved in both places. We find that Macao casino performance hinges on China's economic growth and visitor arrivals as well as VIP service and promotional marketing while non-gaming business and slot gaming are contributors to Las Vegas tourism efficiency. We also indicate that the 2008 global financial crisis and the 2014 China anti-corruption movement are hugely disruptive to gaming efficiency both in Macao and Las Vegas. Those results provide policy makers and casino managers with useful implications for efficiency enhancement in gaming-led tourism and hospitality.

Original language	English
Article number	103964
Journal	Tourism Management
Volume	77
DOIs	https://doi.org/10.1016/j.tourman.2019.103964
Publication status	Published - Apr 2020

Keywords

Casino tourism
DEA
Gaming efficiency
Resort hospitality
SUR

ASJC Scopus subject areas

Development
Transportation
Tourism, Leisure and Hospitality Management
Strategy and Management

UN SDGs

This output contributes to the following UN Sustainable Development Goals (SDGs)

More information

10.1016/j.tourman.2019.103964

Cite this

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title = "A comparative study for determinants of gaming performance in Macao and Las Vegas",

abstract = "This paper studies gaming efficiency with data envelopment analyses (DEA) and its determinants with seemingly unrelated regressions (SUR). We show that gaming efficiency is higher in Macao than in Las Vegas and can be improved in both places. We find that Macao casino performance hinges on China's economic growth and visitor arrivals as well as VIP service and promotional marketing while non-gaming business and slot gaming are contributors to Las Vegas tourism efficiency. We also indicate that the 2008 global financial crisis and the 2014 China anti-corruption movement are hugely disruptive to gaming efficiency both in Macao and Las Vegas. Those results provide policy makers and casino managers with useful implications for efficiency enhancement in gaming-led tourism and hospitality.",

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note = "Funding Information: This research was funded in part by the Grant of the University of Macau, Macao SAR (File no. MYRG2016-00016-FBA ), the Science and Technology Development Fund, Macau SAR (File no. FDCT/027/2016/A1 ), and the startup research grant for high-level talents (Zhongshan Institute, UESTC). Publisher Copyright: {\textcopyright} 2019 Elsevier Ltd Copyright: Copyright 2019 Elsevier B.V., All rights reserved.",

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AU - Gu, Xinhua

AU - Law, Rob

AU - Lian, Zhaotong

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PY - 2020/4

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N2 - This paper studies gaming efficiency with data envelopment analyses (DEA) and its determinants with seemingly unrelated regressions (SUR). We show that gaming efficiency is higher in Macao than in Las Vegas and can be improved in both places. We find that Macao casino performance hinges on China's economic growth and visitor arrivals as well as VIP service and promotional marketing while non-gaming business and slot gaming are contributors to Las Vegas tourism efficiency. We also indicate that the 2008 global financial crisis and the 2014 China anti-corruption movement are hugely disruptive to gaming efficiency both in Macao and Las Vegas. Those results provide policy makers and casino managers with useful implications for efficiency enhancement in gaming-led tourism and hospitality.

AB - This paper studies gaming efficiency with data envelopment analyses (DEA) and its determinants with seemingly unrelated regressions (SUR). We show that gaming efficiency is higher in Macao than in Las Vegas and can be improved in both places. We find that Macao casino performance hinges on China's economic growth and visitor arrivals as well as VIP service and promotional marketing while non-gaming business and slot gaming are contributors to Las Vegas tourism efficiency. We also indicate that the 2008 global financial crisis and the 2014 China anti-corruption movement are hugely disruptive to gaming efficiency both in Macao and Las Vegas. Those results provide policy makers and casino managers with useful implications for efficiency enhancement in gaming-led tourism and hospitality.

KW - Casino tourism

KW - DEA

KW - Gaming efficiency

KW - Resort hospitality

KW - SUR

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JO - Tourism Management

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A comparative study for determinants of gaming performance in Macao and Las Vegas

Abstract

Keywords

ASJC Scopus subject areas

UN SDGs

More information

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