Saturday, September 09, 2006
Chester, PA is betting on a casino to revitalize its downtown. But experts who have studied the industry are not so sure. According to one analyst:
"They're going to get some tax revenues and some jobs, but Chester is not going to become a tourist destination, and you won't see a lot of spinoff businesses, other than those directly related to the casino, like pawnshops."
Casinos owners have no interest in spinoff development. They are interested in capturing wallets. Once they have a hold of your wallet, they do not want to let go.
So, they construct parking garages nearby with convenient walkways to the casino. They banish clocks from the walls. They pump in clean, cool air to keep their patrons awake. And they subsidize quality food service to keep patrons happily fed. And for high rollers, they provide 24/7 concierge treatment.
The reason: On average every person entering a casino loses between $60 and $80. The more people, the more wallets. The more time stuck in a casino, the more money for the casino operators.
(I once asked the general manager of the Isle of Capri Casino in Louisiana if he ever gambled. He looked at me, expressionless, and said, "Nope. It's a sucker's game.")
posted by Ed Morrison |
links
Some Background on EDPro Weblog
The purpose of this weblog is to help economic development professionals -- EDPros -- keep up with the changes sweeping our profession. Strap on your goggles. It's a whole new game. There are no experts any more. The only place to learn about economic development is from other EDPros who are doing it.
One other point: the prevaling approach (paradigm, if you like) in economic development is shifting from competition to collaboration. There are a lot of reaasons underlying this shift, but here's the important insight: You, your community, and your region will do better by collaborating and sharing information.
If you are using a news reader, here is the link to syndicate this site:
Here's the link if you are a bloglines subscriber:
Speaking and workshops on Open Source Economic Development
As the idea of Open Source Economic Development starts spreading, more people are asking about it. Visit the I-Open web site to learn more. My colleagues and I are happy to explain the basic concepts in a talk or a workshop. E-mail Susan Alshuler if you'd like to learn more about workshops and speaking.
Background on Ed Morrison
Download some background information on me here.
Casinos: a no spin-off zone
