Hilton Strategic Plan
2.0Situation Analysis 2.1Market Summary - Goethe once said, "We must always change, renew, rejuvenate ourselves; otherwise we harden." That pretty accurately describes the mindset of the $60-billion-dollar gambling industry, which includes casinos and state lotteries (together accounting for nearly 90% of total "winnings"), pari-mutuel wagering, and charitable gaming, as well as firms that manufacture gaming machines. Gaming companies have been relentlessly expanding in existing markets, moving into new ones, and searching for additional outlets to attract gamers (Hoovers Online). MARKET SUMMARY DJ CASINOS 458.040009 1.52% Most Active Symbol Volume IGT 2.46M MGAM 1.80M SGMS 1.54M UBET 1.33M MECA 928.17K Price Gainers Symbol Change PSON 7.84% UBET 6.21% BYD 5.26% TABCY.PK 5.23% CRYP 5.21% Price Losers Symbol Change MGAM -4.07% MECA -3.56% MIKN -3.44% DJT -1.76% LACO -0.52% Market Demographics – “Gambling used to be what a few unscrupulous people did with the aid of organized crime. But gambling fever now seems to affect nearly everyone as more and more states try to legalize various forms of gambling” (Anderson (2004), p.1). Governors argue that state lotteries are an effective way to raise taxes painlessly. However, the evidence shows that legalized gambling often hurts those who are poor and disadvantaged. One New York lottery agent stated, "Seventy percent of those who buy my tickets are poor, black, or Hispanic. And a National Bureau of Economic Research "shows that the poor bet a much larger share of their income" (Anderson, 2004, p. 1). Studies also indicate that gambling increases when economic times are uncertain and people are concerned about their future. 2.12Market Needs – Trust, Credibility, Better reputation. “The gambling industry has a tainted reputation, since casinos were used for money laundering purposes from the early 20th century. Unlike sports betting where the outcome is unambiguous, casino games are supposed to be ruled by chance alone.