朝陽商管評論 中華民國 99 年 12 月，第 9 卷，第二期，1-22

Integrated Industry Development: experience of Macao and

Jui-Ying Hung * Department of Senior Citizen Service Management, Chao-Yang University of Technology

Wen-Goang Yang Department of Leisure Service Management and Department of Marketing and Logistics Management, Chao-Yang University of Technology

Su-Shiang Lee Department of Leisure Service Management and Management School, Chao-Yang University of Technology

Abstract

In Asia, numerous governments have encouraged integrated (IRs) industry development to improve the well-being of the population, economical growth and competitive advantage. This investigation utilizes the adjustment Diamond Model (Porter, 2010) to discuss the IRs industry develops in Macao and Singapore where this industry has been opened procedures. Here it utilizes the fuzzy Delphi method to find the key indicators about IRs industry development successful in Asia. Finally, the investigation finds that the whole environment (politic, economy, society, and technology) is stable and if the output from its service industry accounts for over 70% of its GDP when developing and promoting an IRs project is very important and primary. Besides, the related indicators with Demand Conditions, a repositioning and of the people’s concept and an adsorption of new thinking of gaming business and IRs - should be undertaken, in order to raise IRs related personnel’s quality and ability in the nation (region) to form industry synergy.

Keywords: Integrated resorts industry, competitive advantages of nations, fuzzy Delphi method

* Corresponding Author E-mail: [email protected] TEL: 0988156327

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1. INTRODUCTION

Recent years have seen a revolution in the gaming industry. Numerous governments have encouraged integrated resort development in an attempt to improve citizenry well-being, economical yield and competitive advantage of nation. Because of the easier control of tourism industry within their boundaries, they have been attempting to integrate tourism and travel industries related elements, including , foods and drinks, shopping malls, MICE (Meeting, Incentives, Conferencing, and Exhibitions), entertainment shows, sports events, theme parks, transportation and communication, et al . The purpose is to develop an integrated resorts (IRs) project model. In a time when global economies are gradually recovering from the structured note event of Lehman Brothers which broke out in 2008 and decimated financial firms and enterprises around the world into their bottoms, the gaming industry is growing strongly.

The World Tourism Organization (WTO) forecasts that by 2020, East Asia and the Pacific region (the Asia Pacific region) will become the hub of international tourism. “Global Entertainment and Media Outlook: 2007-2011” (PricewaterhouseCoopers LLP) also observes that, since the end of 2009, countries throughout the Asia Pacific region have been seeking breakthroughs and proposing resources integration strategies in a bid to continuously expand their tourism industries, such as Macao new ’ continuous opening, South Korea’s developments in TV dramas destination travels, Thailand’s creative travels, Singapore’s development in IRs, et al. These countries have been seeking to promote their tourism industries and hence increase national economic output (Anthony, 1998; Stanton and Alislabie, 1992). Not only will the efforts of these nations make Asia a top tourism and travel concept market, but they will also gradually increase its soft power and national competitiveness.

Furthermore, among relevant tourism industry projects in Asia, developments in IRs in the gaming business stand out in terms of breakthroughs and resources integration, with examples including developments in Macao, Malaysia, South Korea, Vietnam, Singapore, and so on. Particularly, Macao and Singapore, neither of which specializes in manufacturing, have been developing their tourism and

Integrated Resort Industry Development: experience of Macao and Singapore 3

travel industries based on their existing resources. Internal weaknesses and external threats have been analyzed in detail. Relevant favorable factors have been added to differentiate and provide a basis for further development in the tourism and leisure industries. A cluster effect thus has gradually occurred in tourism related industries and become a characteristic for national tourism development. Thus, a nation or region can be effectively marketed by focusing on a single characteristic. This approach can stimulate domestic demand, create jobs, attract foreign investment enhance development related industries, etc. Overall, these factors drive national development (Andriotis, 2008; Anthony, 1998; Stanton and Alislabie, 1992).

Given the above developments in some Asian countries described above, this study discusses the case of Macao and Singapore, both of which are already developing IRs. In-depth analysis is then conducted regarding the development strategies of these two countries, in addition to appreciable benefits. This study aims to:

1.1 Discuss the progress and business models of IRs developments in Macao and Singapore, as well as analyze associated benefits.

1.2 Apply the Fuzzy Delphi Method (FDM) to construct dynamic system architecture for IRs in Asia.

2. CURRENT DEVELOPMENTS OF ASIA’S IRs

Statistics from Global Betting and Gaming Consultants (GBGC) show that global gaming revenue was approximately US$260 billion in 2009. Globally, over 113 countries and regions have legalized gaming. Currently the top three tourism-oriented centers are Macao, Las Vegas, and Atlanta City. In 2006, Macao achieved revenue of $6.84 billion, exceeding Las Vegas at $6.69 US, helping Macao become the leading casino center. With Singapore, Japan, and Thailand also having opened tourism-oriented casinos, the development of Asia’s gaming industry is expected to accelerate.

2.1 Macao

Macao, known as the “the Monte Carol of the Orient” and “the casino of the

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East”, is the leader in the Asian gaming industry. In 1847 when Portugal legalized the gaming industry, Macao developed the first casino industry in Asia, and the industry subsequently became central to the Asian economy. Between 1851 and 1863, the Macao government implemented a licensing system for its gaming industry, accompanied by a strict law that painstakingly specifying the business management and practical operations of the gaming industry. In 1961, the Hong Kong tycoons Henry Ying-tung Fok (1913~2006), He Hongshen (1921~), etc. established the Sociedade de Turismo e Diversões de Macao, obtained a permit, and monopolized the Macao gaming industry for exceed 40 years. He Hongshen later became known as “Macao’s King Gambler”, a household name in Asia. After Macao was handed over to China in 1999, the gaming and tourism industry was positioned as a core support industry and has since powered the overall Macanese economy (Tseng, 2007).

Statistics from the gaming and tourism industry statistics show that casino revenue in Macao totaled 83 billion MOP dollars (US$10.4) in 2007. As estimated 22 million people visit Macao annually, making it the largest tourism-oriented casino development center in the world. Reasons for Macao focusing on casino development include: a. to develop tourism; b. to create jobs; c. to utilize its advantage of close proximity to the mainland China; d. to benefit from market competition and development; e. to leverage its status as China’s only center for legal casino gambling. In fact, casino development in Macao mixes of old and new. Newcomers to the gaming industry employ an integrated entertainment model and focus on total tourist consumption, rather than simply revenue from casino gamblers. As the gross profit margins of casinos are far lower than those of hotels, , shops, or exhibitions, expecting to create a lucrative opportunity simply by opening casinos may be unwise.

2.2 Singapore

Singapore is known for its strict laws and regulations. The development in the tourism and travel industry of the island state echo changes in the global environment and social patterns in Singapore itself. In 1985, Singapore faced a serious economic depression. In 2002, while formulating a new economic strategy,

Integrated Resort Industry Development: experience of Macao and Singapore 5

the Singaporean government proposed legalizing casinos for the first time. However, then Prime Minister replied, “for economic reasons, it seems Singapore must construct casinos. But simultaneously, the negative social impact of casinos cannot be neglected.” By 2005, Lee was confronting three major international trends: the Singapore travel industry gradually losing its competitiveness, the repositioning of major cities around the globe, and the orientation of the global entertainment economy towards integrated holiday (including casinos). Consequently, Lee was compelled to review his past anti-gambling attitude because “Singapore cannot afford to lose its national competitiveness”.

Casino legalization in Singapore has suffered years of setbacks. Facing challenges to global economic prospects, the Singapore tourism industry withered owing to competition from China, India, Thailand, etc. Subsequently, Singapore’s domestic market entered a crisis. In 2006, Singapore thus legalized gambling and formally established a tourism and travel development project for the gaming business, based on “Integrated Resorts” (IRs). The project was funded by the Co., which provided 5 billion Singapore dollars to finance the (LVS) and the Getting Group, which provided 6 billion Singapore dollars to finance Resorts World at , which with the latter project opening on February 14, 2010 and being designed for family leisure. Besides, casinos, universal city, amusement parks, resort hotels, restaurants, shopping malls, performance centers, etc., were introduced from Hollywood. The gaming business thus accounts for less than 5% of total resort floor area. On the other hand, Resorts World at Sentosa focuses on large commercial conferences. The complex makes casinos and conferences its core competitiveness by developing six excellent constituent parts: casino (3% of the total floor area is designated for the gaming business), opera house, art and science museum, shopping mall, , exhibition center, and party hall.

The policy achievements of the Singaporean government in tourism are its continuous growth and adoption of differentiated strategies at different times to attract different types of foreign tourists. The purpose is to continue to maintain Singapore’s competitiveness in tourism. Developing IRs can effectively accelerate

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construction of local infrastructure, perfect industrial development, stimulate the consumer market, improve the living quality and welfare of the local population, boost overall tourism value, facilitate the diversification of the tourism and travel industry, and increase national competitiveness.

3. THE COMPETITIVE ADVANTAGE OF NATIONS

In “The Competitive Advantage of Nations” (Porter, 1990) mentioned that the nation is the most fundamental basis for competitive advantage for businesses because it can create and maintain business competitiveness. Governments can influence decisions made by businesses and assist businesses with their core production and technical development. Moreover, competitiveness is a result of the production a nation achieves through effectively utilizing productivity. Porter undertook a long-term study of national competitive advantage around the world and national industry characteristics and constructed a “Diamond Model”, comprising four key factors: Factor Conditions, Demand Conditions, Related and Supporting Industries, and Firm Strategy. Structure and Rivalry, combined with the two exogenous variables of government role and opportunity, was used to construct a complicated relationship that influences national competitive advantage. A proper integrated concept framework was developed for measuring key national economic development indicators.

3.1 Factor Conditions: a nation creates its own key factors such as skilled workforce and technological base.

3.2 Demand Conditions: when the market for a particular product is larger locally than overseas and when local firms devote more attention to that product than do foreign firms, then local firms can achieve competitive advantages by exporting that product.

3.3 Related and Supporting Industries: when local supporting industries are competitive, firms enjoy more cost effective and innovative inputs. This effect increases when suppliers themselves are globally competitive.

3.4 Firm Strategy, Structure and Rivalry (Competitive Context): primarily

Integrated Resort Industry Development: experience of Macao and Singapore 7

organization and management patterns of businesses in an industry, and market competitiveness.

3.5 Government: Government can change industry competitive environment and conditions through policy instruments and other means, and industry development in turn influences government willingness to invest and provide aid.

3.6 Opportunity: Some situations change national competitive advantage and industry environment.

4. COMPETITIVE ADVANTAGE OF NATIONS BASED ON THE IRs DEVELOPMENT

Historically, the legalization of the gaming business has been controversial. The gaming industry is strictly controlled in most countries. However, Las Vegas used the gaming industry to transform from a stretch of desert into America’s “Casino City”, while Macao followed a similar route to transform from a little-known fishing village into a world-famous “Eastern Monte Carlo”. These two examples show that gaming can increase national tax collection and boost regional economic development. These positive examples have contributed to changing negative perceptions of the gaming industry. Consequently, Macao and Singapore have attempted to promote the gaming industry through appropriate monitoring and management systems.

The Council for Economic Planning and Development, Executive Yuan (2008), in “An analysis of the effects on Taiwan’s competitiveness of legalizing tourism-oriented casinos”, indicated that the main drivers of gaming industry development internationally are the following key success factors (KSFs): local tax collection policy and law and regulation, technical development, casino operating strategy, and market demand. Kearney (2008) proposed that, besides huge investment in infrastructure, the KSFs for the Las Vegas’s gaming industry also include cultivation and introduction of talent, rigorous gaming management systems, the clustering effect in the tourism and travel industry, and the adoption of emerging technology.

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PricewaterhouseCoopers (2002) deduced that Macao legalized casino operations to: a. increase Macao’s tourism-oriented industry development; b. create job opportunities; c. utilize Macao’s proximity to the mainland; d. increase market competition to drive development; e. develop a leverage effect based on operating the only legal casino in China. Feng and Wang (2005) indicated that the IRs operations of Macao are characterized by noticeable casino image, market positioning, clear client segmentation, critical location and continuous innovation. IR strategy planning makes geographical location and tourism-oriented tourism and travel industry clustering affect the main indicators of competitiveness.

Leong (2007) believed that KSFs for the Taiwanese conference industry include: a. overall environment: political and environment stability, easy visa approval, support of international headquarters; b. industry environment: high quality conference facilities, outstanding topics, high transport accessibility, comfortable accommodation environment; c. professional conference organization management: professional quality, mobile service and enthusiasm, super high flexibility, good business image. Besides, McCartney (2007) demonstrated that when seeking a conference site, people consider conference center quality, transportation, city image, and conference service costs.

Besides, the substantial purpose of Competitive Advantage of Nations makes nation as the subject and integrate Firm Strategy, Structure and Rivalry, Government, and Opportunity into a competition context. An industrial clustering effect involving relevant favorable resources can maximize benefits (Porter, 2010). Consequently, this study applies the “Amendment Diamond Model” proposed by Porter (2010) in “Creating an Economics Strategy for Taiwan” to discuss the IRs industry advantages of Asian countries, using the conceptual framework listed in Table 1.

5. FUZZY DELPHI METHOD

The fuzzy theory is proposed by Zadeh(1965) in university of California at Berkeley. Dr. Zadeh in view of the traditional scientific methods often ignored the uncertainty and ambiguity existence of human life. Therefore, Zadeh (1965)

Integrated Resort Industry Development: experience of Macao and Singapore 9

expects to bring forward the fuzzy sets theory and adopt the fuzzy logical concept to processing of human language can not accurately describe the ambiguity and measuring. Then Buckley (1985) incorporated the fuzzy set theory into the traditional AHP, FAHP were becoming a suitable tool to solve the real-world multi criteria decision making (MCDM) problems (Buyukozkan, 2004 ；Huang and Wu, 2005). There are some advantages in resolving consensus issues of group decision when utilize the fuzzy Delphi method(FDM) as following: a. the study utilize the FDM not only save time and cost, but also faithful representation of group views ； b. straightforward process of building fuzzy numbers. Consequently, this study plans to adopt the FDM as a research methodology.

Table 1 National competitive advantage for IRs in Asia

Factor Indicator Content  Distance clearly affects traveler selection of 1. Geographical location IRs and associated consumption.  Clustering effect can effectively integrate industry development, create synergies, 2. Tourism industry clustering effect facilitate communication, and enhance efficiency  Active investment and development is the 3. National infrastructure key to attracting tourism industries both domestically and from overseas  Use relevant government policies and state 4. Government-related policy regulation intervention to avoid and suppress social Context for (monitoring and governance policy) phenomenon and illegal activities associated Competition with IRs promotion.  Attract international IRs investment groups 5. Professional operation, management to introduce professional IRs operating ability and operating mode procedures and management techniques.  Cultivate competitive advantage and niche 6. National differential competitive markets for countries or regions developing advantage (leverage effect) IRs.  Low threshold of access to the nation or 7. Easy visa approval region by travelers and simple procedures.  Theme and brand status for countries or 8. Clear and attractive IRs theme regions developing IRs projects.

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Table 1 National competitive advantage for IRs in Asia(continuous)

Factor Indicator Content 1. Nation has adequate workforce  Adequate workforce at home or abroad  Countries or regions promote IRs projects 2. Sustainable IRs development strategy from the perspective of sustainability and national competitive advantage perspectives  Diverse and abundant natural and artificial 3. Diverse and abundant tourism resources tourist resources Factor  Internationalized financial system with good Conditions 4. Adequate funding capital-raising capability

 National construction thinking related to 5. Increase national competitiveness through competitive advantage is dynamic and in continuous dynamic thinking tune with the times 6. IRs management talent and sound  Sound human resources network and associated organizations divisions of labor 1. Basic citizen quality  High cultured and educated population 2. Citizen attitude towards and perceptions  Citizen attitudes toward IRs development of the social value of IRs development and moral values 3. Citizen attitude toward risk.  Citizen attitudes toward risk  Cultivation of national innovation and 4. Citizen innovation and creativity Demand creativity, as well as associated abilities Conditions 5. Service industry is the main contributor to  70% of GDP comes from the service related national GDP industry 6. Stable political and economic  Stable political and economic environments environment and related policy background  Stable prices and attractiveness to able to 7. Stable and attractive commodity prices foreign tourists 1. Up-to-date information equipment and  State-of-the-art information technology and technology related networks 2. Competitive IRs related support industries  Competitive and attractive facilities or (such as Macao Tower, Singapore F1 equipment in areas other than the IRs Circuit and ) industry  Institutions for cultivating talent, such as 3. Talent cultivation and development colleges, management consultancies and projects Related and contextual training Supporting 4. Sound transport facilities  Sound international transportation network Industries  Center for investment from internationally 5. Relevant support for industry and renowned enterprises, enhancing overall enterprise image and brand value enterprise image, and maximizing tourist brand value  Relevant support for diverse areas of 6. Relevant support for industry business, including offering excellent diversification and options on offer optional itinerates a competition context integrated the factors of firm strategy, structure and rivalry, government and opportunity (Porter, 2010).

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5.1 This study has introduced the fuzzy theory into the Delphi method by integrating with the points of view of many scholars, including Hsu (1998). In order to improve the problems faces by traditional Delphi method, this study has used the bi-triangular fuzzy arithmetic to integrate the advice of experts and then tested the convergent effect recognized by experts that means “gray zone test method”. 5.1.1 Gray Zone does not exist

C i O i If U ≦ L , namely, the bi-triangular fuzzy number has no overlap, it means that the interval values given by the experts share the common section. That is said the most conservative perceived value given by each expert to the assessed item i tends towards the section scope of triangular fuzzy number of the most conservative perceived value, and the most optimistic perceived value given by each expert to the assessed item i tends towards the section scope of triangular fuzzy number of the most optimistic perceived value. It means that the most conservative perceived values and the most optimistic values given by all of the experts have reached consensus as far as the assessed item i is concerned. Therefore, the value G i of importance degree of consensus of the assessed item i C i O i shall equal the mean value of M and M , and its operational formula is seen as follows: i i i G = (C M + O M /) 2 (1) 5.1.2 Gray Zone Exists, and a Small Difference Exists among the Experts’ Advice

C i O i If U ＞ L , namely, the bi-triangular fuzzy number has an overlap, and when

i i C Oi the gray zone of the fuzzy relation Z ﹦ U ﹣ L is smaller than the interval

i O i C i value M ﹦ M ﹣ M between the geometric mean of the optimistic perceived value and the geometric mean of the conservative perceived value given by the experts to the assessed item, it means that though the interval value given by each expert produces a fuzzy section, the extreme values given by some experts do not greatly differ from the ones given by other experts, so no differences and divergences on

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the value are caused. Therefore, the value G i of the importance degree of

F i χ consensus of the assessed item i shall equal the fuzzy set ( j ) resulting from the intersection (min) operation for the gray zone of fuzzy relation of bi-triangular fuzzy number, and the quantitative score of the maximum value of membership

µ i (χ ) F j grade owned by the fuzzy set shall then be figured out. Its operational formulas are seen as follows:   i i i F ()()()x j = ∫ {}min []C x j , O x j dx  (2)  x 

  i   G = χ max µ i χ  j F ()j  (3)  

5.1.3 Gray Zone Exists, and a Big Difference Exists among the Experts’ Advice

C i O i If U ＞ L , namely, the bi-triangular fuzzy number has an overlap, and when i i C Oi the gray zone of the fuzzy relation Z ﹦ U ﹣ L is bigger than the interval value i O i C i M ﹦ M ﹣ M between the geometric mean of the optimistic perceived value and the geometric mean of the conservative perceived value given by the expert to the assessed item, it means that the interval value given by each expert produces a fuzzy section, and the extreme values given by some experts greatly differ from the ones given by other experts, so differences and divergences on the values are caused. Therefore, “the geometric mean of the optimistic perceived value” and the “geometric mean of the conservative perceived value” of the assessed items that have not reached convergence must be provided for the experts as the references. Then, the questionnaire survey until all the assessed items reaches convergence, and “the value of importance degree of consensus” G i is figured out. The higher the value of importance degree of each item figured out respectively in the foregoing paragraphs, the higher degree of consensus among the experts it stands for. The arithmetic mean could then be figured out by use of the geometric mean of the most possible single value of each item, and be taken as the threshold value for the research to select a suitable number of assessment criteria featuring consensus of the experts.

Integrated Resort Industry Development: experience of Macao and Singapore 13

6. METHODOLOGY

6.1 Establish national competitive advantages in IRs

6.1.1 Primary hierarchy of IRs

This investigation constructs an adjustment diamond model for the IRs industry. Therefore, this study utilizes relevant and significant documents on the IRs concept and characteristics to establish the primary hierarchy framework, and utilizes the simulated model to assess IRs in Asia. This study employs the primary hierarchy framework to design a Fuzzy Delphi questionnaire and identity competitive factors in preparation for successful positive research. The primary hierarchy framework regards the establishment of national competitive advantages and benefits in IRs as the ultimate goal, and monitors progress towards achieving this goal via four main factors and 27 indicators (Table 2).

6.1.2 Questionnaire design process

This stage used the above-mentioned primary hierarchy framework with a fuzzy Delphi questionnaire to assess each key factor and the various indicators of competitiveness. All the competitive indicators were ranked using a scale ranging from 0 to 10(with higher grade indicating greater criterion importance). On the other hand, each indicator must possess an acceptance scope and a single importance level. Additionally express their professional opinions and assigned a total grade to the four factors.

6.1.3 Investigation target

The investigation bases forward investigation analysis on the twice extended expert questionnaires. Here, the targets for the experts who complete the questionnaire are sufficient knowledge of the IRs and tourism field or involvement in related or supporting industries.

6.2 Empirical application of the adjustment diamond model in IRs

6.2.1 Construct the hierarchy structure based on expert consensus -Statistical analysis based on the questionnaire

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During the first stage, the fuzzy Delphi expert questionnaires are extended to 23 subjects, all experts in IRs related fields in Macao, Singapore and Taiwan, from March 1 to 31 during 2010. Moreover, the effective questionnaire return rate was 16(representing an effective ratio of 69.6%).

6.2.2 Sieve the indicators from all factors to construct the adjustment IRs diamond model

This investigation applies the statistical software - EXCEExpert Choice 2000 to calculate relative numbers. First, the study utilizes the “bi-triangle fuzzy number” to sieve out the competing indicators, and then analyzes the completed questionnaires. This investigation obtains the threshold value 8.0, and also identifies whether the value of Gi from all criterion exceeding 8.0 is reserved. Finally, this study deletes five competitive indicators and retains 21 (for an effective ratio of 80.8%) (Table 2 and Fig. 1).

6.2.3. IRs performance of the adjustment diamond model

Finally, this study analyses the effects of IRs development of certain objects using the Adjustment Diamond Model of IRs constructed via a FDM corresponding to the main synergy efficiency indicators of the tourism and travel industries in Macao and Singapore, including: a. tourism-derived GDP; b. average days per trip; c. number of inbound tourists; d. hotel average occupancy rate (AOR); e. unemployment ratio, and 6.national competitiveness.

Statistics from Macao’s gaming industry website shows that the GDP of Macao reached 143,091.5 million MOP in 2009, exceeding that of Hong Kong. Furthermore, average days per trip was 1.5 during 2009 (increased 6% year on year), total number of inbound tourists was 21,752,751 (decreased 5.2% year on year), AOR was 71.57% (decreased 2.9% year on year), and unemployment was 3.6%.

Therefore, Macao thus has become the largest casino city in Asia and its popularity continues to grow. Besides, the “Annual report on Tourism Statistics 2009” of the shows that Singapore ended 2009 with

Integrated Resort Industry Development: experience of Macao and Singapore 15

record high tourism receipts of 15,200 million SGD, average days per trip of 3.96. (increased 9.1% year on year), total number of inbound tourists of 38,000,000 (increased 13.4% year on year ), and AOR 81% (decreased 6.0% year on year ). Furthermore, on January 29, 2010 the Singapore Ministry of Labor published an employment forecast report for 2009 suggesting that, driven by IRs recruitment, the overall unemployment rate for 2009 reduced 3% to 2.1 %( Table 3).

Table 2 Descriptive fuzzy Delphi questionnaire analysis

the most the most optimistic conservative Interval Factor Indicators perceived perceived Geometri Mi Zi value of Gi values values c mean expert (Oi ,Oi ,Oi ) (C i ,C i ,C i ) opinion L M U L M U Geographical location 8 9.6 10 5 6.6 8 8.1 3.0 0  8.1 Tourism industry clustering effect 8 9.4 10 5 6.9 8 8.4 2.5 0  8.1 National infrastructure 8 9.6 10 5 6.7 8 8.3 2.8 0  8.2 Government-related policy regulation 8 9.6 10 5 6.6 8 8.1 3.0 0  8.1 Context for Professional operation, Competition management ability and 8 9.5 10 5 6.5 8 8.0 3.1 0  8.0 operating mode National differential competitive advantage 8 9.5 10 5 6.8 8 8.3 2.7 0  8.1 (leverage effect) Easy visa approval 8 9.2 10 4 6.1 8 7.7 3.1 0 ★ 7.7 Clear and attractive IRs theme 8 9.4 10 5 6.6 8 8.3 3.0 0  8.0 Nation has adequate workforce 8 9.4 10 5 6.9 8 8.4 2.5 0  8.1 Sustainable IRs development strategy 9 9.7 10 3 6.3 7 8.0 3.3 -2  8.0 Diverse and abundant tourism resources 7 8.4 10 6 6.6 7 8.4 1.8 0  7.5 Factor Adequate funding 9 9.9 10 5 6.8 8 8.5 3.1 -1  8.4 Conditions Increase national competitiveness through continuous dynamic 8 9.5 10 5 6.5 8 8.0 3.1 0  8.0 thinking IRs management talent and sound associated 9 9.7 10 3 6.4 8 8.3 3.3 -1  8.1 organizations Basic citizen quality 8 9.6 10 5 6.6 8 8.1 3.0 0  8.1 Citizen attitude towards and perceptions of social value 7 8.4 10 6 6.6 7 8.4 1.8 0  7.5 of IRs development Citizen attitude toward risk 8 9.6 10 5 6.7 8 8.3 2.8 0  8.2 Demand Citizen innovation and 9 9.7 10 3 6.3 7 8.0 3.3 -2  8.0 Conditions creativity Service industry is the main  contributor to national GDP 8 9.5 10 5 6.5 8 8.0 3.1 0 8.0 Stable political and  economic environment 8 9.5 10 5 6.8 8 8.3 2.7 0 8.1 Stable and attractive ★ commodity prices 8 9.2 10 4 6.1 8 7.7 3.1 0 7.7

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Table 2 Descriptive fuzzy Delphi questionnaire analysis(continuous)

the most the most optimistic conservative Interval Factor Indicators perceived perceived Geometri Mi Zi value of Gi values values c mean expert (Oi ,Oi ,Oi ) (C i ,C i ,C i ) opinion L M U L M U Up-to-date information equipment and technology 8 9.6 10 4 6.3 8 8.0 3.3 0  8.1 Competitive IRs related b ★ support industry 8 9.2 10 3 5.5 7 7.3 3.0 0 7.4 Talent cultivation and Related and development projects 8 9.5 10 5 6.5 7 8.2 3.0 -1  8.0 Supporting Sound transport facilities 8 9.5 10 5 6.8 8 8.3 2.7 0  8.1 Industries Relevant support for industry and enterprise 9 9.7 10 3 6.3 7 8.0 3.3 -2  8.0 images and brand value Relevant support for industry diversification and 7 8.9 10 2 5.4 7 6.8 3.5 0 ★ 7.2 options on offer threshold value (G i) 8.0 b such as Macao Tower, Singapore F1 Circuit and Singapore Flyer. c「 」 i i i i i  indicate CU ≤ OL that experts’ opinions in the consensus section, and utilizes G = (C M + OM)/2 to 「★」 i i i ﹦ i ﹣ i ≦ i ﹦ i ﹣ i calculate. indicate CU > O L , and Z CU OL M OM CM that experts’ opinions not difference. It might calculate fuzzy set by min and get G i . d Grey-region indicates the evaluation criteria be deleted.

Table 3 Development IRs industry performance in Macao and Singapore

Performance indicator Macao Singapore tourism-derived GDP (2009) 143,091.5 million MOP 15,200 million SGD Average days per trip(days) 1.5 3.96 Number of inbound tourists 21,752,751 38,000,000 (person-times) Hotel average occupancy rate (AOR) 71.57% 81% Unemployment ratio 3.6% 2.1% National competitiveness known for “the Monte carol of Famous tourism the Orient” and the biggest diversification and IRs casino city in the world development remarkable achievement

Integrated Resort Industry Development: experience of Macao and Singapore 17

Context for Competition  Geographical location  Tourism industry clustering effect

Benefits from IRs Industry  National infrastructure

e  Government-related policy regulation Development (monitoring and governance policy)

 Professional operation, management ability and operating mode  National differential competitive advantage (leverage effect)  Clear and attractive IRs theme

Factor Conditions  Nation has adequate workforce Demand Conditions

 Sustainable IRs development  Basic citizen quality strategy  Citizen attitude toward risk  Adequate funding  Citizen innovation and creativity

 Increase national competitiveness  Service industry is the main through continuous dynamic contributor to national GDP thinking  Stable political and economic

 IRs management talent and sound environment associated organizations

Related and Supporting Industries  Up-to-date information equipment and technology  Talent cultivation and development projects  Sound transport facilities  Relevant support for industry and enterprise images and brand value

e Benefit indicators from IRs Industry Development including: 1. tourism-derived GDP; 2.average days per trip; 3.number of inbound tourists; 4.hotel average occupancy rate (AOR); 5.unemployment, and 6.national competitiveness.

Fig. 1 Adjustment Diamond Model of IRs Industry in Asia

7. CONCLUSION Because of its geographical location, Macao attracts visitors from the Chinese mainland, Hong Kong, Taiwan, etc. However, this geographic advantage does not Tablemean Macao’s IRs necessarily enjoy a sustainable competitive advantage.

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Consequently, to retain its largest casino city status and keep up with current trends, the Macao government has begun aggressively offering tourism-related products and resources through a client-oriented perspective and based on the concept of onsumer value. Rather than completely eliminating a Chinese-style casino operation model, Macao has attempted to employ an IRs business model combining both eastern and western elements to upgrade the IRs industry by incorporating foreign elements. However, the Singaporean IRs industry was officially established in early 2010. Confronting such a powerful rival, Macao must enhance its marketing and promotion ability, strengthen its brand and popularity, and develop theme-based industries, such as marriage itineraries, long stay Cirque du Soleil itineraries, bungy jumping, Chinese and Portuguese cultural experiences, etc., to strengthen its regional competitive advantage. Regarding IRs industry development in Singapore besides its attractive location to visitors from Thailand, Malaysia, Indonesia, and India, Singapore offers a high-quality workforce, sound legal and regulatory environment, strong government, and excellent travel infrastructure. Moreover, Singapore is an international financial hub, where businesses can access direct investment or reinvestment via capital raising or seeking investment from leading international enterprises. Furthermore, the Singaporean government provides a model for a greatnumerous Asian countries and regions owing to its political management and economic development, and its legalization of the IRs industry will inevitably indirectly affect these areas. Finally, besides using sustainable development to promote the IRs industry, Singapore also actively develops domestic infrastructure and fully supports industry competitiveness via IRs activities, such as Singapore FLYER, Formula One Championship Edition, and architectural features, etc. Research shows that, when developing and promoting an IRs project, a nation (region) must first examine whether its environment (politic, economy, society, technology) is stable and whether service industry output accounts for over 70% of GDP. The aim is to ensure service industry related personnel and support industries cooperate to support the IRs project. Besides, in the case of Demand Conditions related indicators, a repositioning of the tourist’ concept and adsorption new thinking – including repositioning of tourists’ recognition and reception of gaming

Integrated Resort Industry Development: experience of Macao and Singapore 19

business and IRs - should be performed, to increase IRs related personnel quality and ability and adjust attitude to risk and moral values. Next, regarding Factors Conditions which symbolize supply, including sustainable development and creativeness of governments in regions focused on IRs, their strategies should be sufficient to maintain dynamic national competitive advantages and facilitate the channeling of funds into IRs related industry development. Moreover, the nation (region) should have an ample workforce and potentially a government amenable to introducing foreign labor. All these national competitive advantage related indicators can effectively develop the IRs industry, accelerate construction of local infrastructure, perfect industry development, stimulate the consumer market, improve local living and welfare, boost tourism value, diversify the tourism industry, and increase national competitiveness. Applying System Dynamics (SD) and National Competition Advantage to develop industries based on resource limited resources is very important. Furthermore, how to develop the optimal policy system for improving national competitiveness is a key future trend. This study explores contexts and frameworks for developing related industries and thus provides a useful and practical contribution.

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REFERENCES 1. Hofer, C. W. and D. Schendel. (1978), Strategy Formulation: Analytical Concept. St. Paul: Mn West Publishing. 2. Kearney, M. S. (2008). The Economic of Gaming , University of Maryland. 3. Porter, E.M. (1985), Competitive Advantage Creating & Sustaining Superior Performance ,The Free Press, New York. 4. Porter, E.M. (1990), The competitive Advantage of Nations. Harvard Business Review , March-Apr. 5. Robbins, S. P. (1994). Organizational behavior (9th Ed). New Jersey: Prentice-Hall. 6. Satty, T.L. (1980). The analytic hierarchy process , McGraw-Hill, New York. 7. Teompson, A., and Strickland, A. J. (1998). Strategic management concept and cases . New York: McGraw-Hill. 8. Andriotis, K. (2008), Integrated Resort Development: The Case of Cavo Sidero, Crete, Journal of Sustainable Tourism , 16(4), 428-444. 9. Anthony, E. J. (1998), The status of beachs and shoreline development options on the French Riviera: A perspective and a prognosis. Journal of Coastal Conservation , 3(2), 169-178. 10. Buckley, J.J. (1985). Fuzzy Hierarchical analysis, Fuzzy Sets and Systems , 17, 233-247. 11. Bullen, V. L., and Rockart, J. F. (1984), A Primer on Critical Success Factors , CISR Working paper, SSM/MIT. 12. Council of Economic Planning and Development, (2008), The Competition Analysis of Tourism Gaming Industry Open in Taiwan. Executive Yuan in Taiwan, R.O.C. 13. Feng, B. Y. and Wang, H. (2005), Gaming Industry Opening Effect and Problem Analysis in Macao, Journal of Macau Gaming Research Association , 2(2), 9-18. 14. Hsu, T, H. (1998). The Fuzzy Delphi Analytic Hierarchy Process, Journal of

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Chinese Fuzzy System Association , 4(1), 59-72. 15. Huang, L. C. & Wu, R.Y.H. (2005). Applying FAHP in the managerial talent assessment model - An empirical study in Taiwan’s semiconductor industry. International Journal of Technology Management , 30(1/2), 105-130. 16. Leong, M. W. (2007), Macau MICE Tourism With a Closer Review of The Las Vegas and Atlantic City Experience, Journal of Macau University of Science and Technology, 1(2), 55-70 17. McCartney, G.J. (2007), Casinos as a Tourism Redevelopment Strategy- The Case of Macao. Journal of Macau Gaming Research Association , 2(2), 19-32. 18. Stanton, J. and Alislabie, C. (1992), Up-market integrated resorts in Australia , Annals of Tourism Research, 19, 435-449. 19. Tseng, J.L. (2007), The Competition Analysis on the Macao gaming industry, Journal of Macau Gaming Research Association , 5, 1-6. 20. World Tourism Organization, (2000). Tourism 2020 Vision ：：：East Asia and Pacific , 3, Madrid:Author. 21. Zadeh, L. A. (1965). Fuzzy sets, Information and Control , 8, 338-353. 22. Global Betting and Gaming Consultants, (2009), Global Gambling Report 5th Edition . http://www.gbgc.com/publications/global-gambling-report. 23. Porter, E.M. (2010). Creating and Economic Strategy for Taiwan , Global Leaders Forum, Taipei, Taiwan. 24. PricewaterhouseCoopers LLP, (2002, 2009), Global Entertainment and Media Outlook: 2007-2011 . http://www.pwc.com/ 25. Singapore Tourism Board Annual Report 2008/2009. 26. Statistics and Census Service, Macao (2009). Tourism, Monthly Bulletin of Statistics , September, 43-46.

22 朝陽商管評論，第 9 卷，第二期，民國 99 年 12 月

澳門與新加坡發展綜合娛樂區之可持續發展策略探討

洪瑞英* 朝陽科技大學老人服務事業管理系助理教授兼系主任

楊文廣 朝陽科技大學休閒事業管理系暨行銷與流通管理系副教授兼副校長

李素箱 朝陽科技大學休閒事業管理系教授兼管理學院副院長

摘要

亞洲各國近年來皆掀起一股「博奕熱潮」，位於亞洲樞紐之台灣依據行政 院經濟建設發展之「國土策略規劃下觀光賭場之區位因素評估」計畫結果指 出，為平衡台灣地理區位發展素來呈現重北輕南、重本島輕離島之落差，開 放博奕特區將為台灣國家經建發展與國際競爭力注入一道活水，而開發綜合 娛樂區（Integrated resorts, IRs ）之構想與行政院提出為期四年的「觀光拔尖領 航方案」（2009 ）目標與願景-以積極且遠大之觀光政策議題推動，期許台灣在 2012 年成為世界級的觀光大國願景不謀而合。

鑒此，本研究將以亞洲地區開發綜合娛樂區之澳門（Macao ）與新加坡 （Singapore ）為個案探討目標，藉由文獻資料彙整、專家訪談與模糊德爾菲 專家問卷施測後，研擬個案目標發展綜合娛樂區的可持續發展策略模式，並 建構關鍵成功因素層級指標等系統性架構。爾後，再運用本研究自澳門及新 加坡所進行之初步研究成果，針對台灣發展綜合娛樂區之整體觀光休閒產業 進行探討，嘗試建立具差異性與獨有性之可持續發展策略。

關鍵詞：：：綜合娛樂區： 、國家競爭優勢、模糊德爾菲法

* 通訊作者 E-mail ：[email protected] Tel ：0988156327