||Gambling Motivations and their Impact on Casino Destination Choice
||Gambling Motivations and their Impact on Casino Destination Choice
||Institute of International Management (IIMBA--Master)
Casino destination choice
Intention to visit
In recent years, casino gambling industry has been expanding at a rapid pace. As a result, gambling opportunities and destinations are booming around the globe. Following Macau’s exceptional success, many jurisdictions in the Asia-Pacific region are considering the legalization of this industry as a way to boost their economies. Jurisdictions such as Singapore have recently legalized casino, while others such as Taiwan are considering it as a way to develop its tourism industry.
Due to the increasing competition in the region, it has become more and more important to develop strategies aiming to attract gamblers. With that purpose, this study aims to explore their motivations and what factors influence gamblers’ preferences and choices. Therefore, through a survey among 253 gamblers from the Asia-Pacific region, this study aims to further understand the impact of factors and demographic indicators on gamblers’ decision making process.
Through a multinomial and binomial logistic regression, this study reached three major findings. First, it was found that demographic factors have greater impact on casino destination choice. Second, in order to attract gamblers away from Macau, competing casino destinations should focus on escape and relaxation attributes. Finally, it was found that few push and pull gambling motivations have impact on intention to visit Taiwan as a new casino destination.
TABLE OF CONTENTS III
LIST OF TABLES VII
LIST OF FIGURES IX
CHAPTER ONE INTRODUCTION 1
1.1 Research Background and Motivation. 1
1.1.1 Macau. 3
1.1.2 Singapore. 5
1.1.3 Taiwan. 7
1.2 Research Objectives. 10
1.3 Research Procedures. 11
1.4 Structure of the Study. 12
CHAPTER TWO LITERATURE REVIEW 14
2.1 Casino Gambling. 14
2.2 Gambling Motivations. 15
2.2.1 Push Factors. 16
2.2.2 Pull Factors. 18
2.3 Intention to Visit. 21
2.4 Destination Choice. 22
CHAPTER THREE RESEARCH DESIGN AND METHODOLOGY 24
3.1 Conceptual Model. 24
3.2 Construct Measurement. 25
3.2.1 Socialization. 25
3.2.2 Challenge and Excitement. 25
3.2.3 Escape and Relaxation. 26
3.2.4 Winning. 26
3.2.5 Entertainment. 26
3.2.6 Infrastructure and Service. 26
3.2.7 Physical Environment. 27
3.2.8 High-End Entertainment. 27
3.2.9 Intention to Visit. 27
3.2.10 Destination Choice. 28
3.2.11 Personal Information. 28
3.3 Research Hypothesis. 29
3.4 Questionnaire Design. 29
3.5 Sampling Plan and Data Collection Procedure. 30
3.6 Data Analyses Procedure. 31
3.6.1 Descriptive Analysis. 31
3.6.2 Purification and Reliability Analysis. 31
3.6.3 Interrelation between Research Variables. 32
CHAPTER FOUR RESEARCH RESULTS 35
4.1 Data Collection. 35
4.2 Descriptive Analysis. 36
4.2.1 Characteristics of the Research Sample. 36
4.2.2 Measurement Results for Relevant Research Variables. 42
4.3 Factor Analysis and Reliability Test. 48
4.3.1 Push Factors. 48
4.3.2 Pull Factors. 51
4.3.3 Future Intention to Visit. 53
4.4 Multinomial Logistic Regression. 54
4.4.1 Multinomial Logistic Regression Significance Test. 55
4.4.2 Multicollinearity Test. 68
4.5 Analysis of Variance. 70
4.5.1 ANOVA Analysis of Research Constructs. 70
4.5.2 ANOVA Analysis of Demographics. 71
4.6 Intention Grouping. 72
4.7 Binomial Logistic Regression. 73
4.7.1 Binomial Logistic Regression Significance Test. 73
4.7.2 Collinearity of the Model. 81
CHAPTER FIVE CONCLUSION AND RECOMMENDATIONS 84
5.1 Research Conclusions and Findings. 84
5.2 Research Implications and Contributions. 88
5.2.1 Academic Implication. 88
5.2.2 Managerial Implication. 89
5.3 Research Limitations. 91
5.4 Further Research Suggestions. 92
Appendix 1: Questionnaire 99
Appendix 2: Questionnaire (Mandarin Version) 105
Appendix 3: Multinomial Regression Analysis – SPSS output 111
Appendix 4: Binomial Regression Analysis – SPSS output 119
ABC News. (2002). Downtown Las Vegas. ABC News,, from http://abcnews.go.com/
Agrusa, J. F. (2000). Legalization of gambling in Hawaii and its potential effects on Japanese intention to visit: A philosophical inquiry. Journal of Travel & Tourism Marketing, 9(1-2), 211-217.
Choi, S. (2012). Obstacles for gaming development in Japan, Korea and Taiwan: Macau will “continue to be the gambling Mecca”. Macau Daily Times, from http://www.macaudailytimes.com.mo/macau/36047-obstacles-for-gaming-development-in-japan,-korea-and-taiwan%3A-macau-will-“continue-to-be-the-gambling-mecca”.html
Crawford, W., Jackson, L., & Godbey, G. (1991). A hierarchical model of leisure constraints. Leisure Sciences, 13(4), 309-320.
Crompton, J. L. (1979). Motivations for pleasure vacation. Annals of Tourism Research, 6(4), 408-424.
Crompton, J. L., & Ankomah, P. K. (1993). Choice set propositions in destination decisions. Annals of Tourism Research, 20(3), 461-476.
d'Hauteserre, A.-M. (2000). Lessons in managed destination competitiveness: The case of Foxwoods Casino Resort. Tourism Management, 21(1), 23-32.
Eadington, W. R. (1999a). The economics of casino gambling. The Journal of Economic Perspectives, 13(3), 173-192.
Eadington, W. R. (1999b). The spread of casinos and their role in tourism development. New York: Routledge.
Franco, C. A., Maciejewski, P. K., & Potenza, M. N. (2011). Past-year recreational gambling in a nationally representative sample: Correlates of casino, non-casino, and both casino/non-casino gambling. Psychiatry Research, 188(2), 269-275.
Friedland, N. (1998). Games of luck and games of chance: The effect of luck- versus chance-orientation on gambling decisions. Journal of Behavioral Decision Making, 11(3), 161-179.
Friedman, M., & Savage, L. J. (1948). The utility analysis of choices involving risk. Journal of Political Economy, 56(4), 279-304.
Gu, Z. (2004). Macau gaming: Copying the Las Vegas style or creating a Macau model? Asia Pacific Journal of Tourism Research, 9(1), 89-96.
Gu, Z. (2005). Product differentiation: Key to Macau's gaming revenue growth. Journal of Revenue and Pricing Management, 4(4), 382-388.
Gu, Z. (2006). Which way to go? — Analysis of gaming revenue enhancement approaches for Macau. Journal of Revenue and Pricing Management, 6(1), 33-39.
Gu, Z., & Gao, J. Z. (2009). Financial competitiveness of Macau in comparison with other gaming destinatios. UNLV Gaming Research & Review Journal, 10(2), 1-12.
Hair, J. J., Black, W., Babin, B. J., Anderson, R. E., & Tatham, R. (2006). Multivariate data analysis. New Jersey: Prentice Hall.
Hess, H. F., & Diller, J. V. (1969). Motivation for gambling as revealed in the marketing methods of the legitimate gambling industry. Psychological Reports, 25(1), 19-27.
Hillman, A. J., & Keim, G. D. (2001). Shareholder value, stakeholder management, and social issues: What's the bottom line? Strategic Management Journal, 22(2), 125-139.
Hsieh, C.-M., & Park, S. H. (2009). A comparison of motivations between island tourists visiting Penghu, Taiwan, and Phuket, Thailand. . Retrieved December 13, 2011. from http://www.nrs.fs.fed.us/pubs/gtr/gtr-p-42papers/32hsieh-p-42.pdf.
Hunt, K. (2011, 2 June 2011). Macau aims to control darker sides of gambling's growth. BBC News, from http://www.bbc.co.uk/news/business-13409658
Institute of Policy Studies [IPS]. (2005). The casino proposal. Singapore
Israeli, A. A., & Mehrez, A. (2000). From illegal gambling to legal gaming: Casinos in Israel. Tourism Management, 21(3), 281-291.
Kang, K. H., Lee, S., & Yang, H. (2011). The effects of product diversification on firm performance and complementarities between products: A study of US casinos. International Journal of Hospitality Management, 30(2), 409-421.
Karlins, M. (1997). Book review of the gaming industry: Introduction and perspectives. Journal of Gambling Studies, 13(1), 100-102.
Kim, C., Laroche, M., & Tomiuk, M. A. (2004). The Chinese in Canada: A study in ethnic change with emphasis on gender roles. The Journal of Social Psychology, 144(1), 5-29.
Kim, S.-S., Crompton, J. L., & Botha, C. (2000). Responding to competition: A strategy for Sun/Lost City, South Africa. Tourism Management, 21(1), 33-41.
Kim, S.-S., & Lee, C.-K. (2002). Push and pull relationships. Annals of Tourism Research, 29(1), 257-260.
Kim, S.-S., Prideaux, B., & Kim, S.-H. (2002). A cross-cultural study on casino guests as perceived by casino employees. Tourism Management, 23(5), 511-520.
Kim, S. S., Lee, C.-K., & Klenosky, D. B. (2003). The influence of push and pull factors at Korean national parks. Tourism Management, 24(2), 169-180.
Kuo, C. M. (2008). An application of the modified SMART-SWOT method in casino institution — A case of Penghu archipelago, Taiwan. Journal of Quality Assurance in Hospitality & Tourism, 9(4), 337-346.
Lam, D. (2007). An exploratory study of gambling motivations and their impact on the purchase frequencies of various gambling products. Psychology and Marketing, 24(9), 815-827.
Lam, T., & Hsu, C. H. C. (2006). Predicting behavioral intention of choosing a travel destination. Tourism Management, 27(4), 589-599.
Lau, L.-Y., & Ranyard, R. (2005). Chinese and English probabilistic thinking and risk taking in gambling. Journal of Cross-Cultural Psychology, 36(5), 621-627.
Lee, C.-K., & Back, K.-J. (2003). Pre- and post- casino impact on residents' perception. Annals of Tourism Research, 30(4), 868-885.
Lee, C.-K., Kang, S. K., Long, P., & Reisinger, Y. (2010). Residents' perceptions of casino impacts: A comparative study. Tourism Management, 31(2), 189-201.
Lee, C.-K., Lee, B., Bernhard, B. J., & Lee, T. K. (2009). A comparative study of involvement and motivation among casino gamblers. Official Journal of Korean Neuropsychiatric Association, 6(3), 141-149.
Lee, C.-K., Lee, Y.-K., Bernhard, B. J., & Yoon, Y.-S. (2006). Segmenting casino gamblers by motivation: A cluster analysis of Korean gamblers. Tourism Management, 27(5), 856-866.
Lee, H.-P., Chae, P. K., Lee, H.-S., & Kim, Y.-K. (2007). The five-factor gambling motivation model. Psychiatry Research, 150(1), 21-32.
Lee, S.-S., Hung, J.-Y., Lee, H.-H., & Wu, Y.-F. (2009). Integrated resorts industry development: the experience from Macao and Singapore Chaoyang University of Technology, Taichung
Liu, X. R., & Wan, Y. K. P. (2010). An examination of factors that discourage slot play in Macau casinos. International Journal of Hospitality Management, 30(1), 167-177.
Loi, K.-I., & Pearce, P. L. (2011). Powerful stakeholders' views of entertainment in Macao's future. Journal of Business Research, 65(1), 4-12.
Loo, J. M. Y., Raylu, N., & Oei, T. P. S. (2008). Gambling among the Chinese: A comprehensive review. Clinical Psychology Review, 28(7), 1152-1166.
Macau Statistics and Census Service [DSEC]. (2011). Gaming and tourism statistics. Retrieved December 19, 2011. from http://www.dsec.gov.mo/Statistic.aspx.
MacLaren, V. V., Best, L. A., Dixon, M. J., & Harrigan, K. A. (2011). Problem gambling and the five factor model in university students. Personality and Individual Differences, 50(3), 335-338.
Mishra, S., Lalumière, M. L., & Williams, R. J. (2010). Gambling as a form of risk-taking: Individual differences in personality, risk-accepting attitudes, and behavioral preferences for risk. Personality and Individual Differences, 49(6), 616-621.
National Statistics. (2010). Visitors arrivals by residence. Retrieved December 21, 2011. from http://eng.stat.gov.tw/mp.asp?mp=5.
Oh, H., & Hsu, C. H. C. (2001). Volitional degrees of gambling behaviors. Annals of Tourism Research, 28(3), 618-637.
Ozorio, B., & Fong, D. K.-C. (2004). Chinese casino gambling behaviors: Risk taking in casinos vs. investments. UNLV Gaming Research & Review Journal, 8(2), 27-38.
Paynton, P. (1993, May 3). The great casino salesman. Time Magazine, 141, 52.
Perdue, R. R., Long, P. T., & Kang, Y. S. (1999). Boomtown tourism and resident quality of life: The marketing of gaming to host community residents. Journal of Business Research, 44(3), 165-177.
Perng, Y.-H., & Chang, C.-L. (2003). From fishery to tourism and casino. Asia Pacific Journal of Tourism Research, 8(2), 1-12.
Pride, W., & Ferrell, O. (2000). Marketing concepts and strategies. New York: Deep & Deep Publications.
Raylu, N., & Oei, T. P. (2004). Role of culture in gambling and problem gambling. Clinical Psychology Review, 23(8), 1087-1114.
Roehl, W. S. (1999). Quality of life issues in a casino destination. Journal of Business Research, 44(3), 223-229.
Schwab, J. A. (2002). Multinomial logistic regression: Basic relationships and complete problems. Retrieved June 13, 2012, from http://www.utexas.edu/courses/schwab/sw388r7/SolvingProblems/
Tsai, C.-Y., & Shiue, Y.-C. (2010). The study of current residents’ cognition, place attachment and community sense of tourism impacts towards the casino industry development. African Journal of Business Management, 45(5), 710-721.
Tsai, H., & Gu, Z. (2005). Penghu gambling legalization: A viable alternative for Taiwan. Gaming Law Review, 9(2), 136-143.
United Nations Statistics Division. (2011). GDP per capita average annual growth rate. Retrieved January 23, 2012. from http://data.un.org/Data.aspx?d=SOWC&f=inID%3A93.
United Nations World Tourism Organization [UNWTO]. (2011). UNTWO Tourism Highlights. Retrieved November 15, 2011. from www.unwto.org/facts.
Uysal, M., & Jurowski, C. (1994). Testing the push and pull factors. Annals of Tourism Research, 21(4), 844-846.
Vong, F. (2007). The psychology of risk-taking in gambling among Chinese visitors to Macau. International Gambling Studies, 7(1), 29-42.
Walker, D., & Eadington, W. R. (2006). The potential economic benefits of casino gaming in Taiwan. Unpublished Consulting Work. Amazing Taiwan Co., Ltd.
Walker, D. M. (2007). The economics of casino gambling (1 ed.). New York: Springer.
Walker, G. J., Courneya, K. S., & Deng, J. Y. (2006). Ethnicity, gender, and the theory of planned behavior: The case of playing the lottery. Journal of Leisure Research, 38(2), 224-248.
Ye, L. (2009). A comparison of gambling motivation factors between Chinese and Western casino players. Unpublished Master Thesis, University of Nevada, Las Vegas.
Yi, S., & Busser, J. A. (2008). The influential attributes that affect resident slot gamblers' repatronage intentions and willingness to recommend casinos to others. Journal of Hospitality & Leisure Marketing, 16(4), 343-367.
Yoon, Y., & Uysal, M. (2005). An examination of the effects of motivation and satisfaction on destination loyalty: a structural model. Tourism Management, 26(1), 45-56.
Zheng, Z., & Forrest, D. (2009). High rollers from mainland China: a profile based on 99 cases. UNLV Gaming Research & Review Journal, 3(1), 29-43.