Monday, May 25, 2009

Vegas in Trouble

CNN is reporting very low travel numbers for Las Vegas year to year and although the economy appears to be stabilizing it's not clear that'll prevent severe challenges to the Las Vegas business landscape. Here are the highlights from this Las Vegas economic story:

  • State unemployment rate 10.4 percent, convention attendance down 30 percent
  • Casino slashes room rates, lays off workers -- including 28-year veteran
  • Mayor Goodman says, "I didn't see this coming," but still optimistic

CNN Reports


FleaStiff said...

I think the troubling times are over-emphasized and are self-induced.
One benefit has been the lowered table limits, particularly downtown.
In a town that functions largely on tips, the casinos never "tipped" the airlines so the route cancellations hurt real bad.
The construction snaffus are a home-grown problem, nobody likes to read about errors in the foundation of a high rise building or plumbing violations six years old prior to discovery.
Lowered room rates seem to have cured the lack of tourists.
The newly opened "M" did just fine.
Vegas shot itself in the foot with all those trendy nightclubs that soaked their customers and sucked the dollars away from the casinos.
And when will Vegas learn?? "European Style Pools" are just grand, but not if you admit 50 year old males to watch the sunbathers.

FleaStiff said...

A recent example: A Party Pit that is nothing but unimpressive surroundings offering blackjack rule variations that few self-respecting gamblers would be seen playing. Sure its only a 1.00 minimum and so attractive to the ignorant one-time visitor, but its a terrible thing for Vegas to do to itself.