The Case of the Troubled Casino The Upper Midwest of the United States has lagge
ID: 3348530 • Letter: T
Question
The Case of the Troubled Casino The Upper Midwest of the United States has lagged behind the economic recovery enjoyed by mch of the reat of the nation With an econotny built largely cn the steel, lumber, agriculture, challenges of declhning commoxhity prices, globalization, and automation Countries such as China and Canada offer cheaper steel or lumber Asis, or Mexico. Finding thriving basinesses in this region can be difficult, and one of the feww standouts has been in the gaming industry and manufacturing industries, local businesses were hit by the triple ) bs eith? were replaced by robot! or moved to China, Southeast A amall group of Native American tribal leaders opened the Beown Bear casino about 30 years ago. The facility was built on tribal land and as sach is not subject to local, state, or federal taxes. Initially started as a relatively small stand-alone casino, the complex grown to include 2,000 slot machines, 25 blackjack tables, abingo hall fr player, a convention center, a botel, three restaurants, and a golf coune Over the years it has become a destination location for those wanting to play golf, see hows, enjoy good meals, and gamble without having to travel all the way to Las Vegas to make it happen The Brown Bear casino complex is now a $50 million basiness beaded up by a general manager, who in turn oversees 11 different department heads, sach as the chief financial officer, head of security, director of gaming operations, and so on. These 11 leaders manage the 1,200 employees working at the casino, hotel, convention center, and golf courne Although the canino enjoyed strong rowth during its first 20 yean of existence, it has not recovered fully from the econommic recession of 2007-2009. Many of the good-paying jobs in the area disappeared, and as a result the local population has become considerably smaller and older dollars. The chief marketing officer has implemented a numbes of and increase their average spend per visit, but so far these efforts have yielded negligible results to bring more and younger customers into the casino Although the casino is the largest employes in the area, waffing and employee engagement have been chronic problems. Many long-term to disparage those "ho put in an borest day's work Despite paying congett ve wage and the relatve icataty of good-pring jobs the casino arverages 30 percent annual tuenover, with some positions reporting tarnover races over 100 percent Turnover is noc only taking a toll on the employees who remain (as they often have to pick up the slack for those who leave), but it also has an mpact on the casino's custoener satisfacticn and financial results. Nenier and less experienced staff do not lnow how po handle more complex customer mues, and it costs the casino $1.…-$5,000 in recruting fees for each new penon hired with 400 new staff being hired each year, these staffing Sees are haring a material impact on the company's bottom line appear to be completely checked out at work biding their time until retirement, and they go out of their wayExplanation / Answer
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