Crown casino recently announced its intention to build a new 500-room luxury hotel in Perth costing approximately $568 million. As part of the agreement, the WA government has agreed not to oppose an application for 500 additional gaming machines and 130 additional tables, bringing the capacity to nearly the same as Crown Melbourne. The Executive Chairman, James Packer, was quoted as saying "This is not a great deal for me, this is a deal where I expect my share price to go down" (Australian Financial Review).

You are a research assistant for BankUTS. Recently, a new manager, Maureen McTeer, was promoted from the IT division and she has asked you to provide some industry analysis on the gaming sector in Australia and worldwide as they are considering a medium term (maximum 5 year) investment either in Australia or overseas. Maureen says that the high AUD/US exchange rate may create the right timing for a cheap US investment. She has limited experience with the US casinos but indicated that she thinks Wynn Casinos/Resorts is similar to Crown so she would like some comparative statistics. She is especially wondering about all the different types of businesses that are operating under the umbrella company. She would like an industry analysis of the gaming sector as well as some insight into the performance of Crown versus Wynn. She knows they are in different regulatory environments so she is interested to see how you will compare the companies. She does not expect a GAAP reconciliation.

In addition, she would like you to explain why Packer would make an investment that would decrease the share price since she thinks this is not logical.

Provide a maximum 4 page written summary on the gaming sector and answering the specific questions posed by your manager. You may include an excel document to support your write up. You will be judged on the criteria as shown on the cover sheet on the next page. Ensure you provide a conclusion about the industry you have chosen. Please bring your hard copy of this assignment to your tutorial teacher in week 4. Any backup excel documents to support your write up must be labeled appropriately.

Please include the cover page your name and student number as well as your official tutorial group time. The cover page is not included in the page limit. Your assignment will be graded on ReView and criteria for assessment are reproduced on the cover page. Please include any statements on the cover page that show how you have demonstrated that criteria in point form to assist the grader. These are optional and will not be counted in the page limit.

Please ensure this is your own work. If you do use any outside material ensure that it is cited in its entirety. It is not recommended to use any analysts' reports.

Any questions about the assignment please post on UTS online. Please go to ReView to examine the criteria for which you will be examined.

1)  Show and understanding of essential concepts necessary for a career in business and related professions - demonstrate through understanding shown in write up.

2)   Demonstrate inter-relationships between differing business and related disciplines.

3)   Critically evaluate data & resources in the context of relevant academic literature.

4)   Apply critical and creative thinking to address issues in business.

5)   Critically analyse and produce written disciplinary texts for academic and professional audiences.