ABSTRACT

MGM Resorts International owns about 30 brands worldwide, mainly in the United States and China, and operates all of the company's businesses while playing a holding company. The company owns multiple nightclubs, holds various shows, and events, and has significant ownership of T-Mobile Arena, a multipurpose indoor arena on the Las Vegas Strip. Despite MGM's success, the company realized that the program could be a double-edged sword in terms of profitability, given the trend of declining gambling revenues. As casino revenue is an important revenue source, loss of revenue from gaming is detrimental to the MGM's profit. The declining trend is even more worrisome with increasing competition from both domestic and international markets. As a result, MGM faces a dilemma between profitability and responsibility. MGM should attract as many customers as possible to gamble for the company's profit.