Inside Asian Gaming

IAG JAPAN OCT 2020 90 JAPAN IAG: Did Okura have any concerns about this at the start and if so, what were those concerns? GK: Okura had no IR experience, so there were many concerns at the beginning. Macau was still thought of in Japan as a casino city at that time with a questionable reputation. But Okura recognized that Macau was in fact changing fast and after many discussions with GEG we were convinced that this concern would be overcome. We trusted GEG’s ability to do something different from the “old Macau, resort formula.” And it gave us great confidence that our Japanese banking partners had recommended both K. Wah (GEG’s parent company) and GEG as very reliable and trustworthy companies. Another concern was that Okura’s traditional guest profile in Japan was very much focused on business executives, especially from the financial sector, while Macau was focused on leisure customers. However, Okura recognized that by working with GEG in Macau we could expand into new market segments and broaden our business. We would also be able to expand our international footprint and brand, given that awareness of Okura outside of Japan was relatively low at that time. IAG: Operating a hotel in an integrated resort is very different from operating a standalone hotel. How did Galaxy help you make that adjustment? GK: By providing shared services and economies of scale, strong leadership involving all parties, regular communication, mutual trust and respect. GEG’s policy for Galaxy Macau is one team, under one roof. There is no poaching of staff or customers or undercutting other hotels rates within the complex. The whole IR works as one and everyone benefits as a result – a true example of partnership and collaboration. IAG: Visitationandmarket characteristics inMacauare very different to Japan. How did the two organizations work together to solve this? A suite at Hotel Okura Macau ホテルオークラマカオのスイート