Mgm Mirage Case Study

3781 Words16 Pages
MGM Mirage

Introduction of the Company
MGM Mirage is one of the largest gaming industries in the United States and specifically Las Vegas, Nevada. The two people responsible for the start of this empire are Kirk Kerkorian and Steven Wynn. Kirk Kerkorian opened up the first MGM Grand in Las Vegas, Nevada in 1973. Steven Wynn moved to Las Vegas in 1967 and after investing in land on the strip he later opened up the Mirage, followed by Treasure Island and the Bellagio. The MGM Mirage was created during the merger in 2000, and Steven Wynn is no longer affiliated with this company. Since this merger, MGM Mirage has grown and acquired numerous other properties. Currently MGM Mirage acts as a holding company and conducts operation
…show more content…
6. Airline Cuts
Airlines might cut down on services to Las Vegas and other vacation destinations if the economy doesn 't recover quickly. This would hurt tourism and revenues on the Las Vegas Strip. With less people traveling it becomes more expensive for airlines to fly back an forth to destinations. 7. Government Intervention
Government intervention could put downside pressure on the stock. Possible government intervention increases risk, because the government is a big customer and has a history of making adverse changes to the operating ability of companies in every industry. A government regulated industry increases political risk, because government actions may not be in the best interest of citizen of that particular country. Governments are usually inefficient with spending money.
Regulations are meant to protect the environmental and consumers. They take the form of permits, package, etc
Summary - The weighted average of the opportunities and threats in the chart above is a 14. Since this amount is much larger than 2.5, I would consider this to be a favorable situation.

Internal Analysis Factors | | | | | | | | Strengths | Weight | Rating | Weighted Average | Brand Name | 0.3 | 3 | 0.9 | Continuing Growth | 0.1 | 2 | 0.2 | Low Bankruptcy Rate | 0.05 | 1 | 0.05 | | | | 0 | Weaknesses | | | 0 | Geographically Concentrated Assets | 0.2 | 3 | 0.6 |

More about Mgm Mirage Case Study

Get Access