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Saturday, December 09, 2006

Genting Gets the Singapore I.R. - Smart Political Move

http://www.channelnewsasia.com/stories/singaporelocalnews/view/246100/1/.html

Oh I'm sure Genting got the Sentosa IR on merit, everything in its proposal having been tried, tested and nothing too weird, but the political benefits couldn't have hurt.

All along I'd been saying in face-to-face though not online that Kerzner's "robotic fish" would be too... robotic... heh, and Eighth Wonder's Harry's Island was just too "tacky"; not to mention too kiss-a&*@ - given that Lee Kuan Yew is also known as Harry Lee. Lots of Singaporeans must have winced at the obvious sucker-u**er connotations of the name.

But the clincher - I speculate - and this this is never admitted in the official grounds of decision - is that a failure to award to Genting would have resulted in intense, totally unfriendly and uncertain competition with the region's most established (by far) resorts operator. Genting's operations in Australia (Perth - Burswood), the Phillipines and finally in Malaysia where the casino is a prosperous national landmark in a majority-Muslim country clearly viewable from Kuala Lumpur (more than a hundred kilometres away) - on a good day - gave it a location-specific performance record nobody else could match, least of all the angmolang from Las Vegas.

Giving it to Genting totally killed the idea of a Universal theme park in Southern Johor (in consideration since 1998, when Renong still ran Nusajaya), co-opted Genting into making the resort work together with all its other operations and not in do-or-die competition against them, and was tightly worded enough to minimise any risk that Genting would try a typical Microsoft "buy-it-to-kill-it" strategy. As for political risk vis-a-vis Malaysia (always a difficult relationship where Singapore is concerned), Lim Goh Tong & Co owe nothing to the Malay-dominated government of Malaysia; Malaysia is fortunate to have received what it did (and is, to receive what it still does) by way of tax revenues and other tourism-related benefits from the Genting group and if Goh Tong had to he'd leave Malaysia with his whole family and business in a flash, say, if PAS came to power in the Federal government.

All in, the correct decision to make, which is nothing less than what I would expect of the world's best civil service.

LMT

56 comments:

Anonymous said...

This is a really interesting way of looking at Genting's victory. Thanks for sharing the view!

Anonymous said...

From my converstaions with biz associates fm overseas, they see it as a 'big lost' in terms of getting the real million/billionaires to come here (putting aside the association with LKY). almost all of them prefers the 8th wonder proposal: Pele stadium, rich people shopping arcade-buy a helicoper, mega yacht, Oceanic Research facility (rather than trying to put a whale shark in captivity) etc. I kinda of like the proposal more for the natural settings-we don't actually need another 'cold-concrete' structure in singapore; if I want to do that might as well stay on the main island. saw the fly thru that 8th wonder did on their website-really cool!
You saw how in the press conf. how our ministers were trying very hard to downplay the 'political angle' but within the next couple of days, the fellows from across the causeway basically made our ministers put their foot in their mouth by claiming a 'political' victory & basically milking it for every cent that it is worth.
On another point, Genting claims as part of the proposal that Universal studios will not be building another theme park facility in Asia for the next 20 yrs- just think abt it: across asia, there are universal studio theme parks in quite anumber of countries-australia, etc but other than singapore being the likely next stop, where else? Indonesia & Philippines-too much political & extremist problems- let see how the lowest bidder (is this a typical s'pore govt mentality?)play out the game-well just my 2 cents worth of inputs

Murray said...

Did anyone point out to the gahmen that Genting casino is tacky and kitsch? Do they really think the Sentosa effort will be any more classy? I'm disappointed...

Oh yeah, and who thought up "Harry's Island"? Talk about a poor attempt at brown nosing, and LKY is strongly anti-casino, so it was a really dumb idea.

Steve Bell said...

It's old news now, but not many people got to see the animations we did of the Harry's Island bid. If you want to look then they are at: Harry's Island 3D animation

It was an awesome concept...

Steve
Archiform 3D

Anonymous said...

Thanks Steve.

Lawman - best to check the facts prior to opening your mouth.

Harry's Island has been a resort concept in the making for over a decaded. George Lucas and Mark Advent conjured up Harry Obrien many many years before Singapore even considered gaming.

Huge loss for Singapore - Harry's will rise in the region and Singapore will have their "By the Way" Genting resort - enjoy. Atleast you will get a great resort from Sheldon A.

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