Macau Periodical Index (澳門期刊論文索引)

Siu, Ricardo C S; Lao, Eugenia
Strategic issues faced by Macao in the Pearl River Delta regional economic cooperation
Journal Name
Pub. Info
Apr. 2011, No. 30, pp. 39-61
Regional economic cooperation ;polycentric mega-city region ; Macao ;Pearl River Delta region ;strategic issues
Abstract : According to the Outline of the Plan for the Reform and Development of the Pearl River Delta (2008-2020) as promulgated by the National Development and Reform Commission of the Chinese Government in December 2008, Macao is set to deepen its economic cooperation in the PRD region by constructing the city state as a “world tourism and leisure center” . In view of the literatures regarding the concept of regional economic cooperation and polycentric mega-city region, coupled with the particular economic structure of Macao as the world's largest casino gaming jurisdiction in its gross gaming revenue, as well as the industrial composition of cities in the PRD region, Macao's potential roles in the regional economy would be explored in this paper. Indeed, evidences demonstrate that Macao's development to be a high value-added hospitality hub and a promoter of trade between the PRD cities and the Portuguese-speaking countries are to be the best realistic roles played by Macao in the region. In addition, Macao may also assume a complementary instead of a competitive role in the region's financial markets, especially in facilitating the anticipated internationalization process of RMB in the coming decade. Despite the fact that the recent progress of the casino industry has remarkably expanded the capacity of Macao's hospitality sector, this industry's existing structure with heavy reliance on a unique form of third-party operated gambling-room business segment may indeed curb its potential to be further developed in the region. Related issues would first be disclosed in this paper, then followed by discussion on measures needed as to insure Macao's effective participation and success in the regional economy. In particular, it is assessed that the existing gaming tax structure should be reviewed strategically as a measure to devote needed resource from the casino gaming to back up the development of Macao to become a high value-added world tourism and leisure center. In addition, strategic move “from near to far” would be validated as another necessary measure for Macao to establish its position to become a core city in the future PRD mega-city region. Paragraph Headings: 1. Introduction 2. Existing layout and structure of the economic system in the PRD region 3. Potential roles of Macao in the PRD regional economy 3.1. Macao as a high value-added hospitality hub 3.2. Macao as a promoter of trade between the PRD cities and the Portuguese-speaking countries 3.3. Macao as a complementary center in the region's financial markets 4. The existing casino Gaming sector as a niche and a curb to Macao's economic cooperation in the PRD region 5. Measures to insure Macao as a core city in the PRD region 5.1. Reexamining the existing gaming tax structure 5.2. Reinforcing economic cooperation with cities on the west coast 5.3. Docking Macao's infrastructure with the PRD 6. Conclusions and remarks Tables: 1. Geographical area, population and GDP/GRP of SARs/ cities in the PRD(2009) 2. Industrial composition of GDP/ GRP of SARs/ cities in the PRD(2009) Figures: 1. Geographical composition and major economic radiation regions of the PRD region 2. Share of VIP baccarat in the GGR of Macao's casino industry