Hong Kong is days away from legislative elections that are unlikely to alter the city’s political power balance but certain to highlight residents’ alienation from their mainland overseers.
I have an essay titled “China’s Hong Kong Dilemma” in the current issue of Bloomberg BusinessWeek in which I ponder the curious rise of Hong Kong’s “independence” movement. In fairness, to call this group a “movement” probably overstates its significance. There is zero chance China’s leaders will permit Hong Kong, which the mainland reclaimed from Britain in 1997, to break away and set itself up as some sort of separate, sovereign entity. Hong Kong relies on China for 70% of its water, most of its food and half its trade. For good measure, Beijing keeps 6,000 People’s Liberation Army troops garrisoned here.
Pro-independence leaders are a fractious and quixotic bunch–nearly all of them idealistic twenty-somethings, fresh from university. To date, their rallies have drawn crowds of no more than a few thousand. But, as with protests here two years ago, a heavy-handed response by Hong Kong’s mainland-controlled government has succeeded in transforming a loose collection of fringe dissenters into high-profile political heroes. Continue reading “In Asia’s World City, a push for “localism””
In 2006, not long after gambling mogul Steve Wynn opened his first luxury hotel-casino in Macau, one of his top lieutenants took me on a tour. We began outside at the “Performance Lake,” a multimedia ballet of music lights and water jets, then worked our way along a concourse of luxury boutiques, through the Wing Lei Cantonese restaurant with its giant crystal dragon, across the crowded casino floor, to arrive at last at a special elevator, which whisked us to one of the lavish VIP suites where high-rollers from China came to indulge their passion for the game of Bacarrat. There my guide, a teetotaling Catholic who had risen up the ranks of Wynn’s operations in Las Vegas from blackjack dealer to floor manager to executive vice president for international marketing, offered to teach me how to play Baccarat on the condition that I swear to never forget the game’s first rule: The house always wins.
That rule has certainly held true for Wynn’s operations in Macau–at least until the last two years. In 2001, Wynn Resorts was among the first gaming companies granted a gambling concession in Macau after the former Portuguese colony’s communist overseers in Beijing decided to the end the two-decade monopoly of local tycoon Stanley Ho. As mainland gamblers flooded in, the tiny enclave boomed. By 2014, Macau’s gaming industry took in seven times the revenue of the entire Las Vegas strip.
On Monday, Wynn will throw open the doors to a second Macau resort, the $4.2 billion Wynn Palace. By all accounts, it will be the most expensive casino in the city. But Wynn’s prospects in 2016 are less certain than a decade ago. Macau’s gambling industry has been hit by a triple whammy of a slowing Chinese economy, Xi Jinping’s crackdown on corruption and a broader effort to transform Macau from high-roller haven to mass-market tourism destination. The Financial Times reports that gross gaming revenue fell 34% last year to $29 billion, and the Macau government forecasts a further decline of 13% this year to $25 billion.
Continue reading “In Macau, Wynn doubles down”
China’s bid for recognition as a global superpower in sports seemed back on track Sunday, after Chinese athletes in diving, shooting and weightlifting claimed gold medals at the summer Olympic games in Rio.
Those victories followed a shaky start for China at this year’s games, leading some to wonder momentarily whether China’s prowess as an Olympic juggernaut may be faltering in tandem with the declining fortunes of the economy. Some of China’s strongest contenders failed to produce gold medals on Opening Day. Continue reading “Blame it on Rio!”