An aerial view of the Mohegan Inspire Entertainment Resort's exterior in Incheon / Courtesy of Mohegan Inspire Entertainment Resort

Following Singapore's success with integrated resorts, Asian countries have been eager to develop similar mega entertainment complexes to attract visitors and stimulate economic growth.

In April 2005, Singaporean Prime Minister Lee Hsien Loong announced the cabinet's decision to develop two casinos, along with hotels and malls, in Marina South and Sentosa.

The government said the project was aimed to boost Singapore's tourism industry, which was facing intense competition from neighboring cities like Bangkok, Hong Kong and Macao. Additionally, Malaysia's casino theme park on Genting Highlands had been drawing Singaporean tourists.

In addition to the casinos, the Singaporean integrated resorts included other amenities, including hotels, restaurants, shopping and convention centers and entertainment facilities such as theme parks.

As a result, the projects brought over 11,500 and 7,000 new jobs in Marina Bay Sands and Sentosa, respectively, generating between 25 billion and 26 billion Singaporean dollars ($18.6 billion and $19.3 billion) in tourism revenues as of 2023.

Singapore's Marina Bay Sands / Courtesy of Singapore Tourism Board

Before the opening of the mega resort complexes, Singapore received around 9.7 million inbound tourists per year. However, when the two integrated resorts opened in 2010, the figure increased by 20.2 percent from a year before to 11.6 million.

Although the number plummeted to 2.7 million in 2020 due to the COVID-19 pandemic, it has been gradually recovering, reaching 6.3 million in 2022 and 13.6 million in 2023.

In addition, Marina Bay Sands plans to invest $3.3 billion to build its fourth tower, including 1,000 suites, a rooftop swimming pool, a 15,000-seat entertainment stadium and signature restaurants.

In response, neighboring Asian countries are developing integrated resorts to revitalize their economies and attract foreign tourists, focusing on expanding non-gaming facilities.

Notably, Japan is building its first casino-centered integrated resort in the western city of Osaka.

Scheduled to open on Yumeshima Island around the fall of 2030, the 1.08 trillion yen ($6.9 billion) project will include a 2,500-room hotel, a conference center, a shopping mall, entertainment facilities, including a 3,500-seat theater, and a ferry terminal.

A rendering of an integrated resort planned for Yumeshima island in Osaka Bay, Japan / Courtesy of Yang Hyung-eun

The giant resort complex targets an annual revenue of 520 billion yen, mostly from the gaming business, and expects to lure some 6 million international tourists and 14 million domestic visitors.

On the other hand, Macao is attempting to rebrand itself from a gaming hub to a city of entertainment by expanding non-gaming facilities in its largest integrated resorts. The Philippines also developed a $1.2 billion integrated resort, Solaire Resort Entertainment City, with a casino license in Manila in May.

According to Lee Choong-ki, a professor of hotel and tourism management at Kyung Hee University, this development trend seeks to revitalize the economy, create jobs and, most importantly, expand the range of visitors to include those coming for non-gaming reasons.

Korea plans to attract 20 million inbound visitors this year and garner $24.5 billion in tourism income, but the country still needs more tourism facilities and infrastructure, according to industry watchers.

In March, Korea saw the long-awaited grand opening of Mohegan Inspire Entertainment Resort in Incheon after its first phase of construction was completed. The resort aims to become a travel and cultural landmark in Asia by leveraging Mohegan's expertise in entertainment integrated resort operations and the growing popularity of K-pop and other Korean cultural content.

Melon Music Awards held at the Mohegan Inspire Entertainment Resort's multipurpose performance venue Arena, Dec. 2, 2023 / Courtesy of Mohegan Inspire Entertainment Resort

The mega resort, which some dubbed "Korea's Las Vegas," is the eighth property developed and operated by Mohegan Gaming and Entertainment, an integrated entertainment resort developer with a Native American background headquartered in Uncasville, Conn.

One hour from downtown Seoul, the mega resort sits on a site of 4.36 million square meters — roughly the size of Seoul's Yeouido — at the International Business Center III in the western port city of Incheon, near Terminal 2 of Incheon International Airport.

The Ministry of Culture, Sports and Tourism granted Mohegan Inspire a license to operate a foreigner-only casino in January. It was the first time since 2005 that the Korean government granted such permission and it was also the first license of its kind issued to a foreign investor.

"We expect the opening of Inspire resort to go beyond the mere addition of a casino business site in the country. Instead, it is expected to represent a significant milestone in Korea's culture and tourism industry," Culture Minister Yu In-chon said in a congratulatory message at the time of the opening.

"Through the exchange of goodwill and healthy competition, I encourage (members of the resort) to pave the way toward a healthy, flourishing casino industry," he said, encouraging Inspire to serve as a magnet for inbound tourists that also spreads the Korean wave around the world.

Experts point out that Korea should develop a Korean-style integrated resort to avoid falling behind in competition with its Asian neighbors, as the nation lacks domestic tourism resources.

According to the World Economic Forum (WEF) report from 2021, Korea ranked 15th among 117 countries in the Travel & Tourism Development Index.

Terminal 1 of Incheon International Airport bustles with outbound travelers leaving for summer holiday, Sunday. Yonhap

The index, announced biannually by the WEF, measures the set of factors and policies that enable the sustainable and resilient development of the travel and tourism sector.

While Korea ranked 10th in terms of cultural and entertainment tourism resources, it ranked 79th in natural tourism resources.

"If Japan operates an open casino, it will have a more direct influence on Korea, compared to how Singapore and Macao have done in the past. If so, Korea's integrated resorts will likely be less attractive (to visitors)," said Lee Hoon, a professor of tourism at Hanyang University, highlighting the potential damage Japan's mega-resort development plan has on Korean tourism and economy.

According to the Korea Casino Association, Korea expects to lose about 7.6 million visitors and 2.58 trillion won in revenue annually due to the opening of Japan's integrated resort complex.

The figure includes 7 million overseas travelers and casino expenditures amounting to 1.25 trillion won per year.

Seo Won-seok, a professor at the College of Hotel and Tourism at Kyung Hee University, said, "The integrated resort development plan of Japan, considering its geographic proximity to Korea, will definitely have a huge impact on Korea."

He added, "Korea needs a variety of strategies to attract tourists by strengthening the competitiveness of its integrated resorts and secure their competitiveness."

Lee said, "I believe there will be models of integrated resorts in the future that can surpass Singapore (in terms of success). Several countries are competitively working on creating a better model for themselves nowadays."