Trump didn’t miss any opportunity during the presidential campaign to talk about his business prowess. In the end, he won the race as an outsider on the promise of making America great again. However, his forays into the land-based gambling industry were far from successful and Taj Mahal Casino is one of his biggest failures. It all started with the opening of several casino resorts in Atlantic City in the early 1980’s and for a brief period of time, it looked like Trump has hit the jackpot in the New Jersey seaside city.
Land-based casinos are fighting a losing battle
Trump takes great pride in his abilities as an entrepreneur, but he was unable to foresee the downfall of his Atlantic City casinos, a list of new sites can be found online. In his defense, land-based operators were fighting a battle with online casinos that they simply couldn’t win. Internet gambling operators offer unique advantages to their players, such as bonuses, free games and loyalty programs. New players overwhelmingly prefer online casinos and even some of those that used to frequent land-based casinos have made the transition.
Las Vegas casinos were more successful at holding their ground, as Sin City is a popular tourist destination, bringing in travelers from all over the world. Atlantic City couldn’t compete with the entertainment and shopping opportunities presented by its rival in Las Vegas. Taj Mahal Casino was hurt by the failing revenue and confronted with high interest debt, it began going bankrupt. Trump did his best to extract as much as possible from his fading gambling empire, but the end was inevitable.
Compared to the 80s, when Atlantic City was still a glamorous place, the seaside resort has lost much of its glory. Decades of population loss took its toll and today the city has 50% less residents than it did 80 years ago. Investors are reluctant to spend their money on local businesses and the casino industry is struggling to stay afloat. During summer months, tourists visit the seaside town for its beaches, but only a fraction of these visitors put their luck to the test in local casinos.
Trump Taj Mahal’s Failure is not an Isolated Case
Poor management and debatable financial decisions have surely played a role in Trump Taj Mahal’s ultimate demise. On the other hand, there are virtually no thriving land-based casinos in Atlantic City and the town itself is looking worse by the year. It struggles with high unemployment, failing real estate prices and an overall lack of interest from both residents and visitors. Compared to Las Vegas, it paints a desolate image and the worst part is that there is virtually no hope for the foreseeable future.
Trump claims that in spite of ultimately going bankrupt, Taj Mahal casino was a profitable venture that made money for him. His critics use it as an excellent example of how The Donald failed in his area of expertise and deride his claim of making America great again. The sad truth is that Atlantic City casinos are slowly, but surely sinking into near irrelevance and they drag the former gambling hub with them.