Decline, and 7. Rebirth Stages 1 and 2 of the model are characterized by local use and ownership. In stage 3, outside investment occurs and the property draws patrons from outside the local area. In addition local ownership and use decline. Growth continues in stage 4, but at a slower pace.
Weaker competitors begin to be replaced in the market.
In stage 5 the market should become saturated with little growth. The saturation may be a function of the number of gamblers or a lack of local infrastructure and employees. Stage 6 can take casinos in either of two directions. With no changes in the casinos or supporting infrastructure, visitation and gaming revenues should be expected to stagnate or fall according to Butler s S model. However, the casino industry may reinvent itself, stage 7, by offering new gaming alternatives or tapping into new markets.