Native American Tribes Rarely Benefit from Casino Gambling Business

There are benefits for Native American tribes that operate casinos. One huge benefit is that if the tribe is a sovereign nation they can operate with a tax exempt status. This tax exempt status allows more money to stay in the hands of the tribe. This is, of course, the preferred outcome. The idea is that the wealth that is earned from the casino operation can be used for the common good of the tribe such as building schools, offering employment and other important community resources.

An example of such earning power working in a positive way can be seen by examining the Eastern Band of the Cherokee Indians in Cherokee, North Carolina. This tribe operates Harrah's Cherokee Casino and has been very successful in doing so. The result of which is that they have been able to provide many opportunities and resources to their members. It must be noted, however, that the Eastern Band of the Cherokee Indians is one of the largest tribes and they also have the added benefit of being located in a very busy tourist area, the Great Smoky Mountains.

Most tribes, unfortunately, have not been as successful as the Cherokee in North Carolina have been. Perhaps it's because they don't have the benefit of being in a high traffic tourist area or maybe the facilities just don't draw people in. Whatever the case, the sad fact is that casinos aren't always a business venture that benefits the average tribal member. Too often there are only a few members who actually profit in some way from the casino business. Investors who are generally not tribe members are usually the ones making the big profits from the casino operations. This means the vast majority of the profits are never filtered back into the community.