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A Publication of the National Golf Foundation

Questions, Answers and Insights for Everyone Interested in the Business of Golf

NGF TOP 100 BUSINESSES IN GOLF

Pacific Golf Management

Category

Corporate Headquarters

Tokyo, Japan

Website

Profile

Pacific Golf Management is the leading management company in the world’s second-biggest golf market, owning and operating more than 140 facilities throughout Japan.

PGM’s President, Kotaro Tanaka, took over in 2014 after years of golf course management experience with another Japanese operator, STT Development Co.

Pacific Golf Management had humble beginnings, operating only two courses when it was first founded. The organization’s expansion began in 2001 when it decided to acquire and manage golf courses that had financial issues. From that point forward, the company—which consists of Pacific Golf Group International Holdings (PGGIH), along with 21 consolidated subsidiaries—has operated semi-private and public golf courses, a majority of which it owns.

If Pacific Golf Management does not own a golf course, it will either acquire all income earned by the course, via a Lease Contract, or it will receive a percentage of the course’s profits through a Management Contract. A majority of the company’s income consists of play fees (typically upwards of 50 percent), but the organization also earns revenue from five other primary sources: restaurant and pro shop proceeds, membership dues and fees (initiation and transfer/registration fees, along with annual dues), general golf course fees (driving ranges, locker rentals, etc.), Management Contracts and earnings that simply aren’t related to golf, including its hotels.

To further expand its operations, which already extend throughout Japan, Pacific Golf Management has increased its information technology, marketing and sales workforce, improved its hardware and software, and refined its HR development systems. At the same time, the company is also dedicated to purchasing profitable golf courses that are located in large, urban areas and feature highly qualified managers and course maintenance professionals.

 

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