FACTORS INFLUENCING ONLINE GAMBLING PARTICIPATION OF RESIDENTS IN

TANAUAN LEYTE

A Research Proposal
Presented to the Faculty of the Department of Criminology
Faculty of Criminal Justice Education
Visayas State University Tolosa
Tanghas, Tolosa, Leyte

In Partial Fulfillment
Of the Requirements for the Course Crim 107
Criminological Research 1

By

DANICA MAE D. POLO

GERALDINE N. DURAN
JOSH DOMINIC ROYERAS
KAREN JOY NUEVAS
KARYLLE JOY C. PALAMOS
KIMBERLY G. REGAHAL
MICHAEL ANDRADA
NICOLE MORALES
REGINE P. SALICSIC
RINA JANE LUANGCO
 CHAPTER I
INTRODUCTION

The gambling industry saw a continuation of strong economic impact toward

countries operating gambling facilities and the gross revenues has rapidly increased in this

few decades (Wu & Wortman, 2009). There is an increase in Internet use worldwide due to

the fact that there is technology that supports Internet, readily available and high-speed

Internet and low cost Internet access (Gainsbury et al., 2013). The introduction of smart

phones and tablets has contributed to a big burst in IT industry during the last decade. There

has been a change in how we are consuming it; expansion of the Internet to everyday life has

resulted to digitalization of betting services (Wellman, 2011). Gambling exists in many

forms, which vary in popularity among different groups and classes of people; broadly, it may

take various forms including lotteries, casinos, gaming and pool betting.

For most gamblers, gambling is just fun. If they win, great. If they lose it is not a

major catastrophe. They go on to another activity. However, for some young adults, the

attraction to gambling is much stronger [5]. They start to gamble more than they meant to and

lose more than they can afford. Their inability to control their behavior is a sign of problem

gambling. Problem gambling is a general term referring to all individuals who have any

problem associated with their gambling, including those who were diagnosed as pathological

gamblers. It is not defined by how often someone gambles or how much money the person

loses. Rather, it is whether or not the individual’s life is disrupted by gambling, namely, if

gambling takes precedence over other activities and the individual experiences adverse

consequences because of gambling. Additional signs may include frequent gambling

activities and increased absence from work or school [6].

 Philippines has become the gambling lord’s paradise and the richest these lords, albeit

legal and government-owned is the Philippine Amusement and Gaming Corporation

(PAGCOR). Five out of ten Filipinos say that the earnings of legal gambling industry come

from poor people. Almost two-third people say that they have engaged in gambling for the

past twelve months. The most beautiful part of Metro Manila is about to turn into the Las

Vegas of the Orient. According to the latest administrative data from PAGCOR [7], Philippine

gambling industry GGR grew by 5.2 percent to reach US$3.5 billion in 2017 from US$3.3

billion (2016).

Theoretical Framework

This study is anchored on three theories deemed necessary to support the

foundation of this research study: Uses and Gratifications Theory (Katz, Blumler, and

Gurevitch, 1973), Cognitive Load Theory (Sweller, 1988), and Social Learning Theory

(Bandura, 1977).

Uses and Gratifications Theory (UGT)Proposed by Katz, Blumler, and

Gurevitch (1973), the Uses and Gratifications Theory suggests that individuals actively

seek out media to fulfill specific personal needs such as entertainment, social interaction,

escapism, and thrill-seeking. In the context of online gambling, individuals may be drawn

to these platforms as a means of satisfying emotional or psychological needs. The

excitement of gambling, the potential for winning, or simply passing time can serve as

powerful motivators, influencing participation.

Developed by Sweller (1988), the Cognitive Load Theory focuses on the brain’s

limited capacity to process information. Online gambling platforms are designed to be

fast-paced, visually stimulating, and attention-grabbing. As users are exposed to

 continuous betting, pop-ups, and reward-based interactions, their cognitive load increases.

This overload may reduce their ability to make rational decisions, encouraging impulsive

gambling behavior.

Bandura’s (1977) Social Learning Theory emphasizes that behavior is learned

through observation, imitation, and modeling. Online gambling can be influenced by

observing peers, celebrities, or influencers engaging in gambling-related activities. The

normalization of gambling content on social media or within online communities can

encourage individuals to try gambling themselves, believing it to be acceptable or even

rewarding behavior.

The researchers adapted these theories to help explain the motivations and

behaviors behind online gambling participation. Understanding these theories enables

researchers to understand how individuals are shaped by their needs, social surroundings,

and cognitive abilities when participating in gambling activities through digital platforms.

Conceptual Framework

The conceptual framework shows that the focus of the study lies on the online

gambling participation of residents in Tanauan, Leyte. The process explores how these

individuals deal with the risks associated with online gambling, financial strain, and legal

awareness. The output presents the expected results of the study, particularly the level of the

residents’ knowledge towards online gambling. This study made use of the descriptive

method through the use of modified researcher-made questionnaire.

Input Process Output

Descriptive method using Proposed intervention
Factors influencing researcher made program.
individuals to participate questionnaire
in online gambling.
Gathering of data
Impact of online
gambling participation of Analysis of data
individuals financial Interpretation of data
Objectives of the Study

1. To identify the factors influencing individuals to participate in online gambling.

2. To determine the impact of online gambling participation on individuals financial stability.
3. To propose an intervention program based on the findings of the study.

Scope and Delimitations of the Study

The survey gathered demographic information of adult members aged above 18 years
old, influencing Factors (Likert scale: peer influence, entertainment, money, accessibility),
participation level in gambling activities. Other information collected included financial
Impact (Likert scale: stress, debt, neglected expenses, savings impact), frequency of
participation, expenditure on gambling, winnings from gambling, perceptions on gambling,
employment status, monthly income and information on effects of gambling on household
welfare.

Assumption of the Study

1. It is assumed that individuals engage in online gambling for a variety of personal reasons,

including the desire to earn quick money, seek entertainment, relieve stress, escape personal

problems, or cope with boredom.

2. It is assumed that several interrelated factors—such as accessibility, peer influence,

financial situation, and promotional strategies—play a major role to the participation of

residents in Tanauan, Leyte in online gambling.

3. It is assumed that individuals who experience losses from gambling may take loans, use

credit cards, or borrow money from others to continue gambling or recover losses
4.It is assumed that the proposed intervention program will be effective, practical, and

relevant in addressing online gambling issues among residents of Tanauan, Leyte. It also

assumes that community members and local institutions will support and participate in its

implementation.

Significance of the Study

This research aims to investigate the variables that affect Tanauan, Leyte people'

involvement in online gambling and evaluate the effects it has on their financial security.

The results will offer important insights into the causes and effects of internet gambling,

laying the groundwork for the creation of successful intervention initiatives. This study

will serve as a crucial resource for formulating policies and regulations for local

government officials and policymakers, aimed at promoting responsible gambling and

mitigating financial risks among residents. By understanding the primary factors driving

individuals to engage in online gambling, authorities can develop targeted awareness

campaigns and support mechanisms.

This study can help social workers and financial advisors better understand how

gaming participation affects the economy. The results will assist in identifying the

financial difficulties faced by those who gamble online, enabling professionals to create

workable plans for stability and financial literacy. This study can be used as a reference to

help Tanauan, Leyte residents better understand the possible hazards and rewards of

gambling, particularly for those who are impacted by online gambling. People can make

better selections and establish responsible gaming habits if they are aware of the financial

ramifications.
 Finally, this study adds to the body of knowledge already available on gambling

behavior by giving academics in the future pertinent information to delve deeper into the

social and economic ramifications of internet gambling. Based on research findings, the

suggested intervention program will work as a model for neighborhood initiatives aimed

at minimizing the detrimental effects of gambling while promoting financial resilience.

Definition of Terms
Online Gambling –In the context of this research study, online gambling refers to the act of

engaging in wagering or betting activities conducted over the internet by residents of

Tanauan, Leyte. This includes participation in activities such as online casino games, sports

betting, poker, and other digital gaming formats where real or virtual money is at stake.

Financial Strain – A state where a person struggles to meet financial obligations due to

limited income or high expenses, often causing stress to the residents of Tanauan, Leyte.

Fast Cash Apps – In the context of this research study, fast cash apps refer to mobile

financial applications that provide residents of Tanauan, Leyte with quick access to small

amounts of money, typically through short-term loans or cash advances.

Legal Awareness – In the context of this research study, legal awareness refers to the extent

to which residents of Tanauan, Leyte understand and are informed about the laws,

regulations, and legal rights that affect their daily lives.

Philippine Online Gaming Corporation (POGO) – A government-regulated entity in the

Philippines that oversees the operation and licensing of online gambling services, including

online casinos and sportsbooks, to international customers. POGO aims to regulate the

industry, ensure compliance with laws, and promote economic growth through taxation and

employment.
Philippine Amusement and Gaming Corporation (PAGCOR) – A government-owned and

controlled corporation in the Philippines responsible for regulating and operating gaming

activities, including casinos and other gaming facilities. PAGCOR also generates revenue

through the operation of games of chance, which is used to fund various government projects

and social initiatives.

CHAPTER II

REVIEW OF RELATED LITERATURE

This chapter presents the relevant review of literature and studies pertinent to and

essential to the completion of this study.

Description of Online Gambling

The rise of the internet and technology has transformed the gambling landscape, with

online gambling emerging as the fastest-growing sector. Online gambling encompasses a

wide range of activities, including online casino games, sports betting, bingo, and mobile

gaming, all of which involve placing bets. Its accessibility and immersive features have

contributed to its rapid growth. (Iskomunidad, 2009).

Online gambling can be defined as being involved in betting on casinos or sports over

the internet and is also known as internet gambling or e-gambling (Kumar, 2020). Online

games are increasingly popular with children, adolescents, and young adults, and are often

used for stress relief. People with high levels of stress may play online games excessively in

order to escape from offline problems (Kraut et al., 2002; Snodgrass et al., 2014).

Online gambling poses unique challenges due to its widespread nature and inherent

risks, making control, prevention, and intervention more complicated. Its advantages over

traditional land-based gambling include ease of access, convenience, flexibility, interactivity,

and anonymity. Additionally, online platforms allow users to create profiles, hide their

identities, and engage with others through chats and forums, making online gambling

particularly appealing to many users (Gainsbury, 2012).

Online Gambling in the Philippines

The history of gambling in the Philippines stretches back to at least the 16th century

(Bankoff, 1991). During the Spanish colonial period, the Philippines witnessed the rise of

organized gambling, featuring cockfighting, card games, and other games of chance. The

19th century brought the introduction of lotteries, horseracing, and casinos to the country's

gaming scene (de Bario, 2005).

Gambling, as defined by Article 2013 of the Civil Code of the Philippines, is a game

of chance that which depends more on chance or hazard than skill or ability. Since its

legalization in 1976, the Philippines has emerged as a prominent casino destination in Asia.

Overseen by the Philippine Amusement and Gaming Corporation (PAGCOR), it is tasked

with the regulation and revenue distribution of gambling.

The online gambling industry in the Philippines, specifically Philippine Online

Gaming Corporations (POGOs), saw significant growth under President Rodrigo Duterte's

administration from 2016 to 2022, with hundreds of companies registered, employing

hundreds of thousands of workers, and contributing around $500 million annually to the

government (Camba 2024). The COVID-19 pandemic's shift to virtual platforms has raised

concerns about the rise in online gambling, potentially fueling addictive behaviors with

significant socioeconomic and health consequences (Scholes, 2021).

The Philippines has emerged as a major gambling hub, with the Philippine

Amusement and Gaming Corporation (PAGCOR) being a key player. The Philippine casino
and gambling industry experienced unprecedented growth from 2008 onwards, generating

$13.3 billion and accounting for nearly 10% of the country's gross domestic product by 2016

(BSP 2018). The Philippine gambling industry is projected to climb 17% in 2025 estimating

gaming revenues from 450 billion and 480 billion Philippine pesos this year (PAGCOR,

2025).

Half of Filipinos believe that the legal gambling industry's revenue largely comes

from low-income individuals. Nearly two-thirds of Filipinos have participated in gambling

within the past year. The country's gambling participation rate of around 64% is comparable

to the United States' rate of 66%.

Effects of Online Gambling

Online gambling has become a social issue due to its rapid growth and increasing

popularity among youths. According to Claybaugh et al., online gambling has more negative

consequences and fewer positive consequences but are recognized to have financial gains

among users. This industry is facilitated by the widespread availability of internet access and

the proliferation of mobile devices, making online gambling platforms easily accessible to a

younger demographic.

The accessibility of gambling online platforms makes it easy for individuals to engage

in gambling, increasing the risk of addiction. This problem could be mitigated by enforcing

stricter regulations on gambling advertisements, especially on social media, which often

targets younger audiences. As well as the regulation in the fast cash apps the need for

intensification in its screening for its players in mini gambling apps is a must.

The study of Bergman (2024) highlights the gambling addiction statistics worldwide

which varies between 1.2% -6.0% and views it as a global problem. Gambling addiction, or

Ludomania, is an impulse disorder characterized by a chronic and progressive obsession with

planning, scheming, and mentally replaying outcomes, ultimately leading to a loss of control

(Rosenthal 2019). Individuals with a gambling addiction are unable to resist the urge to

gamble, often risking something of value in hopes of gaining more, despite the potential

negative consequences. Problem gambling refers to individuals whose lives are disrupted by

their gambling habits, characterized by prioritizing gambling over other activities,

experiencing adverse consequences, and potentially exhibiting signs such as frequent

gambling and absences from work or school, regardless of frequency or financial losses

(Delfabbro, 2003). Gambling addiction often leads to significant financial difficulties, with

many individuals facing debt due to gambling losses. This financial burden can create a

vicious cycle, where individuals gamble more in the hope of recovering their losses, leading

to even greater debt. (Marimla, 2024).

Internet gambling is linked to various criminal issues, including theft, robbery, and

domestic violence. It also negatively impacts children and adolescents, leading to low

motivation, poor academic performance, and deviant behavior. Studies often reveal adverse

effects of online gambling on individuals and society. Financial losses can be significant, with

some individuals using winnings for further gambling instead of essential expenses like

education. (Susanti, 2021).

CHAPTER III

METHODOLOGY

This chapter provides the description of the research methodology which includes the

research design, research instruments, validation of research instrument, research

respondents, research locale, data gathering and procedure, method of scoring, ethical

consideration, and statistical treatment.

Research Design

This study employed a quantitative approach, specifically correlational research

design, where it analyzes the relationship between two or more variables.

Research Locale

This study was conducted at Tanauan, Leyte, Philippines. Tanauan is one of the oldest

towns in Leyte, dating back to the year 1710. It is composed of 54 barangays. It is the second

largest municipality of the island, and located 20km south of Tacloban City, Capital of the

Eastern Visayas region.

Source: Google Maps and Google Earth

Figure 2. Map of the Municipality of Tanauan, Leyte

Respondents of the Study

Table 1. Sample Size and Total Population

 Respondents Sample Size Total Population

Residents of Brgy. San Roque 20 20

Residents of Brgy. Sto. Niño 20 20
Residents of Brgy. Buntay 20 20
Total 60 60

Research respondents are those individuals who complete a survey for the researchers who

provide data to be analyzed for the research study. Respondents are determined by the scope

of the study, and must agree to informed consent to participate.

The participants in this study consisted of individuals from various major barangays

of Tanauan, Leyte particularly Brgy. San Roque, Sto. Niño, and Buntay. Researcher will

make sure that the respondents of the study have knowledge and experience towards the

subject of the study, enable them to answer effectively the questionnaire with regards to the

factors influencing online gambling participation.

Research Instrument

A structured questionnaire will be used with four parts:

Demographics (age, gender, status, education, income, employment)
Influencing Factors (Likert scale: peer influence, entertainment, money, accessibility)
Participation Level (frequency, time, money spent)
Financial Impact (Likert scale: stress, debt, neglected expenses, savings impact)

Data Gathering Procedure

 The data for this study will be obtained from the researchers' survey questionnaire.

After the questionnaire underwent validation and pilot testing, the researchers will seek for

approval to conduct the study from the selected barangays of Tanauan, Leyte. Once the

approval will be obtained, the researchers will prepare the research instrument and will

proceed with the actual data collection process.

Before administering the questionnaire, the researchers sought permission from the

respondents to participate in the study. The researchers then provided an orientation to the

participants, explaining the guidelines and instructions for answering the questionnaire. This

step aimed to ensure that the respondents understood the purpose of the study and how to

accurately complete the questionnaire.

Subsequently, the researchers will distribute the questionnaire to all the respondents

present in the chosen settings, which is the selected barangays of Tanauan, Leyte. The

researchers will make sure that each participant will receive a copy of the questionnaire.

After the data collection phase, the researchers will consolidate the collected data and

tabulate it accordingly. This process involved organizing the responses and converting them

into a format suitable for analysis. The researchers will then interpret the data to derive

meaningful results. The tabulated and interpreted data will serve as the basis for drawing

conclusions and presenting the findings of the study.

Statistical Treatment of Data

This data gathered from residents of Tanauan, Leyte who have engaged or have

participated in online gambling will be thoroughly analyzed and critically interpreted. To

interpret the data, the researcher will utilize the following statistical treatment, percentage,

weighted mean.
Treatment of data. The following are the statistical tools that will be used in the study.

Frequency and Percentage. It will be used to interpret the profile of the respondents that

includes their age, gender, and civil status. And the number of times the gamble online

weekly.

Weighted Mean. It will be used in determining the impact of online gambling to the

respondents.