Lecture Three - the economics of sport and physical activity

1. Lecture Three - the economics of sport and physical activity Sport has evolved from a set of popular pastimes to a commercialised entertainment industry. The founding attraction of sports is now used to generate wealth

2. Economics • Wealth is king.......? • Ryder cup –bidding process – millions generated – supported by local authority and central government • Olympics - - bidding process against other states • Football world cup – strategic (some would argue wealth) agenda for globalising the game (e.g. – Russia and Qatar) • Super bowl – advertisements dominate the structure • Sport feeds the economy directly and indirectly (marketing , products, advertisements, media rights, employment)

3. Involvement Continuum • “Sport matters more than ever, in the sense that there is more money, bigger audiences, greater prizes, higher expectations, greater athleticism, higher stakes” (Barnes). • evaluating the involvement of each stake holding group is important but is often forgotten so that divisions and gap appear in the economical stakes • Grass roots funding • Sport for all

4. Economic Legacy • Wealth and benefits generated through sport may create ‘legacies’ and these can be in various guises and forms • E.g. –Manchester commonwealth games • London Olympics • Glasgow 2014 • Here, there is clear evidence of ‘making’ a difference through public funds

5. Media responsibility • Too often high level wealthy agendas are over reported to the demise of:- • 3rd sector groups • Community action • Minority sports • Those who benefit most from involvement and funding

6. Responsibility • In examining the economics of sport we should consider:- • Structures and sustainability • Long term growth of sports • Everyone benefits • Democratic process • Role of governance and regulation in this process (can governments interrupt and modify for greater equity – example –professional football – lower leagues)