Sport as a Commodity
- The development of professional sport
- Sport as big business
- Sponsorship, advertising and sport
- The economics of hosting major sporting events
- Consequences for spectators and participants
The Development of Professional Sport
- Debates have sparked on the professionalism of sport in terms of integrity and fair play.
- In the last 30 years, the idea of sports has changed from being a part-time job to becoming a full-time opportunity for gain.
- The media has shown quite a bit of participation in making sport events watchable by everyone. Many sports have changed their format to fit in and facilitate broadcasting.
Sport as Big Business
- The revolutionization of sports took place in Australia in the 1970s, when Kerry Packer introduced World Series cricket.
- Earnings of professional players have reached the milestone of millions/year.
- Professional players also work as ambassadors of sport brands as a marketing cue to sell as many units as possible.
- TV Revenue, merchandise sales as well as ticket revenue act as major economic contributors.
Sponsorship, Advertising and Sport
- From an economic standpoint, sponsorship is what fuels sporting events.
- Sponsors put peer pressure in individual team members, as underperformance can lead to losing a sponsor.
- Often ethical values are questioned because of underlying, illegal gambling and match-fixing allegations.
The Economics of Hosting Major Sporting Events
- Often an extra source of large revenue as well as an opportunity for publicity and exhibition, but requires investment as well as infrastructural expenses.
- Sometimes triggers intra-city conflicts due to a shared interest of hosting a major sporting event.
Consequences for Spectators and Participants
- An opportunity to travel the world while earning a livelihood.
- A sense of patriotism while representing one’s country.
- Private lives are often put under scrutiny.
- Health implications and risks of injury.
- Balancing between work and family life becomes tough due to frequent travelling.
- Changing game standards as well as introduction of new gameplay methods (Big Bash League, T20s).
- Excitement of being able to watch more than one event on TV.
- Lack of experiencing a live game because of increased ticket prices.
- Change of preferences if a favourite player changes a team.