The Globalization of Sport

RC Sports Business

What is Globalization?Globalization is the process by which businesses or other organizations develop international influence or start operating on an international scale

The Globalization of SportsBefore globalization, sports were popular only in the geographic areas they were created in.

Globalization has led to the popularity of a variety of different sports to spread across continents and borders.

This has happened because technology and an increasing amount of communication (media).

What else has led to the Globalization of Sport?1. Dramatic changes in the Olympic games2. Increased opportunities of women in sports3. Expansion of international marketing efforts4. The introduction of countries from emerging economies such as:

a. Brazilb. Russiac. Indiad. Chinae. South Africaf. Turkey

Five Factors that are influencing the global sports industry1. Technology2. Communications and Media3. Organization4. Cultural emphasis on consumption5. Changing demographics of communities and societies

1. TechnologyThe application of scientific or other organized knowledge to solve problems, expand experiences, or alter the conditions of reality.

2. Communications and MediaTelevision, computers, the Internet, wireless devices, and phones all have an impact on the globalization of sports as consumers can access sports more easily.

3. OrganizationAll sports contain the element of play, but sports today focus so much more on planning and productivity. Now more than ever “fun” is organized, purpose-driven, and focused on achieving goals rather than physical expression of joy.

4. Cultural Emphasis on ConsumptionMany people today are so deeply embedded in commercial culture that they think of themselves as customers instead of citizens. Sport participation itself has become commercialized, with money being a primary focus.

5. Changing Demographics in Communities and SocietiesSports are social by nature, and some of the best sporting environments are those that are culturally diverse.

What is International Sport?2 Factors

1. The context in which an individual, organization, or event operates within the international sport industry (How do they?)

2. The degree to which the individual or organization operates within the international landscape (How much do they?)

Examples of International Sports Organizations/Competitions● Olympics● Paralympics● FIFA World Cup (Men’s and Women’s)● Tour de France● Ryder Cup● Tennis Grand Slam

Examples of Multinational Sport Corporations● Nike● Adidas● IMG● AEG● Ellerbe Becket● HOK Sport

The Business of Globalized Sports● Marketing and communication efforts can reach more people● Recruitment of foreign athletes is easier than ever● Now a global market for “buying and selling” athletes

○ Athletes are regularly traded for large sums of money

● Many athletes migrate to different countries or change nationality in order to make more money○ Money earned by these athletes often contributes to sports facilities back in home countries○ 25 athletes changed nationality before the Beijing Olympics in 2008

● Tourism and traveling fans generates population movements as fans follow their teams between countries

What makes a sport popular?

1. Participation2. Viewership

Popularity of athletesAthletes are now more popular than ever, admired and supported by more by many people. The most popular athletes often become cultural icons, capable of impacting change.

Sports and PoliticsSports has the means to influence diplomatic, social, and political relations. Sports has the ability to transcend cultural differences and bring people together, domestically and internationally.

The influence of sports on politics has had both a positive and negative impact during human history.

Examples:

● St. Louis Rams “Hands Up”● Muhammad Ali & Vietnam● 1972 Munich Olympics● Miami Heat: We are Trayvon Martin● Jesse Owens 1936 Olympic Games