Commercialisation Of Sport Flashcards
Define commercialization
Commercialisation in sport refers to the process of turning sport into a business — generating revenue through media rights, sponsorships, merchandising, and ticket sales.
Impact of commercialization on sport and society
Impact on Society:
Positive:
-Increased funding for sport development
-Better facilities and equipment
-More media coverage = increased participation
-Role models created
Negative:
-Win-at-all-costs culture
-Overemphasis on elite over grassroots sport
-Over-commercialisation can alienate traditional fans
-Gender inequalities in coverage and sponsorship
Concept of Commercialisation and Commodities-commodities
These are athletes, clubs, and events become products that can be bought/sold/promoted for profit.
Comparison between advertising, sponsorship, endorcement and merchandising and their impact
Differences:
-Advertising: Paid promotion to sell a product/service (e.g., Nike ad with an athlete).
-Sponsorship: Financial support in return for publicity/brand exposure (e.g., Emirates sponsoring Arsenal).
-Endorsement: Athlete directly supports a brand/product (e.g., Serena Williams endorsing Nike).
-Merchandising: Selling products linked to a sport/team (e.g., club kits, replica gear).
Impact:
-Big brands shape how sport is presented.
-Athletes’ image becomes a marketable brand.
-Some sports/events are favoured based on commercial potential.
Historical and Social Context of Commercialisation
Key Developments:
-Broken Time Payments: Compensation for working-class athletes missing work to compete. Key step toward professionalism.
-Spectatorism: Growth of fans watching sport live or through media — essential to commercial success.
Media Evolution:
• Radio → TV → Internet/Streaming
• Bigger audiences = more value for advertising and sponsorship
• Shaped how/when sports are played (e.g., evening matches for prime-time TV)
Why do we have the modern Olympics
- it started in Olympia 776BC (Greece)
- for the first 13 games there was only 1 event held
- in 1896 the modern Olympics kicked off in athens
- every 4 years as of Greece calendar (Olympiads)
Context of the Olympics
It was a Greek events and the Roman’s had banned it.
-this was where baron pierre de coubertin set up the Olympics and visited Arnold
- schools influenced the Olympics
- the wedlock games were introduced by dr Brooke’s as the town wasn’t very healthy so he wanted to make them fitter.
- it was said a healthy body made a healthy mind (muscular Christianity)
Olympic games- 1968 Mexico City
Over 200 Mexican students were massacred in protest of the use of Government money to pay for the Games, during widespread poverty in Mexico. East Germany (GDR) competed for the first time. American sprinters Tommy Smith and John Carlos protested against treatment of Black Americans, using the ‘Black Power Salute’ during the American national Anthem. South Africa was banned from the Games
Olympic games- 1972 Munich
-Palestinian terrorists killed 11 Israeli athletes and coaches in an attempt to free Palestinian prisoners.
-Protest and threats of boycott from a number of countries resulted in Rhodesia’s invitation being withdrawn, on grounds of apartheid black vs white)
- east Germany used sport to dominate and used drugs to prove communism was better than the west (capitalist)
These games had a significant influence on the development of commercialism.
Olympic Games- 1976 Montreal
There was a financial disaster due to a over ambitious plan to build new facilities for every sport plus huge security costs because of the previous games that were estimated to be 310 m but debts were 1b plus by the time these were cleared in 2006 these had costed 2b.
- the increase in security costs, new facilities and a country already in recession, political issues included;
- African countries boycotted in protest of New Zealand Rugby team’s tour of South Africa, despite ongoing apartheid issues.
-IOC allowed New Zealand to participate, as Rugby was not an Olympic sport. Taiwan withdrew, after pressure from the Republic of China.
Olympic Games: Los Angeles 1984
-Sometimes known as ‘tit for tat’ Olympics, the USSR led the boycott of these games and other communist countries joined them.
- Official reasons given were the concerns over the athletes’ safety and claimed that the IOC was not adhering to the Olympic Charter and were using the Games as a commercial interest.
-The lack of the Eastern Block athletes devalued the status of gold medals.
-In these games Peter Ueberroth developed the commercial blue print adopted by all subsequent games.
Refusal of la countries and the US gov to fund games so peter ueberoth was appointed as the chairman of the organising committee and focused more on fundraising.
Tv rights were sold for 287 million where the main sponsors were McDonald’s, Coca Cola resulting in games making 200 million
Peter with the 10c developed the top programme (Olympic partner)
Tit for tat Olympics the USSR led the boycott of these games and other communist countries to join them
1968 Olympics impact on the 1984 Olympics
1968 Mexico City Olympics – Political Impact
• Famous for the Black Power salute by Tommie Smith and John Carlos during the medal ceremony.
• Highlighted how sport could be used for political protest.
Impact on 1984: Greater control of athlete expression and tighter media management to avoid controversy harming the image of the Games or sponsors.
1972 Olympics impact on the 1984 Olympics
1972 Munich Olympics – Security & Media Attention
• Marked by the Munich Massacre, where 11 Israeli athletes were killed by terrorists.
• Brought global attention to the need for security at sporting events.
Impact on 1984:
LA 1984 had heightened security protocols.
The media coverage of Munich showed the power of live global broadcasting — this was capitalised on in LA for TV rights sales and advertising revenue.
1976 Olympics impact on the 1984 Olympics
1976 Montreal Olympics – Financial Impact
• Montreal faced huge financial losses (over $1 billion in debt) due to overspending on venues and infrastructure.
• Also saw the African boycott over apartheid issues, damaging credibility and viewership.
Impact on 1984:
LA refused public funding — instead, used private investment and sponsorship, reducing financial risk.
The Olympic movement needed to restore its reputation — LA did this by running a financially successful Games.
1984 impact on the 1984 Olympics
1984 Los Angeles Olympics – The Resulting Blueprint
• Led by Peter Ueberroth, LA 1984:
• Sold exclusive sponsorship rights (only one sponsor per product type)
• Secured massive TV rights deals
• Used existing facilities instead of building new ones
• Ran at a profit of over $200 million
Impact of Earlier Games on 1984:
Learned from financial failure (1976)
Addressed political and security concerns (1968, 1972)
Set a precedent for how Olympics should be funded and commercialised — a model followed by all Games since.
Olympic ideals
The IOC developed a set of ideals regarding the Olympic Movement and these are referred to as Olympism “…a philosophy of life, exalting and combining in a balanced whole, the quality of body, will and mind. Blending sport with culture and education, Olympism seeks to create a way of life based on the joy found in effort, the educational value of good example and respect for universal fundamental ethical principles”
The main goals of the Olympic movement are:
-Personal excellence
-Sport as Education
-Cultural exchange
-Mass Participation
-Fair Play
-International understanding
Examples involved
- equality
- free from the use of drugs
- respect
- friendship
- excellence
- promotion of Olympism
- free from political interference
- global harmony for sport
- equal opportunities
Are the Olympic ideals valid
For
- excellence
- friendship
- courage
- inspiration
- respect
- determination
E.g. 2 olympians shared a gold medal
Against
- ideals get lost in commercial circus
- not free from drug abuse
E.g. drug taking increased from Sydney 2000 from taking more tests
Argue whether there are equal opportunities
For
-more paralympians are given opportunities
- 164 countries are now competing in the Paralympic’s
Against
-however there is still a difference as woman have a battle of representative action where its seen as more male dominated
- richer countries still dominate
Olympic symbolism
-The Olympic Flame is a key feature of the Opening Ceremony, remaining lit during the games and then extinguished during the Closing Ceremony.
-The flame is historically lit by the rays of the sun in Olympia, Greece and carried in a torch, by a series of runners in the ‘torch relay’, to the Opening Ceremony of the Games. Occasionally there is a need to transport the flame by air; this is done by keeping the flame in a specially designed lamp.
-The flame symbolises the endeavour for perfection, the struggle for victory, peace and friendship.
-The top three placing performers in each event receive medals which must be at least 60mm in diameter and 3mm in thickness.
-The first and second place medals must be made of silver of a specific quality. The first place medal must be decorated with fine metallic leaf containing at least 9g of pure gold; the host city being responsible for the design and production these medals.
-The symbol of the Olympics are the five Olympic Rings that are interconnected; each is a different colour: blue, black, red, yellow and green on a white background.
-The significance of this is that at least one of these six colours appears in all of the flags of the competing nations. The five rings are representative of the five continents involved in the Olympic Games: Africa, Americas, Asia, Europe and Oceania. The Olympic rings are the main feature on the Olympic Flag that flies above each venue during the Olympic Games.
-The Olympic Oath is repeated by the competitors at the opening ceremony in an attempt to reinforce the values and ideals of the Olympics. “In the name of all competitors, I promise that we will take part in these Olympic Games, respecting and abiding by the rules which govern them, in the true spirit of sportsmanship, for the glory of sport and honour of our teams”.
-At all the Olympic games the score board displays the Olympic Message; “The most important thing in the Olympic Games is not to win but to take part, just as the most important thing in life is not the triumph but the struggle. The essential thing is not to have conquered but to have fought well.” Again this reinforces the values and ideals De Coubertin was striving for when he started the Olympic Movement.
Olympic ideals- is it still applicable for modern day sport
The Olympic Ideal proposes that ‘the most important thing in the Olympic Games is not to win but to take part’ and as seen in the Olympic Oath and Message, there is a lot of emphasis on competing fairly with respect for others and succeeding as a result of one’s own efforts and ability.
Related to the Olympic Ideal is the ‘Contract to compete’ which is an unwritten code or mutual agreement with opponents, to strive against each other to win. The contract to compete involves an expectation of how the opponents will play; within the rules, following ethics and displaying sportsmanship.
Sportsmanship is competing within the rules and conforming to the unwritten rules of the sport, such as etiquette and respect for opposition. One would also expect the performers to put in maximum effort and respect the officials and their decisions. Over the last few decades, there has been a move away from the concept of sportsmanship towards a more driven ethic of gamesmanship.
Gamesmanship is breaking the unwritten rules or ‘bending the written rules’; winning generally relies on fractions of time or distance and any advantage can be crucial. This concept breaks the contract to compete and contradicts De Coubertin’s original ideal.
-It has been suggested that ‘Olympic Ideal’ has little relevance in the modern sporting arena the notion of amateur competitors has been replaced with highly paid Olympic athletes.
-Due to sponsorship deals and contracts to satisfy, many athletes earn bonuses that are dependent on the competition results.
-Olympics have had to reflect the general trends in sport and move towards a more professional approach; since the 1990’s the Olympic Games have moved towards an open policy and became open to both amateurs and professional athletes.
-An increase in commercialism of sport had led to a rise in the amount of money available, due to the influence of the media and other systems such as state and college scholarships offered by the US and the former USSR which has created an uneven playing field.
-Top athletes have now become household names and attractive to sponsors and advertisers. All these factors may encourage the athletes to break the rules, commit fouls and in some cases resort to extreme measures, such as blood doping and drug taking.
-This gamesmanship behaviour disregards the ‘Olympic Ideal’ and may not allow opposition to play to the best of their ability.
What was the golden triangle
It was a term that was used to describe the mutual interdependence sport, media and business had on one another.
1.Sport – attracts fans
2.Media – provides exposure
3.Sponsors – provide funding
All three depend on and boost each other.
Define commercialization
The use of sports as a commodity in order to generate income through other marketing opportunities such as advertising or sponsorship
When does sport become a commodity
A commodity is something you get financial value from ‘
When consumers either are willing to play, pay or watch if it has a potential exchange value