Category: Olympic Games

Executive Summary

After the first modern Olympic game held in Atlanta in 1966 with poor experience and many difficulties, risk management process in Olympic Games become an important norm. This report expects to deliver independent opinion on the Risk factors will be involved with the proposed Olympic game in 2012 at Britain with considering the internal and external environment of the Olympic Games. There are several sub contents have been reviewed with respective to the past experience involved during the last Olympic Games, to identify the recurrence of the similar events in future games like 2012. The identified risk factors have been carefully reviewed with the country specific, game specific strength, weakness, threats and opportunities. The Great Britain is a strength nation in both financial and security aspects to host the Olympic Games but still there is risk up to certain extent which should be resolved and mitigate. Seven step of risk management have been adopted to assess the identifying, asses and mitigate the risk by utilizing most appropriate strategy.

As per my review, the most vulnerable risks will be involved in the 2012 Olympic are Security and Geopolitical risk, Construction, Transport, and Infrastructure, Financial Risk and the Politics of Accounting , Licensing and Sponsorship , Risks of Fluctuations in Foreign Exchange Rates, Unquantifiable Economic Benefits, Public Opinion and Reputational Risk and etc.

Security and geo political, Transport infrastructure, and Licensing and sponsorships are in hand risk that can be control with the strategies in whole or up to the considerable extent. However the other risks listed above are not controllable to the IOC or organizer and host country as those out of control only precaution can be adopted. Even though , it does not mean that all the risk are catered in 100% due to the unavoidable circumstance in financial market, whether etc. could cause serious damaged to the host country in terms of hosting the Olympic games.

Introduction

The Olympic games is the most know international sporting event for which more than thousands of athletes belongs to more than 200 nation participate in different sports event. The event is held every four years with winter and summer games. The first inspiration of the modern Olympics games is dates back to ancient Greek Olympic Games held in the honor of Greek goad Zeus from 8th century BC to 4th Century AD. At the time this event was religious festival. In 1984, the official governing body of Olympic has been established and called International Olympic Committee (IOC) Since then first modern Olympic games was started however due to the world wars , Olympic games in 1916, 1940 and 1944 had been cancelled. Thereafter 1980 and 1984 Olympic Games had been carried with the little participation due to the cold war tensions.

Risk management in Olympic Games in nowadays became the heart of the governance model for the games due to their growing scale and complicity of the event.

Olympic related risk management is started after the Olympic game in 1966 hold in the Atlanta since then IOC continuously invest on resources to manage the risk involve with Olympic games by imitating internal controls.

Objectives

The objectives of this report are

• To assess the risks that may occur both during design and build stage and operational phase of the game.
• To assess the risks to all game events, location and individuals who will be participated in the event.
• To deliver all risk mitigation strategies up to a reasonable extent and update the contingency plans.

The section two the report elaborate the seven stage of risk management and third section of report will elaborate the mitigation strategies , final section of the report provide recommendation and conclusion.

Introduction

Risk Management is the process of identifying; assessing and providing solution by considering the political, social, economic and other environment on the possible risk factors to the decision makers in order take decisions effectively. The conventional risk management process involves generally three steps known as Risk Evaluation, Control and monitoring. However modern adoption of the risk management process defines seven simple steps as follows.

• Establish the context,
• Identification,
• Assessment,
• Potential risk treatments,
• Create the plan,
• Implementation,
• Review and evaluation of the plan.

Seven Steps

Establish the Context

The risk management process of the Olympic cover not only the event but also covers the pre and operational functions, activities, individuals involved, locations, gaming events etc. even conducting the risk management process every single activity, initial location process etc., should be included for the identification and assessing and concluding solution. Therefore the context in here , start with announcement of the next event of Olympic game that’s means before 4 years period is crucial and accounted for the analysis.

Identification

Identification of the potential risk is the next step in the process of risk management. In the context of Olympic Games identifying potential of risk required previous experiences, events and global political environmental information’s and experiences. For an example in the recent years human related pandemics are crucial and reported worldwide, a place where every nation gathered may become place of spread of such diseases thus it can be potential risk likewise the following risk have been identified by reviewing the global context information and location specify information for the Britain.

Terrorism

United Kingdom recently faced terror attacks. The natures of those attacks have been changed beyond the traditional methods. The terrors organization worldwide more focus on higher casualties and losses and they likely implement terror attacks on high profile crowded places with chemicals, biological substances, bombs etc. in order to get world’s attraction.

Potential Attack on Public gathering Places

During the period of the event, the City of London will be getting over crowded with people from the world wide who came here to participate the event. Thus the public gathering places such as Restaurant, Open recreational areas, Hotels may get over crowded and will be a potential target of the terrorist groups.

Attacks on Transport Services

The vents likely to be increase the number passengers in every transport mode in the London city during the period of event. Out of all other modes, Underground railway system and buses are more likely to be the potential targets of the terrorists due to the less security concerns; Maritime and Air transport will be less potential to be a terrorist target duet to the higher securities.

Non-Predictable Attacks

The attacks using the Chemical, Biological and radiological and Nuclear materials defines as Non-conventional attacks. The impact of such attacks depends on the material used, number of people exposed, and the location etc. due to the gathering of the general public to watch the event this type of attack would be a potential risk.

Crime, Public Protest and Extremism

Crime

Due to the higher public gathering during the operational phase of the game, minor type of crime such as stealing, fights and cheating could be happened in the vicinity. In addition to this organized crime also another sub category which has severs potential risk on the game in every aspect. Especially in the supplying of material and ticketing system of the game. With the technological innovations of the world, cyber-attacks also become another concern under the crime as a potential risk to the game. Most of the part of the game is based on the technology, making cyber-attacks over the systems in the vent may cause to fail the system or modifies, delete the data processed.

Public Protest & Extremism

With the experience of the previous Olympic games, the operation stage of the game and its publicity may be used by the general , pressure groups and other type of activist in order to headlight their rising problem to the world in the means of lawful or unlawful ways. In beyond that there may be organized groups with extreme ideas may cause destruction of the event delivery or operational phase.

Unpredictable accidents and Natural disasters

Unpredictable Accident

There may be unpredictable accidents which may have potentials to hold the Olympic event for the safety of the public and athletics. For an example, either explosion in a nuclear facility, or railway accident with large number of death count and property loss will have considerable risk potential to games. . A provision has to be made for such activities as they cannot mitigate in fully due to their unpredictable nature.

Natural Disasters

Weather Condition

Weather condition is an important risk factor which affect both pre and operation phase of the game. During the build stage sever weather condition caused for delaying the construction of required infrastructure and also sever rain or temperature caused for the athletes and audience. In addition to this Heavy rainfalls may cause flooding and damaged the Game location or the associated infrastructures.

Human Diseases

The impact of the Human Diseases can be varying depending in the situation at the right now no pandemic diseases are recorded within the London. But recently, in china, there was a pandemic disease called SARS (Severe Acute Respiratory Syndrome). During the operational phase of the game, there are people who visit London to participate the vent may be the carriers of such virus, in such situation spreading diseases like SARS be a nightmare to everyone. Thus pandemic disease is another potential risk factor. In addition to this food born disease also another potential risk in the context this much of public gathering for the event.

Risks on Games Associated Infrastructures

Associated infrastructure defines all the physical facilities, systems, sites and network required to functioning the Olympic Games during its operational phase. Technical failures, bad weather conditions, cyber-attacks / Terrorist attacks could disrupt these associated infrastructures.

Assessment of Risk

Assessment of the risk is made based on the availability of information by utilizing the previous statistics, report etc. based on the worst case scenario. The basement of each potential risk factor is being made by industry expert in order to get standard deliverables. For example; in the context of possible terror attacks, expert of the industry project what type of group may have potential to involve with the attack and nature of the attack based on their previous attempt and intended targets. Considering that projection are made for different scenarios in varying degree in order to find a balance between possible threat and mitigating mechanism.

When all the risk are assessed, based on their vulnerability a matrix can be created for each potential risks for better understanding of the decision makers. Based on this matrix government and the organizers of the event must decide what type of risk, magnitude of the consequences to plan for.

Potential risk treatments

The results of the Assessment matrix have been used to understand the relative impact of the potential risk, based on those risk items listed mitigation mechanism should be decided by the industry experts. As per the listed risks above, following mitigation mechanism have been decided.

Terrorism

Security Council has been formed including representative of the IOC and Other Military nonmilitary organization for a period of four years in order to assess the security threats, groups, [possible attacks, gathering information and review. In addition to that security deployment plan should implement specially in the areas where the game event are carried and mode of transpirations. Beyond the passive measures, emergency evacuation plan emergency response plan should be prepared and practiced. Obtaining insurance policy covering physical infrastructure of the game and participants.

Crime, Public Protest and Extremism

Information gathering, enforcement and implementation of the low enforcement agency should enrich during the period of the operational phase of the game with the coordination of IOC. A proper system should implement in order to mitigate the ticketing fraud and make transparency in the ticketing systems.

Create the plan

Considering the potential risk and respective mitigation strategies, a detail implementation plan has been made for the period of 4 years from the design stage to operational phase. This plan included all the individual, process, fund arrangements, protocols to act effectively when uncertainty on the gaming event arise.

Implementation

Implementation defines following all the pan ways to meet the uncertainty. For an example risk of cyber-attack can be addressed with hiring a well-trained IT professional team in running the system.

Review and evaluation of the plan.

No plan is perfect in the practical situation, the every plan need to be changed by identifying the gap between expectation and the actual scenario. In the risk management process the plan prepared to mitigate the risk involve in the Olympic game should be reviewed in order to confirm its effectiveness and made necessary amendment with respective to the changes of the risk factors.

Conclusion & Recommendation

Risk Management process of the Olympic Game 2012 is a complex task as it is the largest sport event on the earth, more than 200 nations are actively participate in the gaming event hundred thousands of audience. The risk involve in the Olympic game can be categorized in to two major sub sections such as Controllable and non-controllable risks. The terror attack is the most sever risk facto should address very carefully the mitigation strategy of such should include both risk control and risk retention mechanism as it is non-controllable. The Natural conditions such as sever weather and human disease cannot be controllable but we can make both active and passive precaution to face it. The other risk factors listed above are controllable with right equipment and right people in place.

Recommendations

The recommendation to the IOC is as follows,

• To establish a security committee including the military personals and field experts to assess the threat and solutions to overcome.
• To obtain adequate insurance facilities on the associated infrastructure, athletes and the Audience covering required threats.
• To implement law enforcement mechanism during the operational phase of the game in order to sustain no protest, public extremism
• To implement proper coordination between metelogy departments of the host country in order to identify the natural disaster may arise during the phase of game.
• To prepare contingencies plan for security, emergency exist, alternatives etc.

References

1. https://www.litcom.ca/lesson-risk-management-7-steps-properly-managing-project-risk/
2. https://www.researchgate.net/publication/256130602_London_2012_Olympic_Risk_Risk_Management_and_Olymponomics/link/0c960521f2433a1f9c000000/download
3. https://www.ukdiss.com/examples/0379666.php
4. https://study.com/academy/lesson/business-case-study-risk-management-at-the-olympics.html
5. https://iedunote.com/risk-management
6. https://assets.publishing.service.gov.uk/government/uploads/system/uploads/attachment_data/file/97982/osssra-summary.pdf

Introduction

The history of massive athletic events is always accompanied by controversies, scandals, and political statements. Being the major event in the world of sports, the Olympic Games is one of the examples as multiple controversies of different levels of value follow each of the games. This essay will cover some of the controversies that happened during the Olympic Games in Berlin, Munich, Beijing, Mexico City, Moscow, and Los Angeles.

Main body

One of the most prominent controversies in the history of the Olympic games, the 1936 Berlin games, have been remembered by the general audience as the Nazi games. The time of the games coincided with the height of Adolf Hitler’s power and the dawn of Nazi Germany. Although the possibility of changing the location of the Olympics was discussed among the delegates, Hitler’s regime assured that the Jewish athletes would be able to compete despite the German anti-Semitic policies. As Wheeler pointed it, the Olympic games were supposed to be used by Hitler to demonstrate the Aryan domination of the world and promote Nazi propaganda (2). However, in the process of the Games, Hitler and other high-ranked Nazis were faced with disappointment as African American athlete Jesse Owens became the most successful athlete of the Games, earning four gold medals. The story is now perceived as one of the most dramatic outcomes in sports and media history.

On the other hand, the Munich Olympic Games took place in 1972 and were remembered as one of the most tragic events in the Olympic Games History. Eight members of the Palestinian terrorist group Black September killed two Israeli athletes from the Olympic team, took them hostage, and killed the other nine team members. The Black September attack has been described as a moment that permanently shifted the dynamics of modern terrorism (Silke and Filippidou 214). Although there were significantly fewer people killed in the attack, the impact of the Munich massacre stands right next to the 9/11 attack. The tragedy emphasized the security issues in the Games in the lack of preparation from the authorities. Since the 1972 Olympic Games in Munich, the security system of the Olympic Games has been improved, and nowadays security became a primary concern for multiple events of massive scale in the sports field.

In several cases, there is more than one controversy occurring during the Olympic Games. For Example, the 2008 Olympic Games in China, Beijing, were marked by the delay of Olympic torch arrival. The delay was due to multiple attempts to extinguish the torch on its route in London and Paris by protesters who considered human rights issues in China and China’s occupation of the Tibetan Autonomous Region. China’s permanent violations of the Universal Declaration of Human Rights almost caused the Games to be boycotted by many countries. As the domestic population perceived the Beijing Olympic Games as the symbol of national unity and international prestige, the protests for human rights hurt Chinese pride and formed a backlash of nationalism outbreak (Ma 306). The later controversies include the detention and deportation of several foreign journalists who have decided to cover the anti-Olympic protests and the arrests of human rights activists.

The countries, politics, and organizational issues are not the only ones to blame for Olympic Games controversies, as some of the athletes decide to make political statements themselves. In the Mexico City Olympic Games in 1968, two African American athletes, Tommie Smith, and John Carlos made a black power fist salute during the medal ceremony. Moreover, Smith wore a black scarf to represent the black pride; they each wore one black glove and received the medals barefoot, but wearing black socks to represent the black poverty. Both athletes later explained that the silent gesture was meant to symbolize human rights and emphasized that they wore human rights badges on their jackets along with the silver medalist Peter Norman, who supported them. The statement is considered the most powerful political statement in the modern history of the Olympic games. Even though the initial criticism from the public, Smith and Carlos’s protest is now perceived as an act of great courage.

The Cold War significantly influenced the international sports scene in the 1980 Moscow Olympic Games and the 1984 Los Angeles Olympic Games. The 1980 Olympic Games in Moscow were boycotted by the United States and other countries due to the recent Soviet invasion of Afghanistan, making it the most significant boycott in the Olympic Games history. Historians often reject international exchanges and prefer research on particular countries providing juxtaposing national cases (Vonnard and Quin 266). However, the international exchange in sports competitions like the Olympic Games in the time of the Cold War was one of the crucial factors for the games. The Soviets’ exploitation of the Olympic games for communism propaganda was met with psychological warfare of promoting democracy and American economics from the United States. The IOC rejected the boycott led by the United States and stated that the United States used the violation of Human Rights policies for political purposes.

The 1984 Los Angeles Olympic Games were boycotted by the Soviet Union and several allies and Eastern Bloc countries, with the reason for anti-Soviet propaganda in the United States. The United States acknowledged the boycott as the Soviet’s retaliation for the previous Moscow Olympic Games boycott, but the Soviet Union pushed the narrative of boycotting the games for the safety of Soviet athletes. Although both countries acted according to their interests, the withdrawal of valued athletes from the games could weaken the competition, which was the primary concern for the IOC. As a result of the 1984 Los Angeles Olympics Games, The United States won the most gold medals and showed an example of hosting a financially successful Olympic Games event for other countries. The Soviet Union, on the other hand, organized a separate sports event, Friendship Games, for the boycotting countries and dominated the medal table of the event.

Conclusion

In conclusion, this essay covered several controversies that occurred during events of Olympic Games in Berlin, Munich, Beijing, Mexico City, Moscow, and Los Angeles. The controversies include various political reasons and statements made by countries or athletes. As the event involves a variety of international relationships, the scale of the controversies reflects the scale of the event. Although some of the issues are based on genuine concerns regarding the violation of Human rights policy, some could occur from countries’ private political interests.

Works Cited

Ma, Yiben. “Online Chinese Nationalism: A Competing discourse? A Discourse Analysis of Chinese Media Texts Relating to the Beijing Olympic Torch Relay in Paris.” The Journal of International Communication, vol. 24, no. 2, 2018, pp. 305–325.

Silke, Andrew, and Anastasia Filippidou. “What Drives Terrorist Innovation? Lessons from Black September and Munich 1972.” Security Journal, vol. 33, 2020, pp. 210-227.

Vonnard, Philippe, and Grégory Quin. “Studying International Sports Organizations During the Cold War” Sport in History, vol. 37, no. 3, 2017, pp. 265-272.

Wheeler, Paul. “Six Minutes in Berlin: Broadcast Spectacle and Rowing Gold at the Nazi Olympics.” Sport in History, vol. 38, no. 2, 2018, pp. 264–266.

Introduction

The Olympic Games are held once in every four years. The games which include the winter and summer games involve thousands of athletes drawn from more than 200 nations from around the world. In addition to that, the event is hosted by cities that are selected by the International Olympic Committee which decides where and when the Olympic Games are going to be held (Toohey 15).

Thesis Statement

With reference to the given question, this paper will provide a brief history about the Olympic Games. This paper will also discuss the impact that IT and IT strategy has had on the Olympic Games. On the other hand, this paper will also identify issues that the Olympic Games face with regard to the IT strategy.

Background of the Olympic Games

The word Olympics was derived from the word Olympia which is a holy place in Greece that is believed to have been the only place that the Olympics took place in the world. The Olympic Games have been divided into two major categories. The categories are the ancient Olympics which were first held in 776 BC in Olympia, Greece (Toohey 45).

The other major category is the modern Olympics which were first held in Athens, Greece in the year 1896. In the years 1916, 1940 and 1944, the Olympic Games were cancelled to the world wars that were taking place then which led to very few countries agreeing to participate during the 1980 and 1984 Olympics.

In the ancient Olympics, the winner got all the wealth they deserved while the looser remained poor as they were before the Olympic Games. The Olympic Games were a common practice in the Greek culture and some games were eve played during the Persian Wars.

The games coincided with the Battle of Thermopylae but still went on without any cancellations whatsoever. In the modern Olympics, the winners get to walk away with the gold medal which is medals that have been carved from 100% gold with the runners up getting the silver medals and the bronze medals respectively (Toohey 52).

Impact of IT in the Olympic Games

IT has been a major tool in the organization of the Olympic Games in the past century. This has been due to the technological developments that have been seen in the IT sector.

These new technological developments have been used in the Olympic Games before in the departments that are involved in the organization of the event. One of the main departments that IT has been used in the Olympic Games is the ticketing department.

In this department, IT has had a significant impact in that this is the department that has been tasked with the mandate of having to sell the tickets for all the games that are scheduled to take place during the Olympic Games.

On the other hand, this department is also mandated with the task of making sure that all the people that go into the stadiums have bought their tickets. This department is faced with so many challenges when it comes to selling the tickets for the events.

These challenges have been addressed by the improvement of in technology in that most of the people who buy their tickets can now be able to buy their tickets over the internet which eases congestion at the centers where the tickets are sold.

This has also had a huge impact because most of the ticket buyers can now be able to buy their tickets well in advance and this in turn reduces cases of fraud within the department.

Future Directions of the Olympic Games

The IT department in the Olympic Games is working tirelessly in a bid to making sure that technological developments are made so as to make the running of the Olympic Games smoother.

Some of the measures that would be taken by the IT department in the Olympic Games include the development of new software that will be used in the Olympic Games events. The Ticketing department will be able to make more efforts in a bid to be able to sell their tickets more accurately so as to reduce the cases of fraud.

The introduction of smart phones will also have a huge impact on this department in the future. The smart phones will be used by the customers and also by the departmental staff in a bid to making sure that everything runs fine.

The IT department will introduce the use of QR (Quick Response) codes where the customers can scan them by using their smart phones and this will enable the staff to be able to know of any queries that may arise and thereby solve it as quickly as possible.

The departmental staff will also create codes on the tickets which will be scanned by the smart phone thereby detecting any use of fake tickets which costs the department millions of shillings.

The smart phones will be used by the ticket personnel in-charge at the gate that will scan the tickets before one is allowed to enter the stadia and this will in turn reduce cases of people with fake tickets gaining access to the stadia using those tickets. This will be a huge development to the ticketing department.

Works Cited

Toohey, Kristine. The Olympic Games: A Social Science Perspective, London, UK: John Wiley and Sons, 2007. Print.

The Olympic Games significantly contribute to the development of sports and promotion of a healthy lifestyle of residents in the country where they are hosted, boost the development of international relations, strengthen peace and mutual understanding between peoples of various nations. Olympic Games give the host city many benefits and opportunities — and require careful multi-year planning. It has a considerable influence on the operating of all sectors of the state economy of the host country. The purpose of this paper is to analyze the social and economic effects of the Olympic Games on Asian host countries.

At the pre-Olympic stage, the need to improve the infrastructure and to build new sports facilities will provide people with jobs and encourage new investment in the state economy. The country will gain profit from the Olympic Games by selling the rights to broadcast the event on television, on the Internet, selling tickets and souvenir products, commercials, licenses, and accreditations. During the Olympics, the number of tourists coming to the Games increases significantly, which, in turn, contributes to the influx of currency into the country. This period of the Olympic business cycle is the most short-term, but nevertheless, it is crucial, because all actions of the state, business, and the international Olympic movement at the pre-Olympic stage are aimed at it.

At the post-Olympic stage, the use of infrastructure built for the games will show the effectiveness of investment. In terms of revenue, the post-Olympic stage is the most significant. Researchers note that “Olympics in China have contributed to the increase of GDP by 2.5 % since 2002.” (Muller et al., 2016, p. 87). The long-term economic impact is the most considerable, and it is expressed in creating jobs and new training programs, promoting trade, strengthening infrastructure, protecting the environment, etc.

The holding of the Olympic Games exercises a significant influence on the business growth and expansion in the host city, especially its sports sphere. The building of necessary sports venues, improvement of city infrastructure, growth in the quantities of tourists, in essence, all these factors attract foreign direct investment. Thanks to the great number of sports constructions and related infrastructure, new jobs are created, which consequently results in a significant decrease in the rate of unemployment in the host cities. The improvement of infrastructure contributes not only to the economic recovery but also to the social development of the city hosting the Olympics. The complex development of the transportation system and communications, creation of consumer services, and travel industry growth give opportunities for economic progress and improvement of its macroeconomic parameters.

Despite the great expenses on infrastructure development and the considerably long payback period, such major investments frequently result in vigorous growth and high-quality renovation of the host city. This happened, for instance, in 1964 with Tokyo, which after the XVIII summer Olympic Games, began to turn into a dynamically developing and prosperous city to live in (Kietlinski, 2016). The huge capital of Japan has been significantly transformed, the new metro lines and an urban monorail appeared. Dilapidated buildings were demolished, and the streets were widened.

Besides, to solve the transport problem of the city, high-speed highways were laid through Tokyo, and street junctions were built by building overpasses and bridges. The hotel economy of the Japanese capital has been significantly expanded. A characteristic feature of the Tokyo Olympic Games was the entry of electronics into the Olympic arenas. The use of high-tech electronics in sports judging has considerably increased its accuracy and efficiency. Television broadcasts opened a new stage in the development of mass media through space, which crossed the borders of continents and introduced a previously unthinkable number of viewers to what is happening in the Olympic arenas. The opportunity to see the Olympic Games for anyone on earth has immeasurably increased the popularity of the Olympic movement.

A striking example of infrastructure development was the Olympic Games in Beijing held in 2008. Researchers state that in China, approximately 280 billion yuan (about 44 billion US dollars) was spent on major infrastructure—including urban transportation, energy, water resources, and the urban environment—ahead of the Games (Osada, 2016). Most of the city’s economy has undergone construction and reconstruction, starting from the sewage system and ending with the new terminal of the Beijing Capital International airport. Beijing repeated the experience of Tokyo in 1964 and turned into a highly developed city, comfortable to live in.

The Olympic Games are a unique sporting event for the whole world. It shows the best in sports and hosts cities and countries. The Olympic Games have large-scale social external effects on host-countries growth. The priority for infrastructure development in organizing the games opens up great opportunities for both the residents of the Games hosting country and the outside world. Infrastructure can be used not only by guests and participants of the Games but also by residents of the event’s host city. Besides, due to the Olympic Games, a sense of civic solidarity and community strengthens, and the status of the entire country hosting this international sporting event improves.

References

Kietlinski, R. (2016). Japan in the Olympics, the Olympics in Japan. Education About ASIA, 21(2), 35-40.

Muller, A., Biro M., Rathonyi-Odor, K., Rathonyi, G., Szeles-Kovacs, G., Boda, E.,… & Andras, A. (2016). Economic impacts of sports events. Studia Universitatis Babes-Bolyai Educatio Artis Gymnasticae, 61(4), 85-95.

Osada, M., Ojima, M., Kurachi, Y., Miura, K., & Kawamoto, T. (2016). Economic impact of the Tokyo 2020 Olympic games. BOJ Reports and Research Papers, 1-21.

The purposeful correlation of modern day Olympic sport with ancient Olympic Games provides a solid foundation for the hypothesis of continuity with an era of moral ethics. Ancient sport practice was immaculate and less blemished by the current association with actions for profit, loss of amateur concepts and change-over to professionalism, aggression and anabolic drugs misuse. Pierre de Coubertin, the founder of the modern Olympic Games, looked at the ancient Olympic Games as the provider of an insightful and a great resource of motivation. Homer, in the living works The Iliad and The Odyssey, described Olympic Games as providing an imminent look onto the interlinking of the athletic achievements and commemoration of sport. Homer also clarified the extent to which sports reflected a cultural ideal based on harmonizing the physical and intellectual excellence (McIntosh, p. 20-23). As McIntosh (20-23) remarked, sports in the Homeric days was noble, he also approached the gradual control of commercial ideas and the shadow of political objectives on the games.

If the ambition to ideal ethics and principles is a part of the explanation for the unique characteristic position of sport in modern society, then the association between amateurism and sporting excellence should make an equally influential input. In most European and North American countries, the growing commercial ideas of the game intimidates the commitment to amateurism dominated Olympic Games during the first half of the 20^th Century. Amateurism highlighted the authenticity of sport’s allegation to higher ethical standards by protecting Olympic sport, and sports in general, from the distortion brought to by professional and commercial ideas (Brohm, p. 112).

The Olympic Games started in Peloponnesus, in Greece. No one can tell exactly the date when it started, however most authorities give the date of 776 BC, as the earliest archaeological documentation points out. The sport contests took place at Olympia; from here the name, Olympic Games came. The ancient Olympic Games took place every four years. The Greeks called this four years epoch of time Olympiad. It made up their date systems for events (for example, 2 months after the Olympiad or 8 months before the Olympiad). At that time, Greece was not a unified state, instead, it composed of multiple economically and politically independent cities communities given the name city-states. Olympic Games in Greek history was an important event as it was the occasion for all the Greek people to come together, besides it was of significant religious impact. The Greeks enjoyed the games in honor of Zeus and believed that Zeus grants the winners’ prizes. Athletes were always naked in both training and contests aiming to display the human body perfection and synchronization of body and mind work. All athletes taking part in Olympic Games were Greek free men, as the rules forbade women, slave, and foreigners from participation (Olympic Museum English Report 658).

All games were individual sports, with no team or water sports celebrated. The sport events took place over five days period. On the first day, the opening ceremony, athletes as well as judges took the Olympic oath to respect the rules and not to cheat. Then a parade of trumpet players and heralds followed the oath ceremony. On the second day morning, horsing events took place in a special arena (hippodrome), the most popular of which was the four-horse, four-wheel chariots race. Winners of horse races were the owners not the players. On the afternoon, discus, javelin, long jump, boxing, and wrestling (pentathlon) competitions took place. The third day was the peak of the games, 100 cows sacrificed to Zeus and other Gods, and all engaging athletes invited to a feast sharing the meat of the sacrificed cows. Racing and combat competitions took place in the fourth days, while celebrating the winners occurred in the fifth day. There was only one winner for each competition, and the prize was a circular shaped crown of olive leaves. The Olympic Games went on this pattern for almost a thousand years, until the Christian Emperor Theodosius the first forbade polytheist religious festivals including the Olympic Games in 393 AD (Olympic Museum English Report 658).

The Modern Days Olympic Games are the biggest all sport events of the present time. Athletes from all over the world share in the events with no race, gender or age limits. With the Olympic flag showing, five rings represent the international nature of the Games. Although the Olympic Games take place every four years like other tournaments (FIFA World Cup and Euro cup), yet Olympic Games are not like any other sports events. They are the largest sporting event considering the number of sports in one tourenament, the number of athletes taking part in the events and the number of people gathered including media, spectators, politicians, society stars, and guests. Olympiad is a renowned event in itself; however, it takes place within the context of the Olympic Movement that still holds to the same ancient noble sport objectives. The Modern Days Olympic Games include the Olympiad (the Summer Olympic Games) and the Winter Olympic Games. Since 1992, the Winter Games take place between two summer Olympiads that is two years from the Summer Games instead of taking place in the same year. However, Winter Olympics still take place every 4 years. In summer Olympiads, athletes compete in a 28 sports individual, team, indoors or outdoors and in field, track or arena. In Winter Games, athletes compete in seven sports on snow and ice, whether indoors or outdoors (Olympic Museum English Report 668).

The first Modern Days Olympic Games took place in 1896. The International Olympic Committee decided to celebrate this Olympiad in Athens memorizing the ancient Olympic Games. For this occasion, restoration of the ancient stadium took place. Besides, the committee introduced the Marathons race for the first time memorizing the Greek soldier who ran nearly 34 Km form Marathon to Athens carrying the news of the defeat of the Persian invasion. Since then, innovations continued, introducing more games, women joining the competitions with baseball and boxing as the only games not open for them until now. Standardization of the gold, silver, and bronze medals was at Amsterdam Olympiad in 1928, medals kept the same shape and symbols until Sydney Olympiad in 2000 where the symbols changed for the first time. Unlike summer Olympiads, Winter Olympic medals are not standardized. Other materials like crystal, granite are added; in other occasions (as in Tokyo Winter Olympiad), polishing of medals with lacquer took place (Olympic Museum English Report 668).

With increasing number of athletes having the urge to share in the event, the International Federation of every sport organize qualifying competitions. Each country’s National Olympic Committee becomes responsible for the entry of its qualified athletes into the Olympic Games. All athletes as well as the organizing committee must stand for the Olympic Charter. Being in the front position in the international arena, Olympic Games are prone to be used as a propaganda tool (1936 Olympiad in Berlin during the Nazi regime rule). The games may be a tool in political conflicts as happened in 1980 in Moscow and in 1984 in Los Angeles. Because of the media overspread of Olympic events and global interest in watching and following the events, Munich Olympiad has turned to be a political conflict stage. The hostages’ situation mounted to the assassination of two Israeli members of the delegate and a police officer. Terrorists were eventually killed by the antiterrorist force, however the incident will remain alive in the people’ minds. On the other hand, Olympiads can be a stage for political recognition (as with the former Soviet Union republics). Besides it can be a chance for peaceful diplomatic approach (in Sydney, 2000 when the two delegates of South and North Korea paraded together) (Olympic Museum English Report 668).

Fire has always been associated with values of purity and light, in addition, played an important role in the life of humankind and the development of civilization. Thus, the Olympic Torch represents the perspective of these positive values. The method of lighting the Olympic Torch making use of sunrays ensures the purity of the flame. The question is what happens if on the day decided to lighten the torch the sun does not come up? As a safeguarding measure, on a previous rehearsal sunny day, lighting a torch as dictated by the conventional then keeping that torch in a security glass to use it on the ceremony day if the sun is not out. The leaving point of the Olympic Torch is always Olympia highlights the tie between the Ancient and Modern Day Games and stresses the philosophical link between these two events. The Olympic torch is then relayed to its final destination. Planning the course of the Olympic Torch occurs in two phases; first phase is from Olympia to Athens (Panathenaic stadium), and it is the responsibility of the Greek Olympic Committee. Second phase is fro Athens to the host city in relay and this is the responsibility of the Olympic Games Organizing Committee. Olympic Torch relay is mainly by foot carried by athletes or runners. The identity of the last person to lighten the Olympic flame during the opening ceremony is kept secret until the last few minutes. He or she is usually a world sport celebrity or a young child representing hope in the future (Olympic Museum English Report 655).

Both ancient and modern days Olympic Games share certain characteristic; only symbolic prizes for the winners. Second, athletes always seek for the honor of taking part in the games trying to show who is stronger, faster, and higher. Finally, the watching crowds share the joy and happiness. The Modern Day Olympic Games were lost three times since the beginning in 1896, during World War I (1916) and World War II (1940 and 1944). Ancient Olympic Games was a time of truce between fighting communities, would it not be suitable to revive this tradition in our effort aiming to keep the Olympic Spirit.

Works Cited

Brohm, J. M. Sport, A prison of Measured Time. London: Pluto Press, 1978.

McIntosh, P. Sport in Society (revised edition). London: West London Press, 1987.

Olympic Museum en_report_655. “The Modern Olympic Games”. The Olympic Museum, 2nd edition. The Olympic Museum. 2007.

Olympic Museum en_report_658. “The Olympic Games in Antiquity”. The Olympic Museum, 2nd edition. The Olympic Museum. 2007.

Olympic Museum en_report_668. “The Modern Olympic Games”. The Olympic Museum, 2nd edition. The Olympic Museum. 2007.

In 776 B.C in Olympia, Ancient Greece, an event took place. Unknown to them, the event would remain etched in history as one of the world’s greatest and most celebrated sports events thousands of years to come. It was the first event of the now popular Olympics.

On the debut, the first event was a sprint where the winner earned himself a leaf from the olive tree, being accorded a deity-like status by the poets and being recognized as a hero for the rest of his life (Witt & Martin, 1987).

Later, other sports were introduced. The first pair to join the Olympics were boxing and wrestling.

The modern Olympic Games can be traced back to 1892 when Barron Pierre de Coubertin a renowned educator from France proposed that the popular ancient Greek event be revisited and with more zest. In 1896 the first modern Olympic event was opened in Athens by seven countries.

In that event, American James Connolly emerged the winner of triple jump and was awarded a medal which was the first medal in modern Olympics (Short, 2003).

Also, the American flag was hoisted accompanied by the Star Spangled Banner a tradition for honoring the winner and his country that was maintained to date.

In 1900, the event was hosted in Paris, France. This witnessed the first inclusion of women. The first woman to earn a medal was Great Britain’s Charlotte Cooper who won in tennis singles. It was here that the first person to win more than a single medal was witnessed.

It was United States’ Alvin Kraenzlein who won a total of 4 medals. The next games were hosted in St. Louis in 1904. These witnessed the first staging of boxing in the competition (Getz, 1991).

There was a continuous staging of the event after every four years until 1916 when it failed to take place as a result of the then continuing First World War.

In 1920, the official Olympic flag was unfurled. Its five rings had colors which were similar to at least a single color present on a flag for every country.

During the 1920 event which was hosted in Antwerp, several countries including Germany, Austria, Turkey, and Bulgaria were barred from participating in response to their alignments during the world war.

Due to WWII, the games were not hosted in 1940 and 1944. Since then, the event has been staged after every four years in different countries.

Having started from a humble background, the Olympic Games now boast the largest audience including hefty amounts of money invested in preparation for the games. For instance, Japan broke the first expenditure record during the preparation for the games in 1964 by spending $3 billion.

Given such importance attached to the games, one is left to wonder whether such hefty expenditures are worth it.

Questions such as, are there benefits associated with the games to justify the hefty sums used in preparation? Also, is there any importance in participation that countries should put in too much money to send their participants?

To answer these questions, this article will highlight the importance of the Olympic Games one by one and hence oppose the fact that the Olympic Games should be discontinued.

The first importance of the Olympics is its promotion of positive values (Ritchie, 1988 and Roche, 1992). While the world is currently made with material possession, the Olympics offer a platform upon which honor plays the central role.

According to sources containing information on the ancient Greek athletics that later transformed to world Olympics, the winner of any event was not rewarded with any material possession. All they competed for was an honor.

A wreath of olives, heroic status and deification were all that there was to compete for. However, the competitors did their best just for such humble rewards. This is a clear indication that human values such as honor are promoted through this popular event of the Olympics.

To date, any winner of an event has the flag of his country raised, and his national anthem played. During such moments, most athletes are seen shedding tears as their national anthems play. This is a clear indication that these games give honor to the individual athlete and his country.

Olympic Games promote peaceful co-existence. During the Hellenic period, there was an increase in the emergence of city-states. Unfortunately, the states were characterized by unending feuds and wars. However, during the Olympic Games, hostilities were forgotten.

The states put aside their enmity and fought for honor through organized sports. This is one reason that made the Olympic Games withstand the test of time (Montanari & Williams, 1995).

Olympic Games offer a platform for economic growth (De Groote, 1997). These can be classified into two; short term and long term economic impacts. Short term economic impacts include direct impacts, indirect impacts, and induced impacts.

Direct impact involves the committee’s efforts through purchasing of goods and services from the citizens.

This is done in preparation and during the games. Indirect impact results from the visitors who pay to receive necessary services and in some cases goods from the citizens of the hosting nation. Induced impacts arise from the effects which eventually occur after the direct and indirect impacts.

In preparation and during the games, there is an influx of visitors including the athletes, the media, spectators, organizing committees et cetera (Medlik, 1996). Their presence increases earnings through the purchase of goods and services.

The Olympic Games account for numerous long term economic impacts. These include an increase in the recognition of the hosting nation and town (Kotler, Haider, & Rein, 1993). This comes about as a result of extensive media coverage that markets its touristic features.

Also, other long term impacts such as improved infrastructure and communication accompany the Olympic games. In preparation and during the games, road networks are developed to enhance communication around the hosting town and nation.

However, the visitors do not go away with the improved infrastructure. Instead, the local people are left with world-class facilities to enjoy. With such good roads and communication, there is a likelihood of an increase in business activities.

These improved roads and communication networks attract local and international investments. In Sydney 2000 for example, the city witnessed a $3 billion business outcome.

This was accounted by $600 million in terms of new entry business investments, an estimated $2 billion in contracts to maintain the infrastructure after the games et cetera. The city also attained an international exposure amounting to an estimated $6.1 billion (Short, 2003).

Tourism is one of the greatest beneficiaries of the Olympic Games. The local tourism industry does not only benefit during the games but also after the events. This is attributed to the increased exposure to the world and hence potential markets.

This promotes sports tourism which increases the host nation’s revenue.

Sports tourism is, “…any form of active and passive involvement in sporting activity participated in casually or in an organized way for non-commercial or business/commercial reasons that necessitate travel away from home and work locality” (Fayos-Sola,1997, p.23).

In the Sydney 2000 Olympics, the country accounted for approximately $6 billion which was from inbound tourist expenditure. Without mentioning spectators, the number of participants is large enough to promote the tourist industry of any given nation.

For instance, there were 10,332 participants from 197 countries during the Atlanta 1996 Olympics. In Sydney 2000, there were 11,116 participants from 199 countries. The former attained 34% of its revenue from television rights. The total was increased to 40% for Sydney 2000 (Short, 2003).

With such great amounts of money used for television rights and participants coming from more than 190 countries, the exposure that a country gets during the Olympic Games is great This impacts positively on the local tourism industry.

In conclusion, the Olympic Games are a necessary event that offers a country great opportunities for economic growth.

This includes instilling of positive human values, economic benefits such as the creation of employment and an increase in revenue due to the purchase of goods and services and other contracts.

Furthermore, it leads to improved infrastructure and communication network designed to host the visitors and which later remains to the benefit of the local people. Also, the event leads to exposure of the country to the entire world leading to an increase in tourism.

Given the positive impacts, it is important that the event is promoted further so that more and more people can benefit from them. As a result, the Olympic Games should not be discontinued.

Reference List

De Groote, P. (1997). A Multidisciplanary Analysis of World Fairs (=Expos) and Their Effects. Diepenbeek: Limburg University Centre. Print.

Fayos-Sola, E. (1997). Conference Report: The Impact of Mega Events. Journal of Travel Research, September, 243-4.

Getz, D. (1991). Festivals, Special Events, and Tourism. New York: Van Nostrand Reinhold. Print.

Kotler, P., Haider, D.,& Rein, I. (1993). Marketing Places. New York: The Free press (Macmillan). Print.

Medlik, S. (1996). Dictionary of Travel, Tourism and Hospitality. Oxford: Butterworth Heinemann. Print.

Montanari, A., & Williams, A. (1995). European Tourism: Regions, Spaces and Restructuring. Chichester: John Wiley & Sons. Print.

Ritchie, B. (1988). Assessing the Impact of Hallmark Events: Conceptual and Research Issues. Journal of Travel Research, 23(1), 2-11.

Roche, M. (1992). Mega-Events and Micro-Modernization; On the Sociology of the New Urban Tourism. British Journal of Sociology, 43, 563-600.

Short, J.R. (2003). Going for Gold: Globalizing the Olympics, Localizing the Games. GaWC Research Bulletin 100, 21.

Witt, S. & Martin, C. (1987). Measuring the Impacts of Mega-Events on Tourist Flows. AIEST Conference Report 37 (28), 213-221

Introduction

The Olympic Games are hailed as the world’s biggest sporting event and hosting the games bestows great prestige on a nation. During these games, the global spotlight is on the host city that acts as a world stage for the sporting events and the host city endeavours to make a global impression.

In the early years of the Game, the preparations made for the occasion were modest in nature. Pre-existing stadiums were used to stage the games and minimal changes were made in the host city’s infrastructure to accommodate the game. Gold and Margaret (2008) state that the Games have changed from the early pattern of low expenditure to the present trend of huge expenditure and this has made the Olympic event a mega-project.

The host city is now required to supply modern sporting facilities and hospitality venues for the visiting participants. Poynter and Macrury (2009) assert that the scale and cost of the contemporary Olympic Games demand that the organizers deliver a variety of non-sporting outcomes or legacies for the host city and nation.

With these undertones, this paper will set out to provide a critical review of two main legacies of past Olympic Games as well as a critical review of London 2012’s legacy plans in urban regeneration and environmental/sustainability.

Hosting the Olympics

The International Olympic Committee (IOC) is the body charged with the task of selecting the host city for the games. This body specifies the requirements that the candidate city must fulfil before it can be deemed eligible for hosting the games. The requirements include competition sites, transport and communication infrastructure, and cultural programmes.

Considering the international prominence of the game, the host city is monitored as it makes preparations to ensure that they are at standard with the stipulated requirements (Braun 2000). The policy makers in the host cities are forced to engage in rapid development of its infrastructure to meet the Olympic deadline. These developments often occur with public and political support owing to the enthusiasm that the Olympics seem to exude from all people.

Gold and Margaret’s (2008) observe that Olympics pose special problems over the above those caused by other mega-events since these events are not recurrent in the life of the host city. This is because the IOC tries to move the Games from continent to continent and if a country is lucky enough to host the Games for a second or even third time, the span between events is decades long.

While the IOC does not demand for extravagant facilities to be made for the games, nations have been known to build new facilities for the primary purposes of impressing the watching international audience and to symbolize the achievements of the host nation (Braun 2000).

When a host city engages in major construction efforts for the Games, it is not practical to invest billions of dollars in infrastructure, which will only be used for the Olympic Games. Host cities therefore engage in legacy planning to ensure that the investments made for the Olympics will continue to benefit the city after the games.

Defining Legacy

Leromonachou and Warren (2010) observe that while the term legacy holds different meanings for the vast number of stakeholders, design for legacy in the Olympic context can be defined as “creating structures, things, and processes that, post-Games, should be long-lasting and of permanent benefit to the host city” (p.334).

There are two major forms of legacy: soft/intangible and hard/tangible. The soft legacy includes the positive values that acquired by the city because of its status as host city. Examples of this legacy include port participation, skill and experience acquisition, volunteering, and international friendship.

The hard legacy is the visible outcomes of involvement in the game such as sport facilities, infrastructure development, job creation, and tourism promotion (Leromonachou & Warren 2010). Most host cities place greater emphasis on hard legacy planning with soft legacy receiving minimal attention.

While the major goal of the IOC in awarding the Olympic Games to a city is to foster competitive sport and promote athletic development, the motivations of the host city are significantly different. Rogan (2011) states that the Host City must be able to justify the huge costs of preparing for and staging the games to its population through some tangible benefits.

Legacy acts as a justification to the millions of dollars spent by hosting city since it is unlikely that the city will be able to recoup the cost during the three-week duration of the Games themselves (Gold & Margaret 2009). The capital investments used in the planning phase can only be recouped if the host city is able to use the tangible and intangible goods obtained because of the Olympics. Lack of legacy plans might lead the host cities into debt and hinder economic development (Gold & Margaret 2009).

For example, lack of good legacy plans in the Athens Olympics has led to Olympic sites and buildings becoming economically unsustainable, barely a decade after the games were held in the country. All host nations try to avoid this scenario by integrating Legacy plans during the preparations for the games.

Urban Regeneration Legacy

Large sport events such as the Olympics are strategically used by cities to achieve urban regeneration. According to Smith (2007), this practice is underpinned by the objectives of creating a big town image, increasing the marketing power to attract new industry and the establishment of new recreational opportunities for residents.

Staging the Olympics often involves investment in new venues, a situation that provides opportunities for the physical regeneration of host cities. While mere physical regeneration may not be tied to urban regenerations, the host city can implement strategies to ensure that the two complement each other (Smith 2007).

Case Study: Barcelona Games of 1992

Barcelona provides one of the best examples of a city that used the Olympics events as a vehicle for urban regeneration. Barcelona won the bid to organize the 1992 Olympics after four previous failed attempts at winning the bid. The London East Research Institute (2007) documents that at the time Barcelona won the bid to host the Olympics, the city of Catalonia had degenerated due to the decline in its economic base.

In the beginnings of the 1980s, a high density with poor infrastructure and equipment characterized the city of Barcelona (Brunet 1994). Dilapidated towns were commonplace and traffic congestions a reality for most residents. The docks and manufacturing industries that had forced the commercial base of the city had been declining for decades and this had had a negative impact on the city (London East Research Institute 2007). The Olympic Games were therefore seen as an opportunity to engage in urban regeneration.

The host city was keen to engage in regeneration efforts since the Olympic Games would focus global attention on the host city. Part of the motivation for the Barcelona preparations was to showcase the achievements of Catalonia to a global audience (Gold & Margaret 2009).

The local, regional, and federal government all pooled in their resources to help ensure that the Barcelona Games were a success. The Spanish government made significant investments in its infrastructure in preparation for the game. Poynter and Macrury (2009) state that the amount of money spent on infrastructure was over three times the sum spent upon the event itself.

Barcelona is regarded as a model for urban regeneration legacy since the city undertook ambitions projects that would benefit the city as a whole even in the years following the Games. Barcelona recognized that “the deepest impacts of the Olympic investments are in the long-term” (p.7).

When making the financial investments for the game, Barcelona tried to keep up with the sporting excellence ingrained in the Olympic spirit while at the same time minimizing the organizational costs of the game (Brunet 1994). The infrastructure and facility costs were on the other hand maximized since these features, which constitute the Olympic Legacy, would continue to benefit the city long after the Games.

The urban regeneration arising from the Games was achieved through massive construction work in the main Olympic facilities and around them. To begin with, Barcelona chose a contaminate site as the main centre for the games. For this reason, the 1992 Olympic Games involved the concentrated recovery of Brownfield sites.

Smith (2007) observes that efforts were made to reclaim the previously contaminated land where the Barcelona Olympic Village was built. Barcelona also engaged in the redevelopment of dilapidated sites in a manner aimed at fostering sustainable regeneration. To address this lofty ambition, the city made effective post-event use plans for the facilities. The two tower blocks that housed the 15,000 participants were later converted into hotel and offices

In addition to the buildings, the infrastructure was improved to foster accessibility to the area. The new roads built because of the games where a total length of 78KM and this represented a 15% increase over the roads existing in the city before the Olympic bid was acquired. The Metro system for the city was extended after years of neglect under the Franco regime. The sewage system in the country was old and inefficient with some of the affluent leaking into the water bodies. Barcelona engaged in a massive project to build a new sewage system for the city.

The Barcelona Games also promoted urban regeneration by opening up the sea to the local population (Brunet 2005). Regeneration efforts initiated to create a good setting for the Games led to a 5Km beach being cleaned up and made open to the public. Thousands of local and international visitors were encouraged to enjoy these newly created attractions.

Environmental/Sustainability Legacy

The environment has gained significance in the Olympic Games since the 1990s. UNEP (2007) articulates that since the mid-1990s, “environmental considerations have been increasingly prominent in Olympic planning, with each Game expected to leave a sustainable legacy” (p.12).

The IOC in 1994 added an “environment conscious” component to serve as a guiding principle for the host city in the games. LaSalle (2012) observes that for the first time since the inception of the games, sustainability was to be a key component in new Olympic constructions.

Case Study: Sydney Games of 2000

The Sydney Games of 2000 provide the most appropriate case study for environmental and sustainability legacy because of the focus given to the two issues in planning for the Games. Sydney won the right to host the 2000 Olympic Games in 1993 (Searle 2002). At the bidding stage, Sydney emphasized on the ecologically sustainable development that the games would bring about to the candidate city.

Campbell (2001) reaffirmed that the commitment to the environment was “at the heart of all planning, construction and operation of facilities and venues for the Sydney 2000 Olympic and Paralympics Games” (p.1). Australia was able to showcase her sustainability efforts to the world during the 2000 Games.

The chosen primary site for most of the Olympic venues and facilities underscored the focus on ecologically sustainable development by the Sydney games. This primary site, Homebush Bay, was a former domestic and industrial waste dumping ground. Preparations for the Olympics entailed turning this former dump into an eco-friendly place.

Musgrave and Raj (2009) argue that the Sydney Olympics resulted to the most impressive environmental and sustainability legacy in the country. To date, the Sydney Olympic Park is regarded as a benchmark for sustainability with the United Nations Environmental Program awarding the Global 500 Award for environmental excellence to this venue.

After the games, the Olympic city became the town of Newington. This previous dumping site was successfully converted into a residential area with a capacity for 5000 people. The sustainability legacy of the games is evident from the fact that Newington became one of the largest solar-powered suburbs in the world.

The organizers of the Sydney games also hoped to foster future reductions in the carbon footprint of the city (Preuss 2000). Sydney stressed on the commitment to ecologically sustainable development and developments were made to realize this.

Searle (2002) observes that a rail line to Olympic Park was constructed and the use of public transport by spectators encouraged in order to minimize the environmental impact of transportation. This transport networks continued to be used after the Games and therefore increasing the environmental benefits of public transportation in Australia.

A Critical Review of London 2012’s Legacy Plans

Today legacy in an integral aspect of planning for the Olympics and all nations make preparations for legacy plans. London therefore endeavoured to plan in legacy from the very onset of the planning stages (Vigor 2004). The previous London Olympic Games occurred in 1948. These games occurred at a time of great austerity since the world was recovering from the devastating economic effects of the Second World War.

The poor economic conditions resulted in the games making use of existing facilities with little infrastructural improvements being made because of the game. The 2012 Olympics exhibited a marked difference from this with billions of pounds being dedicated to preparations for the games.

From the moment that London won the bid to host the 2012 Olympics, plans were already underway to ensure that the games would leave a lasting legacy on the city. The London legacy plans have been unique in that the project has been state centred with strong supporting role played by the local leaders and citywide agencies such as the LDA exercising influence (Lees & Raco 2009). The Mayor of London promised that the Olympics were “golden Games to be followed by an incredible legacy” (Official London2012 2012 p.1).

The commitment to public expenditure by the UK demonstrated an ambitious program of commercial and social renewal springing from the games. Even after discounting for the temptation by organizing committees to overstate the positive post-games impacts of the 2012 Olympics, evidence suggests that London inherited a rich legacy from hosting the Olympic Games.

Urban Regeneration

Just like the Barcelona games urban regeneration that was based on a citywide approach, London also made steps to achieve a citywide regeneration. The location of the new facilities made for the London 2012 Olympics underscores the employment of an urban regeneration strategy (London East Research Institute 2007).

The facilities were concentrated on the East London area and this spatial aggregation means that the planners hoped to achieve urban regeneration. The main regeneration efforts of the London 2012 games were focused on the Lower Lea Valley, which is not the location of the new Olympic Park. Before the Olympics, this section of East London was considered to be deprived with low living standards characterizing the region.

The state of the Lower Lea Valley region of East London made it home to the most deprived community in the country. The social amenities available in the area were inadequate and the infrastructure poor. The run-down environment in the region resulted in high unemployment and a poor public health record.

The East London region has suffered from contamination due to some of the traditional industries in the area such as brickyard, gas works, and distilleries. These industries led to air pollution and intense land contamination. Planning for the Olympic Games involved land remediation and 1,850 KM3 of soil was processed with the pollutants extracted and non-contaminated soil imported to meet the deficit.

Cleansing the polluted areas has made the region attractive to more people and it can be expected that the East London community will experience an increase in population as people immigrate to it. This will stimulate economic growth as investments in the region increase. Even before the games began, the London 2012 project was already having an indirect impact upon urban renewal in the city and beyond.

London East was undertaking the regeneration of shopping areas in anticipation of the investment that would come in the area because of the Olympics (Lees & Raco 2009).

The London 2012 Legacy was linked to challenging and addressing the socioeconomic problems of East London including lack of available and affordable housing for local people. The additional housing provided by the Games mitigated the housing problem prevalent in the East London region.

The Olympic village was built specifically to be used after the Games and the additional new homes constructed around the village projected to house 12,000 families (Official London2012 2012). These houses are going to be sold to the local community and plans are already underway to sell the homes in an open market. The 2012 London Olympics benefited the region with better transportation links.

The Games required high level of access to the Olympic sites and to ensure this, new land bridges were build across rivers and railway links and roads provided all over the East London region. This transportation links will continue to be used by the residents of the area. In addition to this, the improved transportation will open up the region by making it more accessible from other parts of London.

Environmental Sustainability

The London games were closely associated with achieving the non-sports related environmental legacy. The planners of the London 2012 Olympic Games conceded that sustainable development was paramount within legacy planning in order to protect the environment. LaSalle (2012) notes that London planners maintained that the games would be the “greenest Games in History”.

Sustainability legacy does not simply entail reducing the carbon footprint of the games but also fostering a culture of sustainability in the city indefinitely. As such, London 2012 hoped to achieve long-lasting environmental and sustainability goals.

The Olympic venues were designed with sustainability in mind. All venues were made to use 40% less water than their conventional models and recycling was implemented in all venues. This sustainable design of the new buildings will continue to benefit London for years to come (London East Research Institute 2007).

The London 20121 Games inspired the development of a new international standard for event management, ISO 20121, which will provide a framework for future events. The environmental and sustainability impacts of these standards are significant since it has the potential to be implemented on a regional, national, or even global scale.

Environmental sustainability was a major consideration in the transport legacy of London 2012. The Olympic Delivery Authority hopes to establish a vision of sustainable transport, which had for decades eluded the country’s policy makers (London East Research Institute 2007).

The Olympic Park made no provision for private vehicle access and parking but provided multiple bicycle docking points and public transportation to the Park. The success of the “green transportation” system used in the Olympics could act as a foundation of sustainable transportation in urban cities all over the UK.

Evaluating the London Development Agency’s Progress

The prospect of the legacy that hosting the Olympic Games would bring was a key element of London’s bid and the London Development Agency (LDA) was designated as the interim legacy client for the venue and infrastructure after the Games (National Audit Office 2008).

By planning combining the legacy and Game plans, the ODA and the LDA increased the chances of the Games resulting in a long lasting legacy. To provide greater clarity over how venues will be used and infrastructure developed after the game, the LDA developed a Legacy Master plan Framework. This master plan has been under implementation since the end of the 2012 Games.

The successful bid for the London 2012 Olympic Games was centred on the plan to use the event to regenerate a large part of East London which as according to Smith (2007) “suffered disproportionately from the effects of industrial decline” (96). The total investment made for the regeneration of East London was in excess of 6 billion pounds. The region received a major transformation due to this large cash injection in the area.

It can be expected to lead to sustainable urban regeneration because of the plans the LDA has in place. The LDA promised that the London Games would leave a lasting mark on London and Britain as a whole with a lasting legacy of sustainability and urban regeneration in East London.

The LDA is committed to leave a positive local legacy for the East London community by providing tangible benefits to the residents. The LDA has promised to make 50% of the houses used for the Olympic available for sale at an affordable price to the local population.

Legacy transformation is underway and the venues of the Olympics are undergoing significant transformations. The LDA has plans to decommission venues that will not operate with a viable legacy and the temporary structures are being demolished to free up the space and avoid unnecessary maintenance costs (London Development Agency 2012).

Plans are underway to convert the permanent venues on the Olympic Park for legacy use. The main stadium will be used for staging future athletic events and other sports such as football and/or rugby. The indoor sports centre that was used as a handball arena will be converted into a multi-use sports facility for community use. The centre will also be used to host small to medium scale events.

The Olympic Park is meant to act as a model of sustainable development with a strategy already in place to help reduce carbon emissions from the built environment by 50%.

To help quantify the environmental impact in post-Olympic period, a new methodology for measuring carbon foot printing was proposed by the LDA and this methodology is going to be used to see if the 50% reduction in carbon emissions has been reached in the year 2013 (London Development Agency 2012).

The LDA is working on developing a network of footpaths and cycle ways through the park and the routes will help to connect communities and also foster environmental sustainability by decreasing the use of vehicles.

The buildings constructed for the Olympics fulfilled the environmental requirements that the LDA had stipulated in its document outlining the principles of the design of the Olympic urban quarters (London Development Agency 2012). For this reason, the infrastructure for the London 2012 games are already a beacon of environmental friendly development and the London Development Agency hopes that the relevant industries will follow this trend and make their constructions environmentally sound.

Conclusion

The task of staging the Olympics is great and the host cities are keen to secure long-term legacies from the Games in order to justify the initial capital investments. This paper set out to critically review two legacies from past Olympic Games and discuss two main legacy plans for London 2012. It began by providing a background to the process of hosting the Olympics and then defined legacy as “creating structures, things, and processes that, post-Games, should be long-lasting and of permanent benefit to the host city.

The paper has reviewed how both Barcelona and Sydney were able to use the Olympics as a springboard to urban regeneration and sustainable development respectively. Both cities continue to enjoy the benefits of their Olympic Legacies many years after the Games took place.

A review of the Legacies of London 2012 has been made and from this, a conclusion can be reached that London will enjoy the long-term rewards accrued from hosting the Olympic Games. Undoubtedly, the games will act as a catalyst to regeneration for East London and in adjoining areas. The environmental sustainability plans implemented will have a positive impact for generations. From this paper, it can therefore be authoritatively stated that the London Games were a big success since the huge expenditure involved in hosting the Games can be legitimised from the non-sports related legacies of urban regeneration and environmental sustainability.

References

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Introduction

Background

The London 2012 games were based on a dream of hosting inspirational, secure and all-encompassing games that would leave a mark in the UK. When the representatives from the UK were bidding for the games, they promised it would be the first ever sustainable tournament. The meaning of the term ‘sustainability’ is very complex and therefore not easy to define.

Brundtland commission defined sustainability as the ability to meet the current needs without compromising future needs. However, environmentalists and sustainability experts have been advocating for a more detailed definition. As a result, the organizers of the London Olympics came up with a sustainability plan that incorporated a range of sustainability definitions.

The plan focused on the major sustainability premises namely: climatic change, management of toxic wastes, environmental conservation, health and nutrition, and inclusiveness. Climate change focused on management of water, energy, and alleviation/alteration of carbon impact. Waste management centred on the state of the art waste management infrastructure and exemplary management of resources.

The management of biodiversity was aimed at encouraging the sport division to play a part in the conservation of nature and bring individuals closer to the environment. The London sustainability theme of inclusiveness focused on promoting access and celebrating diversity. Lastly, healthy living was meant to inspire everybody to engage in sports and to inculcate healthy lifestyles.

The reassessment of various ways in which sustainability has been defined highlights the complexity of coming up with a single definition. Sustainability experts argue that the essence of sustainable development has become open to numerous applications and interpretations.

Generally, there is a tendency by organizations and individuals to depend on a triple bottom line approach especially to evaluate performance alongside the meaning. The triple bottom line approach views sustainability in terms of the benefits achieved from the following viewpoints: environment, economy and socio-cultural.

Purpose of the Report

The general aim of this report is to assess the sustainability of the London games 2012.The report will adopt a triple bottom line approach (three sustainability indicators) to assess the sustainability of the London Games 2012.

The use of the three sustainability indicators is in line with the legacy of the London 2012 games. There are other sustainability models that have added an extra dimension associated with governance. The socio-cultural and economic indicators used will consider this extra dimension by exploring the management of the games and other governance issues.

Sustainability analysis using set indicators

The use of a set of indicators, especially a far-reaching set, brings forth the question of how to evaluate the overall performance in relation to sustainability. Particularly, it brings forth the question of how to reach equilibrium on all the fronts (economic, socio-cultural and environment front). The set indicators are grouped into three categories namely: environmental indicators, socio-cultural indicators and economic indicators.

Environmental Indicators

Environmental indicators include water quality, greenhouse gas emission, air quality, land use changes, protected areas, public open-air leisure centres and solid waste management. The new water framework directive assesses the well being of the surrounding water i.e. the concentration of nitrates, phosphates and E-Coli for bathing water.

UK is generally ranked poorly in terms of Orthophosphate concentration with an average concentration of 0.3 P mg/I. The E-Coli level is also higher than the required standard. The highest concentrations have been recorded around river Lee. However, the nitrate levels within the Olympic park surroundings are below the maximum limit of 50mg N/I with the highest concentration measured being 17.4 mg N/I.

The nitrate levels have contaminated London river waters. There is not even a single river that has low nitrate levels. In addition, the phosphate levels are extremely high in more than three quarters of the rivers within London. The construction works and other developments for London games provided a great opportunity to enhance the areas around Lee River and its backwoods.

The emission of the Kyoto basket of greenhouse gases in the UK has fallen by more than 5 percent since 2003. The highest reductions in percentage are Sulphur hexafluoride SF₆ (47%), Perfluorocarbons PFC (30%), Methane CH₄ (10%) and Nitrous oxide N₂O (10%).

Approximately 50% of these emissions originate from the industry and commerce with moderate emission from homes and road transport. The greenhouse gas emission from industry and commerce in the city of London is almost similar to the entire nation. The road transport contribution is relatively low. This is credited to the dense public transport system and partly to congestion charge zone within the city centre.

In the year 2008, the city was voted as the low emission zone. However, the total emission has slightly gone up by 5% since then. The increase in emission is mainly attributed to the construction works around the Olympic park as well as growth of businesses in Docklands (especially in Tower Hamlets).

Analysis of the data sourced from the London Organising Committee of the Olympic Games and Paralympics Games Limited (LOCOG) and Olympic Delivery authority (ODA) only shows the long-term benefits of the project. However, it is clear that the construction works around the Olympic Park emitted the highest amount of the greenhouse gases (24%).

Spectator/ media and sponsors travel (air, road and rail) contributed 13% of the emission and other related transport infrastructure contributed further 12%. In overall, the construction and infrastructure projects contributed more than 70% of the greenhouse gas emission (GGE).

In a nutshell, staging of the 2012 Olympic Games had a negative GGE impact, but this only represented 0.5 % of the country’s annual emission. In addition, the long-term benefits of the game should be emphasized.

The quality of the outdoor air in London as a whole is within the standards. However, the areas around Lambeth and the city centres have exceeded the annual permitted level. Nonetheless, the construction works at the Olympic Park has had no apparent impact on the air quality in the city of London. All the screening data from the London Air Quality Monitoring Network confirms this.

Land use data shows a number of changes in London as a whole, particularly in Host Boroughs. The area under domestic gardens has considerably decreased reflecting the increase in population and density of housing. This is locally referred to as garden grabbing.

However, the amount of land being converted to residential areas has gone down since sub-prime crisis in 2008.The games considerably transformed the Brownfield area into residential, parks and amenity space. Nonetheless, the Olympic park and other venues that were intended for the games had small impact on the overall land use changes in London.

Although the venues tend to overlap large number of protected areas within London they were not within these protected areas. This exhibits the extent to which natural habitats and landscapes are guarded and at the same time allowing access to wildlife and scenic areas by the athletes and other visitors. In addition, the open –air leisure spaces (woodland/forest and public open space) have increased except for the park/garden.

In Host Boroughs, Woodlands and forests have remained the same. The construction works around the Olympic Park regenerated most of the derelict lands and industrial Brownfield which created more space for amusement and open-air leisure activities. Furthermore, when the games ended most of the hard surfaces were converted to grass.

The solid waste analysis focuses on the solid waste production, treatment and disposal. The production of toxic waste doubled in the three year period before the Olympic Games. This is attributed to the clean up process in the Olympic venues. Most of these waste consisted of contaminated debris that were as a consequence of on-site treatment aimed to improve the land.

For that reason, the London Games had a direct positive impact on toxic waste management. The waste transfer stations have increased substantially since 2005 and only dropped a little in 2006 due to increase in treatment plants.

Waste transfer has remained stable in London even with the increase in population. The city of London and the larger UK benefited greatly from the groundbreaking processes for treating and recycling wastes.

Socio-cultural indicators

There are over 20 social-cultural indicators, but the report will only focus on the most important indicators. They include poverty and social inclusion, health and nutrition, crime rates, participation of minorities in the games, and access to public services. Poverty and social inclusion appraise the poverty level and social segregation of the UK society.

Poverty level and social segregation in the UK are measured using the Index of Deprivation. This is based on seven realms namely: earnings, the level of employment, health and disability, education and expertise, obstacles to basic needs, crime rate and the living standard.

According to the data sourced from the Department of Communities and Local Government, income deprivation is based on the percentage of the population relying on the social benefits whilst obstacles to basic needs reflect the complexity in accessing fundamental needs such as housing. The data show high rates of deprivation in the five Host Boroughs compared to the entire London.

The highest disparity is in the housing and social services. In both cases, deprivation index had fallen significantly from 2007 to 2009. This is mainly attributed to the subprime crisis that led to the increase in the cost of housing. The impact of the London 2012 Games in the transformation of the East London is yet to be discerned. Most of the available data on poverty and social segregation were collected in 2009.

Educational level as an indicator evaluates the impact of the London games on the educational achievement of the populace. Educational achievement for the people of London has been on a rise for the last ten years. The ratio of the unqualified personnel has gone down whilst the ratio of those with high education has risen by nearly 42 percent.

Gender disparity in term of education achievement is still high with more women having low qualifications. Qualification profile in Host Boroughs is by and large lower than London. In addition, the gender inequality is emphasized. The increase in educational level is less attributed to London Games 2012. The educational standards of the labour force have been an elemental tune since late 90s.

Spending on elementary education has always been adjusted above inflation and therefore protected by the government. Government emphasis has always been on the underprivileged areas, for instance, East London. The UK government created Equality and Inclusion Board to enhance the participation of the minorities in London Games 2012. The board set up a mechanism for recruiting the minority groups.

The targeted percentage of the minority groups were as follows: minority ethnic 15%, disabled 3% and 11% women. Therefore, the game promoted equality and inclusiveness in sports and other fronts.

London is among the top cities in the UK with the highest crime rate. On a national scale, the crime rate has reduced significantly over the last two decades. The total number of recorded crimes in the period 2003 to 2012 fell by over 20 percent, with the sharpest decline (45%) recorded in 2011/2012. As usual, Host Boroughs recorded high figures compared to the entire London.

The falling trend was a result of the policies put in place by the government to fight crime. These policies included the setting up of the Crime and Disorder Reduction Partnerships in local areas. The political will to make London 2012 Olympic Games the safe ever was there.

The Crime and Disorder Reduction Partnerships in the Host Boroughs and London as a whole was tied to the local government structures. Therefore, there was a marked impact of the game on crime avoidance and reduction.

Generally, the mortality rate (especially infant mortality) due to ill health has decreased in the entire UK. The rate in London is much lower. Over 70% of the mortality rates are due to cancers, circulatory and respiratory diseases. However, death caused by cancer and circulatory diseases have relatively decreased whilst death caused by respiratory diseases have remained constant.

Morbidity rate has also gone down all over the UK with London and the 5 Host Boroughs recording slightly higher figures than the rest of the country. The decline is attributed to the increased number of health facilities all over the country and universal health insurance. Life expectancy has also increased countrywide.

However, life expectancy in the 5 Host Boroughs is slightly lower than the whole country due to socioeconomic deprivations and segregations. The blacks and other minority groups have the lowest life expectancy. Nonetheless, there are considerable and sustainable steps being taken by the government to address these inequalities. Nutrition as an indicator explores the quality of food intake.

The energy and nutrient intake in London is lower compared to the rest of the UK. This also applies to the general food quality, particularly vegetables. Unhealthy eating habits are common in the city and this is reflected in the increasing number of obese and overweight individuals.

The impact of the London Games on the physical activities and regeneration of East London reinforced the emphasis on healthy eating habits and change of lifestyle. The London Games also led to the introduction of the annual school Olympics to enhance sports in the country and improve students’ health. More sporting facilities have been set up to improve access.

Economic Indicators

Economic indicators just like socio-cultural indicators are many. The report will only focus on a number of them namely: employment by economic activity, accommodation infrastructure, tourist/visitors, and the public expenditure. Since 2005, UK has experienced an annual growth rate of approximately1% of employed individuals.

The growth has been witnessed both in the public and private sectors. At the same time, the population of London has been growing at the rate of 2.41% per annum. This has contributed to a significant number of unemployed.

Although the London 2012 games had little impact on the overall level of employment, the distribution of the contracts related to the Olympic created a considerable amount of jobs. Though employment in the construction industry increased by 1.5 % annually during that period, it rose by almost 4% in London. This is attributed to key infrastructure construction projects in the city.

According to the data sourced from the London Development Authority, the city witnessed a nearly 40% decline in the number of establishments in 2004/05 and almost a double figure in 2006. Regardless of the decline in the number of hotels and accommodation in London, total bed space has continued to increase with the sharp increase in 2009/10.

The increase in bed space and establishment in East London was attributed to the Olympic effect. The number of establishments as a result of the Olympic effect is not easy to desegregate. In 2007/08, UK had seen a decline in the number of tourists due to the global economic crisis.

However, the London games saw a sharp increase in the number of visitors to the UK and domestic tourists to London. The number of visitors outside the EU was slightly lower. Economic experts attribute it to the strength of the sterling pound and the aftershocks of the global economic crisis.

According to the Public Expenditure Statistic Analyses, priority of government spending has changed considerably since 2005. More emphasis was put in housing, education, environmental conservation and management, and housing. Recreation and sporting expenditure increased by almost the same level in the whole country. London received more funding than any other city.

The funds were used to improve public service, public order, recreational and sporting services and transport. Public expenditure was consistent with the government commitment to create a legacy in the London Games 2012. The UK government spent nearly £ 1 billion on Olympic village.

Conclusion

The London 2012 Olympic Games provided an opportunity for the city of London to enhance its infrastructure and other operations in a sustainable style. The use of the three indicators offered a holistic approach in assessing sustainability. According to these indicators, the London 2012 Games had more positive than negative contributions to the environment, society and the economy as a whole.

The public investment in the games significantly complemented the city’s regeneration and development programmes. Economic and social-cultural indicators show that it is still early to tell the impact of the London Games 2012. However, the impact of the games on the environment is discernible.

Introduction

Over the past 112 years, the Olympic Games are held after every four years. This analytical work discusses the 2012 London Olympic Games. It focuses on the analysis of the 2012 London Olympic Games case study. Specifically, the treatise reviews the current challenges with regards to ticketing, transportation, and economic impacts of the games. Among the business concepts reviewed include the SWOT and Porter’s five forces analyses among others.

Competitiveness analysis using Porter’s 5 forces model

Threat to market entry

In the UK, the London Organizing Committee for the Olympic Games magnitude together with that of the independent Olympic Committee are well established and would easily enjoy economies of scale. The London Organizing Committee for the Olympic Games’ activities has spread across the nation, opening numerous branches in all major blocks and centers expected to host the games.

Besides, the London Organizing Committee for the Olympic Games will serves as the only committee approved by the government to organize transportation and ticket retailing activities among others. Given its numerous capital arm of more than three billion dollars and reliable customer base, the London Organizing Committee for the Olympic Games has the capacity to offer affordable and reliable services to its customers.

Threat of substitutes

The Organizing Committee for the Olympic Games poses the greatest threat to the London Olympic Games existence and business performance. The Organizing Committee for the Olympic Games has been in the industry for longer period and is well established as it came into full operation in 2008 in preparation for the 2012 games.

Therefore, Organizing Committee for the Olympic Games has the ability to offer an alternative perfect substitute to customers. However, in order to remain relevant, the London Organizing Committee for the Olympic Games has established a unique market for its customer through tailored optometry ticketing services.

Power of suppliers

Suppliers in the London 2012 Olympic industry have more power owing to the existence of many activities. As a matter of fact, suppliers may instigate market demand and supply variances. The London Organizing Committee for the Olympic Games depends on the suppliers such as the private road contractors, ticketing agencies, and stadium construction companies. This leaves the suppliers with the power to dictate on proceedings in the games such as the ticketing prices.

Power of buyers

Reflectively, the amount of output in terms of turn over sales depends on the buyers’ purchasing power. The higher the purchasing power, the better the turnover in total sales realized over a definite period of time.

The Olympic Games performance in the UK depends highly on the sales of the ticketing for the four main types of events and the other events. In fact, the purchasing power determines profitability and probability of success of the London Olympic Games. Fortunately, the projections, in terms of tickets sales, for the main events are already attracting almost seventy percent of the revenues.

Rivalry

With many customers looking for good value for their money, quality in service delivery has remained the main basis upon which customers are making their final decision to purchase the tickets. All the players in the 2012 London Olympic Games are putting measures in place to ensure they attract more customers. Therefore, the size, in terms of space occupied by business premises, defines the temperature of competition. In line with this, the Olympic Park is projected to be the largest in the Eastern London.

SWOT Analysis

Strengths

The stable and management team comprising of the London Organizing Committee for the Olympic Games and several agencies are instrumental towards providing necessary support and guidance in provision of the 2012 London Olympic support services to customers and reviewing current operational strategies in line with the demands of their clients.

For instance, the management team introduced the electronic ticketing service in response to the demands of the clients. Besides, the good transport network, and sufficient amenities makes the 2012 Olympic Games very successful. In addition, the excellent organization of the security services proved to be one of the greatest strengths of the London Olympic Organization Committee.

Weaknesses

The games are only concentrated in the city of London, hence reducing the economic impact to a small region. This is counterproductive in terms of revenue generation since majority of its customers are from the London region. As a result of these weaknesses, the strategy to host Olympic Games in London has not been able to efficiently penetrate the small regions through any visible economic impact.

Opportunities

The 2012 London Olympic Games’ committee had an opportunity to expand its scope and ticket sales via the online ticketing strategy which was poorly implemented in 2008 Beijing Olympic. This opportunity will help in boosting the revenues and leadership position in the city of London. The online ticketing portal could be organized in such as a way that the sales of tickets are gradual to prevent the system from crashing.

Threats

Due to the scarcity of capital to invest in the multibillion 2012 London Olympic event, capital can only obtained from two major sources. The event may be financed by either public funds (by use of public funds-tax payers’ money) or private shares (contribution by private sources such Organizing Committee of Olympic Games-OCOG).

There have been various criticisms as to exclusive use of either source of financing and in the near future, Games will be financed either through completely public share or through a completely private share. Besides, the rising costs of the games may cause more severe protests by Olympic opponents, if they are exclusively funded by tax revenues.

Facts surrounding the case

The London Organizing Committee for the Olympic Games and the Organizing Committee of Olympic Games are the main players in the organization of these games. An estimated 7.9 million tickets are to be sold. 25% of the tickets are reserved for the UK residents with the other part of Europe buying 20% of the tickets.

The rest is reserved to people from across the globe. Approximately ten thousand dignitaries, sixty thousand security personnel, twenty thousand journalists, and almost one hundred thousand workers will make the event successful. The LOCOG’s budget is $3 billion. The total expenditure is $12 billion. Somehow, the committee must come up with the ideal strategy to make this game successful.

Key Issues

The key issues are how to distribute the tickets and maximize the ticket sales without having to favor one even more than the other. The committee must also source for the funds amidst public protest of excessive taxation. The ticketing committee must establish the most cost effective way of distributing the tickets and partner with the right retailing agencies. In addition, the committee has to explore the most cost effective strategy for providing transportation, accommodation, and security to more than two million attendees of the game.

Alternative course of action

The direct impacts relate to the cost and benefits which can be quantified and expressly attributed to the events. Direct spending comprised of capital improvement of the infrastructure, operating expenditures including construction for temporary facilities, legacy activities and other initiatives.

It also entail direct visitors spending including outlays by contractors, games organizers, vendors, sponsors, participants and tourists in preparation for the Olympic Games. For the 2012 Olympic Games, if firms decide to adopt the competition theory which exhibit both aggressive and cooperative behaviors then there are high chances that the event will be successful.

Recommendations

The main benefits that the Olympic Games offer to customers are the customized ticketing products and several seating option for every event. The customers should be treated to quick services and allowed to enjoy faster online ticket purchasing. These benefits should be aligned to the customers’ requirements such as affordable services, reliability, and professionalism in rescheduling events. Besides, the customers should be accorded individualized attention which meets their expectations through the ticketing agencies.

If the cooperative behavior is adopted, the firms offering support services to the games will work together towards the common goal and in the process, they will share the common costs. Cooperative behavior will enable the firm be profitable and relevant in the market. By being aggressive, they will be able to boost the bottom line of their firms at the end of the event.

Application of the cooperative strategy would enable the firms to be innovative and productive especially during the Olympic preparation period. On the contrary the effectiveness in implementation of this strategy may not be as smooth as it may seem to be. This is because firms operate in different industries and therefore, incur expenses of various kinds.

London 2012 Olympic Games

In the run-up to the historic London Olympic Games in 2012, the organizing committee encountered great challenges in the mechanisms of selling out the eight million tickets equitably among the twenty-six events in the games. The main objective of such mechanisms looked forward to maximizing the sales of the tickets without compromising the ability of the fans to enjoy watching the games (Bertini and Gourville A4).

It brings in a more collaborative and customer-oriented service provision with the argument that an increased number of fans come will increase the need for services in other areas, for example, in the hotel and food industry.

The committee developed a customer-oriented ticketing system to increase sales of tickets at affordable prices while achieving the revenue target. Similarly, the event became the first in history to introduce no free-ticket policy. This aimed at reducing the fan craze in free events, thus increasing the rates of pleasure in watching different sports. Bundling of the ticket plays an important role in the equitable distribution of fans across all the events.

However, the secondary sports often draw few fans with the primary event drawing excess. In order to curb this, the organizing committee abolished the ticket bundling system and introduced ticket tiers in all the events. These factors coupled with adequate transparency and the premiums on flexibility ensured that the London Olympic Games was prosperous (Bertini and Gourville A4).

Sochi Games, Russia

In many cases, corruption and lack of transparency appear when the hosting committees fail to give out the exact cost of the event. In Russia for example, the expected cost of hosting the games remains subject of debate as months before the event. Several critics of the government argue that a lot of taxpayer’s money is up for grabs if the spending on preparation remains unchecked (Myers n. pag).

Aleksei Navalny, an anti-corruption blogger in Russia leads the assault of the organizing committees and the entire government as hoodwinking the public on the real cost of hosting the games. He claims, the Russians remain in darkness over the real cost of the games. According to him, the cost of twelve billion US dollars quoted by Vladimir Putin is far below the real cost of the games.

In his argument, he believes the Russians stand to gain nothing if the corruption issues in the preparation are not checked (Myers n. pag). To the fierce anti-corruption blogger, the development of Sochi project, the home ground of the Olympic Games, is more of an initiative developed by the ruling class led by Vladimir Putin to cement a legacy rather than hosting the international games.

In as much as the Olympic Games remain famous and continue to draw income to several individuals across the entire globe, the organization of the event after every four years often draw mixed reactions. Fans and athletes often look forward to the event.

Hosting cities expect a lot of revenue from the event. However, if the preparation and execution of the plans developed by the planning committees remain unchecked, the Olympic Games offer an avenue for mass corruption and misuse of public resources.

Infrastructural Development

Apart from the sports facilities such as stadia and training camps, Olympic Games come with the development of general infrastructures such as roads, ports, railways, communication systems and other public utilities. In Beijing 2008 for example, the amount of investment directed towards infrastructure development totaled to forty billion US dollars.

These funds helped in the improvement of movement of athletes, fans and the tourists who visited the country during the games (Liu, Ramchandani, and Wilson 43). The Bird’s Nest and the roads currently stand out in the Beijing City five years after the games.

International Reputation of the City

Major sporting events play a vital role in positioning the public image of a hosting city, region, and country. The global exposure of the event enables the hosting city to reach a global audience in city marketing especially in cultural tourism. During the 2000 Sydney Games, 3.6 billion viewers watched the games. This numbers increased to 3.9 billion in the 2004 Athens Games and further to 4.7 billion in the 2008 Beijing Games.

With this kind of audience, the hosting city gets and ample avenue for marketing tourist sites, culture and other attractive facilities that can earn her more revenue even after the games.

Apart from the television viewers, the internet live streaming of the games also play an important role in the advertisement in the city’s unique features. For example, the Beijing games played a wonderful role in depicting Beijing City and China as a friendly, open, and efficient nation in service delivery (Liu et al. 47).

Development of International Network and Cooperation

According to Jarvie, close co-operation between sporting agencies, federations, and planning committees is necessary both at the local level and at the international level in order to host an international sporting event (348). Such co-operation and international friendliness play vital roles in the economic development of the cities.

Networks created in the preparation and hosting of the games often attract international investors into the host cities, thus improving the economy of such cities (Jarvie 349). For instance, the opening ceremony of the Beijing Olympics drew attendance for more than fifty heads of state. Such presence creates a picture of an internationally accepted country, which investors would enjoy taking risks in.

This, in turn, boosts the economy of the hosting nation. Organization of global sports helps create great international and trade ties between the host nation and the entire world. This plays an important role in economic development.

Organizing committees of every Olympic Game aim at hosting the games with the best audience across the entire globe. In order to do this, the different committees often come up with different mechanisms of promoting the games, as well as maximizing the revenues accrued.

The ticketing system has been one of the best revenue generators on the games. However, tourists, fans, and volunteers experience gross problems if the ticketing mechanism is poorly organized. Ticket pricing in the Olympic Games plays an important role in the revenue collection from the games, and if poorly managed, can be a source of turmoil to the organizing committees (Liu et al. 38).

For this reason, proper management of the ticketing system is necessary to ensure that the cost of hosting the games remain less than the revenue accrued from them. It is for this reason that different organizing committees develop different mechanisms in attracting the greatest level of a fan base to boost the level of revenues accrued from the sports.

If the entire planning system is devoid of corruption and shoddy deals, the cost of hosting the Olympic Games is far much below the revenues that come with the games. The economic benefits of hosting the games are many ranging from the boom in the business sector, creating short-term employment opportunities, development of infrastructure among others.

Apart from those, the enjoyment of the games by both the fans and the athletes lives a legacy that plays an important role in the future of the hosting city. For example, the Bird’s Nest of Beijing 2008 remains an eye-catching development that came up through the Olympic Games.

In the works of Liu et al., the potential long-lasting economic benefits of hosting the Olympic Games include the construction of new infrastructure and public utilities, the revival of cities in preparation for hosting the global event, and enhancement in international reputation that comes with a global view of the games (40).

Similarly, the tourism sector often gets a global advertising audience thus earns more visitors. With the expected high numbers of people in the cities, the long-term inward investments in the city often increase.

Conclusion

The economic benefits of hosting the Olympic Games lie on the development of the facilities, infrastructure for the service provision and the development of viable mechanisms of attracting more revenue from the influx of tourists, fans, and athletes. Infrastructure development boosts the construction sector with several employment opportunities.

Developing proper measures to ensure adequate transparency from bidding, preparation through to hosting, the benefits of hosting Olympic Games are higher than the costs involved.

Even though such gatherings are potential targets for terrorist activities, the global security team and the host nation can put up necessary security strategies to curb such incidences. The long-term benefits of stadia construction and sports facilities for scratch, as well as the improvement of transports facilities, play a significant role in the development of the economy of the host city.

Works Cited

Bertini, Marco, and John T. Gourville. “Pricing Lessons from the London Olympics.” Harvard Business Review 19 June 2012: A4. Harvard Business Review. Web. 25 Feb. 2014.

Jarvie, Grant. Sport, Culture and Society: An Introduction. 2nd ed. Milton Park, Abingdon, Oxon: Routledge, 2012. Print.

Liu, Dongfeng, Girish Ramchandani, and Darryl Wilson. The Global Economics of Sport. London: Routledge, 2012. Print.

Myers, Steven Lee. “Russians Debate Sticker Price of Sochi Games.” The New York Times 27 Jan. 2014: n. pag. The New York Times. Web. 25 Feb. 2014.