Chapter 9 - International Sport
International Sport Chapter 9 Introduction • Sports is increasing in interaction and expansion across international borders. • Thanks to internet-based technology, access to major sport leagues from anywhere in the world is easier than ever. • Globalization does not mean Americanization. • Club system form of sport organization is more common outside of the United States. Introduction: Club System • The club-based system is separate and distinct from the education system (i.e., one does not have to attend college to play at the elite level). • The primary purpose of the club sport system is to fulfill social and fitness functions, rather than to promote superior athletes. • The club system allows anyone to participate and take advantage of good facilities that are often maintained by local or state government. • Promotion and relegation in global sport leagues History • Sports first spread across international borders through imperialistic efforts. – As nations such as Great Britain colonized various areas of the world, sports were used to impose the conquerors’ culture on colonized land. • Sports have fueled feelings of nationalism. – Platform for political and social protests and boycotts • As the United States attempts to expand its major leagues overseas, so too does FIFA attempt to expand football (soccer) in the United States. Globalization of Sports • Corporations have begun to adopt a global strategy in selling their products. • Corporations create products with appeal to generate the same demand in all corners of the world. • Technological advances and increased accessibility of technology worldwide have been major driving factors in the globalization of sport. • Globalization is largely influenced by countries with dominance over worldwide media, leading to high-profile sports receiving greater media exposure; however, globalization is not dependent on media alone. – Need to be cognizant of cultural differences Global Strategy: Global Brand • Cooper (2010) suggests the following five strategies for building a successful global brand: 1.Build a strong consistent brand culture. 2.Be borderless in your marketing. 3.Build yourself an internal hub. 4.Adopt a “global” structure. 5.Make customers your co-creators. Corporate Involvement with International Sport • Activities can be grouped into two categories: 1.Efforts by manufacturers of sport-related products, such as athletic shoes, athletic equipment, and sport drinks 2.Efforts by nonsport-related companies that sponsor international sporting events, teams, and athletes to gain name recognition and thus sell their products in new global markets Corporate Involvement: Efforts of Product Manufacturers • North American markets are becoming saturated. • Average consumer purchases only a certain amount of sport products and merchandise in a given year. • Sport corporations are attempting to broaden their product distribution by focusing on global markets, or even playing a direct role in the development of sports in new markets. • Case Study: Since 2000, Nike has sold more products overseas than in the United States. Pro Sport Leagues’ International Focus • Professional sport leagues seek to increase the popularity and consumption of their products overseas. • Each league has created an international division to guide such efforts and maintain offices abroad. • International efforts focus on: 1. Broadcasting 2. Licensing and merchandising 3. Playing exhibition and regular season games 4. Cultivating participation in sports throughout each country (grassroots efforts) 5. Placing teams in international markets Pro Sport Leagues’ International Focus: Broadcasting • Visual images are easily exportable commodities. • Access to television and internet increasing at rapid rate • Major corporations now own major media outlets in countries throughout the world. • Case Study: ESPN International • Leagues often rely on actual game broadcasts and also utilize highlight shows to build an audience. • Case Study: 2012 NFL Super Bowl televised in180 countries Pro Sport Leagues’ International Focus: Licensing and Merchandising • Sport leagues are increasingly using the sales of logo merchandise as a means to increase league popularity overseas. – Especially with increase in online shopping • Team-logo merchandise provides people with a means to identify and associate with favorite teams. • Sale of licensed merchandise serves as a promotional vehicle for the team or league. Pro Sport Leagues’ International Focus: Exhibition and Regular Season Games • People in different countries have the opportunity to witness the sport “live.” • Examples – NFL has played exhibition games outside the United States since 1986 and plays 1 regular season game on foreign soil. – MLB has Opening Day series in Japan every year and opened season in Australia in 2014. – NBA has had exhibition games overseas since 1988 and plays regular season games overseas. Pro Sport Leagues’ International Focus: Marketing Foreign Athletes • • • • Decrease in barriers as more top players play in top professional sport leagues in the world Presence of foreign players has enabled professional leagues to increase popularity overseas. Case Study: NBA had 84 international players from 37 countries on rosters during 2012−2013. Exposure aided by the rise of satellite television and increasing exhibition games held in foreign countries featuring some of these foreign stars Pro Sport Leagues’ International Focus: Sport Tourism • Increased ease and convenience of international travel have brought increase in international sport tourism. • Three types of sport tourism: 1. Travel to participate in sport activity 2. Travel to view a sport activity (led by groups structuring trips, see Barmy Army, etc.) 3. Travel to visit sport hall of fame, stadium, or museum 4. Travel to volunteer at sport events Pro Sport Leagues’ International Focus: Sport Tourism (cont.) • Benefits to host destination driving blending of sports and tourism: economic gain, social benefits for community, generation of tourism for megasport events, and holidays to increase involvement in sports – Now common for cities to compete fiercely to host Olympics to justify sport facility expenditures and enhance sporting profile of country Pro Sport Leagues’ International Focus: Grassroots Programs • Programs and activities undertaken to increase sport participation and interest in a particular international region • Focused on two areas: – Increasing participation – Educating people about the specifics of a particular sport • Long-term popularity and interest can be achieved only when there is a knowledgeable fan base and a significant number of participants Pro Sport Leagues’ International Focus: Sport for All • International movement that seeks to promote mass participation in sports without discrimination • Purpose is not competition, but participation for participation’s sake • Sports viewed as both a human right and a key component to healthy lifestyle • Seeks to involve all sectors of population regardless of age, gender, social or economic distinction, or physical or mental ability • Advocated by IOC and UN Pro Sport Leagues’ International Focus: Sport For Development and Peace • Use of sport as a tool to promote positive social change (Beutler, 2006) • This broad area of international sport is referred to as sport for development and peace (SDP). • Objective: Use of sport to educate youth, to provide leadership opportunities, and to bring communities together to help others less fortunate Pro Sport Leagues’ International Focus: Sport For Development and Peace (cont.) • SDP programs can be divided into several categories based on their primary purposes, including: – – – – – – Peace-building Post-disaster response Empowerment of girls and women Sport for persons with disabilities Health, education, and economic development Career development Olympic Movement: Olympism • A philosophy of life, exalting and combining in a balanced whole the qualities of body, will, and mind • Conceived by Baron Pierre de Coubertin, on whose initiative the International Athletic Congress of Paris was held on June 23, 1894 • There the International Olympic Committee (IOC) was constituted as the supreme authority of the Olympic Movement. • The Olympic Games provide a space where countries from around the world can unite through a shared interest in festival and sport. Olympic Movement: History • Began in 1896 in Athens, Greece • Prior to 1980s, focused on amateur sport • 1984 LA Olympic Games marked turning point for commercial involvement; over $200M in profit • Amateurism dropped for 1992 Barcelona Games • “Celebrate Humanity” begun in 2000 to highlight Olympic ideals • Olympic Games returned to Athens in 2004. – Now included 200+ nations, 300+ events, billions of viewers worldwide Olympic Movement: International Olympic Committee (IOC) • Governmental, nonprofit organization based in Lausanne, Switzerland • Olympic Charter: Codification of fundamental principles, rules, and bylaws adopted by the IOC • IOC has final authority on all questions concerning Olympic Games/Olympic Movement • Governed by its self-selected members, who make up three bodies: – The session – The executive board – The president Olympic Movement: National Olympic Committees (NOCs) • Organized regionally • Responsible for developing and protecting the Olympic Movement in their respective countries, in accordance with the Olympic Charter • Authority to designate cities that may bid to host Olympic Games in their respective countries • Example: USOC includes: – Officers – An executive committee – A board of directors Olympic Movement: Organizing Committees (OCOGs) • An Organizing Committee for the Olympic Games (OCOG) is formed when a city is awarded the Games. • Example: ROCOG is the committee for the 2016 RIO Olympic Games. • The OCOG is responsible for planning, implementing, and staging the Games, including the following duties, among others: – Venue construction – Athlete accommodations – Accreditation and security Olympic Movement: Organizing Committees (OCOGs) (cont.) • OCOG duties: – Logistics (medical services, protocol, technology, tickets, transportation, operations) – Host broadcasting and communications – Finances and risk management – Government relations – Volunteer services – Sports competition Olympic Movement: International Federations (IFs) • Nongovernmental, international governing bodies recognized by the IOC to administer one or more sports at the world level and encompassing organizations administering such sports at the national level • Each IF sanctions international competitions and establishes its own eligibility rules for the sport(s) it governs. Olympic Movement: National Governing Bodies (NGBs) • Organizations governing a specific sport in each country • NGBs approve and sanction competitions open to all athletes in its country. • NGBs set national policies and eligibility standards for participation in their respective sports. • NGBs are responsible for training, development, and selection of Olympic teams in their respective sports. Paralympic Games • Introduced in 1960 in Rome • Where the world’s elite athletes with physical disabilities compete • Wide variety of athletes: Amputees, wheelchair athletes, the visually impaired, dwarfs, athletes with cerebral palsy, and athletes with spinal cord injuries • Challenge: Raising money to cover operating costs – Not governed or funded by IOC Career Opportunities • Sport marketing agencies • Professional sport leagues • Sport Mega Events and International Sport Competitions • International Sport Federations • National Sport Confederations • Sport for Development and Peace • Sporting Goods • Corporate Sponsors • Organizing Committees for Olympic Games • National Olympic Committee • Paralympic Committee Current Issues: Cultural Awareness and Sensitivity • When selling products overseas, some degree of adaptation to the local or regional culture is necessary. – Example: Nike tailors the presentation of its products to the markets it serves. • A lack of cultural awareness can negatively affect efforts of companies sponsoring international events. Current Issues: Foreign Student-Athletes in the U.S. • Colleges began recruiting older student-athletes who had prior experience with international teams. • NCAA implemented rule whereby a student-athlete loses a year of eligibility for every year that studentathlete competes after his or her 20th birthday. • This rule has not had dramatic effect on recruitment of foreign student-athletes because participation of foreign student-athletes is on the rise. Current Issues: Marketing the Olympic Games − Broadcasting • Broadcasting rights account for 47% of all Olympic revenue, representing billions of dollars. • Olympic Movement Strategy: – Increase broadcast revenue while avoiding market fluctuations – Establish long-term rights fees contracts with profitsharing to provide more programs and improved global coverage – Forge stronger links between sponsors, broadcasters, and Olympic family to promote agenda that goes beyond games Current Issues: Marketing the Olympic Games − Sponsorship • Olympic Partner Program – Pay for official sponsorship for four years • NOC Sponsorship Program – Target domestic sponsorships • OCOG Sponsorship Program – Finds own sponsors – Needs approval from IOC and NOCs Current Issues: Doping • The deliberate or inadvertent use by athletes of banned substances or methods that may enhance performance • 1999: World Anti-Doping Agency (WADA) created • International cooperation among countries allows worldwide standard of definitions and procedures, replacing isolated and disjointed efforts by individual governing bodies – Provides testing and education, funds research, and conducts athlete outreach Summary • Today, more than ever, corporations, sport leagues, and sport governing bodies are attempting to increase their popularity and revenues in international markets. • Technology greatly enhances the ease with which sport managers can introduce their products to foreign markets. • Both corporations and professional sport leagues are attempting to improve the global appeal of their products, and to do so they must hire people with experience in international sport management.