Sports stadiums may be not very beneficial to big cities’ business such as Chicago, they have impact on a relatively small and poor community. For example, Inglewood – one of poorest neighborhoods in LA — projects a football stadium would generate more than $800 million dollars worth of economic activity a year. Sports stadiums in such remote and poor communities are for revenue, for young people and for jobs. In addition, sporting events can cause significant crowds and congestion that can cause people to stop going to other events in the area which will create temporary jobs and drive local economy in some degree. First, building the facility creates construction jobs. Second, people who attend games or work for the team generate new spending …show more content…
For example, people spend time following their favorite teams, and since time has a monetary value, that sports team is adding value to a person’s life. Money that is being spent on sports that otherwise wouldn’t have been spent at all is more beneficial to the economy than money spent on sports that was redirected away from another business (Walker, Enz 156). Boosting civic pride has been a primary challenge for many city leaders throughout the country. It is believed that positive attitudes towards cities improve productivity, encourage local constituents to become further invested and engaged, and attract new talent and growth. Proponents argue that enticing sports teams to relocate into cities, or building sleek new facilities for existing franchises has been a successful tool in boosting this intangible …show more content…
A local facility makes it more convenient for consumers to spend money locally rather than travel to an outside market. For example, the MassMutual Center in Springfield has benefited from several sold out concerts and events held there, whereas fans might have gone to see events in Hartford or Boston if they did not have such a facility in their local area. In the case of a professional sports franchise, the economy is benefiting from the spending of the away team’s players and fans in their local economy that would not have happened otherwise. Boston Red Sox fans are famous for traveling well, and as a result boost local business in other cities when the Red Sox are in their town. Stadiums always have multiple purposes and versatile facilities. A professional stadium can host different kinds of games every night and even host events that are not even sports related, such as concerts, and coexist as one attraction that is part of a bigger shopping area. These factors complicate whether or not a sports franchise positively impacts the economy, because sometimes more than just the team benefits from the
Ultimately, there are three exceptionally important criteria for deciding on good candidate for an expansion team. The first criterion is that the stadium must be controlled or owned by the baseball team. The stadium is a crucial aspect because most of the team’s revenue is generated in relation to the stadium. This stadium revenue comprises of ticket sales, parking, merchandise and concessions. Thus, without a stadium, the team will not be able to generate a stable source of revenue. The second criterion is that local ownership must have strong roots within the community. Without ties to the community, fan attendance could decrease. This is because fans could eventually perceive that the owner(s)’s only goal for the MLB franchise was to be profitable. The third criterion is the city must have long-term political support in the community. It is vital to have political support in order to gain financial support throughout the team’s years of existence, especially in tax payer monies. Particularly, this is significant when the team experiences issues or fights that involve the stadium and the land around the stadium. If there is a lack of political support, the expansion teams will not be able to obtain enough for money for stadium renovations, repairs, or to build new stadiums for the same team within the same city. This circumstance was apparent when the New York Yankees used tax revenue generated by New York City to fund the building of their brand new stadium for the 2009 season. Therefore, expansion committees believe it is necessary to confirm that the prospective cities will have enough political support because this political factor will help stabilize and financially support the prosp...
In overtime, behind and with little time on the clock Oklahoma City’s Russell Westbrook sinks an off balanced three and pushes the Thunder past the Golden State Warriors 113-112. This happened on November 29th, 2013 but 9 years prior this was all a dream of the people in Oklahoma City. It all started on August 29, 2005 when hurricane Katrina released hell on New Orleans. Most of New Orleans was destroyed by flood waters. This caused the New Orleans Hornets to temporarily relocate to Oklahoma City. They played in Oklahoma City for two seasons before New Orleans was able to host them again. These two seasons created national attention toward Oklahoma City for the great fan base and prospective city for a new team. A group of Oklahoma City investors led by Clay Bennett buy the Sonics franchise. After the 2007-2008 season the Seattle Super Sonics file relocation papers to relocate to Oklahoma City. When they get to
To explain the importance a sports team has on a city, a new avenue for future
The sports franchise gains by reducing the amount of capital that it has to spend in building the new stadium. They receive a new stadium with more seats and therefore they receive more profit. The local businesses gain financially as well with increased traffic of fans who come to the games. More fans means more meals, rooms, and souvenirs sold. In addition, as least at the beginning of the project more construction jobs are created in order to build the new stadium and possibly new jobs are created at the stadium itself. The elected officials is motivated by receiving a good track record of successful referendums, by trying to sell the stadium to the public as something they should really want in their communities. The people who are losing through the outcomes of the new stadiums are those who do not want one in their community. Perhaps people who do not like sports and will never attend a game or people who do not appreciate the added traffic on the roads on game days. These people are forced into paying for something they will never use as well as something they may despise and the added traffic they have to deal with is a nuisance to
Professional sports, like most of our popular culture, can be understood only partly by through its exiting plays and tremendous athletes. Baseball and football most of all are not only games anymore but also hardcore businesses. As businesses, sports leagues can be as conniving, deceitful, and manipulative as any other businesses in the world. No matter what the circumstances are, it seems that Politicians are always some how right around the corner from the world of sports. These Politicians look to exploit both the cultural and the economic dimensions of the sports for their own purposes. This is what is known in the sports industry as “playing the field”.
Siegfried, J., & Zimbalist, A. (2000). The economics of sports facilities and their communities. The Journal of Economic Perspectives, , 95-114.
Abstract: The Stadium construction boom continues, and taxpayers are being forced to pay for new high tech stadiums they don’t want. These new stadiums create only part-time jobs. Stadiums bring money in exclusively for professional leagues and not the communities. The teams are turning public money into private profit. Professional leagues are becoming extremely wealthy at the taxpayers expense. The publicly-funded stadium obsession must be put to a stop before athletes and coaches become even greedier. New stadiums being built hurt public schools, and send a message to children that leisure activities are more important than basic education. Public money needs to be used to for more important services that would benefit the local economy. Stadiums do not help the economy or save struggling towns. There are no net benefits from single purpose stadiums, and therefore the stadium obsessions must be put to a stop.
These games bring in increased revenue for the city. This allows the host city to use its attractions; restaurants raise their prices as they gain more visitors, stores see an increase of consumers as well. The games put these cities in the eye of the public, even though it’s only for one night. According to Jeremy Savitz (2014) every home game for Ohio State brings in about 7.15 million dollars. Now the city and college have a little more money that they can put towards town repairs, new buildings, and new programs, which creates more jobs. Let’s address the elephant in the room, the Texas A&M Aggies. If the games were moved from Brazos County, TX then they would immediately lose $63 million for the one season. They will also lose $2.8 million in local taxes. $21 million in household income will be forfeited, and more importantly, Brazos County will lose 955 jobs if they were to cut the sport or move it (Oxford Economics, 2012). College football helps with the economy of its
Over the past twenty years, many things have changed and evolved to impact our economy. From cell phones to music to media, we are all constantly affected. The most influential aspect though, in my opinion, has been America’s biggest game, the Super Bowl. The Super Bowl by all means effects our economies in every way, shape, and form. The sport is one of the most complex social institutions in American Society. Sports effect major institutions of society, including: the mass media, politics, religion, education, and family. The Super Bowl gathers thousands of viewer’s attentions including those who do not usually watch the regular season games.
The Current Scale and the Economic Importance of the Sports Industry Over 100 years ago the scale of the sports industry has increased gradually. Not all sports have followed in the same path or footsteps. A slow increasing level of control has been affecting the sports industry since 1960Â’s. Mainly standardisation and commodification of sport. More money has been put into the industry equivalent with the efforts that the sports organisations have put in, to increase their potential at the professional end of the scale, and the voluntary end they remain sustainable.
In a world where systemic racism remains a formidable barrier, writers use their narratives to shed light on the profound and lasting impact of racial oppression, revealing the factors that shape identity. Fences by Richard Wilson, Between the World and Me by Ta-Nehisi Coates, and “Between the World and Me” by Richard Wright, share the common message of systematic racism's negative effect on African Americans' lives and developing identities. In the play Fences, the struggles of Troy Maxson, a former baseball player who instead becomes a garbage worker, are delved into as he experiences racial barriers, failures, and navigates his familial relationships while his status as a black man, holds him back. In the second novel by Coates lies an intimate letter from the author to
Sports are one of the most profitable industries in the world. Everyone wants to get their hands on a piece of the action. Those individuals and industries that spend hundreds of millions of dollars on these sports teams are hoping to make a profit, but it may be an indirect profit. It could be a profit for the sports club, or it could be a promotion for another organization (i.e. Rupert Murdoch, FOX). The economics involved with sports have drastically changed over the last ten years.
Bissinger states in his essay that local high schools these days are spending millions of dollars on things such as elaborate stadiums, gymnasiums and even chartered planes to transport their team to big play-off championship games. In the past, schools would sponsor fundraisers to RAISE the money for these t...
While sports for the spectators are merely entertainment, the economics of the industry are what drives businesses to become involved. Sports have become more of a business entity rather than an entertainment industry due to the strong economic perception of the over all industry. There are several instances in which economics may contribute to the effect on the sports industry, such as: the success of a team, the price of a ticket, the amount of money an athlete will make, and the amount of profit a team will make. The success of an...
Transport is a political factor as it is controlled and affected by legislation. This will impact on the staff and opponents (travelling to the stadium) as the accessibility of transport will impact on travelling times – both positively (may avoid traffic on a train e.g.) and negatively (trains, buses etc. may be cancelled or delayed). The price of transportation will also affect the mode of transport that these groups of people may use. Similarly, price and accessibility of transport will affect the consumers also. The view that consumers hold on transport, therefore, is likely to impact on the business i.e. effort to travel, money to travel etc. as this will influence how often they will visit, what they will spend during their visit etc. According to (Mintel 2011,) the amount of people using train as a mode of transport is on the rise, mea...