Dr. Mahfoud Amara
There are numerous factors to consider when measuring the impact of sports on the economy. Sports involve various sectors that directly contribute to economic growth, such as sports events, media, entertainment, manufacturing, and professional sports.
These sectors mobilize a diverse workforce with skills ranging from design and technology to hospitality, media broadcasting, sales, marketing, accounting, coaching, and management, as well as roles for athletes and referees. These workforces earn their livelihoods from the sport industry.
Other sectors where sport plays a role include construction (building sports facilities), automobiles (from engines to tires, as seen in motor racing), clothing, and consumer products like beverages, which often use sports for brand positioning.
Electronics and TV sales also get a boost from major sporting events like the football World Cup, the Super Bowl, or the NBA.
The economy of sport depends on a strong and diverse national economy, supported by an ecosystem of banks, manufacturers, service and hospitality providers, marketers, and investors. It also relies on domestic and international fans who have the mobility and purchasing power. The economy of sport requires state intervention and public funding to ensure access to sports for all, addressing priorities such as public health, social inclusion, and wellbeing, which in turn contribute to the national economy.
In a context where sport is increasingly commercialized, professional clubs and leagues constantly seek new revenue sources to cover growing expenditures, including athletes’ salaries, which are soaring due to their popularity and influence. Maintaining sports facilities to accommodate more spectators also adds to the costs, leading to higher ticket prices for unique stadium experiences. This commercial push sometimes leads clubs and leagues to set ambitious goals, increasing financial risks and pressure on athletes to perform and entertain.
FIFA, for example, is expanding the number of teams in the World Cup and exploring additional competitions. Similarly, the NBA’s intense schedule includes 82 games per team, plus tournaments and international games, over nearly 25 weeks, with new additions like an in-season tournament.
This pursuit of revenue can adversely affect athletes’ health and mental wellbeing, and increase fans’ spending on merchandise, club jerseys (averaging $100), and pay-TV subscriptions. Therefore there is a growing need to revise the economic model of sport to ensure its future sustainability.
Dr. Mahfoud Amara is an Associate Professor in Sport Social Sciences and Management at Qatar University
Dr. Mahfoud Amara is an Associate Professor in Sport Social Sciences and Management at Qatar University.
