Mcdonaldization of Olympic's Case

Only available on StudyMode
  • Download(s) : 121
  • Published : May 21, 2013
Open Document
Text Preview
Rosario

MGMT110

Assessment 3

McDonaldization of Olympic's case

I'm going to analyse this case because I want to understand how this process of McDonaldization is affecting the Olympic games in his traditions and who's deciding what happens on the competitions in considerations of scheduling times and events broadcasting. Why is it so important for NBC to put the events in prime time for the United States ? And how can the will of “one big company” decide over many others entities that are involved in the Olympics ? But first a brief description of what McDonaldization is:

“Process of rationalization, albiet taken to extreme levels. Rationalization is a sociological term that simply means the substitution of logically consistent rules for traditional (or illogical) rules. One of the fundamental aspects of McDonaldization is that almost any task can (and should) be rationalized.” (Stewart Clegg 2004)

NBC influenced the decision of IOC ( International Olympic Committee )

IOC decision was dictated by money. The athletes were not use to a morning competition and many of them complained about the choice made. But the NBC's money invested in the broadcasting of the events played a major role in deciding that some events had to be shown to Americans in a prime time during the day. After all more than 50% of the revenue of the Olympic committee was paid by the American broadcasting channel. Obviously all this NBC's effort to have the better broadcasting times is for a very good reason, having the most of the audience watching during that hours means that the broadcasting giant can sell many Ad spots during those times and that more people are going to watch them. And they also have had a tradition that they have to carry with the Olympic games as said in the NBC website: NBC has held the American broadcasting rights of the Summer Olympics since the 1988 games and the broadcasting rights to the Winter Olympics since the 2002 games. ( nbcolympics.com 2009). Broadcasting the Olympics in the US is just good for their image and reputation. But is it good for the reputation of the Olympics ?

Is this an example of globalization ?
Also, is it good for the reputation of the Olympics ?
Here we analyse some key points of globalization:

The worldwide integration in virtually
every sphere achieved principally
through markets
• A process whereby the world becomes
more interconnected and the fates of
those people and organizations in it
become more intertwined.
• In business terms, globalization means
business without frontiers, crossing
national boundaries, and dealing with
the world, not just the home base. (Stewart Clegg 2004)

As said in the textbook one of the key points of globalization is to cross national boundaries and dealing with the world, but this is not happening between the NBC and IOC for the Olympics. The interest is made only for a specific nation, which has more capital invested and makes an illogical decision for the athletes and for audience around the world, but which is logical in the strategic plan of the interested company.( In the case of the swimming final times , Olympics Beijing 2008 ).

We see a Globalization of the Olympic games that tends to go more towards the favour of the US which brings most of the revenue for the IOC, not only with the NBC channel but also with other private companies that add a big portion of the money to the lot and therefore have to be considered by the organizing association when making decisions of that kind ( time of events ). ( D. Jones 2012)

The price for all this is being paid by countries that don't have much influence in the committee decisions and have to cope with crazy times and a big amount of ads to cover the costs of the broadcasting.

What is the problem?

Is the IOC doing something wrong? Are they focusing their attention on the biggest investor of the event just to not lose the large amount of revenues that...
tracking img