In this assignment I will be introducing and explaining how sport effects the economy in the U.K and how important the sport industry is; focusing on Football and tennis.
The definition of economy is:
“The state of a county or region in terms of the production and consumption of goods and services and the supply of money” (Oxford dictionary)
My definition of economy in sporting terms is:
When I read the above definition I interpret it as; the production is the development of players both tennis and football. I also see it as the development of the club and the merchandising of all the products linked with football and tennis. I interpret consumption as the use of player, this can be the buying and selling of players in football, the amount of money that is brought in by tennis players is then put back into the development of young players. My overall understanding of economy is that clubs buy and spend the money that they gain from selling players (football).
Each year the government put a certain amount of money into sport, to pay for facilities; equipment and much more. Since London won the bid to hold the 2012 Olympics the government have pumped in a lot of money into it; however the budget for the Olympics has just increased.
“Culture secretary Tessa Jowell has announced an increased budget for the London 2012 games of £9.3bn. The funding will now include £6.75m more from the national lottery, bringing its contribution to £2.2bn. The arts council England, heritage lottery fund and sports England were among groups who were disappointed at the increase. Ms Jowell said she planned to transfer 3425million from the big lottery fund and £250 million from other good causes after 2009. Sport England, which will lose £55.9m in funding, said the decrease was a ‘real blow to community sport in England’ (BBC news)
There are two types of different sporting people; professionals and amateurs.
Is an athlete that receives money for their performance, this is a set payment for the year, or however long their contract is for. In the last couple of years professional women have started getting paid the same as professional men. An example of a professional in football is David beckham who gets £16.9 million a year. (Guardian 19/1/07)
It was announced that “premiership footballers are to pocket a record £1.1million average wage next session.” (Daily mirror, Thursday may 31st 2007)
Is an athlete that takes part in sport out of pure passion. Amateurs get paid for winning a competition unlike a professional. An example of an amateur in tennis is Naomi Cavaday she got paid $100,000 for winning a tournament in Mumbai. (British tennis Lta)
The split between professionals and amateurs happened in the Victorian period (1830- 1901) (class notes)
Consumer spending is a huge part to sport and advertising the club. Football is one of the biggest sellers of all time; they sell anything that you can think of. When looking on the official Liverpool F.C site, I was able to have a look at everything that you can buy for the team there is; the teams home and away kit; t-shirts/ bottoms/hoodies for men, women and babies; badges and key rings; books; flags and pennants; subscriptions; scarves; glassware; jewellery; mugs; stationary; toys and games; DVD/video/audio; footballs; caps and hats; bedroom (such as bedding, carpets, lamp shades etc); watches/clocks; bags; bathroom (towels and flannels); car accessories; pictures; baby accessories (bottles, dummies, rattles etc); gifts and misc (golf balls, dog bowl and lead, socks, phone charms, I-pod covers, and much more.) (Liverpool F.C shop.)
“For the United Kingdom as a whole in 2001, consumer spending on sport was £14.98billion which represented 2.4% of total consumer spending.” (Pch) When comparing this to consumer spending in 2006 there is a very big difference. “U.K consumers...