{"id":1281,"date":"2014-06-27T12:53:38","date_gmt":"2014-06-27T15:53:38","guid":{"rendered":"http:\/\/www.revistahcsm.coc.fiocruz.br\/english\/?p=1281"},"modified":"2014-09-15T22:26:54","modified_gmt":"2014-09-16T01:26:54","slug":"mega-event-overrated-legacy","status":"publish","type":"post","link":"https:\/\/revistahcsm.coc.fiocruz.br\/english\/mega-event-overrated-legacy\/","title":{"rendered":"Mega event, overrated legacy"},"content":{"rendered":"<p style=\"text-align: right;\">June\/2014<\/p>\n<p style=\"text-align: left;\">Marcos Cueto * |\u00a0<i>Hist\u00f3ria, Ci\u00eancias, Sa\u00fade \u2013 Manguinhos Blog<\/i><\/p>\n<div id=\"attachment_1283\" style=\"width: 330px\" class=\"wp-caption alignright\"><img loading=\"lazy\" decoding=\"async\" aria-describedby=\"caption-attachment-1283\" class=\" wp-image-1283 \" style=\"margin: 5px;\" alt=\"Rory Miller\" src=\"http:\/\/www.revistahcsm.coc.fiocruz.br\/english\/wp-content\/uploads\/2014\/06\/Rory.jpg\" width=\"320\" height=\"214\" srcset=\"https:\/\/revistahcsm.coc.fiocruz.br\/english\/wp-content\/uploads\/2014\/06\/Rory.jpg 400w, https:\/\/revistahcsm.coc.fiocruz.br\/english\/wp-content\/uploads\/2014\/06\/Rory-300x200.jpg 300w\" sizes=\"auto, (max-width: 320px) 100vw, 320px\" \/><p id=\"caption-attachment-1283\" class=\"wp-caption-text\">Professor Rory Miller<\/p><\/div>\n<p>Rory Miller is an economic historian and reader in International Business at the University of Liverpool Management School in the United Kingdom, and one of the joint editors of <i>Journal of Latin American Studies<\/i>.\u00a0 In 1997, together with Rogan Taylor, he began the one-year MBA (Football Industries) programme at Liverpool, which now has a network of over 400 graduates working in sport across the world.\u00a0 He co-edited <i>Football in the Americas: f\u00fatbol, futebol, soccer<\/i> (London: Institute for the Study of the America, 2007), and contributed a chapter in the book edited by Mart\u00edn Monsalve, <i>El f\u00fatbol como negocio: una introducci\u00f3n a la gensti\u00f3n <\/i>(Lima: Universidad del Pac\u00edfico, 2012)<\/p>\n<p><b>What economic expectations do middle-income countries, such as Brazil, usually have in hosting World Cups?<\/b><\/p>\n<p>Economists agree that the economic benefits of hosting a sporting mega-event are normally seriously overestimated by those with a vested interest in promoting it, whether the business consultants who undertake the feasibility studies or politicians and national football associations that want to convince their citizens that it\u2019s \u2018a good thing\u2019.<\/p>\n<p>Careful cost-benefit analysis after the event shows that few countries derive value from hosting large sporting events like the World Cup. Actually, winning the bid is costly in terms of time and money; the host association gains little in comparison with FIFA; and in many cases the new stadiums constructed to fulfil FIFA\u2019s requirements will never be properly used afterwards.<\/p>\n<p>Stefan Szymanski, a leading sports economist at University of Michigan, compares it to hosting a big party, and notes that very few people get rich from hosting parties. Indeed, one might add, the hosts usually have to spend quite a bit on preparations, deal with the drunks, mediate in nasty conflicts, and clean up the mess.<\/p>\n<p>Thus one has to look for benefits in other, more intangible ways: the event may give a long-term boost to the country\u2019s and the host cities\u2019 image, attracting new investment; the improved transport infrastructure may benefit the public afterwards, though in poor localities ordinary people often see little gain.\u00a0 Apart from the impact on a country\u2019s \u2018brand\u2019 and image, it may also make its population feel more positive for a while, especially if the host country wins.\u00a0 Britain\u2019s gold medals in the London Olympics of 2012 did create a real \u2018feel good\u2019 factor which lasted for a few months.<\/p>\n<p>But did the Olympic Games do anything for Britain\u2019s economy?\u00a0 That\u2019s very doubtful.\u00a0 Indeed, they meant extra public investment in London at the cost of everyone else in the country, and that\u2019s a problem that is often repeated elsewhere.\u00a0 Rich First-World countries, which already have good football facilities that they can upgrade may be able to afford to host an event like the World Cup; poorer countries which have to start from scratch cannot, but their politicians and football officials probably don\u2019t care if they can enjoy a month on the world stage.<\/p>\n<p><b>What have been the main financial interests and institutions behind the most recent World Cups?<\/b><\/p>\n<div id=\"attachment_1284\" style=\"width: 302px\" class=\"wp-caption alignright\"><a href=\"http:\/\/blogs.up.edu.pe\/lapzera\/archives\/1700\" target=\"_blank\"><img loading=\"lazy\" decoding=\"async\" aria-describedby=\"caption-attachment-1284\" class=\"size-full wp-image-1284 \" style=\"margin: 5px;\" alt=\"Rory Miller contributed a chapter in the book  \u201cEl f\u00fatbol como negocio: una introducci\u00f3n a la gesti\u00f3n deportiva en Europa y Brasil\u201d (Universidad del Pac\u00edfico, Lima, 2012)\" src=\"http:\/\/www.revistahcsm.coc.fiocruz.br\/english\/wp-content\/uploads\/2014\/06\/Futbolbook.jpg\" width=\"292\" height=\"417\" srcset=\"https:\/\/revistahcsm.coc.fiocruz.br\/english\/wp-content\/uploads\/2014\/06\/Futbolbook.jpg 292w, https:\/\/revistahcsm.coc.fiocruz.br\/english\/wp-content\/uploads\/2014\/06\/Futbolbook-210x300.jpg 210w\" sizes=\"auto, (max-width: 292px) 100vw, 292px\" \/><\/a><p id=\"caption-attachment-1284\" class=\"wp-caption-text\">Rory Miller contributed a chapter in the book \u201cEl f\u00fatbol como negocio: una introducci\u00f3n a la gesti\u00f3n deportiva en Europa y Brasil\u201d (Universidad del Pac\u00edfico, Lima, 2012)<\/p><\/div>\n<p>There is a huge range of business interests, from consultancies like KPMG or Deloitte to gambling companies, and it may be easiest to visualise them as a series of concentric circles with FIFA at the core.<\/p>\n<p>First, then, we need to consider FIFA, its six main commercial partners and the media companies to whom it sells the rights to broadcast the competition. From the 2010 World Cup FIFA earned approximately US$ 3,7 billion, of which around US$ 2,4 billion came from the sale of media rights and just over one billion from marketing. For FIFA this income is vital for its next four years\u2019 operations as it organises very few other competitions that make money. The income from the World Cup has to finance the FIFA secretariat in Zurich with all its offices to deal with issues like refereeing, player registrations, and so on; and its international programme to develop the sport throughout the world.<\/p>\n<p>The six headline commercial partners \u2013 currently Visa, Hyundai, Coca-Cola, Adidas, Sony, and Emirates \u2013 as well as those in the second tier of sponsorship like Budweiser and McDonald\u2019s, aim to \u2018activate\u2019 their sponsorship to derive maximum commercial benefit. At the same time, the broadcasters seek profits from subscriptions and advertising revenues.<\/p>\n<p>There are many other interests that receive indirect benefits from the World Cup, but do not pay anything to FIFA for the privilege. Players will often have their transfer values, salaries and bonuses enhanced by a \u2018good\u2019 World Cup.\u00a0 For many footballers from less well-known countries, good performances in the World Cup finals may open up the possibilities of a lucrative transfer to one of the top European leagues. Players who do well will also benefit from their contracts with boot manufacturers and from the value of their personal image rights.<\/p>\n<p>Firms like Nike and Puma, even though they have paid large sums to supply the kits of the 32 finalists, will profit enormously from the sale of replica shirts and other merchandise of the competing nations: sales of replica shirts apparently exceeded 30 million in 2010, and it will probably be higher in 2014. These companies will aim to build strong marketing campaigns around the teams and players that they sponsor (trying to outflank Adidas, who are the official partners of FIFA).<\/p>\n<p>Other firms which, like Nike, are not official partners of FIFA will put a lot of effort into imaginative advertising to take advantage of the event.\u00a0 You might remember the attractive young women wearing outfits advertising Bavaria beer at the match between the Netherlands and Denmark in South Africa in 2010, or Niklas Bendtner\u2019s goal-scoring celebration advertising a gambling company in the 2012 European Championships.\u00a0 In 2014 we can certainly expect to see many more interesting viral ads and other attempts at \u2018ambush marketing\u2019.<\/p>\n<p>Finally, thousands of companies, ranging from consultancies and construction firms, to hotel chains, and travel agencies benefit from the event itself.\u00a0 However, there is considerable evidence that a large sporting event displaces ordinary tourist activity, so the long-term benefit would probably have to come through the public investment in areas like transport that improve life for ordinary citizens. In terms of other business interests that profit from the event, we should also include the gambling, Internet providers, and software companies, which have been real growth areas in the football business during the last ten years.<\/p>\n<p><b>How did FIFA achieve the economic power that it has today?<\/b><\/p>\n<p>The real economic power of FIFA dates back to 1974 when the Brazilian, Jo\u00e3o Havelange, replaced a traditional Englishman, Sir Stanley Rous, as president by gathering votes from newly independent nations in Asia and Africa, as well as from CONMEBOL countries.<\/p>\n<p>This shift of power coincided with the development of modern methods of marketing and sponsorship, as well as the wide distribution of colour television and the use of satellite communications to transmit matches live across the world. The 1970 World Cup in Mexico was the first that most football fans across the world could watch live in colour, and interest was of course helped by the success of the \u2018Beautiful Team\u2019 of Pel\u00e9, Gerson, Jairzinho and Rivelino.<\/p>\n<p>It\u2019s interesting to compare pictures of the Estadio Azteca in the 1970 and 1986 finals to see the commercial difference.\u00a0 In 1970 the pitch-side advertising is cluttered, amateur, and lacking in \u2018big names\u2019; in 1986 global brands like Camel, Canon, Seiko, Fuji, Philips and Gillette are visible behind the pictures of Maradona.\u00a0 The latter year also roughly coincides with the point when individual clubs signed their first shirt sponsorships with global consumer brands.<\/p>\n<p>The Internet, of course, has intensified the revolution begun by the advent first of colour TV, and then of cable and satellite platforms for broadcasting.\u00a0 Without media interest and a global audience there would be nothing like the value that there is in sponsorship, whether we are talking about the World Cup or the European Championships, the UEFA Champions\u2019 League or the Copa Libertadores, or internationally known clubs like Boca Juniors, Corinthians, Barcelona, and Arsenal.<\/p>\n<p>Football is almost unique in its strong appeal to young men aged between 15 and 35, from any country or social class, and hence advertisers have to pay large sums for space on television during football matches to reach this target audience.\u00a0 In the case of the World Cup, the value of TV advertising slots is further enhanced by its appeal to many, including women, who would not normally watch a football match on television.<\/p>\n<p>* Scientific Editor,\u00a0<i>Hist\u00f3ria, Ci\u00eancias, Sa\u00fade \u2013 Manguinhos Journal<\/i><\/p>\n<p><strong>This interview in portuguese:<\/strong><\/p>\n<p><strong><a href=\"http:\/\/www.revistahcsm.coc.fiocruz.br\/uma-megafesta-com-legado-superestimado\/\" target=\"_blank\">Uma megafesta com legado superestimado<br \/>\n<\/a><\/strong>Poucos pa\u00edses conseguem efeitos positivos duradouros sediando grandes eventos, afirma o professor\u00a0<strong>Rory Miller<\/strong>, fundador do MBA\u00a0<em>A Ind\u00fastria do Futebol\u00a0<\/em>da Universidade de Liverpool<\/p>\n<p><strong>Related links (in portuguese)<\/strong><\/p>\n<p><strong><em>Hist\u00f3ria, Ci\u00eancias, Sa\u00fade \u2013 Manguinhos <\/em>Blog:<\/strong><\/p>\n<p><strong><a href=\"http:\/\/www.revistahcsm.coc.fiocruz.br\/a-copa-e-o-melhor-momento-de-expressar-o-inconformismo-com-as-nossas-insatisfacoes\/\">\u2018A Copa \u00e9 o melhor momento de expressar o inconformismo com as nossas insatisfa\u00e7\u00f5es\u2019<\/a><\/strong><br \/>\nPara o jogador e m\u00e9dico\u00a0<b>Afonsinho<\/b>, o Brasil n\u00e3o est\u00e1 aproveitando uma oportunidade extraordin\u00e1ria<\/p>\n<p><strong><a href=\"http:\/\/www.revistahcsm.coc.fiocruz.br\/uma-copa-nao-tem-a-forca-para-mudar-um-pais\/\">\u2018Uma Copa n\u00e3o tem a for\u00e7a necess\u00e1ria para mudar um pa\u00eds\u2019<\/a><\/strong><br \/>\nPara o antrop\u00f3logo alem\u00e3o\u00a0<strong>Martin Curi<\/strong>, os brasileiros alimentaram esperan\u00e7a demais, e o legado poss\u00edvel restringe-se \u00e0 venda de uma imagem positiva do Brasil<\/p>\n<p><strong><a href=\"http:\/\/www.revistahcsm.coc.fiocruz.br\/o-x-da-questao-nao-esta-na-reacao-do-jogador-mas-no-teor-da-campanha\/\" target=\"_blank\">\u2018O x da quest\u00e3o n\u00e3o est\u00e1 na rea\u00e7\u00e3o do jogador, mas no teor da campanha\u2019<\/a><br \/>\n<\/strong>Para\u00a0<strong>Cl\u00edcea Maria Miranda<\/strong>, associa\u00e7\u00e3o do negro com animaliza\u00e7\u00e3o e a irracionalidade est\u00e1 cristalizada.<\/p>\n<p><strong><a href=\"http:\/\/www.revistahcsm.coc.fiocruz.br\/macacos-nao-jogam-futebol\/\" target=\"_blank\">Macacos n\u00e3o jogam futebol<br \/>\n<\/a>Ricardo Waizbort<\/strong>\u00a0inocenta Darwin de acusa\u00e7\u00f5es de racismo e explica que ele defendia que todas as \u201cra\u00e7as\u201d humanas faziam parte de uma mesma esp\u00e9cie e compartilhavam um ancestral comum: um primata.<\/p>\n<p><strong><em>Hist\u00f3ria, Ci\u00eancias, Sa\u00fade \u2013 Manguinhos <\/em>Journal:<\/strong><\/p>\n<p><strong><a href=\"http:\/\/www.scielo.br\/scielo.php?script=sci_arttext&amp;pid=S0104-59702014000100151&amp;lng=pt&amp;nrm=iso\" target=\"_blank\">Forma\u00e7\u00e3o de rela\u00e7\u00f5es regionais em um contexto global: a rivalidade futebol\u00edstica entre Rio de Janeiro e S\u00e3o Paulo durante a Primeira Rep\u00fablica<\/a>\u00a0&#8211;<\/strong>\u00a0Artigo de\u00a0Christina \u00a0Peters (vol. 21, n.1, \u00a0jan.-mar. 2014)<\/p>\n<p><strong>Read also:<\/strong><\/p>\n<p><strong><a href=\"http:\/\/www.ensp.fiocruz.br\/portal-ensp\/informe\/site\/materia\/detalhe\/35506\" target=\"_blank\">Qual ser\u00e1 o legado deixado pela Copa?<\/a>\u00a0<\/strong>&#8211;\u00a0O pre\u00e7o que se paga por sediar o megaevento foi tema da reportagem de capa da\u00a0<em><a href=\"http:\/\/www.ensp.fiocruz.br\/portal-ensp\/informe\/site\/materia\/detalhe\/35465\" target=\"_blank\">Revista Radis<\/a><\/em>\u00a0de junho. \u00a0Legado tamb\u00e9m \u00e9 tema do\u00a0<a href=\"http:\/\/saudeempauta.ensp.fiocruz.br\/\" target=\"_blank\">Blog\u00a0<em>Sa\u00fade em Pauta<\/em><\/a>.<\/p>\n<p><strong><a href=\"http:\/\/www.revistahcsm.coc.fiocruz.br\/o-arquivo-nacional-em-ritmo-de-copa-do-mundo\/\" target=\"_blank\">Arquivo Nacional em ritmo de Copa<\/a><\/strong><br \/>\nExposi\u00e7\u00e3o virtual\u00a0<i>Drama e Euforia: o Brasil nas Copas de 50 a 70<\/i>\u00a0traz fotos do\u00a0<i>Correio da Manh\u00e3<\/i>\u00a0e da\u00a0<i>Ag\u00eancia Nacional<\/i><\/p>\n<p><strong><a href=\"http:\/\/www.revistahcsm.coc.fiocruz.br\/professores-do-cpdoc-publicam-em-londres-livro-sobre-relacoes-entre-o-brasil-e-o-futebol\/\">Professores do CPDOC publicam em Londres livro sobre rela\u00e7\u00f5es entre o Brasil e o futebol<\/a><\/strong><br \/>\n<strong>Paulo Fontes<\/strong>\u00a0e\u00a0<strong>Bernardo Buarque de Hollanda<\/strong>\u00a0lan\u00e7am em Londres\u00a0<i>The Country of Football: Politics, Popular Culture, and the Beautiful Game in Brazil<\/i>.<\/p>\n<p><strong><a href=\"http:\/\/www.revistahcsm.coc.fiocruz.br\/o-maraca-e-nosso\/\">\u2018O Maraca \u00e9 nosso\u2019?<br \/>\n<\/a><\/strong><b>Bernardo Buarque de Hollanda<\/b>\u00a0e\u00a0<b>Jimmy Medeiros<\/b>\u00a0apresentam os resultados de uma pesquisa sobre a percep\u00e7\u00e3o das torcidas do Rio do novo Maracan\u00e3. Exemplo: quanto mais velho o torcedor, mais ele aprova o est\u00e1dio remodelado.<\/p>\n<p><strong>How to cite this post [ISO 690\/2010]:<\/strong><\/p>\n<p>A mega event with an overrated legacy.\u00a0Blog de Hist\u00f3ria, Ci\u00eancias, Sa\u00fade \u2013 Manguinhos. [viewed 27 June 2014]. Available from:\u00a0http:\/\/www.revistahcsm.coc.fiocruz.br\/a-mega-event-with-an-overrated-legacy\/<\/p>\n<p>&nbsp;<\/p>\n","protected":false},"excerpt":{"rendered":"<p>According to <b>Rory Miller<\/b>, professor of the MBA Footbal Industries at the University of Liverpool in the United Kingdom, few countries or cities secure a lasting positive legacy by hosting big sports events.<\/p>\n","protected":false},"author":6,"featured_media":1291,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_price":"","_stock":"","_tribe_ticket_header":"","_tribe_default_ticket_provider":"","_tribe_ticket_capacity":"0","_ticket_start_date":"","_ticket_end_date":"","_tribe_ticket_show_description":"","_tribe_ticket_show_not_going":false,"_tribe_ticket_use_global_stock":"","_tribe_ticket_global_stock_level":"","_global_stock_mode":"","_global_stock_cap":"","_tribe_rsvp_for_event":"","_tribe_ticket_going_count":"","_tribe_ticket_not_going_count":"","_tribe_tickets_list":"[]","_tribe_ticket_has_attendee_info_fields":false,"footnotes":""},"categories":[4],"tags":[54,53,51,50,52],"class_list":["post-1281","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-highlights","tag-football-industries","tag-futbol","tag-marcos-cueto","tag-rory-miller","tag-soccer"],"_links":{"self":[{"href":"https:\/\/revistahcsm.coc.fiocruz.br\/english\/wp-json\/wp\/v2\/posts\/1281","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/revistahcsm.coc.fiocruz.br\/english\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/revistahcsm.coc.fiocruz.br\/english\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/revistahcsm.coc.fiocruz.br\/english\/wp-json\/wp\/v2\/users\/6"}],"replies":[{"embeddable":true,"href":"https:\/\/revistahcsm.coc.fiocruz.br\/english\/wp-json\/wp\/v2\/comments?post=1281"}],"version-history":[{"count":19,"href":"https:\/\/revistahcsm.coc.fiocruz.br\/english\/wp-json\/wp\/v2\/posts\/1281\/revisions"}],"predecessor-version":[{"id":1287,"href":"https:\/\/revistahcsm.coc.fiocruz.br\/english\/wp-json\/wp\/v2\/posts\/1281\/revisions\/1287"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/revistahcsm.coc.fiocruz.br\/english\/wp-json\/wp\/v2\/media\/1291"}],"wp:attachment":[{"href":"https:\/\/revistahcsm.coc.fiocruz.br\/english\/wp-json\/wp\/v2\/media?parent=1281"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/revistahcsm.coc.fiocruz.br\/english\/wp-json\/wp\/v2\/categories?post=1281"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/revistahcsm.coc.fiocruz.br\/english\/wp-json\/wp\/v2\/tags?post=1281"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}