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SPORTS INDUSTRY
Pramit jain-20DM154
Priyathukral-20dm160
Raju kumar-20dm167
Rishabh das-20dm173
RohithRajeev-20dm180
Sanjay pareek-20dm187
Sport industry is a market in which people, activities, business,
and organizations are involved in producing, facilitating,
promoting, or organizing any activity, experience, or business
enterprise focused on sports.
MARKET SIZE IN INDIA
 The market size of the sports industry across India was over 77 billion
Indian rupees
 The majority of the media consumption in the sports industry is
carried out by the Indian Premier League. Recently however, other
domestic leagues like Pro Kabbadi and the Indian Super League have
increased in popularity.
SPORTS ECO SYSTEM IN INDIA
1. GOVERNANCE –SPORTS AUTHORITY OF INDIA(SAI)
2. TALENT SCOUTING AND TRAINING –SAI TRAINING CENTER ..ETC
3. SPORTS GOOD MANUFACTURER
4. SPORTS EVENTS
5. SPORTS RETAIL
6. INFRASTRUCTURE DEVELOUPMENT –SAI CENTER, STADIUMS ETC
7. SPORTS MARKETING –DREAM 11 IN IPL.
8. FUNDING –NSF(NSFs are autonomous bodies responsible for
promoting their respective sports and organising tournaments) .
DEMAND ASPECT OF SPORTS INDUSTRY
The major determinants of demand of Sports Industry:
1.Price of Raw Materials: Price of PVC for football, Cotton & polyester lining for balls,
stitching threads, cork wood, willow, rubber etc. influences the demand of the sports goods.
2.Price of Related Goods: The prices of related goods are having a considerable role in
changes in the demand for a product. If the price of tickets for watching a sport event
increases then some of the spectators may prefer watching the event on TV at home. Hence
in this example the rise in price of tickets (entry charges) of a sport event would lead to
increase in demand for its substitute i.e. TV and sport broadcasting.
3.Consumer Income: In India, with gradual increase in Income levels & evolution of
sports leagues like IPL, ISL etc & with comprehensive sports policies, Sports goods have
become more of Normal goods rather than Luxury goods. Hence, the demand for such
goods follow a direct relationship with Income levels.
4.Consumer Preference: Age, gender, educational background, and occupation also
influences Demand to an extent in the Sports industry.
Also, Infrastructure & climatic conditions may also influence demand.
Derived Demands:
For Example, the demand for badminton can be represented as an example. The parent demand
function is concerned with the consumer’s decision to take part in badminton or not. If the consumer
decides to participate then he or she will require a racket, shuttlecocks, clothing and footwear. In
addition, he or she will have to rent a court at a sports centre or club, and travel to and from the
facility. All these extra demands, including the demand for sport related travel, are treated as
derived demands from the decision to participate in badminton.
Also, Tourism arising because of sporting activities like skiing, rafting or scuba diving can be cited as
examples of Derived Demands.
SUPPLY OF SPORTS INDUSTRY
 The general law of supply, widely accepted by the economists of the
world is-as prices increase, the quantity supplied by a producer
increases.
 The supply side of the sport market is a blend of three types of
provider- the public sector, the voluntary sector and the commercial
sector.
SUPPLY OF SPORTS INDUSTRY
THE PUBLIC SECTOR
Role Of Government:
 The promotion and development of sport, right from the junior level
at schools to the professional level is a boost to the sports industry.
 Government plays an important role in the creation of sport
infrastructure, the development of talent or youth development
programmes
The voluntary sector
 Volunteers help sport development at the grassroots level and may
contribute at the policy level in terms of participation, health and
fitness, social inclusion and citizenship.
 Sport clubs can bring people together with shared interest, values and
understanding, which facilitates co-operation within groups.
 Volunteers are key resources in sport for development programmes
and formed a major part of the supply market of sport in the past.
The commercial sector
 The commercial sector of sport supply consists of the sport goods
sector and the sport service sector
 The sport goods sector includes all products which are bought for use
in sport. Sport equipment sport clothing and sport footwear.
 Growth in health awareness and increase in adoption of fitness
activities such as aerobics, swimming, running, and yoga among
consumers drive the market growth.
 aggressive advertisements and celebrity endorsement has also helped
the sports apparel industry
Sport- A Tool for Economic Development
 In addition to health and personal development benefits there is compelling
evidence that sport can be an effective vehicle for advancing sustainable
human, social and economic development.(Indian common wealth games)
 The change is caused by activity involving the acquisition, operation,
development, use of sport facilities and services.
 These activities bring about multiplier effects and consequently lead to
increase in visitor’s expenditure, public expenditure, employment prospects,
tax revenue, sporting infrastructure facilities etc.
Post Covid Effects On Sports Industry:
 Covid Scenario had Made the shifting of sports events like IPL and Postponement
of Olympics because of which the industry has suffered huge losses and it’s
related Industries like the broadcasting industries , the sponsors and the host
countries.
 Because of lockdown the gyms was shut and it affected the income of the
owners of gyms as well as the income of helpers, trainers and other workers of
the gym chain. (Famous Chain of gym , “Gold’s GYM” reported Bankruptcy).
 Due To Covid Scenario the Sports Industry had also experienced some growth as
the people were quarantined in lockdown, It helped people in getting insight on
their physical health and it give a boom to the sports goods.
Thanks!

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The sports industry in 2020

  • 1. SPORTS INDUSTRY Pramit jain-20DM154 Priyathukral-20dm160 Raju kumar-20dm167 Rishabh das-20dm173 RohithRajeev-20dm180 Sanjay pareek-20dm187
  • 2. Sport industry is a market in which people, activities, business, and organizations are involved in producing, facilitating, promoting, or organizing any activity, experience, or business enterprise focused on sports.
  • 3. MARKET SIZE IN INDIA  The market size of the sports industry across India was over 77 billion Indian rupees  The majority of the media consumption in the sports industry is carried out by the Indian Premier League. Recently however, other domestic leagues like Pro Kabbadi and the Indian Super League have increased in popularity.
  • 4. SPORTS ECO SYSTEM IN INDIA 1. GOVERNANCE –SPORTS AUTHORITY OF INDIA(SAI) 2. TALENT SCOUTING AND TRAINING –SAI TRAINING CENTER ..ETC 3. SPORTS GOOD MANUFACTURER 4. SPORTS EVENTS 5. SPORTS RETAIL 6. INFRASTRUCTURE DEVELOUPMENT –SAI CENTER, STADIUMS ETC 7. SPORTS MARKETING –DREAM 11 IN IPL. 8. FUNDING –NSF(NSFs are autonomous bodies responsible for promoting their respective sports and organising tournaments) .
  • 5. DEMAND ASPECT OF SPORTS INDUSTRY The major determinants of demand of Sports Industry: 1.Price of Raw Materials: Price of PVC for football, Cotton & polyester lining for balls, stitching threads, cork wood, willow, rubber etc. influences the demand of the sports goods. 2.Price of Related Goods: The prices of related goods are having a considerable role in changes in the demand for a product. If the price of tickets for watching a sport event increases then some of the spectators may prefer watching the event on TV at home. Hence in this example the rise in price of tickets (entry charges) of a sport event would lead to increase in demand for its substitute i.e. TV and sport broadcasting.
  • 6. 3.Consumer Income: In India, with gradual increase in Income levels & evolution of sports leagues like IPL, ISL etc & with comprehensive sports policies, Sports goods have become more of Normal goods rather than Luxury goods. Hence, the demand for such goods follow a direct relationship with Income levels. 4.Consumer Preference: Age, gender, educational background, and occupation also influences Demand to an extent in the Sports industry. Also, Infrastructure & climatic conditions may also influence demand.
  • 7. Derived Demands: For Example, the demand for badminton can be represented as an example. The parent demand function is concerned with the consumer’s decision to take part in badminton or not. If the consumer decides to participate then he or she will require a racket, shuttlecocks, clothing and footwear. In addition, he or she will have to rent a court at a sports centre or club, and travel to and from the facility. All these extra demands, including the demand for sport related travel, are treated as derived demands from the decision to participate in badminton. Also, Tourism arising because of sporting activities like skiing, rafting or scuba diving can be cited as examples of Derived Demands.
  • 8. SUPPLY OF SPORTS INDUSTRY  The general law of supply, widely accepted by the economists of the world is-as prices increase, the quantity supplied by a producer increases.  The supply side of the sport market is a blend of three types of provider- the public sector, the voluntary sector and the commercial sector.
  • 9. SUPPLY OF SPORTS INDUSTRY THE PUBLIC SECTOR Role Of Government:  The promotion and development of sport, right from the junior level at schools to the professional level is a boost to the sports industry.  Government plays an important role in the creation of sport infrastructure, the development of talent or youth development programmes
  • 10. The voluntary sector  Volunteers help sport development at the grassroots level and may contribute at the policy level in terms of participation, health and fitness, social inclusion and citizenship.  Sport clubs can bring people together with shared interest, values and understanding, which facilitates co-operation within groups.  Volunteers are key resources in sport for development programmes and formed a major part of the supply market of sport in the past.
  • 11. The commercial sector  The commercial sector of sport supply consists of the sport goods sector and the sport service sector  The sport goods sector includes all products which are bought for use in sport. Sport equipment sport clothing and sport footwear.  Growth in health awareness and increase in adoption of fitness activities such as aerobics, swimming, running, and yoga among consumers drive the market growth.  aggressive advertisements and celebrity endorsement has also helped the sports apparel industry
  • 12. Sport- A Tool for Economic Development  In addition to health and personal development benefits there is compelling evidence that sport can be an effective vehicle for advancing sustainable human, social and economic development.(Indian common wealth games)  The change is caused by activity involving the acquisition, operation, development, use of sport facilities and services.  These activities bring about multiplier effects and consequently lead to increase in visitor’s expenditure, public expenditure, employment prospects, tax revenue, sporting infrastructure facilities etc.
  • 13. Post Covid Effects On Sports Industry:  Covid Scenario had Made the shifting of sports events like IPL and Postponement of Olympics because of which the industry has suffered huge losses and it’s related Industries like the broadcasting industries , the sponsors and the host countries.  Because of lockdown the gyms was shut and it affected the income of the owners of gyms as well as the income of helpers, trainers and other workers of the gym chain. (Famous Chain of gym , “Gold’s GYM” reported Bankruptcy).  Due To Covid Scenario the Sports Industry had also experienced some growth as the people were quarantined in lockdown, It helped people in getting insight on their physical health and it give a boom to the sports goods.