Recommendations for the enhancement of economic impact of hosting mega sport events

Abstract

Scholars have highlighted the actual impact of major sports events on host nations and have showcased negative consequence. The study aimed to provide a baseline of suggestions that can be considered by countries willing to host the MSEs so as to safeguard economic progress after hosting these events. The study undertook a case study analysis of four MSE’s Italy 2006 Olympics, China 2008 Olympics, Germany 2006 FIFA World Cup, and South Africa 2010 FIFA World Cup using historical literature and then analyzed several macroeconomic variables identified to be linked to MSEs which included GDP, FDI, unemployment exports, imports, inflation, and tourist’s numbers and expenditures. The research suggested seven considerations that prospective host nations can target to incorporate in their national strategy plan, which included good governance, joint hosting, attracting FDI, reducing unemployment, positive trade balance via increasing exports and reducing imports, managing and reducing inflation, and finally, increasing tourists numbers.