A few weeks ago, we had discussed the top layer of a lengthy process that cities/countries go through in order to vie for an olympic bid. Although the prestigious athletic event is an honor to hold and showcases unique aspects of the home country's culture, the abundance of resources and money spent to even be a candidate in the running is well into the millions even before a brick is layed.
As you may know, Chicago recently bid to host the 2016 Summer Olympic games. After the three year marketing push, Chicago lost the bid to Rio. However, this does not mean that the tax payers and organizations were spared the millions of dollars that it takes to host such a extravagant event. According to chicagobid.org, over $50 million was spent on marketing the eventual failed bid. CNN Financial analysts estimated that if Chicago would have won the bid, they would have invested an additional $3.8 billion to add to the cities infrastructures, transportation, etc. As this may seem like a big number, the amount can easily increase from city to city depending on what facilities the location already has built to offer. Beijing spent over $40 billion in order to build its eyepopping venues such as the birds nest (which is currently used only 1-2 times a year).
Although many may say that the olympics adds local economic growth to small businesses and the surrounding area, I find it hard to believe that truthfully much profit can be generated due to the exponential amount of money committees are putting in the event. Upon researching for this blog, I was shocked to see how much money is risked just to bid for the event. It is hard to swallow, in today's down grading economy, that $50 million was wasted to promote an event that never will exist.
Kelsey-
ReplyDeleteI also had looked into the amount spent on the bidding process. It's ridiculous how much a country spends on just marketing the city. I think the IOC should really consider the structures the city and country already have. It's a shame that a venue such as the birds nest is only used 1-2 times a year. It's one of the best in the world. If it were in a different country such as the U.S. it would be utilized so much more to its potential.
Kelsey,
ReplyDeleteI agree that the amounts are way too high. Cities must think about how easily they spend money and accept the risk that I can be for nothing, if they lose the bid process.
I'm concerned about the way money is needed to win a bid process. It looks that the city with the most money has the best chance to win the process. Also the recent divided soccer championships (Russia and Qatar) looks like a matter of money.
It's a dangerous fact. Sports must be an event for the whole society. The role money plays nowadays is critical.