University Report: PESTEL Analysis of Australian Sports Tourism

This report provides an analysis of sports tourism in Australia, focusing on the application of the PESTEL framework. The report examines the political, economic, social, technological, legal, and environmental factors influencing the sports tourism sector. It uses examples like the Australian Open to illustrate these factors and their impacts. The report also explores the economic, environmental, and cultural impacts of sports tourism in Australia, highlighting the importance of infrastructure, economic growth, and social engagement. Furthermore, it outlines three medium-range future scenarios for sports tourism, including innovative packages, new sporting events, and cultural traditions, along with a critical assessment of these scenarios. The analysis considers the responses of various stakeholders to ensure the sustainability of sports tourism in Australia.

Running head: TOURISM SYSTEM ANALYSIS
TOURISM SYSTEM ANALYSIS
Name of the Student
Name of the University
Author Note

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Executive Summary
The main purpose of this report will be to discuss the technique of PESTEL analysis and
analyse the trends of which are having techniques on the tourism of Australia. The type of
tourism is sports tourism. A set of three medium range future scenarios will be developed in
the context of the selected sports tourism, and critical assessment will be done on the
developed three scenarios in terms of the responses of different shareholders to assure the
sustainability of the sports tourism in the region of Australia. This report will help to evaluate
the position of sports tourism in Australia and the ways of making it better and sustainable in
the global competitive market of tourism sector.

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Table of Contents
Introduction................................................................................................................................3
Sports Tourism...........................................................................................................................3
Examples................................................................................................................................3
Impacts...................................................................................................................................4
PESTLE Analysis.......................................................................................................................5
Political Factors......................................................................................................................5
Economic Factors...................................................................................................................5
Social Factors.........................................................................................................................6
Technological Factors............................................................................................................6
Legal Factors..........................................................................................................................7
Environmental Factors...........................................................................................................7
Medium Range of Future Scenarios...........................................................................................7
Critical Assessment....................................................................................................................8
Conclusion..................................................................................................................................9
References................................................................................................................................10

3TOURISM SYSTEM ANALYSIS
Introduction
The main purpose of this report will be to discuss the technique of PESTEL analysis
and analyse the trends of which are having techniques on the tourism of Australia. The type
of tourism is sports tourism. A set of three medium range future scenarios will be developed
in the context of the selected sports tourism, and critical assessment will be done on the
developed three scenarios in terms of the responses of different shareholders to assure the
sustainability of the sports tourism in the region of Australia. This report will help to evaluate
the position of sports tourism in Australia and the ways of making it better and sustainable in
the global competitive market of tourism sector.
Sports Tourism
The term sports tourism, in broader sense, involves any kind of travelling which is
done to participate in any kind of sporting event in a kind of particular region. The prospects
or interested people needs to travel from one place to other, where there is an involvement of
sports. According to the researches done by the World Tourism Organization, the tourism of
sports represents the fastest growing sector in global tourism. Sports plays an integral part in
giving entertainment to the people of a particular region, and helps in the economic growth of
a nation by involving people from different society and culture. This tourism engages people
in the context of experiencing of travelling to view the sport-related activities. There are
basically three types of sport tourism. They are Active Sport Tourism, Sport Event Tourism
and Nostalgia Sport Tourism. It has also been found by the researchers that the sports tourism
is a growing sector within both the sort sector and tourism sector (Gozalova et al., 2014).
Examples
There are many sporting events that are held in the region of Australia every year,
which involves sporting personalities from around the world and many people in and around

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Australia comes to that specific event venue to watch the sporting events. The country of
Australia has hosted many sporting events successfully, like Sydney Olympics in 2000,
Rugby World Cup in 2003, Commonwealth Games in 2006, Cricket World Cup in 2015,
Apart from all these, major events like Australian Open, Hopman Cup, Australian Football
League, State of Origin, Melbourne Cup and many more are held every year. The iconic
cricket series against England, which is popularly known as The Ashes, is held in the region
in almost every two years. Among all these, one such sporting event is Australian Open,
which is held every year in the month of January, in the iconic city of Melbourne. It was
founded in the year 1905, and is regarded as one of the Grand Slams in the sporting event of
lawn tennis. People not only from Australia, but from other parts of the world, mainly from
the nations of the players who take part in the grand slam, and support the players of their
respective nations. It helps to enhance the economic growth of Melbourne as well as
Australia, and increases the growth of sports tourism in that region (Reid & Duffield, 2014).
Impacts
As discussed earlier, sports tourism is one of the fastest growing sector in the tourism
industry, it plays a major role in having an impact of the place where it is played. Impacts like
economic, environmental and cultural areas possess in the sports tourism in Australia. Sports
has been identified as an investment in the tourism industry, and creates economic growth of
the place where the event is hosted, like filled hotels, restaurants and retail establishments.
Sports tourism also helps in creation of exposure and enhances a positive image or outlook in
the community to which they are focusing and serving, and maximizes the facility use in that
community. It also improves the relationships between the communities apart from
improving the corporate support that are involved in the tourism of sports. It also helps to
attract high-yield visitors mainly the repeaters in the sports events which are held every year
like that of Australian Open, and generates favorable image for the destination. New

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infrastructure is developed in the sports tourism of a particular region, and enhances the
marketing, organizational and bidding ability of the community to whom the sports tourism is
serving and are engaged with. A PESTEL analysis will be performed on sports tourism in
Australia to analyses the trends that are having an impact on this tourism in the region of
Australia (Wise & Whittam, 2015).
PESTLE Analysis
Political Factors
The political factors play a major role in the sports tourism of not only in the region of
Australia, but also throughout all the nations around the world. The political stability of the
government plays a huge impact in sports tourism, as the interest of a lots of sportsperson as
well as the spectators are involved in a particular event that are held in Australia, like the
Australian Open. The type of policies that are related with this particular type of event need
to be followed by the management of the sporting events along with following and
maintaining the alterations to those policies. Proper infrastructure is required to enhance the
sports tourism, for which political stability is very much required. Changes in the tax system
along with the policies of the government towards sports management need to be properly
communicated between the parties and ethically followed by the management of the sporting
events engaged with the events, so that the sporting events can be held efficiently in the
region of Australia. Though it can be stated that there is a high degree of certainty in the
region of Australia in terms of investment in sports tourism (Corrie, Stoeckl & Chaiechi,
2013).
Economic Factors
The capital growth of the region also plays a major role in sports tourism in Australia.
The rise and fall in the prices of accommodation facilities and food and beverages affects the

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sports tourism, as lots of people need to travel from one place to the other or staying in a
single place, like that of Melbourne when Australian Open is held every year. The rates of
exchange of currencies for the people who are coming from outside the nation of Australia
impacts the sports tourism, though it has been found that the exchange rates of dollars, euros
and sterling are going at a favorable rate in current scenario in Australia. The strong
economic growth also plays a major boost in the region of Australia, and it is higher than
many bigger countries like that of the United Kingdom and the United States. The cost of
living is also much less in many cities of Australia like Melbourne, which helps to attract
more people to the nation when any sporting events is held there.
Social Factors
The engagement of the society of the place where a sporting event is held in Australia
impacts the event. The tastes and preferences of the people who are coming to the nation or in
a particular like the event of Australian Open need to be evaluated, so that the management of
the sporting event can strategize their plans to attract new people as well as retain the old
tourists. The mode of accommodation and the mode of transportation impacts the sports
tourism, as spectator plays the base in any kind of sporting event in any parts of the world
(Kim et al., 2013).
Technological Factors
This also plays an integral part in the sports tourism. Due to the advancement of the
technology and its implementation of it in the sport tourism makes it more attractive, though
it is difficult to match the ever-changing tastes and preferences of the tourists. Fresh
technologies help in creation of new products and services in sports tourism apart from
making a particular event more attractive and successful. For example, implementation of
roof shed in Rod Laver Arena, which is considered as the center court in the event of

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Australian Open will help to stop or re-schedule the matches, which hamper the flow of a
match, harassing the management of the event, spectators orb tourists and the players who are
playing the matches. Technological factors help to attract more people and providing them
state-of-the-art facilities, which will help them to turn them as repeated visitors, thus,
maintaining the flow in the revenue generation of sports tourism.
Legal Factors
These involves the legal roles and responsibilities which are needed to be followed in
the tourism of spots. Safety and security of the sportsperson along with the people engaged
with an event like Australian Open and mainly the visitors are mandatory to follow, which, if
not followed, will increase the pressure and challenges in the tourism of sports. Local
transport and accommodation laws along with the legal requirements of hosting an event
need to be followed by the organizers, which will help to effectively complete the events
related to sports tourism (Roche, Spake & Joseph, 2013).
Environmental Factors
It plays another major factor in sports tourism, as changes in weather and climate
changes. Global warming is a major issue all over the world, so sports tourism need to focus
on maintaining the environmental factors. Proper mode of accommodation as well as
transport facilities need to be followed ethically, so that it not hampers the ecological balance
and no pollution is generated from hosting the events like Australian Open. As many people
are associate with the tourism of sports, so it is mandatory to follow the environmental rules
and regulations to maintain a sustainable form of sports tourism ion the region of Australia
(Camilleri, 2018).

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Medium Range of Future Scenarios
Three medium range of future scenarios, which will have a range of 10 to 25 years
are:
1. Innovative Package – To attract more people to the region of Australia, the tourist
organizations need to collaborate with the organizers of sporting events to prepare some
innovative and customized packages for the visitors in comparatively low price, to take the
sports tourism to a new level.
2. New Sporting Events - Hosting new sporting events, where many nations can take
part, which will improve the social and economic aspects of Australia
3. Cultural Traditions - Sports tourism can be used in promotion of reproduction and
preservation of cultural traditions of the places of Australia
Critical Assessment
The critical assessment of the above mentioned scenarios of the three medium range
of future scenarios are described as follows:
1. Mixing of innovative tourism packaging for the people, mainly who will come
from outside Australia, who will come to view any kind of sporting event in Australia, like
Australian Open, will be an attractive combination, but proper infrastructure will be required
to carry out this scenario. Also lot of investment is required, and for that many shareholders
need to be involved to maintain the sustainability of sports tourism. Interested shareholders
can be make part of the sports event, who will enjoy a certain amount of return from the
revenue that will be generated from that event (Chang & Tsai, 2016).
2. New sporting events which will involve a certain number of nations around the
world will also help in the sustainability of sports tourism, bit again, infrastructure and

9TOURISM SYSTEM ANALYSIS
investment along with proper promotion will be necessary to effectively host that event.
Safety and security concerns are also required to be followed to host a new or any kind of
sports events in Australia. It will help in the economic growth of the nation and more people
can be attracted to participate in that new sports events (Presenza & Sheehan, 2013).
3. Cultural traditions can be safeguarded and properly followed in sports tourism, as
lots of people can be engaged through tourism of sports and sustain the rich cultural heritages
of the places where the sports events will be held. Shareholders can be interested to safeguard
the cultural prestige of the places and this will help them to gain their social values if they
engage themselves in sustaining the rich cultural traditions of the places, who may get extinct
without the support of the shareholders (Gardiner, Grace & King, 2014).
Conclusion
From the above discussion, it can be concluded that sports tourism in the region of
Australia possesses a lots of opportunities to maintain the growth in this particular form of
tourism and sustain the growth. As sports tourism is an ever-growing industry, involvement
of lots of visitors and shareholders will help in maintaining the sustainability of this tourism.

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References
Camilleri, M. A. (2018). the tourism industry: An overview. In Travel marketing, tourism
economics and the airline product (pp. 3-27). Springer, Cham.
Chang, F. H., & Tsai, C. Y. (2016). Influence of the sports tourism attractiveness, motivation,
and experience on revisit intentions. J Soc Sci Hum Res, 2(1), 1-10.
Corrie, K., Stoeckl, N., & Chaiechi, T. (2013). Tourism and economic growth in Australia: an
empirical investigation of causal links. Tourism Economics, 19(6), 1317-1344.
Gardiner, S., Grace, D., & King, C. (2014). The generation effect: The future of domestic
tourism in Australia. Journal of Travel Research, 53(6), 705-720.
Gozalova, M., Shchikanov, A., Vernigor, A., & Bagdasarian, V. (2014). Sports
tourism. Polish journal of sport and tourism, 21(2), 92-96.
Kim, W., Jun, H. M., Walker, M., & Drane, D. (2015). Evaluating the perceived social
impacts of hosting large-scale sport tourism events: Scale development and
validation. Tourism management, 48, 21-32.
Presenza, A., & Sheehan, L. (2013). Planning tourism through sporting events. International
Journal of Event and Festival Management, 4(2), 125-139.
Reid, M., & Duffield, R. (2014). The development of fatigue during match-play tennis. Br J
Sports Med, 48(Suppl 1), i7-i11.
Roche, S., Spake, D. F., & Joseph, M. (2013). A model of sporting event tourism as
economic development. Sport, Business and Management: An International
Journal, 3(2), 147-157.
Wise, N., & Whittam, G. (2015). Special edition: Regeneration, enterprise, sport and tourism.