World Cup's Influence on Economy, Tourism, and Hospitality Sectors

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This report provides an executive summary and comprehensive analysis of the World Cup's impact on the host country's economy, tourism, and hospitality sectors. The introduction highlights the World Cup's global popularity and its potential economic benefits, as well as the financial burdens associated with hosting the event. The analysis section examines the economic impacts, including job creation, infrastructure development, and revenue generation, while also considering potential negative effects such as stock market fluctuations. It further explores the health impacts, including the influence of sports engagement and the development of health infrastructure. Additionally, the report assesses the impact on tourism, hospitality, and event industries, emphasizing the influx of visitors and the diversification of economic growth. The conclusion summarizes the findings, emphasizing the importance of strategic planning and infrastructure development. The recommendations section provides actionable insights for host countries to maximize the benefits and mitigate the challenges associated with hosting the World Cup, ensuring a positive long-term impact. The report emphasizes the importance of infrastructure, transport, and communication to ensure a successful event.
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EXECUTIVE SUMMARY
The governing body of sports holds a world cup every four years, which comprises preliminary
qualification stages that culminate to the final competition. This tournament is widely recognised
as the world’s most popular sporting event. The majority of countries will compete for the right
to host the World Cup in the future. It is beneficial to the country’s overall economic and growth.
Furthermore, the report’s goal is to examine the effects of any big event on the economies and
nation’s growth and development. The World Cup is being studied in this regard in order to
determine the appropriate influence on the enhancement of the economic, tourism, and
hospitality sectors by describing appropriate recommendations.
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Table of Contents
EXECUTIVE SUMMARY.............................................................................................................2
INTRODUCTION...........................................................................................................................3
ANALYSIS......................................................................................................................................3
The economic impacts.................................................................................................................4
The health impacts.......................................................................................................................5
The impact of tourism, hospitality and event industries..............................................................5
CONCLUSION................................................................................................................................6
RECOMMENDATIONS.................................................................................................................6
REFERENCES................................................................................................................................8
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INTRODUCTION
In most countries around the world, the World Cup is the most popular form of
entertainment since it gives the host country a lot of pride and notoriety. Apart from that, most
businesses have gotten into debt as a result of hosting the World Cup. South Africa, for example,
is a perfect example of a country that hosted the 2010 FIFA World Cup. Apart from that, the
World Cup conductor also has a number of issues, such as all of the cost incurred, as well as the
rewards resulting from the World Cup (Jedlicka, 2021). The opportunity cost is also taken into
consideration in the economic study, since the world cup never considers it. Every four years, the
governing body of sports hosts a world cup, which includes preliminary qualification stages and
a final competition. This tournament is usually regarded as the most popular sporting event
across the world. In the future, the majority of countries will compete for the privilege to host the
World Cup.
Apart from that, most people spent roughly the same amount of money on watching movies,
doing leisure activities, going out to dinner, and many other things because the World Cup just
diverts spending to sporting activities. The world cup competition is beneficial to the host
country since it generates a large amount of profit from ticket sales and broadcast sales following
the event, but the host country does not receive a portion of these earnings (Buekers and et. al.,
2017). These are the components of the World Cup that concern the money, which is handled by
organised agencies, and the expenses, which are paid for by the country’s tax payers. Apart from
that, the World Cup event has set very high standards, which is a difficulty in terms of translating
into expensive costs for the host country.
ANALYSIS
The main goal of this report is to determine the World Cup’s influence on the hosting
country by describing the benefits and removing the appropriate hurdles. Hosting a World Cup
can have a significant impact on a country’s economic health, cultural tourism, and other factors.
Apart from that, hosting the World Cup raises the profile of the host city, resulting in increased
economic benefits. For example, communities that are chosen to host the Olympics must
maintain a high level of improvement in terms of health and tourism (Dart, 2017). In order to
acquire better worldwide recognition, a country like China relies on its questionable Human
Rights record when it comes to hosting major sporting events.
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It contributes to raising the profile, which is necessary for providing appropriate benefits
such as attracting tourists and commercial investment. The importance of this issue is highly
dependent on the city in question, as the World Cup has a significant impact on how that city is
perceived. Aside from that, it is also advantageous in terms of the long-term investment that
comes with planning for a large event, as the specific country has The Legacy to improve
sporting venues.
Hosting the World Cup event helps to increase job opportunities over time because it takes
several years of planning and investment to create jobs and revitalise poor cities. For example, it
is anticipated that hosting the World Cup in London will result in the creation of 8000 full-time
employment and a $2 billion increase in economic activity (Gano-Overway, Thompson and Van
Mullem, 2020). It is also rather simple to identify many places for hosting the World Cup, as this
can increase interest and excitement for the tournament.
The economic impacts
The clearest benefit of hosting the World Cup is the general economic expansion and
increase in spending that the host country enjoys in a positive way. Hosting the World Cup
necessitates minimum capacity and facilities requirements for a large stadium, which generates a
high number of short-term jobs in the country for a limited time. When it comes to hosting a
specific World Cup, most countries are recommended to submit a bid that includes an
assessment of the host country’s commercial and infrastructure capabilities.
The most important aspect of the infrastructure evaluation is the quality and capacity of
stadium transportation mobility and facilities for participants, among other things. World Cup
includes business considerations such as projected costs, estimated revenue from ticket sales, and
media coverage in order to determine whether or not a country can host a World Cup (Lang,
2018). Hosting a World Cup is only the beginning of this economy’s development, given the
several requirements that must be met in order for the country to host the tournament. It also
focuses on the World Cup's impact on the global economy by considering how the event affects
the overall economy.
Apart from that, the World Cup has had a detrimental impact on our stock market, with a
drop of roughly 2.5 percent. It is regarded as the most noticeable attribute resulting from the
accumulation of unfavourable changes in the participating countries and the financial market as a
result of the World Cup’s performance. Further, increases in aeroplane ticket prices due to
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distances and a sense of insecurity when visiting a new country have deterred some tourists from
attending. Developing countries hosting the World Cup must devote sufficient attention to the
market and attract fewer spectators. As a result, it leads to an increase in tourist visits to the
hosting country, which improves the economic situation of that country.
The health impacts
World Cups and other sporting events attract the best young athletes from around the
world, and the majority of them pay a fee to the host nation for health-related physical activities
to the local sports medicine community in order to assess their potential health risk in the context
of a large crowd (Macnamara, Moreau and Hambrick, 2016). The legacy of public health as an
important component in constructing the World Cup in terms of game expectations that enhance
mass engagement in sports. There is insufficient data regarding the large multi-sport event that
leads to influence help and the socio-economic determinants considering their health factors,
thus it is necessary to create myth.
Aside from that, increased engagement in sports is good for developing countries.
Furthermore, it has little impact on the population of the host country’s physical activity and
sports engagement. Aside from that, just because there is no proof of a public health benefit does
not mean it has no influence, as there may be downstream effects (Lopez-Gonzalez, Griffiths and
Estévez, 2020). The infrastructural legacies include not only stadium facilities, but also
transportation that has an impact on public health by enhancing highway safety and reducing
road wrecks and other injuries and accidents.
Aside from that, local clinical facilities contribute to the development of the host country
by enhancing the health sector’s infrastructure, which is part of an innovative health and
wellness centre for a variety of general medical procedures (Hanin, 2021). Apart from that, the
World Cup brings things together by taking into account a huge group of people and maximising
disease transmission that poses a health concern to the general public. The host country analyses
the spread rate of infectious diseases before to hosting the World Cup, which contributes to the
enhancement of health protection measures, including food hygiene.
The impact of tourism, hospitality and event industries
The World Cup is regarded as a major event that has a significant impact on the economy of
the host country as well as the hospitality sector, because it attracts a large number of customers
to the host country, who come for recreational purposes, and the arrival of a large number of
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visitors is beneficial to the tourist hospitality and event sectors (Pato and et. al., 2017). For this
reason, the host country’s government is constantly working to diversify its economic growth in
order to host international events and conferences. In this sense, there are many concerns that the
hosting country should not host the Global event following the economic embargo.
In addition, the government rectified the situation and entered into contracts with other
people and suppliers in order to continue the project’s execution. It is also envisaged that the host
country’s government will benefit significantly from the event's hosting. Following the hosting
of the World Cup in a certain country, the economy is predicted to grow by 3% in terms of
tourism and profitability over the medium term, which will be aided by continuing to invest in
the World Cup.
Apart from that, the hosting country will be able to produce adequate GDP as a result of the
improvements, which include an increase in the mean of construction government buy
investment in net exports. Apart from that, the average level of consumption will be boosted by
the large number of tourists who will be attending the World Cup (Piggott and et. al., 2019). It
also encourages foreign and local organisations to invest in new projects that benefit them, and
this money is used to complete the project. Apart from that, the government purchases show an
increase in profitability by focusing on please paint of a higher portion towards the expansion of
linked projects such as hotels, events, infrastructure, and stadiums, among others.
CONCLUSION
As a result of the above discussion, it has been determined that the World Cup is a worldwide
event that has an impact on the host country’s economic health and cultural factors. The World
Cup is advantageous to the host country in terms of representing and producing different good
benefits in terms of enhancing their economic growth, which benefits hens and, in turn, impacts
the tourist and hospitality sector. To organise the World Cup, countries from all over the world
must bid for the event by analysing and assessing the benefits of the World Cup and removing its
challenges.
RECOMMENDATIONS
From the preceding discussion, it has been determined that the World Cup provides various
benefits to all countries that participate in it, as well as the host country, particularly for the
nation and overachievers for the tournament, given the increased prominence of the World Cup
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in the country. The World Cup is good to the host country’s economic situation, as it is in some
situations ambiguous and unpredictable. Hosting a World Cup is a wonderful honour for many
countries. However, hosting does not come without its costs, and the host country must be aware
of and understand how to overcome them.
In this regard, the host country must arrange for appropriate needs by taking into account
Stadium criteria such as transport, communication, and other factors. As the infrastructure takes
into account the display of plans, 70% of the bidding procedure is already completed. The
implementation of suitable infrastructure is a vital success aspect in the event’s organisation, as
most countries pledge to have updated infrastructure in light of the potential for additional
tourism dollars, which can be efficiently supported by residents.
Regarding passport control, runaway checks, stations, terminals, highways, and other
factors, the host country is able to accommodate the temporary demand increase in various cities.
The need is sufficient to properly funnel tourists from the airport to the stadium, as well as to
have necessary arrangements in place to ensure that people do not experience any discomfort, as
this is good to the host country’s long-term growth.
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REFERENCES
Books and Journals
Buekers, M and et. al., 2017. Interdisciplinary research: A promising approach to investigate
elite performance in sports. Quest, 69(1), pp.65-79.
Dart, J., 2017. Sports tribes and academic identity: teaching the sociology of sport in a changing
disciplinary landscape. Sport, Education and Society, 22(7), pp.839-851.
Gano-Overway, L., Thompson, M. and Van Mullem, P., 2020. National Standards for Sport
Coaches: Quality Coaches, Quality Sports: Quality Coaches, Quality Sports. Jones &
Bartlett Learning.
Hanin, Y.L., 2021. Interpersonal and intragroup anxiety in sports. In Anxiety in sports (pp. 19-
28). Taylor & Francis.
Jedlicka, J., 2021. The Relationship between Sports Participation History and Golf-Related
General Physical Skills of Collegiate Golfers.
Lang, C.M., 2018. A quantitative analysis of high school sports participation intensity and
breadth: relationships with academic achievement in a rural Missouri high
school (Doctoral dissertation, University of Missouri--Columbia).
Lopez-Gonzalez, H., Griffiths, M.D. and Estévez, A., 2020. Why some sports bettors think
gambling addiction prevented them from becoming winners? A qualitative approach to
understanding the role of knowledge in sports betting products. Journal of gambling
studies, 36(3), pp.903-920.
Macnamara, B.N., Moreau, D. and Hambrick, D.Z., 2016. The relationship between deliberate
practice and performance in sports: A meta-analysis. Perspectives on Psychological
Science, 11(3), pp.333-350.
Pato, A.S and et. al., 2017. An innovative European sports tutorship model of the dual career of
student-athletes. UCAM.
Piggott, B and et. al., 2019. Is sports science answering the call for interdisciplinary research? A
systematic review. European journal of sport science, 19(3), pp.267-286.
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