1. Chapter 1
The Sport Business Industry

2. The Sporting Industry
• One of the world’s largest industries
– Nearly half of Americans over 6 years old participate
in at least 1 outdoor activity
– 10.1 billion outdoor outings in 2010
– $730 billion into the U.S. Economy
• Participant vs. Spectator Sport
– Sport tourism, sponsorship, management

3. Jobs and Careers in the Sport Industry
• Many industries intersect at sports—media,
finance, operations, law, management, etc.
• Once can find a career path by combining a love of
sport with other interests—computer programming,
design, etc.
• This is generally unique to sport.

4. Evolution of Sport Management
• Where there are sports, there are people managing
those sports.
• “Administration and organization of Physical
Education and Athletics”
• “College athletics administration” courses
• Academic study is new in comparison with
practice.

5. Products in the Sort Industry
• Products can be goods, services, people, places,
or ideas
• Participation
• Entertainment
• Equipment/Apparel
• Promotional Items
• Facilities
• Marketing Research
• Management Services

6. Sport Business Industry
• Sport Performance—sport as offered to the
consumer as a participation/spectatorial product
– Private sports, non-profit sports, education
• Sport Production—products needed/desired for
sport performance
– Equipment, apparel, facilities, medical care
• Sport Promotion—products offered as tools to
promote sport products
– Media, sponsorship, endorsement

7. Determining Industry Size
• The sport industry has experienced explosive
growth in recent years.
– Vertical/horizontal growth
• The industry reaches further than most would
expect.
• This is important for viewing job necessity and
growth, as well as education needs for industry
professionals

8. Factors in the Industry’s Growth and
Development
• People—people love to participate in and watch
sports.
– Necessities(ball/bat), extras(specialized shoes,
batting glove, etc.), merchandise(key ring, T-shirts)
– Growth in specialized segments (race, gender,
sexual orientation, age, disability)
• Activities and Events—includes increases in new
sports, as well as traditional sports
– Increase in professional level sports
– Increase in sport tourism

9. Factors in the Industry’s Growth and
Development
• Sporting Goods—equipment, apparel, footwear
– Specialty Stores, Internet increase availability
– Marketing to diverse markets has increased
• Sport Facilities, Medicine, and Fitness Training
– Sport packaging as an entertainment product
– Increased marketability of sports
– Increased knowledge of consumers
• Professional Service Business
– Consultants, legal advising, etc.

10. Factors in the Industry’s Growth and
Development
• Media and Electronic Technology
– Increase in media exposure
– Increase in electronic media, as well as its
distribution of sports
– Social media and mobile devices
• Sport Management Education
– Increase in education for executives, athletes, and
others
– Growth as an academic discipline and career