What are the risks when building a new stadium in London - Essay Example

WHAT ARE THE RISKS WHEN BUILDING A NEW STADIUM IN LONDON By School We will describe 5 risks related to building a new stadium in London, for example for Chelsea.There is a political risk in building a new stadium for Chelsea. Any big investment project like this would depend on the developments in the Government, politics inside the country, and international relations (Bing & Akintoye & Edwards & Hardcastle 2005). Therefore, the investors should keep in mind the current political situation, trends, and take proper actions.

A social risk also exists in such a big construction project. Depending on where the stadium will be situated, the inhabitants of local area may object to building a gigantic stadium. In this connection the managers of the construction project should organize the support of the local authorities in such a project.Another risk is an economic one. Paying abilities of people depend on a macro-economic situation. If economy goes down the paying capacity of people will go down correspondingly, and in first turn it will impact the industries, which are not related to urgent needs.

Among such industries, which may suffer the most, is an entertaining industry, and the football stadium may receive less visitors, or visitors with cheaper tickets, both at football games and at all other events at the stadium like music concerts and so on.During the matches big football stadiums are attended by a tremendous number of people, what may cause environment risks (Baltes & Hayward 1976). Environment issues related to pollution may bring to economical or legal sanctions against the stadium.

Technological risks also exist while building a stadium. Yet at the stage of projecting the stadium, the construction project should be thought out and aligned with all the regulations in order to minimize the technological risks (Renn & Benighaus 2013). In particular, such very important stadium construction technologies as the drainage system and retractable roof should be followed correctly.References1. Baltes MM & Hayward SC, 1976, ‘Application and evaluation of strategies to reduce pollution: Behavioral control of littering in a football stadium’, Journal of Applied Psychology. 2. Bing L & Akintoye A & Edwards P & Hardcastle S, 2005, ‘The allocation of risk in PPP/PFI construction projects in the UK’, International Journal of Project Management.3. Renn O & Benighaus C, 2013, ‘Perception of technological risk: insights from research and lessons for risk communication and management’, Taylor & Francis.