The Future of the Issues Affecting Events or the Events Industry - Essay Example

Identify and Critically Evaluate The Most Significant Suitability Issues Affecting Events Or The Events Industry. What Are The Prospects For The Future? Table of Contents 1 Table of Contents 2 Introduction 3 Principles of Sustainable Development 4 Issues Regarding Sustainable Operations In Sports Event Industry 5 Economic Externalities Valuing the Environment and the Sports Event Industry 6 Environmental Impact and Ethics of Sports Event Industry 7 Future Prospects of Sport Event Industry 14 Conclusion 16 References 17 Introduction The event industry, which includes exhibitions, meetings, sport and music events among others is developing at a rapid speed all across the globe. It makes a significant contribution to business economies. These event industries are extensive and integrate many different sectors by conducting events all throughout the year in different degrees (Bowdin, 2010). According to Raj, event management is defined as the capability and the control of the process of purpose, people and place. It follows a principle that events are ‘happenings with objectives’. An objective may be economically related like selling tickets to earn profit. There may also be less financial objectives correlated with the thoughts and the feelings during and after the event, of those who are attending it (Raj & Et. Al., 2008). In the paper, a particular event industry will be studied in relation to its sustainable development along with the principles of sustainable operations within the industry. Various facets comprising their financial factors, environmental influence, environmental ethics, various sustainability issues along with their benefits, threats and risks, corporate social responsibilities toward the consumers, environmental audit, marketing procedures and public relations, change of climate and its implications along with carbon footprints and budgets will be taken into the consideration in the discussion of this paper. The paper has been focused particularly on sport events and sport event industry. Principles of Sustainable Development According to Jones, sustainable development is regarded as the capacity to make sustainable development and also provides a surety that it can comply with the needs of the current situation without considering the capability of future expectations (Jones, 2010). The principles of sustainable development in connection with its concept can be identified mainly by economic, environmental and social factors among others (Harris, 2000). From the ecological or environmental point of view, a sustainable system relating with the environment maintains a constant supply of resources along with avoiding overuse of renewable resources or harmful environmental functions and ultimately diminishes non-renewable resources to a certain extent (Harris, 2000) From the economic point of view, a sustainable development focuses mainly on performing various actions in order to create a better future for the people. Also, it identifies the situations where market prices of the economy do not properly match with the external costs (Harris, 2000). From the social perspective, a sustainable system should perform various functions like proper allocation of equity; maintain the requisites of social services like healthiness, learning and political responsibility among others in order to achieve social sustainable development (Harris, 2000). Thus, these are certain basic principle perspectives of sustainable development. Issues Regarding Sustainable Operations In Sports Event Industry There are various issues that eventually arise while conducting any event. The issues regarding sustainable operations particularly in sporting event industry include energy, water, waste and transportation among other significant issues. The use of non-renewable resources in order to produce energy and the resulting emissions is one of the main issues. The amount of energy required can be reduced while conducting the sports event or in the sports event industry through introducing energy efficient tools, proper power planning along with smooth allocation of mobile generators and using sustainable biofuels for the generators among others (Jones, 2010). The water issue could also be a major factor while conducting the sports event which can hamper the overall planning structure of the event. In order to overcome this critical situation, the particular sports event industry should commit in order to transport sewage and waste water off-site with the use of large water reservoirs as a temporary holding capacity in full consultation with the Environment Water Agencies (Bowdin, 2010). The various waste issues also adversely affect the sports event industry along with the environment as well. While conducting a sporting event, it is obvious that the attendees will be huge and there lies major chances of originating several waste related issues. In lieu of this, particular attention needs to be paid to these significant waste issues which are raised because of coming together of very large number of people for a short period of time in order to greatly extend the lifetime of sports facilities (Bowdin, 2010). The other significant issue of the sports event industry while conducting a sports event lies in the transportation factor. Due to this transportation issue, a large number of attendees cannot enjoy or participate in the event. In accordance with this issue, the sports event industry should select the venues of the sport events in such a place where the attendees or the consumers can easily access or participate in the event (Bowdin, 2010). Economic Externalities Valuing the Environment and the Sports Event Industry According to Meade, economic externalities can be regarded as costs or benefits that are not directly related with prices. These economic externalities are earned by only those parties which did not agree with the reason that has caused cost or benefit (Meade, 1973). Environmental economics, as a theory of science has been recognised to be very successful in improving the understanding of environmental economy interdependence. The large scale environmental disruption with its negative feedback on consumers and producers were duly caused by growing pollution and excessive use of environmental resources (Pethig & European Science Foundation, 1994). The event industry strives to maintain sound financial health in order to make the events attractive towards the customers. There are certain events which are autonomous and financed entirely through participation or by entrance fees such as the sports event, but on the other hand there are also certain events like street parades and religious celebrations among others that may offer a programme or event providing free access to the public. In this case, the true cost of organizing the event completely does not matches with others. It is regarded as a benefit which is not directly related with the price like others. As a result, the economic externalities have a significant effect on this kind of events or programmes (Raj & Musgrave, 2009). Environmental Impact and Ethics of Sports Event Industry It has been recognised that the sports event industries along with others possess immense impact upon the environment, which ultimately leads to significant damages. Mainly, the air and the noise pollutions among others that normally arise during the procession of an event result in to be harmful from environmental impact point of view. Moreover, soil deterioration can also be one of the environmental impacts caused by sports event industry (International Olympic Committee, 2005). Moreover, the additional environmental impacts those are especially relevant with regard to sports events or sport event industry include high concentration of people in a short time and in a limited place, increase of sports activities in time and place and indirect effects due to new infrastructure building for the event also counts for having impact upon the environment (International Olympic Committee, 2005). According to Yang, the ethical aspect of an environmental study is a new and innovative guideline of philosophy that relates with several moral issues that are encircling the environment. It also helps to provide ethical explanation and motivation factors for protecting the global environment system (Yang, 2006). One of the significant environmental ethical aspects among others that the sports event industries emphasise is regarding its service towards community development. This concerns the enhancement of the host nation’s population’s way of life, economy and environment. A particular sporting event can create linkages between people and groups within the communities. The community development can be beneficial if the objectives like initialising a comprehensive event planning process along with meeting several community needs are duly satisfied (Damster & Et. Al., 2006). Benefits, Threats and Risks of Sustainability as a Strategic Issue The various benefits of sustainable development as a strategic issue of any event industry such as the sports event industry include easy hiring of the best talent, higher retention of top talent, increased staff members efficiency, reduced construction costs, reduced commercial sites expenses, increased profit share and reduced risk and making easy investments among others. However, the hiring, retention and productivity benefits are all about people or any individual’s benefits and on the same side reduced expenses at construction as well as commercial sites falls within the environmental benefits of the planet (Williard, 2002). The environmental threats and risks of sustainable development comprise especially of change of climate and natural resources. It has been recognised that the global warmth has increased to a significant level over the last century and has affected all industries including the event industries as well. This climate change factor also brings about the risks that eventually hamper the economic sector of the industries (ILO, 2008). The other significant threat and risk of sustainability development particularly in the event industry lies in the inefficient utilisation of natural resources. After having full examination of the implications of current natural resource constraints, it has been recognised that there lies an increased pressure from the view point of the economic policies. Thus, there is a need to shift to an economic model that values resource productivity much more highly. Collectively, the climate change and natural resources factors are the most significant threats and risks of the industries such as the sports related event industries (ILO, 2008). The combination of ecosystem conservation with land and water administrative functions is very much essential for managing both environmental and agricultural sustainability. In order to manage and ensure the sustainability of the natural resources base, the identification of all investors or financers and their roles and responsibilities are essential to a certain extent. Moreover, water control planning measures should protect and maintain the overall environment integrity in order to manage the sustainability of the industry (Bahuguna, n.d.). The sustainability development can also be managed by implementing sustainable land use planning through various environmental aspects. The local plans in accordance with environmental aspects carry the overall details for control and development of the preservation and enhancement of the natural features. It has been recognised that the structured plans that have been prepared during the late 1980’s and 1990’s, emphasised heavily upon active environmental care and management. The main concern for these plans is to manage and to reduce environmental hampering conditions resulting from rapid economic development which took place during that period (Johar, 2004). The growing culture of corporate sustainability has paved the way for large organizations or industries to become incredibly transparent in their aspirations to move forward towards sustainability. This particular feature eventually facilitates the industries to freely standardise the green progress which creates opportunities and most importantly the companies can achieve their desired business objectives by responding to their green actions and offerings which encourage them to become more possessive towards corporate greenery (Maclean, n.d.). The characteristics of green consumers include in their commitment towards green lifestyles and evaluation along with implementation of their own environmental practices and procedures. Also the features of green consumer comprise seeking for companies that include green performances, influencing their green actions, wanting of better, improved and innovative environmental protection and eagerness to gain knowledge about various environmental issues and also in sustainable development (Ryan, 2006). An environmental audit is a technique that an industry implements in order to recognise the full extent of its environmental impacts, determining whether the company or industry complies with necessary laws and regulations in order to advance its environmental performance. The crucial advantages of conducting such audit include justifying the company’s or industry’s legal and reputation risks, reducing or diminishing operational inefficiencies, advancing the environmental performance along with achieving certification requirements among others. The industries such as the sports event industry must undergo this audit for their future business development (B Corporation, n.d.). From the marketing point of view related with the sports event industries, the sustainable development is a compelling idea for many people. It is mainly concerned with how business can contribute to a few of the most significant challenges that the world faces today from various factors or reasons. Basically, there are certain practical problems or crucial issues that are recognized which marketers relating with sports event industries are confronting today. The problems include developing competitive advantage through brand innovation, building trust with customers and developing market prospects among others. These aspects have been formulated for marketing supervisors of the sports event industries and those people who perform the duties for directing communications along with brand development (Pierce & Madden, n.d.). Moreover, the process of sustainable development along with communication are jointly making way for specific skills and functions in the information and communication departments in a particular company’s marketing team and is also affecting in conventional advertising, communication and public relation activities. In the context of public relations, developed community programmes that involve a particular company or an industry with its sector of activity, eventually engages scientists and experts in discussions with the media (Pierce & Madden, n.d.). According to Global Ecolabelling Network officials, an ecolabel is a label which recognizes overall environmental likings of a product which is based on concerned life cycle processes. Ecolabelling is a type of ecological behaviour labelling which refers specifically to the provision of information to consumers about the relative environmental design of a product (Global Ecolabelling Network, 2004). Climate change itself by dropping emissions have certain vital implications regarding the development of social and economic processes, production and consumption model, employment, incomes and poverty reduction among others. These implications lay the foundation of both major risks and opportunities for decent work in all countries. One of the most visible risks is mainly concerned with food and economic security, particularly in regions and sectors based on agriculture (Global Ecolabelling Network, 2004). In this connection, all aspects of adaptation and of mitigation necessitate new technological and commercial skills. While it has been recognised that the significant potential is required in order to create new employment of adaptation and mitigation measures, generally it has been observed that employment has only featured marginally in the ‘climate debate’ as a co-benefit of mitigation measures. This view describes the fact that the benefits for employment along with development are essential for making many mitigation ways theoretically practicable, financially possible, socially tolerable and politically sustainable (Global Ecolabelling Network, 2004). ‘Carbon footprint’ has become a widely used term or concept in the public debate towards the responsibility and immediate necessary actions against the threat of global climate change factors. The ‘carbon footprint’ sets for a certain amount of gaseous emissions that are applicable for change of climate factors and are associated with human creation or utilisation activities. The advantages of this ‘carbon footprint’ include reducing energy emissions and managing internal or external emissions prevailing within the sports event industry among others (Wiedmann & Minx, 2007). According to Gilbert & Reece, a ‘carbon budget’ is a set quantity of carbon that can be discharged in a given amount of time by performing several activities relating with the environmental impact. The benefits of this ‘carbon budget’ approach includes certain usage of stronger activities in relation towards saving the discharge of greenhouse gasses providing direction, assurances for businesses along with investments in emissions reduction technologies and providing opportunities for emissions trading between sectors of the economy (Gilbert & Reece, 2006). Future Prospects of Sport Event Industry In connection with discussing the future prospects particularly of sports event industry, it can be realised that the Olympic and Paralympics Game which will take place in London in the coming year (2012), certainly will have certain definite, better and innovative future prospect for this industry. By attracting these sort of events around the world, the delegates or the authorities not only bring economic benefits which are very much vital from country’s economic point of view but they also bring global leaders and thinkers in close proximity to share, discuss and learn along with engaging them in their particular fields, the benefits of those can be reaped even after many years (Events Industry Forum, 2011). The sector also delivers extra advantages in its export revenue. Several leading global sport event organizing corporations lead the domain in the improvement of cutting edge, business-to-business and business-to-consumer concern by conducting various sporting event activities. The overall profits that are generated from staging and conducting these sport event activities eventually return significant export income to the particular company (Events Industry Forum, 2011). In the wake of the global financial crisis, media right profits will likely be levelled off, as broadcasters face increased pressure in order to reduce programming costs. The broadcasters found it very much difficult to predict their outcomes because they acquire media rights in multiyear contracts and as a result the full impact of the financial crisis may not be felt for a few particular years. Moreover, selling of tickets and sponsorships can be expected to increase with the reviving economy as the growth in ticket sales and sponsorships is typically tied to macroeconomic factors (AT Kearney, 2011). In lieu of this, even though demand is growing and eventually is becoming higher, offers for sponsored platforms cannot match with this issue. Sponsors will have to scrutinise their sport investments more successfully which is one of the vital issues for the sports event industries towards their smooth progression in the future. The wave of new stadiums around the globe along with the increasing volumes of television contracts and the continued proliferation of sports advertising that continues to soar even as the global economy plans to climb out of recession after quite a few years, are certain positive trends for the future in the industry (AT Kearney, 2011). Therefore, these are certain future trends and projections for sports event industries which eventually can be followed by the event industries in order to achieve their desired business objectives. Conclusion Managing several events by the industry should be enjoyable, successful and rewarding for all involved parties through careful planning and proper implementation of the event activities. For the success of any event, the event industries should take certain important issues with due seriousness like sustainable development, principles of sustainable operations within the event industry along with the various issues while conducting a particular event such as sport event which includes economic externalities, environmental impact and environmental ethics among others. Moreover, the event industries should also focus upon the issues like responsible consumerism acting as a green consumer, environmental management system, proper marketing through communication and public relations, ecolabelling, climate change, mitigation and adaptation, carbon footprints and carbon budgets for successful implementation while conducting a particular event. In this connection, the players of the event industry should work more effectively and efficiently regarding the above mentioned issues along with taking into deliberation the future prospects and the changing trends in order to sustain or survive within the global event management industry. References AT Kearney, Inc., 2011. Market Projections. The Sports Market: Major Trends And Challenges In An Industry Full Of Passion. [Online] Available at: http://www.atkearney.com/images/global/pdf/sports_market.pdf [Accessed December 24, 2011]. Bahuguna, S., No Date. Protecting and Managing the Natural Resource Base of Economic and Social Development. Sustainable Development In India: Perspectives. [Online] Available at: http://envfor.nic.in/divisions/ic/wssd/doc4/consul_book_persp.pdf [Accessed December 23, 2011]. B Corporation, No Date. Definition: What is an Environmental Audit ? Conducting Environmental Audits and Reviews. [Online] Available at: http://www.bcorporation.net/resources/bcorp/documents/B%20Resources%20-%20Environmental%20Audit.pdf [Accessed December 23, 2011]. Bowdin, G., 2010. Events Management. Routledge. Damster, G. & Et. Al., 2006. Event Management: A Professional And Development Approach. Juta and Company Ltd. Events Industry Forum, 2011. The Legacy From Events. Opportunities for Growth in the UK Events Industry: Roles & Responsibilities. [Online] Available at: http://www.businesstourismpartnership.com/pubs/Opportunities%20for%20Growth%20in%20the%20UK%20Events%20Industry.pdf [Accessed December 24, 2011]. Gilbert, A. & Reece, G., 2006. Executive Summary. Developing a Carbon Budget For The UK With Opportunities For EU Action. [Online] Available at: http://www.foe.co.uk/resource/reports/carbon_budgetting.pdf [Accessed December 24, 2011]. Global Ecolabelling Network, 2004. What is “Ecolabelling”? Introduction To Ecolabelling. [Online] Available at: http://www.globalecolabelling.net/docs/documents/intro_to_ecolabelling.pdf [Accessed December 24, 2011]. Harris, J. M., 2000. Sustainable Development: Defining a New Paradigm. Basic Principles of Sustainable Development. [Online] Available at: http://ase.tufts.edu/gdae/publications/working_papers/Sustainable%20Development.PDF [Accessed December 23, 2011]. ILO, 2008. Environmental Challenges to Sustainable Development. Global Challenges for Sustainable Development: Strategies for Green Jobs. [Online] Available at: http://www.ilo.org/public/english/bureau/dgo/speeches/somavia/2008/g8paper.pdf [Accessed December 23, 2011]. International Olympic Committee, 2005. Key Concepts and Issues Concerning Sport and the Environment. Manual On Sport And The Environment. Johar, F., 2004. Implementing Sustainable Land Use Planning. Managing Sustainable Development Through Planning Conditions. [Online] Available at: http://eprints.utm.my/1622/1/MANAGING_SUSTAINABLE_DEVELOPMENT_THROUGH_PLANNING_CONDITIONS.pdf [Accessed December 23, 2011]. Jones, M., 2010. Sustainable Event Management: A Practical Guide. Earthscan. Maclean, No Date. Greening The Way. Responsible Consumerism: A Special Report Produced For Maclean’s By Green Living Enterprises. [Online] Available at: http://www.greenlivingenterprises.ca/media/uploads/greenlvg_macleans_report.pdf [Accessed December 23, 2011]. Meade, J. E., 1973. The Theory of Economic Externalities: The control of environmental pollution and similar social costs. Brill Archive. Pethig, R. & European Science Foundation, 1994. Valuing The Environment: Methodological And Measurement Issues. Springer. Pierce, M. & Madden, K., No Date. Driving Success: Marketing and Sustainable Development. World Business Council For Sustainable Development. Raj, R. & Et. Al., 2008. Events Management: An Integrated and Practical Approach. Sage Publications. Raj, R. & Musgrave, J., 2009. Event Management and Sustainability. Cabi. Ryan, B., 2006. Green Consumers: A Growing Market For Many Local Businesses. Let’s Talk Business. [Online] Available at: http://www.uwex.edu/CES/cced/downtowns/ltb/lets/LTB1106.pdf [Accessed December 23, 2011]. Wiedmann, T & Minx, J., 2007. Introduction. A Definition of ‘Carbon Footprint’. [Online] Available at: http://www.censa.org.uk/docs/ISA-UK_Report_07-01_carbon_footprint.pdf [Accessed December 24, 2011]. Williard, B., 2002. The Sustainability Advantage: Seven Business Case Benefits Of A Triple Bottom Line. New Society Publishers. Yang, T., 2006. The Setting of Environmental Ethics. Towards An Egalitarian Global Environmental Ethics. [Online] Available at: http://publishing.unesco.org/chapters/978-92-3-104039-9.pdf [Accessed December 23, 2011]. Read More