Soccer: Just a game or a real Business - Essay Example

Research Question Is soccer just a game or a huge business investment? Hypothesis Soccer has been recognized as one of the most popular sport whichhas worldwide appeal and has extensive fan following. The growing popularity of the sport can be gauged from the fact that it has ‘more than 240 million registered players with fan participation in billions’ (Kupor, 2002). FIFA, the international governing body of the sport was founded in 1904 in Paris and conducts world cups and other such international events of soccer across the world.

The soccer matches generate tremendous public support and following which often culminate into mass hysteria of violence. World Cup of 1986 is a case in point which would be remembered for its bloody trail of deaths and manic reactions of its fans in Germany. On the other hand, soccer has become a big investment for the countries, individuals and clubs. The sponsorship of the world cups and matches between the various clubs, having popular players like Beckham, Renaldo, Maradona etc. become events which are much sought after because of the huge financial benefits and revenues.

The countries like Brazil, Italy, France, Germany, UK etc have soccer clubs which boasts of some of the great soccer players, whose individual endorsements itself go in millions! The matches between the clubs, having renowned players, draw massive crowd, generating huge revenues. The mass hysteria during the matches is testament to the popularity of the sport and the cascading effect of revenues, provides the game with a unique business potential that is increasing becoming more attractive for the business magnates and big corporate houses across the world.

Since the sport is directly linked with people, the business aspect of the game has become a smart investment move, especially when it can, not only provide host nations with significant amount of revenue but also facilitate great business opportunity for entrepreneurs and associated business linkages. Soccer, therefore, seems to have transcended the boundary of mere sports to embrace the business world with a bang. Apart from international events like world cup, the players too, have started looking at soccer as major business opportunity and play for clubs that offer them the maximum financial remunerations.

Manchester United, Chelsea club of English Premier League are few of the clubs that have star soccer players in their team who are paid millions annually, so one can only guess at the enormous revenues that the clubs must be generating during the season. According to an article in Business Reference Services, ‘In looking at FIFAs revenue growth, in 1989 FIFAs revenue totaled nearly CHF 10 million; by 1997 it had increased to CHF 33 million. After that period, revenue jumped to CHF 389 million in 1998 and to CHF 963 million in 2002.

This growth was due to TV rights and marketing for the World Cup. The average total wages and salaries cost per European Premier club in 2002/03 was £38 million (US $67 million)’ (BERA1, issue 3/4). Hence, looking at the statistics, it can be observed that soccer matches have much more at stake than mere ‘sporting’ outcome. The soccer matches are being played for more stake and financial ramifications of the sports are increasing becoming crucial aspect of the game. Soccer indeed has gone beyond the realm of sport and has turned into business investment.

ReferenceKupor, Simon. (2002). ‘The World’s Game is Not Just a Game’. The New York Times. Available from: [Accessed 10 January, 2009]. BERA. (2005). ‘Business of Soccer’. Available from: [Accessed 10 January, 2009].