World Cup 2010 Business Boom or Business Doom?
Posted by Shannon Suetos on June 21, 2010 in Business News [ 0 Comments ]
As the 2010 World Cup completes its first full week of action, the tournament has captivated audiences around the world. Upsets such as Switzerland over Spain, and Mexico over France has only fueled the fire of fans and businesses world wide. The economy may not be as bad as it seems with 130,000 of the 2.8 million match tickets being sold in the continental U.S. With airfare ranging from $1,500 to $4,000 to South Africa, it an event like this is good for the economy world wide.
One sign given every four years is an increase in retail sales nationwide. Merchandiser Chicago Soccer, reports in past World Cup years they have seen a 20% increase in sales. Globally, international online publishing company Play LA, Inc. has reported that same sports web traffic for the first 5 months of the year is up 89% over the same period last year.
It’s safe to say, local bars nationwide are also seeing an increase in business as people gather together to watch the games–but is that always good for the companies who employ them? Fortune Magazine’s Andy Serwer suggests that made be a cause for a decrease in business’ profitability during the World Cup as people’s celebratory activities causes them to be less productive during the day or miss work entirely. He specifically cites an article that states the UK expects to miss out up to £1 billion in worker productivity.
Overall the World Cup is great, it attracts audiences of all ages from all over the globe, it can temporarily cease civil unrest during a country’s match and it’s just plain fun to watch. Whether or not it’s good for the economy, well I guess that would depend on who you ask.
Patrick Kelly is an expert writer based in San Diego, California. He writes extensively for an online resource that provides expert advice on purchasing and outsourcing decisions for small business owners and entrepreneurs.