The Olympic Games every year receives support of many organizations and many companies to make it a successful event. The organization that sponsors the event has own mission and vision behind the sponsorship. It is difficult to support such a big event and make it a successful one. The purpose of the report is to explain the ways in which the local and the national business use the Olympic Games to improve their competitive benefits. Finally, it ends with the competition faces in the market.
The main organization that supports the Olympic Games is International Olympic Committee (IOC) (Millington, Rob, and Simon Darnell 2014). The mission of the organization is to support the Olympic Games throughout. The vision of the organization always has been to promote the sports and athletes worldwide. It is one of the oldest organizations and is a non-profitable and non-governmental body. It invests the ninety percent of the profit in Olympic Games. It strictly aims at the promotion of the sports worldwide and in turn, it receives huge revenue from the same. The head office of it is situated in Switzerland. Initially it took lot of pain to gather financial support from different companies and organizations. The first support they received was from the television channel of US to broadcast the game in international television. Mc. Donald was the official partner of IOC. They had worldwide TOP partnership (Olympic.org/the-ioc 2017). They have recently decided to break their contract and this was declared officially by both the parties. The reason by this as claimed by Timo Lumme, Managing Director of IOC Television and Marketing Services was that Mc. Donald was focusing more on the business priorities which was obvious. The IOC was looking for some organizations that would focus more on the objective the game and less on the outcome of the business (Getz et al. 2015).
It is undoubtedly a matter of prestige for the companies to be a sponsor of the Olympic Games. The flashing of the name of the company in the banners and hoardings of Rio Olympic 2016 was a matter of pride for any company. The company invests their money in the sport to increase the market demand of their product. The advertisement of a particular company increases the business of the company as the viewers of the game shows ample amount of interest in buying the products. The official partners of Rio Olympic Games 2016 were Nissan, Bradesco, Correios, NET, Claro and Embratel, Coca Cola, Samsung, Panasonic and Procter and Gamble (Fairfield-Sonn and James 2017).
Nissan motor company is a car-manufacturing brand, which manufactures cars under the name of Nissan. The company has more models like Datsun. They invested in the Rio Olympics 2016, which was held in Brazil. After their investment, they were able to make much profit from this. The Olympic Games served as a beneficial means to achieve their business goals. The broad telecast of the episodes of the game convinced the audience on the other part of the television to buy their product. The sale reportedly increased. The increase of the sale indirectly increased the revenue and the profit of the company. Therefore, the investment done by Nissan turned out to be a fruitful one (Nissan.in 2017).
Mc. Donald is restaurant, which has branches everywhere. It can be termed as a chain business and therefore has outlets almost in all countries. Mc. Donald and IOC ended the contract of partnership between them. It was unable to get much profit from the advertisement and prioritized the outcomes of the business more. This was obvious on their part but the marketing and advertising head of IOC claimed that since IOC was completely a non- governmental and non-profitable organization, their focus was just to promote the sport and not any business. This was the main reason of the end of their partnership (Mcdonalds.com.br 2017).
Bradesco has remained as one of the organizing committee sponsor of Rio Olympics 2016. The company has hosted many campaigns and TV shows where it requested the mass to keep their eyes on the Olympic Games 2016, which was supposed to be held in Brazil. The journey of Bradesco and Olympics started in the year 2010. They now have become one of the top most sponsors of this international game and they are successfully supporting Olympics.
Claro has been one o the leading wireless internet service providers in America. Claro is inviting the mass to subscribe and watch the Olympics through their internets and promote the same. Claro made a lot of financial benefit from their investment. Until today, Claro is successfully sponsoring in the Olympic Games (Claro.com.br 2017).
Embratel points out the services it has provided to the different games held in the Olympics, including enhancement of Rio’s optical fiber system and providing SIM cards to all the participants in the game and different workers of the Rio 2016 committee. The site also shows a video from Emmanuel Rego, former Brazilian Olympic beach volleyball gold medalist and part of the Embratel Olympic team. It states the way the company is trying to support to make the experience of Olympic games a better one rather a best one for all the viewers, players, the employees and the volunteers of Rio Olympic Games 2016 (Embratel.com.br 2017).
Many other companies served as USOC Sponsor and the TOP sponsors. Sponsoring in the game like Olympic Games is really a prestigious matter. The investment done by the companies gives them benefits but sometimes situations are reverse. Few companies through offering sponsorship are able to meet profits in the market. The revenue of the company increases. The company in maximum times is able to increase the competition for the competitors. Olympics are having international followers. The organizing committees are able to grab the international markets and huge amount of customers. This is the biggest advantage enjoyed by the investing organizing companies. In future, it is hoped that more and more companies will come forward to support this international annual venture.
Claro.com.br (2017). Site Oficial da Claro - Vem ser gigante. [online] Claro. Available at: https://www.claro.com.br/ [Accessed 12 Sep. 2017].
Embratel.com.br/ (2017). Soluções em Conectividade, Segurança, TI e Mobilidade | Embratel. [online] Embratel.com.br. Available at: https://www.embratel.com.br/ [Accessed 12 Sep. 2017].
Fairfield-Sonn, James W. "Hosting the Summer Olympic Games: Impact on Global Cites and International Business." The Journal of Applied Business and Economics 19, no. 2 (2017): 35.
Getz, Donald, Darlene MacDonald, and M. Parent. "THE SPORT EVENT OWNERS’PERSPECTIVE." Routledge handbook of sports event management (2015): 136-262.
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Nissan.in (2017). Nissan India | SUV, Sports, Commercial, and 4X4 Vehicles. [online] Nissan. Available at: https://www.nissan.in [Accessed 12 Sep. 2017].
Olympic.org/the-ioc (2017). IOC - International Olympic Committee. [online] International Olympic Committee. Available at: https://www.olympic.org/the-ioc [Accessed 12 Sep. 2017].