Sports Industry Experience 2

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Sports Industry Experience 2

Leisure Provision

The provision of sports facilities and opportunities in Britain is the result of the interaction between the public, private and voluntary sectors. All 3 sectors provide different, yet when looked at closely, similar services.

Public Sector

Public sectors are defined as "institutions funded by money collected from the public in the form of direct or indirect taxes - community charges, income tax, business taxes, VAT on spending and National Insurance" (Stafford-Brown J, et al 2000). Public sectors provide facilities and opportunities for the public, but it is subsidised by the local government. The local government/authorities aid them with funds, usually a grant, which is their budget for the year. This grant has to include all aspects of running the facilities i.e. heating, wages and maintenance. Their aim is to break even rather than make a profit. The facilities in public sectors usually come at a cheaper price than private sectors as their market is everyone of all ages and therefore their facilities are not as highly maintained as they would be in private sectors. Examples of public sectors are Cascades Leisure Centre and Fairfield Pools.

Private Sector

Private sector sports facilities are provided by individuals or a partnership and are usually ran by a consortium. These individuals (or companies) invest their own money into the facilities. As a result these facilities are usually named after someone e.g. David Lloyd, or brand names such as Virgin. The newest and most upcoming form of private sector companies within sport are football clubs. Football clubs are now big money investments that have the potential to be very successful businesses. The influence of Roman Abramovich is just one example. The private sector provides sports facilities for two main reasons:

. to make a return on their investment for themselves and their shareholders

2. to make a profit out of sport

Private sectors are all about MONEY and profit, despite the fact that some people have claimed that private sectors are there to improve standards of sport or improving the community the facilities are in.

The private sector provides for sports increasing in demand. It is able to respond quickly to new trends or start new trends themselves. Government owned facilities (public sector) find it takes them a lot longer to respond to trends as they have a much tighter budget and it is a long process to secure the funds. The private sector provides facilities where they can attract a large number of customers or more exclusive facilities where they can attract fewer customers, but charge them more. A lot of private sectors pride themselves on excellent customer service, ensuring customers feel welcomed whilst using facilities and being made aware of personal trainers should they need one. Also facilities are excellent, equipment is up to date and well maintained a well as bath robes and shower gel being provided. Private sector companies like to ensure every customers needs are met. The areas that private sectors are involved in are:
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=> Active sports - tennis, golf, health and fitness suites, snooker and pool and water sports

=> Spectator sports - stadiums for football, rugby, tennis, cricket and golf. Football is by far the most popular spectator sport

=> Sponsorship - this has risen from £129m in 1985 to £285m in 1995

The role of the private sector can be well summarised by this quote from George Torkildsen (1991): "The major difference between the commercial operator and the public or voluntary operator is the raison d'être of the business, the primary objective of the commercial operator ...

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