An International Sports Event Atlanta 1996 The 1996

An International Sports Event: Atlanta; 1996

The 1996 Olympic Games • The 1996 Olympic Games were the first to be used for economic development, and in economic terms, were a huge success. • The games were funded solely with private money, largely due to the ability of the Atlanta business community to see the economic implications of attracting the Games. • It should be noted, however, that despite economic success, there were criticisms about the way the Games were run, mostly concerning the widely distributed Olympic sites and transport problems.

Using The Games The Atlanta Olympiad had a clear purpose beyond the that of sport and its organisers intended to use the Games to… • • Attract new business. Help economic regeneration. Act as a catalyst for inner-city regeneration. The organisers held to the ideal of economic development.

The Aftermath • By the end of the Games, 18 new companies had been formed in the city, creating 3100 jobs. • One of the Games’ great achievements was to stimulate investment in infrastructure which would otherwise have been deferred. • For example, the airport was redeveloped comprehensively. • Extra facilities were gained by the Georgia State university and the Georgia Institute of Technology, home of the Olympic Village.

The Aftermath • Since he Games, new housing has been built close to the former Olympic Village and old industrial buildings have been converted or gentrified into “loft” spaces, resembling some of the trendiest areas of New York but on a sale of about onethird of the cost. • Thus the downtown area has been partly redeveloped by the construction of sports facilities. • One of the most successful attractions in the city centre is the Centennial Olympic Park, the largest new urban park to be opened in the USA since 1945. • The 10 ha park, which cost $57 million, replaced a scattering of unsightly parking lots and mostly run-down buildings in the heart of downtown Atlanta.

Regional Economic Development • Atlanta used its status as an Olympic City to attract new business set-ups and relocations. • For example, in 1994, 223 companies moved to the Atlanta Metropolitan area, with a further 260 locating in 1995. • The same pace continued in during 1996 and then slowed slightly. • The city was a popular choice for relocation and expansion even before it was awarded the Games.

Regional Economic Development • Most investors in the South of the USA go there because Atlanta is the predominant place in the region. • The city’s location within 2 hours flying time of 80% of the population and its excellent transport infrastructure are its two main attractions. • Also, Atlanta’s telecommunications capacity, especially in the wake of the Olympic-related digital and fibreoptics developments, exceeds that of any other US city. • Finally, land prices in Atlanta are lower than in cities such as New York and Los Angeles.

Advantages Of Hosting The Olympics • Prestige. • It is considered an honour to host the event and if the Games are a success the host city gains a reputation. • Economic “spin-offs” such as trade and tourism. • It unites the country and gives a sense of pride. • It gives a boost of sports facilities and other facilities. • Cities build or improve facilities to host events. • The event may generate a profit through sales of radio and TV rights, tickets and merchandise, as well as spending in hotels and restaurants etc.

Disadvantages Of Hosting The Olympics • There may be financial problems. • Montreal made a loss of over $1 billion in 1976 and the debt took years to pay off. • Some events attract terrorists such as the shooting of Israeli athletes at the 1972 Munich Olympics. • A large number of visitors puts a strain on hotels, transport , and water supplies etc. • Large events are security risks due to the international television coverage they are now prime terrorist targets. • If an event does not do well, the host country’s image suffers. • The host will have difficulty attracting other events in the future.

Activity 1. What are the economic benefits of the Olympic Games to a country? 2. Does hosting the Olympic Games offer more advantages or disadvantages to a country both short and long term? 3. What can be considered as the human/social disadvantages of a country hosting the Olympic Games both before and after the event?