6 in 10 businesses snub sporting events

These businessmen are neglecting 391m potential clients.

In a research by the Grant Thornton International Business Report, it was revealed that 41% of businesses here give the thumbs up when asked about the importance of hosting major sporting events in terms of attracting investment.

Here's more from IBR:

IBR is a survey of both listed and privately held businesses. The data for this release are drawn from interviews with 3,000 businesses from all industry sectors across the globe conducted in May/June 2012. The target respondents are chief executive officers, managing directors, chairmen or other senior executives.

According to the survey, businesses in emerging markets most value the ability of big sporting events to attract investment to their economies, whilst counterparts in developed economies view them as less important. As a result, developed economies must work hard to maximise the economic opportunity these events present and win support from businesses.

It is well known that apart from national pride, home advantage can improve the medal haul from major sporting competitions but the IBR research shows that it can also bring in additional investment. Aw Eng Hai, a partner of Foo Kon Tan Grant Thornton LLP said, “Holding a major sporting event gives an emerging and developing economy a global shop window, allowing it to present and market what it has to offer to a massive worldwide audience.

At home, the success of the first ever F1 night race has showcased Singapore on the global stage in a way never before. The spin-offs on additional tourism receipts amounted to $560m plus other intangibles such as putting Singapore on the global viewership of more than 391 million viewers.

This augurs well for Singapore. The sports market in the Asia Pacific is booming and with Singapore’s ambition to be Asia’s city for sports and in the business of sports there is no better time than this for companies engaged in the sports scene. The sports industry is expected to contribute S$2bn to Singapore’s economy by 2015 and create job opportunities for 20,000 people. On a country level nearly half (41%) of Singapore private businesses believe that hosting major sporting events brings economic benefits. Neighbouring Malaysia (42%), Philippines (54%) and emerging market India taking pole position at 63%.