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Business Lessons for Africa from FIFA

110

June 16-30, 2018

Football is mind gripping entertainment cutting across age groups and geographies. It is also a multi-trillion industry. The ongoing FIFA (Federation of International Football Association) 2018 tournament has created an unprecedented frenzy and enthusiasm among Africans, who are glued to the television sets, irrespective of the different time zones. Does an average African know the commercial value of the game they keenly watch in the confines of their homes or with the community. While they are cheering their home teams or players they like, they are little aware of the money that is being generated every minute of the play.

The statistics is revealing. The 2007 FIFA World Cup held at South Africa grossed at US$ 3.65 billion, whereas Brazil’s tournament held later generated a tidy sum of US$ 4.83 billion. In its wake, these countries created   huge infrastructure like stadiums, hotels, state-of-the-art accommodations and facilities for the players, managers and others. Resources generated mostly through selling TV and marketing rights, gate collections, tourism etc can be mind boggling. The edifices created during the tournament remain as national assets and if properly used, can generate further income by leasing them for public events. If no such things happen, they provide citizens much needed recreational facilities, for which one cannot put a price tag.

Africa’ contributions to football frenzy or for that matter for the sports world, at large, are immense. Region’s teams (more than half a dozen) and players, including those who play for non-African teams, may be non-marquees, as compared to Latin American or European ones. Yet, their contributions to the football, cricket, basketball, tennis, baseball, rugby and what have you, are significant.   For instance, the Williams sisters in tennis, world-renowned footballer Pele etc might have represented other countries. But they are all glowing examples of African pride. Legacy handed over by Africans and people of African origin, over generations, are scintillating and inspiring. Those include great names from all disciplines of sports and games:  Jack Johnson, Muhammad Ali, Michael Jordan, Carl Lewis, Pele, Usain Bolt and Tiger Woods, to name a few. Their contributions are etched in golden letters and would remain so in the sports history. They represent evolution of speed, physical strength, hard work, discipline and perseverance.

The sad commentary is that Africa or Africans cannot cash on their inherent strengths. It is others, who commercially exploit their physical attributes by marketing them for fast bucks. It is almost like the coffee beans, cocoa, maize or barley grown in Africa.  They are harvested and transported elsewhere to value add and market, denying the home country the advantages of nurturing the crops grown in the backyard.

Africa should work out plans to make use of their inherent strengths in  sports and games not only for proliferating the world class talents but also showcasing them to the world and to derive the maximum commercial values of that home grown wonder boys and girls. How many known tournaments and sports events are there in Africa? Not many.  Its people have to cross continents to get exposure and recognitions. It is time Africa holds international events on sports and games, for which the TV and marketing rights can be sold in billions, like what Wimbledon, FIFA or Indian Premier League (IPL) are doing to make money from the games. Those resources should be used for development of the region by building world class infrastructure, civic facilities, stadiums, besides grooming up the generation next for both physical and cerebral activities.

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