The Financial Evaluation Research Of Large-scale Sports Events

With the national economy and the consumption of people growing rapidly and smoothly, the sports competitions are become more and more frequent and their effect is more and more wide. It's an important content of life for people to pay attention and participate the sports. As an important part of sports industry, sports activities also promote and influence greatly the development of local economy. International sports events have become the completion of numerous countries and regions since the 23rd Los Angeles Olympic Games had been holden successfully in 1984.The important influence and impetus on the economic of large sports events have been paid attention highly by governments, enterprises and the academic at all levels. The intrinsic value of the physical and long-term fitness value have been known by most people, whose economic and social benefits are more and more attached importance by all circles of the society. On the one hand, every country tries to make the society support the sports, on the one hand, it anticipates to the social benefits and economic benefits by the competitions of organizations. It had been proved that it could bring huge economic benefits and intangible value for the host cities and countries, which held large international sports competitions.The Olympic had made itself fallen into the famous "Montreal" trap, held in Montreal in 1976 which consuming huge amounts of money, then if it is not a business genius Ueberroth used his business plan saved Los Angeles Olympic Games, there would no body knows that the Olympic Games can make money and perhaps the modern Olympic has an uncertain future. Subsequently, Seoul, Atlanta and Sydney have been tired by the increasingly large size Olympic Games, which cost a lot and were faced with waste for the low utilization,as well as the Olympic village became uninhabited which had been caused a sensation at the beginning. The host city even the country's people had to hold these "useless things" by more tax debt bondage. Although many scholars such as Taoye of Beijing Management Institute analyzed the data of the recent Olympic Games. It believed that the recent Olympic Games have ended up the situation of income over expenditure on the whole, and it brings enormous economic benefits to the host country and the region as well as the large-scale events can stimulate the investment and consumption demand of the host country. It could become the economic boosters of the city and region by the new investment and the multiplier effect of investment.This paper summarized the main content, basic program and evaluation criteria of the financial evaluation of large-scale sporting events by approaching the basic theory and basic methods of project finance appraisal. By studying the nature ownership and features of major sports events, it integrates the various factors and makes a financial evaluation of major sports events.The whole paper is divided into five parts. The first one raise the dynamic factor about the financial evaluation research of large sport events and defines some related conceptions. The writer analyses the relationships between the big sport events, which lays the foundation of concept for following research.The second part uses the Capital time-value theory, investment risk--value theory, sport events life cycle theory and investment decision theory as the basic theory to research the large sport events. Also it provides the methods and procedures to pursue financial evaluation of large sport events.The third part mainly conducts financial evaluation of sport events, which combined with large sport events feature.The last part takes national games as an example and applies the financial evaluation research of large sport events in it, and then draws the conclusion.