Economic and social yield of investing in a sporting event: sustainable value creation in a territory

Abstract

Sporting events are a stimulant for the economy and for improving social benefits. This paper aims to estimate a sporting event’s economic and social impact through input–output tables and cost-benefit analysis methodologies. Tangible and non-tangible impacts, such as health benefits and the value of the host city’s tourism image are investigated. Using data collected from the MedSailing event in 2019, the results show a positive return from every euro invested in the sporting event both economically and socially. Additionally, the results related to the media impact of the sporting event are shown. A single figure of net returns to society enables policymakers to assess the social value of the investment itself and make decisions that improve the economic development of the territory.