The Economic Impact of a Major Sports Event : An analysis what effect the FIS Alpine Ski World Cup in Levi, Finland has on the local economy

Abstract: AimThe aim of this study has been to determine the economic impact on the local economy of a large scale international sporting event, namely the FIS Alpine Ski World Cup in Levi, Finland. In addition, it seeks to investigate the regional origins of visitors to the event and the relationship between residence and expenditure. Method The methodology consisted of two key stages: the estimation of visitor expenditure and the calculation of the economic impact of this. Information about visitor expenditure and background was collected by survey on site during the event. This has been additionally completed with interviews with key persons associated with the event concerning organizational and infrastructure spending. Results The results of the survey indicate that the event gives a direct boost of an estimate of six and a half million Euros to the local economy. When taking into consideration the tourism multipliers for the area the total economic impact of the event ranges between 7,5 and 9,5 million Euros. Additionally the results also point out a clear relationship between the residence and expenditure of the event visitors. Conclusions The results of the economic impact can be used by the Organization Committee as a tool to show and justify future investments with public funding. Additionally the background and origins of the attendees gives a great deal of information for the people behind the marketing and sponsorship strategies. Further studies regarding the calculation of specific factors within economic impact studies would though be greatly needed.