STHM 1113 Lecture Notes - Lecture 3: Crossfit, Season Ticket, Location, Location, Location
3 May 2018
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• Leisure: A Different Business
◦ Think about these 2 questions
▪ Why the leisure industries?
▪ After manufacturing (9%), there is over 91% of money to be invested
▪ Leisure is an excellent area
▪ Over $2 trillion spent in the US alone on leisure
▪ Only 3% comes from public sector. Most is personal/private
▪ Why are the leisure industries different?
▪ Leisure is a choice! No one has to do it! Many alternatives!
▪ Gain an upper hand in the industry not through traditional principles
▪ Product may not be in demand, but quality and attractive products can
create demand
◦ Manufacturing Types in the US
▪ Food, beverage, tobacco, textiles, clothing, paper, machinery
◦ Leisure in the US
▪ Dining out accounts for nearly 50% of the leisure industry
◦ Sports Industry
▪ Overall sports industry is worth $470 billion
▪ MLB: 6.8 billion
▪ NFL: 8.8 billion
▪ NBA: 3.7 billion
▪ NHL: 3.4 billion
◦ Bureau of Labor Statistics
▪ Arts, Entertainment and Recreation Sector
▪ Includes a wide range of establishments that operate facilities or provide
services to meet varied interests of their patrons
▪ Compromises:
▪ Establishments that are involved in producing, promotion, or
participating in live performances, events, or exhibits
intended for public viewing
◦ No One Has to Do It
▪ Food, housing, and transportation are must haves
▪ Leisure: The Reality of Substitution
▪ Always a choice and most passive choices are most popular
▪ Dining out, reading, BBQ, playing cards, watching TV = cheap and
accessible
▪ Many, many alternatives, including doing nothing at all
▪ Traditional Supply and Demand Economics don’t apply
▪ Need to create a market first
▪ You have to convince people to want the product
▪ Appeal is essential
▪ Failure rates are common and high
find more resources at oneclass.com
find more resources at oneclass.com
Document Summary
Why the leisure industries: leisure: a different business. After manufacturing (9%), there is over 91% of money to be invested. Over trillion spent in the us alone on leisure. Gain an upper hand in the industry not through traditional principles. Product may not be in demand, but quality and attractive products can. Dining out accounts for nearly 50% of the leisure industry. Includes a wide range of establishments that operate facilities or provide services to meet varied interests of their patrons. Establishments that are involved in producing, promotion, or participating in live performances, events, or exhibits intended for public viewing. Always a choice and most passive choices are most popular. Dining out, reading, bbq, playing cards, watching tv = cheap and accessible. Many, many alternatives, including doing nothing at all. You have to convince people to want the product.
