Sport Governance Exam 2 – Study Guide, Practice Questions & Exam Review
Different types of general environment: Economic - correct answer ✔✔The general economic
conditions in which a sport organization operates (whether publicly or privately owned), the
system of banking in the country where the organization operates, fiscal policies, and patterns
of consumption are all components of the economic sector of a sport organization's general
environment.
Example: The recession and financial crisis that began in mid 2007 influenced professional
sports leagues in North America. Attendance and franchise values declined, and a few teams
experienced financial problems.
Different types of general environment: Political - correct answer ✔✔The prevailing political
situation, the extent to which political power is concentrated, and the ideology of the party in
power are all factors that can influence a sport organization.
Example: Amid the Bahraini uprising in 2011, human rights protesters called for a boycott of the
Bahrain Grand Prix (F1). The 2011 Bahrain Grand Prix was then cancelled due to security and
safety concerns surrounding the protests.
Different types of general environment: Sociocultural - correct answer ✔✔Sociocultural factors
that can influence a sport organization include the class structure of the social system; the
national, regional, and local cultures in which the sport organization exists; trends in consumer
tastes; and the sporting traditions of the area in which the organization is situated.
Example: The topic of diversity and inclusion has received increasing attention in sports. The
U.S. Women's National Soccer Team filed a gender discrimination lawsuit against U.S. Soccer
Federation towards fighting for equality in women's sports.
Different types of general environment: Legal - correct answer ✔✔The type of legal system
within the country where the sport organization operates, the jurisdictions overseen by various
,levels of government, and the existence of laws covering such areas as taxation, unionization,
and the regulation of organizations all constitute the legal conditions affecting a sport
organization.
Example: The antitrust exemption, first granted by an appeals court in 1922 and then
unanimously affirmed by the U.S. Supreme Court, holds that MLB is exempt from the Sherman
Antitrust Act because it was a state-centric business and not subject to federal commerce laws.
Different types of general environment: Demographic - correct answer ✔✔The type of people
to whom a sport organization directs its products or services; changes in population
distributions; and the age, gender, racial, ethnic, and class composition of the population can all
influence the organization
Example: The changing demographics in Canada and through an audit of how sport
organizations are innovating to integrate the rising number of immigrants into sport indicate
that the "new Canadian" population should be a consideration of sport organizations across the
country.
Different types of general environment: Ecological - correct answer ✔✔Sport organizations
depend on their physical surroundings for success. Weather conditions can affect the staging of
sport events and the operation of facilities. Growing concerns about the total ecological system
have encouraged sport organizations to pay attention to how their activities influence the
natural environment.
Example: For the Olympic downhill track in the 2018 Olympic Games in Pyeongchang, tens of
thousands of trees (which had been there for more than 500 years and served as a refuge for
protected animal species) had to be cut down. The activists call it a "chainsaw massacre."
Different types of general environment: Technological - correct answer ✔✔All sport
organizations are affected by technological development that may improve production or
service, so they must monitor constantly any technological developments that could change the
nature of the industry in which the sport organization is involved. Technological developments
, may also lead the sport organization to engage in new activities or approach existing activities in
different ways.
Example: Professional sport stadia are increasingly using advances in augmented and virtual
reality technology to create personalized customer experiences.
Task Environment - correct answer ✔✔A sport organization's task environment is made up of
those aspects of its general environment that can influence the organization's ability to achieve
its goals. Typically included in a sport organization's task environment are such groups as
customers, members, fans, staff, suppliers, competitors, and regulatory agencies.
Sport for development - correct answer ✔✔The use of sport as a tool to drive social impact
goals and address development issues within a society(1) Promoting the values of sport :
physical health, hard work, sportsmanship, etc.(2) Using sport as a platform of promoting
important values in life: equality, social inclusion, environment, peace, economic development,
sustainability, etc.
Opportunity to participate in sport: "sport and play are basic human rights" -United
NationsPhysically active lifestyle vs. Obesity
Racism, Gender equality, Social inclusion, Disease, Environment, Areas of Sport for
Development activities•, Poverty, •Peace, •Education, •Human rights•, Communication•, Youth
examples: Outreach Programs and Community service.
CSR - correct answer ✔✔A commitment to improve community well-being through
discretionary business practices and contributions of corporate resources A concept in which
companies integrate social, economical and ecological concerns into business operations and in
interaction with their stakeholders on a voluntary basis Going above and beyond legal
expectations
Different types of general environment: Economic - correct answer ✔✔The general economic
conditions in which a sport organization operates (whether publicly or privately owned), the
system of banking in the country where the organization operates, fiscal policies, and patterns
of consumption are all components of the economic sector of a sport organization's general
environment.
Example: The recession and financial crisis that began in mid 2007 influenced professional
sports leagues in North America. Attendance and franchise values declined, and a few teams
experienced financial problems.
Different types of general environment: Political - correct answer ✔✔The prevailing political
situation, the extent to which political power is concentrated, and the ideology of the party in
power are all factors that can influence a sport organization.
Example: Amid the Bahraini uprising in 2011, human rights protesters called for a boycott of the
Bahrain Grand Prix (F1). The 2011 Bahrain Grand Prix was then cancelled due to security and
safety concerns surrounding the protests.
Different types of general environment: Sociocultural - correct answer ✔✔Sociocultural factors
that can influence a sport organization include the class structure of the social system; the
national, regional, and local cultures in which the sport organization exists; trends in consumer
tastes; and the sporting traditions of the area in which the organization is situated.
Example: The topic of diversity and inclusion has received increasing attention in sports. The
U.S. Women's National Soccer Team filed a gender discrimination lawsuit against U.S. Soccer
Federation towards fighting for equality in women's sports.
Different types of general environment: Legal - correct answer ✔✔The type of legal system
within the country where the sport organization operates, the jurisdictions overseen by various
,levels of government, and the existence of laws covering such areas as taxation, unionization,
and the regulation of organizations all constitute the legal conditions affecting a sport
organization.
Example: The antitrust exemption, first granted by an appeals court in 1922 and then
unanimously affirmed by the U.S. Supreme Court, holds that MLB is exempt from the Sherman
Antitrust Act because it was a state-centric business and not subject to federal commerce laws.
Different types of general environment: Demographic - correct answer ✔✔The type of people
to whom a sport organization directs its products or services; changes in population
distributions; and the age, gender, racial, ethnic, and class composition of the population can all
influence the organization
Example: The changing demographics in Canada and through an audit of how sport
organizations are innovating to integrate the rising number of immigrants into sport indicate
that the "new Canadian" population should be a consideration of sport organizations across the
country.
Different types of general environment: Ecological - correct answer ✔✔Sport organizations
depend on their physical surroundings for success. Weather conditions can affect the staging of
sport events and the operation of facilities. Growing concerns about the total ecological system
have encouraged sport organizations to pay attention to how their activities influence the
natural environment.
Example: For the Olympic downhill track in the 2018 Olympic Games in Pyeongchang, tens of
thousands of trees (which had been there for more than 500 years and served as a refuge for
protected animal species) had to be cut down. The activists call it a "chainsaw massacre."
Different types of general environment: Technological - correct answer ✔✔All sport
organizations are affected by technological development that may improve production or
service, so they must monitor constantly any technological developments that could change the
nature of the industry in which the sport organization is involved. Technological developments
, may also lead the sport organization to engage in new activities or approach existing activities in
different ways.
Example: Professional sport stadia are increasingly using advances in augmented and virtual
reality technology to create personalized customer experiences.
Task Environment - correct answer ✔✔A sport organization's task environment is made up of
those aspects of its general environment that can influence the organization's ability to achieve
its goals. Typically included in a sport organization's task environment are such groups as
customers, members, fans, staff, suppliers, competitors, and regulatory agencies.
Sport for development - correct answer ✔✔The use of sport as a tool to drive social impact
goals and address development issues within a society(1) Promoting the values of sport :
physical health, hard work, sportsmanship, etc.(2) Using sport as a platform of promoting
important values in life: equality, social inclusion, environment, peace, economic development,
sustainability, etc.
Opportunity to participate in sport: "sport and play are basic human rights" -United
NationsPhysically active lifestyle vs. Obesity
Racism, Gender equality, Social inclusion, Disease, Environment, Areas of Sport for
Development activities•, Poverty, •Peace, •Education, •Human rights•, Communication•, Youth
examples: Outreach Programs and Community service.
CSR - correct answer ✔✔A commitment to improve community well-being through
discretionary business practices and contributions of corporate resources A concept in which
companies integrate social, economical and ecological concerns into business operations and in
interaction with their stakeholders on a voluntary basis Going above and beyond legal
expectations
