The economic impact of the 2003 cricket world cup on Potchefstroom|

Abstract

It was the purpose of this study to determine the economic benefits of the 2003 Cricket World Cup for the host community, through analysing the spending patterns of local residents, non-residents and local businesses. In the context of sport event tourism, economic impact is defined as the net economic change in a host community that results from spending attributed to a sport event or facility. The purpose of an economic analysis is to measure the economic benefits that accrue to a community, region or country (Fayos-Sola, 1997:242). In order for a country or community to benefit from a sport event such as the Cricket World Cup, leakages need to be determined and minimised. Saayman ed. (2001:107) has divided leakages into three categories, namely: * Imports; * Savings ratio, and * Taxes and subsidies. Questionnaires were distributed during the three matches played in Potchefstroom. A systematic random sampling method was used to determine the size of the sample. The questionnaires were distributed during the following three matches: 12 February 2003 South Africa vs Kenya (A); 20 February 2003 - Australia vs Holland (B); and 27 February 2003 - Australia vs Namibia (C). The methodology consisted of two different types of questionnaires, namely a visitor questionnaire and a business questionnaire. 965 questionnaires were distributed among the tourists and 40 among businesses. The questionnaire covered aspects such as the average spending of different age groups and the amount of leakages that occurred during the event. The total spending during the event was calculated at R5.3 million. The spending in Potchefstroom after the first round of leakages (sales of imported goods) was R2.8 million. The study showed that more involvement from both businesses and the community could minimise the leakages and thus enhance the economic impact of the event in Potchefstroom. Events must be held to attract more international tourists, who will generate more money for the North West and particularly, for Potchefstroom's economy.