Every participant in the “Olympic Economy” chain was affected to varying degrees because of this delay, and everyone had to re-plan.
Unlucky seems to always be Japan.
In history, three Olympic Games were cancelled due to war, including the Tokyo Olympic Games in 1940. Prior to that, no Olympic Games had been cancelled or postponed for reasons other than war, and Tokyo became the first.
On March 24, Japanese Prime Minister Shinzo Abe and IOC President Bach reached a consensus that the 2020 Tokyo Olympics will be postponed, but no later than the summer of 2021. After crushing the steel teeth for several days, the Tokyo Olympic Organizing Committee made a compromise in the severe epidemic situation.
According to foreign media estimates, since the successful bidding for the Olympic Games in 2013, the Japanese government has invested a total of US $ 25 billion. The Japanese government has always hoped that the 2020 Tokyo Olympics will bring about a second take-off to Japan’s economy like the 1964 Tokyo Olympics. But all this started to become unpredictable because of the postponement of the Olympic Games.
The Olympic Games were delayed and the whole body was affected. Every participant in the “Olympic Economy” chain has been affected to varying degrees because of this delay. From brand sponsors, broadcasters, equipment suppliers, even travel companies and beverage manufacturers, everyone has to start again. planning.
No one is spared
Beginning in mid-March 2020, the Tokyo Olympic Games will be posted on Weibo almost daily.
As the CEO of Fengke Sports, a sports travel & marketing company, Wang Yang will be nervous about the news of the Tokyo Olympics every day. Although he had a high probability that he would be delayed, the moment the news was confirmed, he was still a bit lost.
“Almost half of the 5 million invested in the previous period cannot be returned, mainly including ticketing, hotels, air tickets, etc.” Wang Yang said, most of which is the funds for users to purchase travel packages. “Most users go to watch the Olympics”, but because Windsports ’s Olympic tickets are mostly from sponsors, they are tied to travel packages and cannot be sold separately. Therefore, as soon as the news of the Olympic Games is delayed, some users will apply directly. Wang Yang was caught off guard by the package refund.
According to Wang Yang, at present the Tokyo Olympic Organizing Committee has not given a clear plan on whether to refund or not. “A lot of funds may have been used by the Olympic Organizing Committee to invest in infrastructure, so if the Tokyo Olympic Organizing Committee We ca n’t do anything without refunds.
This is the second blow to Windsor Sports this year. The previous one was the European Cup that was recently postponed. Due to the involvement of sports events throughout the year, Wang Yang said that the company will be under greater pressure on capital turnover in the second half of the year.
Impacted equipment suppliers.
Taishan Group is a supplier of equipment for taekwondo, judo, wrestling, boxing, cycling and many other games in the 2020 Tokyo Olympics. Previously, Taishan Group has provided equipment for the 4th Olympic Games, 3rd Youth Olympic Games, 4th World University Games, 6th Asian Games, and more than 1,000 large domestic and foreign events.
According to regulations, Taishan Group will provide tens of thousands of sports equipment for this Olympic Games. Some of these goods have been shipped at the end of last year. When arriving in Japan, the remaining equipment was originally required to be shipped before the end of March, but the plan was unable to keep up with the changes.
At present, about 10% of Taishan Group’s equipment has not been delivered. Because the Olympic Games are postponed, it is unclear when the remaining equipment will be delivered. Tai Zhiliang, chairman of the board of directors Zhi Zhiliang, revealed that The company has been maintaining communication with the Tokyo Olympic Organizing Committee, but has not yet received further feedback.
Because the Olympic Games have been postponed until next year, after the epidemic is under control, the previously suspended Olympic qualifiers may restart. At present, Taishan Group is also processing raw materials one by one to prepare for the Olympic test games. “Under normal circumstances, we will deliver all equipment before May 1st. However, the current delivery time has not been agreed by the two parties. We only have to prepare a part according to our own production plan.”
For the loss, Tong Zhiliang said, “Because most of the equipment has been delivered, the impact will not be great. On the contrary, postponing the Olympic Games to next year will allow Taishan enough time to test and prepare.”
In the past, some insiders have roughly estimated that about 50-60% of the equipment used in the Tokyo Olympics-related events will come from Chinese suppliers. Large equipment suppliers like Taishan may be able to withstand the risks of uncertainty, but for many small and medium suppliers are not so lucky.
As the sole equipment supplier for the Olympic weightlifting project, Zhang Kong’s barbell orders amount to $ 1.1 million. It is reported that in the Tokyo Olympic Games payment rules, 300,000 have to wait for one year after the end of the Olympic Games, and the delay of the Olympic Games is equivalent to pushing the payment cycle backward for another year. Hold on, “Zhang Zhiguo, general manager of Zhang Kong’s barbell, told.
The biggest loss is still the Japanese government
The 1964 Tokyo Olympics was a crucial year for Japan to take off in modern times. Taking advantage of the Olympic opportunity, Japan completed the construction of a series of large-scale infrastructures such as airports, expressways, and Shinkansen, and realized the modernization of the city.
The Japanese government has the same expectations for the 2020 Tokyo Olympics. Japan’s economic recovery has been slow in the past few years, and the latest data released by the Japanese Cabinet Office shows that Japan ’s actual GD for the whole of 2019P increased by 0.73% year-on-year, of which GDP in the fourth quarter fell by 0.39%, the largest decline since the fourth quarter of 2014.
Japanese Prime Minister Shinzo Abe is keen to use the 2020 Olympic Games to revitalize the currently stagnant Japanese economy and promote tourism as a strategic pillar. In previous plans, the Japanese government proposed that by 2020, the number of tourists visiting Japan will reach 40 million and the total consumption will reach 8 trillion yen (about 531.5 billion yuan). The goal is to help Japan achieve a GDP growth of more than 2%. This is Abe ’s achievement that he has not achieved since he was in office for more than 7 years.
Because of the postponement of the Olympic Games, Japan’s “recovery of tourism economy” will be postponed. Although the enthusiasm for the Olympics that will be suppressed next year is likely to explode, the Japanese government’s various infrastructure investments, such as hotel accommodation and transportation, will inevitably usher in complex post-processing. .
Taking the Olympic Village as an example, the Olympic Village in Qinghai, Tokyo was originally planned to be converted into an apartment for sale after the meeting. There are about 4,100 houses. Many houses have been sold. The delivery date is March 2023. “If the Olympic Games are postponed, many buyers will definitely demand compensation for their losses.” An Olympic Organizing Committee official told the Japan Times that “the issue of compensation for the Olympic Village will be very complicated.”
The Tokyo Metropolitan Government has estimated the economic radiation effects of the 2020 Tokyo Olympics and Paralympics.
About 17 years from the successful bidding in September 2013 to September 2030 10 years after the Olympic Games, Japan ’s total economic benefits will reach about 32 trillion yen (about 2 trillion yuan). It is estimated that This will push Japan’s average annual GDP around 900 billion yen (about 57.5 billion yuan). In terms of employment, Tokyo is expected to increase by approximately 1.3 million people and approximately 640,000 people outside of Tokyo. On the whole, the Japanese government firmly believes that hosting the Olympic Games will yield more than 10 times the return.
And if the Tokyo Olympics is postponed due to the epidemic, many media predict that the direct economic loss caused by it will be about US $ 6 billion, which is close to 1/4 of the total Olympic investment.
In the opinion of sports marketing expert Zhang Qing, it is really lucky that the Tokyo Olympic Games has not been cancelled. Otherwise, the high-priced sponsorship fees and the broadcast fees signed with broadcasters from other countries will all be lost. “In contrast, next year’s Olympics may be the most memorable Olympics ever. The great unity triggered by the Olympic spirit is likely to rebuild the confidence of countries after the epidemic.”