Cities and Major Events Hosting Benefits and Risks

For an event to be able to give a city the recognition it requires, it must be a big one that leaves a mark on the history of the world rather than just being a local event (Musgrave, 2009). As s result, many cities seek and strive to win the chance to host such big events. When a city wins the opportunity to host one of such big events, they stand a chance to benefit in the following ways.
As Levy (1997) says, hosting a major event makes it possible for the city to increase its recognition in the global community of cities. Such events attract a lot of coverage by the international media not only during the time of the event but also during the preparation for the events. The preparation of the event can take years and during this time, the city gets coverage by international media such as CNN and this increases its visibility in the international arena. This visibility and recognition are important in many ways. For instance, it attracts a range of people from all over the world, both for short term stay and for long term stay. For short term visitors, this has short term economic benefits because these people have to bring in foreign exchange and also promote a number of businesses in the city. For long term visitors who end up going to stay in the city, the city will benefit from the diversification of its population. In a global village, the need for a diversified community in a city has advantages that go beyond economic measures and therefore cannot be measured.
Sporting events apart from increasing the profile of a city can also bring in long term economic benefits through increased foreign direct investments. Investors, if they think that the sporting event will be a good way to launch a business, may want to invest in the city (OECD, 2008). These investments may be such as hotels and other investments that the investors from outside the city may feel that the sporting event will crop up investment opportunities for.&nbsp.Apart from foreign investors, local investors are also likely to invest in an attempt to reap from the opportunities brought about by the international event.