Sustainable Business and Society in Emerging Economies (Dec 2021)
Sports Tourism and its Impact on Economic Growth of a Developing Nation
Abstract
Purpose: This research paper investigates the impact of sports tourism on the growth of economy of a developing nation especially India. We have used the time frame from 1990 to 2016 and we have taken all the international events occurred in India during this span of time. The variables included in this research paper include Gross Domestic Product as dependent variable whereas in control variable we have taken Gross Fixed Capital Formation and Labor Force and International Tourism as focus variable. We have also used dummy variable in our regression model where ‘0’ refers to years in which India has not hosted any mega sports event and ‘1’ refers to years in which India has hosted any mega sports event. Methodology: In order to observe the effect of hosting any mega sports events on growth on economy of India, we have used Ordinary Least Square technique. Findings: In order to observe the effect of hosting any mega sports events on growth on economy of India, we have used Ordinary Least Square technique. With the help of Regression results we can conclude that there is a positive impact of Sports Tourism on Gross Domestic Product and the dummy variable used in our Regression model also found to be significant. After seeing the results, it is suggested to the policy makers and the Indian Government to increase the investment in the infrastructure and also provide number of incentives to the tourist that are going to visit during any mega sports event, perhaps it will also boost the tourism industry in the country which ultimately effect the growth of economy positively. Implications: There are other areas which should be the focus of the government in future are socio-cultural issues and environmental impacts of hosting a mega sports event.
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