What is the dilemma faced by the economic development of sports industry under the epidemic situation?

The charm of sports competitions is mainly reflected in the feature of watching the games on the spot offline. Consumers who watch the games can visit the scene in person to feel the visual feast brought by sports. However, affected by the epidemic situation, various domestic sports events were postponed or cancelled, which had a great impact on the economic development of sports competition performance industry.

Taking the CBA Basketball League as an example, in order to cope with the impact of COVID-19 epidemic on the company's funds, the middle and senior managers of CBA company took measures to reduce their salaries, including the CEO's salary reduction of 35% and the directors' and above's salary reduction of 15% ~ 3% respectively. Through salary reduction measures, the operating pressure of the club has been alleviated. Even so, the economic impact caused by the epidemic cannot be completely alleviated.

The closed competition without audience makes many fans and sports fans unable to really feel the wonderful atmosphere of sports competition, which greatly reduces the influence of CBA basketball events, and also leads to the failure to drive the consumption of media, sports lottery and peripheral products related to the events, among which team sponsors, participating players, cultural and creative derivatives, catering, accommodation, entertainment and other projects are severely affected in a short period of time. Canceling or changing the venue of the competition will directly lead to zero consumption of ornamental sports.

affected by the epidemic, CBA league is also facing the dilemma that foreign aid cannot return to China to participate in the competition and needs to cancel the contract, which has hindered the economic development of CBA league and the smooth progress of the competition. In addition, most sports events in China are postponed, which will lead to crowded events in the short term and lead to too many sports events.

A large number of sports events are carried out explosively for a period of time, which will not only cause additional burden to the organizers of the events, but also make the normal operation and safety guarantee of the events scarce, and will also have a negative impact on the future development of the sports competition performance industry.

The manufacturing and sales of sporting goods occupy a large proportion in China's sports industry and play an inestimable role in the economic development of the sports industry. The epidemic situation in COVID-19 not only affected the normal development of sports events, but also put sporting goods manufacturers and sales enterprises into a state of "shock". In order to avoid the serious spread of the epidemic, the government explicitly prohibits the large-scale gathering of people, and most sporting goods manufacturing and sales enterprises are facing the dilemma of closing down, factories can not start on time, and enterprises can not update new products to the market on time.

In particular, the offline sales of sporting goods suffered a heavy setback. Due to various conditions during the epidemic prevention and control period, offline manual sales stagnated, and courier companies stopped working, resulting in excessive product inventory. At the same time, enterprises also had to bear extremely high labor costs and operating costs, and many small and medium-sized sporting goods companies in China suffered negative growth in performance.

According to the data provided by the research report of China Sporting Goods Industry Federation, it can be clearly seen that under the influence of COVID-19 epidemic, nearly three-quarters of sporting goods enterprises in China have been affected to varying degrees, and about one-fifth of them have suffered serious economic losses. Although the sporting goods manufacturing and sales enterprises resumed normal operation after the epidemic situation was normalized, most enterprises adopted defensive contraction strategies in different degrees, implemented measures of layoffs and production reduction, and cleared warehouses and dumped goods to ensure their survival.

At present, China's sports fitness service industry accounts for a relatively low proportion in China's sports industry. According to the Forecast and Analysis Report on the Development Prospects and Investment Risks of China's Sports Economy Industry from 219 to 225 issued by Puhua Industrial Research Institute of Academia Sinica, there is an imbalance in China's sports industry at present, and the market share of sports competitions and fitness services is too low, accounting for only 21% of China's sports GDP. The United States, as a big sports industry country, has a level of 57% in the same period. Through the comparison of this data, it can be clearly seen that China's current sports consumption is mainly concentrated in physical consumption such as sportswear and sports equipment, while the consumption of core industries such as sports events and fitness services is low.

Moreover, under the influence of the COVID-19 epidemic, stadiums, gymnasiums, sports-related training institutions, sports tourism projects and other sports venues with strong crowds are all facing the crisis of closure. Closure means that cash flow cannot be effectively recovered, profit channels are blocked, and enterprises will bear expensive rents and labor costs. The full-scale outbreak of the epidemic has caused many enterprises to face the crisis of closure and bankruptcy.

Most sports service enterprises reduce their pressure by laying off employees or reducing their wages, which will lead to the loss of professional talents. After the epidemic situation is under normal control, the loss of professional sparring staff will also lead to a decline in customer satisfaction, and the retention of customer members is also facing great challenges.