An environmental analysis of Cycling South Africa (2010)

Abstract

During the past few decades, the sport industry has experienced immense pressure to commercialise its operations and conform to traditional business practices (Chadwick 2009:191). With this evolution from a pure leisure activity to a multimillion dollar industry, it has become evident that the unique characteristics and deeply rooted historical culture of sport pose significant challenges for the sport manager during the process of commercialisation and the application of strategic management. The aim of this study was to analyse the current business environment of Cycling South Africa (CyclingSA) in such a way that the factors in the micro-environment, market environment and macro-environment that impact on the organisation‟s strategic decisions could be identified. The results should allow sport organisations to engage more effectively in strategic management by focusing on factors that influence the sport organisation‟s business environment in particular. A survey of CyclingSA members‟ perceptions of the organisation‟s current effectiveness in the business environment revealed a strong focus on financial and marketing elements. The study also found that factors such as loyalty programmes, talent identification and sport science support, safety in the physical environment, antidoping regulations, transformation and black economic empowerment and environmental friendly practices play a key role in CyclingSA‟s business environment. It is evident from the study that sport organisations, with specific reference to CyclingSA, should engage in strategic management by adapting traditional business principles to suit each organisation‟s unique needs.