Obstacles and Opportunities for the Marketing and Sponsoring of Sport in Russia

Abstract

The potential for the marketing and sponsorship of sport within Russia is significant. However, recent government and economic changes require that prospective investors carefully examine the variables affecting both short- and long-term profit projection prior to entering this marketplace. Inept management personnel, inflation and rapidly escalating prices, loss of government and/or union financial assistance, competition for discretionary monies, and a migration of leading athletic talent to Western Europe and the United States represent some of the variables contributing to the difficulty encountered by teams attempting to make a profit under capitalism. Faint-hearted and undercapitalized entrepreneurs should be wary about venturing into this marketplace until the Russian economy recovers.