Chen Linxiang, Luo Pulin

Abstract: With the establishment of China's socialist market economic system and the deepening of sports reform, the development of sports industry has gone through three different historical periods and gradually embarked on the correct development track. Due to the sustained and rapid development of China's economy and the improvement of residents' income, there is a huge market demand for sports industry. At the same time, the China government has provided a large number of preferential policies for the sports industry, which will gradually become a new growth point of China's national economic development and have broad development prospects.

Keywords: sports industry; Current situation; market demand

China Library Classification Number: G80-05 Document Identification Number: A

Analysis and prospect of the present situation of

On the Development of Sports Industry in China

Chen Lin-Xiang, Luo Pulin

(Wuhan Institute of Physical Education, 430079)

With the establishment of China's socialist market economy and the reform of the economic system, the development of China's sports industry has gone through three different historical stages and gradually embarked on the correct development track. During the period of rapid development, people's income has increased by a large margin, which has created a huge market demand for the sports industry, and the state has also given many preferential policies to the sports industry. China's emerging industries will gradually become a new growth point of China's national economy and have broad development prospects.

Keywords: sports industry; Current situation; market demand

With the continuous improvement of the socialist market economic system, the rapid development of the national economy and the continuous adjustment of the structure of the sports industry, 1992, the Central Committee and the State Council clearly listed sports as the third level of the tertiary industry. 1996, the fourth session of the eighth national people's congress of China adopted the ninth five-year plan for national economic and social development and the outline of 20 10 long-term objectives, which further clearly pointed out that "sports should take the road of socialization and industrialization". To this end, the State Sports General Administration has also formulated the 1995-20 10 outline for the development of China's sports industry, which has made the sports industry in China develop rapidly, and the sports industry in China is also changing from the original cause welfare type to the industrial public welfare type. As a new sunrise industry in China, sports industry is gradually becoming a new growth point of China's economic development.

1 Analysis of the Development Status of China's Sports Industry

For a long time, China has regarded sports as a socialist welfare undertaking. Sports, culture, education and health all belong to the category of superstructure and are restricted by the level of national economic development. The development of sports mainly depends on the national financial allocation, but there is a lack of sufficient understanding of the economic function of sports itself, that is, the industrial nature of sports. With the accelerating pace of China's reform and opening up, sports and international exchanges have become increasingly frequent, and people have a new understanding of the industrial nature of sports. With the deepening of people's understanding of the nature of sports industry, the word "sports industry" has appeared. From the perspective of industrial division of labor, sports industry was originally an industry among labor products with sports services as the main body, belonging to the category of tertiary industry. However, judging from the development trend of sports industry in the world, the primary industry, the secondary industry and the tertiary industry often cross each other, so it is difficult to distinguish them concretely. Many western sports developed countries, such as the United States, Germany and Britain, count the output value of sports-related material products and service products when counting the output value of sports industry. Therefore, if the sports industry is only defined as the industry related to sports service products, the scope is too narrow to reflect the actual scope of the sports industry; Second, it is difficult to conform to international practice. At present, we believe that the sports industry is a kind of "compound industry", including the production and operation activities of all material products and service products related to sports, that is, the sports industry mainly includes three categories: the first category is the main business category, which refers to the sports business activities that give play to the economic functions and values of sports itself. The second category is sports-related industries, which refer to all kinds of products that provide corresponding support and guarantee for sports service products. The third category refers to other kinds of business activities carried out by the sports department to make up for and promote the development of sports.

Analysis on the development stages of sports industry in China.

From the practical process of the development of China's sports industry, it can be divided into three stages.

The first stage is from 1979 to 199 1 year. After the Third Plenary Session of the Eleventh Central Committee of the Communist Party of China put forward the idea of "taking economic construction as the center" and under the guidance of the reform idea of "planned commodity economy", the State Sports Commission put forward the policy of socialized development of sports. By constantly expanding investment channels, the past situation of large-scale operation from a single sports commission to all walks of life, from relying solely on state investment to raising funds from all sectors of society, has been changed, and a sports-oriented and diversified operation mode of stadiums and gymnasiums has been put forward. Sports began to involve venue rental, land transfer, establishment of companies and other income-generating activities. During this period, the understanding and practice of sports industry mostly stayed at the stage of "building a stage with sports and singing opera in economy and trade". Sports only acts as a means to promote economic development, and its industrial status and economic value have not been recognized by most people. Correspondingly, the sporting goods industry has developed to a certain extent, but in Guangdong, Fujian and other coastal areas, it is mainly engaged in the production of labor-intensive sporting goods such as sportswear, sports drinks and sports shoes, with low technical content and small production scale.

The second stage is 1992 to 1996. After the 14th National Congress of the Communist Party of China, with the establishment of the socialist market economic system, the development of sports has gradually changed to the direction of marketization and industrialization. In order to adapt to this change, first of all, the State Sports Commission has carried out great reforms, and all sports management functions have been separated from government management, and 20 sports management centers have been established. In particular, taking football reform as a breakthrough, we will promote the materialization process of the association and push football to the market. Correspondingly, all football teams have become self-financing and independent market players according to the requirements of the establishment of professional clubs, which has promoted the development of China's football industry. Secondly, the State Sports Commission has formulated 1995-2000 the development outline of China's sports industry and the corresponding laws and regulations on the development of sports industry. The Outline of Sports Industry Development defines the guiding ideology, key points and objectives of China's sports industry development in the next 15 years, and defines the basic policies and measures for the development of sports industry. The central and local governments have formulated corresponding laws and regulations for the development of sports industry. China Sports Expo was held, and the sports competition market was opened. In addition, China Sports Lottery was issued and a sports fund was established. The State Sports Commission has also identified two experimental zones for the development of sports industry, namely, Chongqing and Changchun, which indicate that China's economy has broken through the simple mode of income generation and capital increase and started to move towards a three-dimensional industrial development stage, which is embodied in three changes:

First of all, by opening the domestic and foreign commercial competition markets, introducing foreign capital to develop the construction of stadiums and issuing sports lottery tickets, sports began to change from a supporting role to a business entity.

Secondly, characterized by selling TV broadcasting rights, product patents, advertising production rights and providing paid services for mass sports, the sports industry began to change from using tangible assets to developing intangible assets.

Thirdly, according to the modern enterprise system model, the sports industry is developed and operated in a joint-stock way, so that foreign export sponsorship begins to be transformed into a business that enhances its hematopoietic function.

The third stage, 1996 till now. 1February 25th, 998, with the successful listing of the shares of "China Sports Industry" company in Shanghai Stock Exchange, the development of sports industry in China entered a new milestone. At present, there are four listed companies with sports industry as their main business. Direct financing and capital operation in the securities market will greatly promote the development scale of China's sports industry, form economies of scale, and standardize the management of sports sub-industries. On the other hand, it also shows that the government's strong support for the development of sports industry will eventually make the development of sports industry get rid of government intervention and form an operating mechanism based on market regulation.

1.2 problems in the development of sports industry in China

China's sports industry has gradually developed with the system reform and economic development of China. Due to the limitation of objective conditions, there are also some problems in the development of sports industry, mainly in the following aspects:

1.2. 1 The internal structure of sports industry is unreasonable.

Judging from the composition of sports industry, sports industry is composed of ontology industry, related industries and other industries. In the early stage of the development of sports industry, it is necessary to accumulate development funds by developing sports-related industries and setting up other industries. Because the sports industry is mainly controlled by the government, the industry has a strong monopoly and its development scale is limited to some extent; In related industries, the sporting goods manufacturing industry has developed rapidly, but as far as the internal structure of the sporting goods industry is concerned, the independent development and design ability of sporting goods in China is low, the product technology content is not high, and the product added value is low. Most of them are mainly processed with imported materials, and the leading sports products independently developed have not yet formed. In the whole sports industrial structure, the main business accounts for a small proportion, and the development between industrial structures is uncoordinated. To maintain the sustained and effective development of sports industry, we should determine the reasonable structure of sports industry, give priority to the development of sports ontology industry, and promote the development of related sports industries through the development of sports ontology industry.

1.2.2 The phenomenon of repeated investment in sports industry projects is serious, and there is a lack of overall planning and layout.

In recent years, due to the increase of people's economic income, the demand for fitness, entertainment and leisure is increasing, which leads to some unreasonable phenomena in the process of attracting investment, such as repeated construction and investment in golf, bowling, billiards and fishing, which leads to vicious competition and wastes a lot of manpower, material resources and financial resources. For example, 48 golf courses have been built all over Guangdong Province, and now 27 have been built. There are 34 bowling alleys in Shenzhen alone, with more than 500 lanes, and there are 2000 bowling lanes in Beijing alone. In the investment process of these projects, investors lack the necessary market research and market forecast, overestimate the demand for the development of China sports industry market, and enterprises excessively pursue short-term excess profits, resulting in poor service quality, insignificant social benefits and poor operating performance of some enterprises.

1.2.3 sports industry laws and regulations are not perfect, and the regulation mechanism has not yet been formed.

At present, most of the sports industry laws and regulations promulgated in China are comprehensive management methods, which are not detailed in every link of management and sports, lack of operability, and will be inconsistent in the specific implementation process. Therefore, on the basis of comprehensive regulations, relevant implementation rules should be further formulated, such as the application conditions, operating conditions and qualification certification of employees in the sports industry. Because sports industry is a new industry in China, theoretical research lags behind the development of sports industry, and the government's management of sports industry is still in the exploratory stage, and the relevant regulation mechanism has not yet been formed.

2 China sports industry development prospects

Judging from the successful experience of world sports industry development, sports industry may become the pillar industry of national economic development to a certain extent. As the sports industry is a labor-intensive industry, it can not only create a large number of employment opportunities for the society, but also play an important role in promoting the development of related industries and have certain social effects. We believe that from the following aspects, the development prospect of China's sports industry is extremely broad.

2. 1 The adjustment of China's industrial policy provides a good opportunity for the development of sports industry.

As China is in the process of industrialization, the proportion of the primary industry will continue to decline, the proportion of the secondary industry will increase to a certain extent, and the proportion of the tertiary industry will eventually exceed that of the secondary industry, which will become the most promising industry in China. The noumenon industry in the sports industry is an important part of the tertiary industry. From the perspective of industrial structure and legislation, the sports industry is not limited by the development direction of some industries, nor will it be criticized by environmental protection organizations and consumer organizations that are increasingly concerned about human health issues. It will only become increasingly popular with the enhancement of people's fitness awareness and the progress of social civilization. With the launch and concrete implementation of China's "Olympic glory plan" and "national fitness plan", the sports industry, as an important part of the two plans, will be further developed, so that the development of various sports undertakings will gradually develop towards socialization and industrialization.

2.2 The rapid development of China's economy and the improvement of residents' income level have laid a solid foundation for the development of sports industry.

According to the forecast of the National Information Center, from 1996 to 2000, the per capita income of Chinese residents will be greatly improved, and the per capita income of urban residents will increase from 1990 to 6625 yuan in 2000. After deducting the price factor, the real per capita annual income increased by 7.3%. According to the statistics of the National Bureau of Statistics, the Engel coefficient of rural residents reached 58% and that of urban residents reached 40% in 1997. According to the United Nations standard of dividing the rich and the poor, the living standard of urban residents in China is changing from adequate food and clothing to a well-off society. Changes in per capita income will lead to changes in consumer consumption patterns, that is, when household income increases, spending on food will decrease relatively, spending on clothes, housing and fuel will not change much, while spending on education, health, entertainment and fitness will increase significantly. In addition, due to the miniaturization of families in China, family services are decreasing with the development of science and technology. In addition, the improvement of social service level and the implementation of the fifth day have brought people more leisure, on the other hand, they have also stimulated people's demand for physical fitness. The synergy of these two aspects will undoubtedly expand the scope of the sporting goods market and lay a solid foundation for the development of the sports industry.

2.3 China sports market has huge social demand.

Market demand is mainly determined by consumers with certain purchasing power and desire. With the sustained economic growth in China, people's purchasing power and purchasing desire are enhanced, and the sports industry will have the greatest development potential. According to a sample survey of 0/260 citizens in towns of Anhui Province, the annual per capita sports consumption is 232 yuan, accounting for 68% of the annual per capita living expenses. Based on this calculation, there are about 300 million urban residents in China, and the national sports market can reach 7 billion yuan, which does not include the vast rural sports industry market in China, which accounts for 70% of the China market. Taking fitness equipment as an example, according to statistics, the sales in Beijing market have increased by almost 20% every year in recent years. At present, there are about 120 sports equipment manufacturers in China, with an annual output value of about 400 million. If China has a population of 1 200 million, there are1/0 people in more than 300 million families or each family is equipped with1set of fitness equipment, the annual sales of fitness equipment alone can reach at least 30 billion.

The continuous improvement of China's socialist market economic system and the adjustment of industrial structure provide a good external environment for the development of sports industry. By adjusting the industrial layout and optimizing the allocation of resources, the growth of sports industry in China will be transferred to the track of relying on ontology industry. By establishing a modern enterprise system, we can speed up the transformation of small and medium-sized enterprises, change the operating mechanism and improve the overall efficiency of enterprises. We believe that with the strong support of the government and the continuous efforts of enterprises, facing the huge domestic sports industry market, China's sports industry will get greater development.

Author: Chen Linxiang, Department of Management, Wuhan Institute of Physical Education, Wuhan, Hubei 430079.

Department of Physical Education Theory, Xi Institute of Physical Education, Luopulin, Shaanxi, 7 10068.