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The Developmental Impacts of Fifa World Cups on Brics

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The Developmental Impacts of Fifa World Cups on Brics THE DEVELOPMENTAL IMPACTS OF FIFA WORLD CUPS ON BRICS NATIONS Gabriel Shamu 582367 University of Witwatersrand, Johannesburg Supervisor: Natalie Zahringer Date: August 2016 i Declaration I declare that this report is my own unaided work. It is submitted in partial fulfilment of the requirements of the Master of Arts degree at the University of the Witwatersrand, Johannesburg. It has not been submitted before for any degree or examination in any other university. March 2016 ii Acknowledgements First and foremost, I would like to express my deepest gratitude to my supervisor Ms Natalie Zahringer. Your unwavering support and guidance over my Honours and subsequently Masters Research process has been nothing short of exceptional. Thank you for granting me the freedom to express myself and the timely manner in which you intervened to offer valuable comments and suggestions. This thesis would simply not have been possible without your supervision. Extended thanks must also go to the Chairman of Repucom Africa, Mr. Kelvin Watt and associate Mr. Kudzai Gwanzura. Your knowledge, advice and expertise in the sports industry was invaluable in shaping this study. Thank you to my family and friends for your constant love, encouragement and patience over the course of my studies. Special mention must be made to the Sibanda family for your generosity and the Smuts family for hosting me during my Masters degree. Lastly, I would like to thank composer and record producer Hans Zimmer, your music greatly contributed to the writing and completion of this report. iii Abstract With sport becoming a worldwide phenomenon through the international nature of matches and events, International Relations (IR) academic writers have had to take note. States and cities are increasingly using major sporting events and activities to re-image themselves, promote development and regeneration. Therefore, this research report will highlight numerous connections sport and IR possess through examining the widely proclaimed developmental impacts of hosting a mega sporting event (MSE) such as the FIFA World Cup. The professionalization and resultant commodification of sporting events seen through the transnational actor FIFA and World Cups in South Africa 2010 and Brazil 2014 will be used as case studies. These chosen cases will illustrate that in reality the FIFA World Cup is not as beneficial for host nations from the emerging or developing world as claimed. The research will be theoretically based on the perspective of neoliberalism in relation to the IR concept of Globalization. Key Words Sport, International Relations, Globalization, Neoliberalism, Mega Sporting Events, FIFA, World Cup, Development iv Contents Declaration............................................................................................................................................. ii Acknowledgements .............................................................................................................................. iii Abstract ................................................................................................................................................. iv Chapter One .......................................................................................................................................... 8 Introduction ........................................................................................................................................... 8 1.1. Background and Aim .............................................................................................................. 8 1.2. Rationale ............................................................................................................................... 10 1.3. Literature Review .................................................................................................................. 12 1.4. Research Objective and Questions ........................................................................................ 16 1.5. Research Limitations ............................................................................................................ 17 1.6. Methodology ......................................................................................................................... 18 1.7. Case Study Approach ........................................................................................................... 18 1.7.1 Data Sources .................................................................................................................... 19 1.8. Data Analysis ....................................................................................................................... 19 Concepts and Theoretical Framework .............................................................................................. 21 2.1. Globalization ......................................................................................................................... 21 2.2. Neoliberalism ........................................................................................................................ 22 2.3. Development ........................................................................................................................ 26 Chapter Three ..................................................................................................................................... 31 Background Information and Contextualization ............................. Error! Bookmark not defined. 3.1. FIFA ...................................................................................................................................... 31 3.2. BRICS ................................................................................................................................... 37 3.3. South Africa .......................................................................................................................... 38 3.4. Brazil ..................................................................................................................................... 43 Chapter Four ....................................................................................................................................... 47 Economic Developmental Impacts .................................................................................................... 47 4.1. Tax Exemption ...................................................................................................................... 49 4.2. Tourism ................................................................................................................................. 52 4.3. Infrastructure ......................................................................................................................... 53 4.3.1. Stadia ................................................................................................................................. 53 4.3.2. Exclusion zones and Ambush Marketing .......................................................................... 54 4.3.3. Construction Companies and Corruption .......................................................................... 55 4.3.4. White Elephants ................................................................................................................ 58 4.3.5. Transport ........................................................................................................................... 63 4.4. Overall Cost .......................................................................................................................... 66 v Chapter Five ........................................................................................................................................ 67 Political and Social Developmental Impacts ..................................................................................... 67 5.1. Political Impacts .................................................................................................................... 67 5.1.1. International Image ........................................................................................................... 68 5.1.2. Domestic Image ................................................................................................................ 72 5.1.3. Legislation ......................................................................................................................... 73 5.2. Social Impacts ....................................................................................................................... 76 5.2.1. Employment ...................................................................................................................... 77 5.2.2. Informal Sector and Evictions ........................................................................................... 78 5.2.3. Repression ......................................................................................................................... 81 5.2.4. Strike Action and Protests ................................................................................................. 83 5.2.5. Civic Pride, Unity and Xenophobia .................................................................................. 86 Chapter Six .......................................................................................................................................... 92 Summary and Application of Theory ...............................................................................................
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