E-sports is a form of competition in which video games are used which is also named as electronic sports. In esports, numerous competitions based video games are organized properly between teams and professional players. Before the late 2000s, in the culture of video games, numerous offline and online competitions were very common but these competitions were held between amateurs. In 2010, the professionals started participating in these competitions that consequently resulted in a huge surge towards live streaming and the games as well as spectators gained popularity globally. Esports emerged as a significant element of video game industry which was enhanced and developed by the game developers which ultimately transformed E-sports to a subculture of professional Esports.
Objectives of Electronic Business System
The goal of e-commerce related to sports is very clear as the electronic commerce technology in the sports category helps in accelerating the circulation of the information, promotion of the sports products and it advertising and promotion of the sports information with relevance to its development. It also helps in maintaining the physical stability, increasing the sales channels of the sports products, changing conventional pattern of sales and increasing sales revenue. E-commerce has helped the sports companies in numerous ways. It has not only increased their sales but also have contributed in enhancing their overall efficiency. It has also helped in reducing transaction costs by providing opportunities to both supply and demand department of making direct transactions.
This feature has enabled the production as well as the consumption unit to have a win-win outcome. E-commerce has explored infinite ways of increasing profitability in sports. In addition to the earnings that can be achieved by Esports or online casino games, it helps to set up a strong brand image of the sports companies, increasing market competitiveness and enhancing the reputation of the companies.
Financial Outcomes of E-Sports
The Esports comprises of wide range of genres related to the video gaming that commonly includes fighting, multiplayer online battle arena (MOBA), battle royale games, real-time strategy (RTS), and first-person shooter (FPS). different tournaments including Intel Extreme Masters, the fighting games-specific Evolution Championship Series (EVO), and Dota 2’s The International have started providing live broadcast of the competition as well as a prize money is also granted to the competitors.
Prize money of $1 million is set for the winner of League of Legends, which is one of the most popular games in esports category. the financial outcome of these tournaments have reached beyond the limits accounting for more the $25 million .a player named Kuro Takhasomi has been identified as the highest-earning player in esports with more than $3.5 million earnings till date.
Overwatch league comprising of salaried players, playoff competitions and regular season similar to the America professional’s sports have emerged as a new trend, however, in the past, sponsored teams were used for promoting and relegating the play in different competitions. Although the topic of the legitimacy of Esports is still debatable but the multinational events have started the inclusion of Esports with the conventional sports and most importantly the incorporation of esports in the future events of Olympics is also been explored by the International Olympic Committee. So, it can be assumed that these games will soon be seen in the Olympic events.
Global Impact of E-sports
The global impact of the Esports has been observed to be very positive in almost all of the terms including economic, social as well as cultural. In the economic perspective, it has been estimated that there will be a growth of $906 million in the global Esports economy in the coming year which will gradually come with an annual growth of 38% on the basis of year on year growth. There will be direct generation of this growth through sponsorships and advertising to about 77% and the rest will be made by the indirect means including content licensing and media rights.
Another global benefit of esports includes the development of strong connections between the gamers and the promotion of positive relationships among people. It has been reported by the gamers that most of their friendships are based on their gaming habits and they have made some sincere friendship relations with people from all over the world.
Esports is playing a positive role in connecting people from all over the world. The global impact of Esports is identified to be positive as it has a set of benefits that will increase in the coming years. The E-sport is gaining popularity because of the economic, social and entertainment benefits associated. these benefits have not only increased the economic growth but it has also providing entertainment to the players as well as the viewers of the games it is providing opportunity to different industry including advertising, media, sports, and technology as it can influence their growth to a next level.
Social Impact of E-Sports
Socially, E-sports has been playing an important role because according to a report conducted by Quetee, the esports have positive impact on the society as a whole because more than 405 of the gamers have stated that it has helped them towards becoming more emotionally stable and improving their social lives. This social benefit is very crucial at this time where 1 out of every 5 people is experiencing mental health-related issues.
Personally, after analyzing all of the positive global impacts and the tremendous growth associated with the esports, it can be observed that these sports can influence the economic as well as social development remarkably. The growth rate is increasing rapidly and there are very less or no negative outcomes. E-commerce in sports has not only boosted the gaming industry but it has provided a huge opportunity to the Sports product manufacturing companies to increase their business outcome by nvesting in e commerce. Some of the researchers have discussed the negative impact on the gamers related to the violence and fighting games played in the Esports but contrary to this, the gamers have responded that gaming has contributed towards their social wellbeing. So, it can be observed that despite of the game addiction issue, Esports have some very significant positive impacts.