answer the following questions based on the two case studies given below

1. Find the "PPP "and/or "Sport venues" strategic issue for Paris 2024

2. Explain why Paris may probably change his Sport & Media venues strategy to achieve his Olympic's Goal

3. Find financial and maintenance risks for Paris 2024 Sport Clusters in 2024... and for the next 30 years

4. What is your PPP conclusion for Paris? Is it efficient? Your recommendations to improve future use of French Sport venues in Paris?

5. Based on your conclusion and PPP lectures, share to your Mayor at least 5 key recommendations in order to realize a Long Term ROO & ROI for his future PPP Sport venue project.

APPENDIX 1:

Report: Paris 2024 final cost likely to increase from 8.3bn

ByED DIXONIssued on27 JULY 2022

https://www.sportspromedia.com/news/paris-2024-olympics-paralympics-cost-budget-increase/

Concerns mount over soaring costs for PPP & other facilities and event security.

The cost of hosting the Paris 2024 Olympic and Paralympic Games is likely to increase further from the current price tag of 8.3 billion (US$8.4 billion), according toBloomberg.

The event's initial budget was set at 6.8 billion (US$6.9 billion) in 2018, but the French government has since raised that to 8.3 billion, which includes PPP, facilities and organisation out of other French cities Urban development ( 22 billion, including organization, PPP/Sport venues & French cities urban development costs attached to Olympics)

However, Bloomberg reports the final cost is likely to increase further as France enhances the Games' security and faces higher than planned costs for construction and materials.

Notably, the government's plan to have as many as 11,000 police agents on the ground per day, and up to 25,000 security agents, to avoida repeat of the chaosat May's Uefa Champions League final, is set to add to the event's budget which could also be affected by rising inflation.

Bloomberg notes that France is currently battling with inflation that hit 6.5 per cent last month, thought the eurozone's second-biggest economy has fared better than others due to president Emmanuel Macron's efforts to mitigate rising energy costs.

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In an attempt to deal with the mounting costs, the Paris 2024 local organising committee is reportedly aiming to increase resources from sponsors such asOrangeand BNP Paribas. The former's involvement will see the global telecommunications firm part with 144 million (US$146 million), according to Le Parisien.

The government expects that state and public authorities will contribute around 1.7 billion (US$1.73 billion) to the cost. There are no plans to increase planned ticket prices.

In November 2020, Paris 2024 organisersreleased a new venue masterplanfor the event as part of ongoing efforts to cut costs by 400 million (US$406 million).

In June of that year,organisers took further stepsto rework their delivery strategy as part of ongoing efforts to cut costs in the wake of Covid-19.

That came after Paris 2024 president Tony Estanguet revealed a month earlier that the organising committeewas looking to adapt its plan for the Gamesin response to the financial impact of the pandemic, identifying transport, accommodation and human resources as areas that could be cut back to save "millions of euros".

The final cost of the Tokyo 2020 Gamescame to JP1.4 trillion (US$13 billion at the time). This equated to US$10.4 billion at today's rate, with the yen at a 24-year low against the dollar.

APPENDIX 2:

Spiralling costs a risk for Paris 2024 Olympics

With Paris set to be awarded the 2024Olympics, one of the organisers' biggest challenges will be tokeep within budget, a challenge that has defeated so many of their predecessors. Paris has set a relatively modest budget of6.6 billion euros.

ByAFP |Paris | Updated: September 13, 2017 1:53:25 pm

Source:https://indianexpress.com/article/sports/sport-others/spiralling-costs-a-risk-for-paris-2024-olympics-4841593/

With Paris set to be awarded the 2024 Olympics, one of the organisers' biggest challenges will be to keep within budget a challenge that has defeated so many of their predecessors.

The French capital has set a relatively modest budget of 6.6 billion euros, but London in 2012, Athens in 2004 and Sydney in 2000 all saw their budgets for hosting the Summer Olympics at least double from the time of their bids to the final bill.

The budget-busting reached its peak with the 2008 Beijing Games for which costs ballooned to a vertiginous 32 billion euros, more than ten times the original budget.

Vladimir Andreff, a sports economist at Paris' Sorbonne university, described Olympic budget inflation as "the curse of winning an auction".

"In theory, the winner of an auction is the most optimistic participant and the one prepared to outbid everyone else," said Andreff, one of three experts who contributed to a financial impact study commissioned by the Paris bid team.

"And when there are a lot of competing cities, the winner is trapped."

Habit of underestimating

In an attempt to impress the International Olympic Committee in the bidding process, candidate cities have a habit of underestimating certain costs as London did for the 2012 security bill and overestimating potential economic benefits.

After evaluating the Paris bid in July, the IOC said in its report that while costs for security, preparing venues and installing temporary infrastructure "may be understated", they "could be offset by potential expenditure reductions in other areas".

However, Jean-Pascal Gayant, economics professor at Le Mans University, is sceptical.

"I find it very hard to imagine that the bill for 2024 will be below that for Athens and London," he said.

The official cost of the London Games rose to 8.77 billion pounds, or 9.8 billion euros at today's exchange rates, from an initial bid estimate of around half that figure.

Andreff, the Sorbonne economist, estimates the actual bill for London was almost 10.9 billion euros.

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The spiralling cost of organising an Olympics was the main argument put forward by opponents of the French capital hosting the Games for the first time since 1924.

But the Paris bid team has repeatedly insisted that its 6.6 billion-euro estimate is feasible.

'Sheltered' from financial crisis

Bernard Lapasset, the co-head of the organising committee, said the bid was "sheltered" from changes to financial conditions in the future because 95 per cent of the venues already exist.

The organising committee budget is basically financed by the Olympics themselves the estimated 3.37 billion-euro cost will be paid for with the IOC's contribution of 1.45 billion euros and income from sponsorship and ticket sales.

Paris is planning to use the Stade de France, built for the 1998 World Cup, as the main Olympic Stadium, whereas London and Athens both had to build stadiums.

Paris only has to construct three sites the athletes' village, which at 1.3 billion euros is by far its most expensive item, a media centre and an aquatics centre.

The total bill for permanent venues is estimated at three billion euros, of which the French state and local authorities will pay half, while the other half will come from private investment the athletes' village will be partly privately financed.

One concern for Paris is that its bid was based on the sports in the 2016 Rio Olympics. Since then, surfing, climbing, softball/baseball, karate and skateboarding have been added to the Olympic programme, meaning they might require the construction of venues not currently in the bid estimate.

But the biggest headache for host cities remains the cost of transport infrastructure to bring hundreds of thousands of spectators to events.

"In the past, the big cost increases came from non-sporting infrastructure. That was certainly the case for Athens and Barcelona (which hosted the 1992 Olympics)," Andreff said.

He warned it would be an expensive mistake to use the 2024 Games to try to accelerate a long-term Public and Private Partnership project already under way to improve sport & transport networks in the Paris area.