i understand that the Olympics do not show any sponsor advertisement board at the matches. but the Olympics is still so profitable. How come?
They do have sponsors. That's why they have brand police to clamp down on anyone showing logos of non-official sponsors to protect those who paid mega bucks to be sponsors. The main source of their income is obviously TV rights, especially the billions from NBC. Not allowing court side advertising will maximize the TV advertising value for the TV rights holders. That's how they get sponsor money.
It's true for the host country but such ill-fated fortune is untrue for IOC check this one "Do the Olympics cost too much for host cities?" http://www.badmintoncentral.com/forums/showthread.php/115006-Olympics-London-braced-for-world-s-greatest-show?p=1943359#post1943359
Thanks Kelana, IOC gives away 90% of revenues(supporting staging country etc.) and holds enough to cover Admin.(http://www.olympic.org/ioc-financing-revenue-sources-distribution). It is interesting you separate them, personally I would not qualify an Olympics to be profitable unless it covered all the cost taken to host it. Either way the Olympics are not profitable, generate massive revenues yes but nobody is walking away with profit.
IOC is sharing the profits but not the losses! REALLY? Read again carefully my line above "It's true for the host country but such ill-fated fortune is untrue for IOC" IOC is sharing the profits but not the losses!!
Profitable can be a tricky concept. In addition to the example of IOC given above, the Olympics is massive income redistribution process in which many people profited handsomely at the expense of tax payers of the host city and/or country. To be fair, some civic infrastructures would have never been built if not for hosting the Olympics and the host city infuses its name into the consciousness of people around the world.
The 'Recession-Proof' Olympic Dream Just stumbled upon an interesting article about the money making Olympic Games for IOC. Full article: http://www.zerohedge.com/news/recession-proof-olympic-dream