Racing, Finance and Sponsorship Essay Example | Topics and Well Written Essays - 2500 words

Racing, Finance and Sponsorship - Essay Example The main aim of the new design is to create a more user-friendly, light and agile vehicle. By way of innovative solutions and technological up gradation the formula students aim to rank among the Top 5 at the event and emerge as the top team in UK at the car racing program. The team management works towards maintaining high standards for the vehicle and develop technical prowess of the members and create environmental awareness. However the success of the efforts is based on the support that it is able to garner from the corporate, as University assistance is not sufficient to take care of the funding associated with the design and development of the car. Sponsorship strategy Brunel Racing team comprises mechanical engineering and motorsport students. The designing work is entrusted to the third year students. Ever since the team was established in the year 1999 it has participated in a range of Formula Student competitions across worldwide locations, which includes the famous Hocken heim and Silverstone Grand Prix circuits (Brunel University West London-a, n.d.). For more than a decade the University team has participated in this event. Going by the rise in the number of Universities participating in the program the event is now eagerly awaited. The amount of media exposure at such events is also high. In the last year’s event there was extensive media coverage of the event. Many small and large businesses lend their support to the event and their number is continually growing.   These businesses get the opportunity to reach out to the masses by sponsoring the events. Their logos or corporate names are advertised on the race route and along the street leading to the event venue. Besides helping them in raising the bottom-line of the business they are able to forge an alliance with the University members. By reaching out to the University students these companies also get the chance to fulfil their corporate social responsibility. So the sponsorship eve nt enhances the market image of the companies and also helps them in establishing a philanthropic image in the society. Sponsorship is generally viewed as a ‘business relationship’ forged between a beneficiary and a sponsor i.e. there is always a commercial angle to it. However by granting funds for the university car racing the company will be able to draw dual benefits. Firstly, it will create more awareness about the products and services offered by the company. This will get reflected in the form of rising sales figures. Secondly, the company will be able to fulfil its responsibility of a socially responsible entity. Past research has brought forth the â€Å"consumer effects of sponsorship†. It has been seen that the investment offered by the sponsor in any sports activity creates a good-will among the event attendees. This is said to influence their behaviour and attitude towards the brand. There are three levels at which the sponsor is able to generate good -will. First is the ‘generic level’ that relates to the feelings of the consumers at the engagement of the sponsors in an activity; second is the ‘category level’ that relates with a particular audience say sports or art and third is at individual activity level’