High Risk, High Reward

I read an article called, Crash Course on Extreme Sports and it displayed well thought out information on why the extreme sport industry is a “goldmine”.

SOURCE: http://www.div1grade7.com

It said in the article, “Once you get past the stereotype of twentysomethings swigging energy drinks while skateboarding, you start to see the extreme sports industry like any other--filled with executives and venture capitalists wearing Armani and Donna Karan.” That just means that the industry for extreme sports is so big that it overlaps with all sorts of businessmen and entrepreneurs. According to the article, extreme sports are also really big in the TV industry. When Ryan Sheckler signed up for another year contract for his reality TV show for skateboarding or when Fox cable presents snowboarding, motocross, BMX or surfing on their channel, there are 24 million homes watching these sports so there is a huge industry in place for action sports.

Also athletes are turning the sports they play into a business and are becoming entrepreneurs. A quote from Nikki Stone, gold medal champion in 1998, states how "extreme sports athletes know how to take risks.” People wanting to get into business will have to learn that it takes guts and a lot of work to run a business. But when the person becoming an entrepreneur is an athlete, to be successful they must take that extra unknown risk at times.

Also the athletes that realize that they cannot possibly go through the risks of extreme sports their whole life and will have to eventually settle down to do something for stable for a living. An example from the article would be how “it wasn't until a potentially career-ending injury--two broken arms and legs--that Hart began to focus on his business, Hart & Huntington Tattoo Company. While he recovered, he launched his Las Vegas-based tattoo and apparel company and has grown it to four locations.” The article displayed some really interesting and factual points in understanding the growth of the action sport industry. The action sports industry is growing all the time whether it is through Red Bull or through major athletes that start companies.