The steering committee of the Sochi Olympic games is looking for a general partner that will be in charge of the transportation of athletes, guests, and other participants at the winter Olympics of 2014. It will hold its new partnership tender entirely on its own, which seems unusual: the International Olympic Committee seldom shows so much confidence in the host country of Olympic games, and usually takes the trouble of naming general partners of Olympic steering committees. The Sochi committee has been allowed to hold all the trump cards.
Even before it was called, three fairly well-known car producers voiced their willingness to join the Sochi tender. Their ranks grew until four hours after the tender was called and are likely to grow at least to ten. The car industry seems worst hit by the global economic crisis, and the general partner of the Sochi games will cash in on Sochi’s orders for 3 000 to 4 000 motor vehicles. Besides, every general partner of the Sochi Olympic games will have a good chance to promote new products. That Olympic games are image-building events goes without saying. But it is far from simple to win the Sochi tender. It takes 100 million dollars to become an Olympic sponsor but general partners are supposed to do more than put up money. The marketing, communications, and commercial operations VP of the Sochi steering committee, Igor Stolyarov, said that the steering committee listens to all suggestions before hosting an above-board discussion of whether bidders’ business interests coincide with the principles of the Olympic movement. Sometimes, a bidder’s reputation failed to meet the standards of the grandiose event to be held. The Sochi steering committee wants nothing of this. It takes into consideration the bidders’ reputation, as well as financial potential.
All bidders are doing business in Russia. Some of them limited their efforts to the opening of assembly lines, others have gone so far as to launch commercial production of motor vehicles in this country. But even this is not enough. What counts most is the bidder’s financial potential and business reputation, Stolyarov says.
The Sochi steering committee has three general partners. It has chosen Russia’s Rosneft for its oil, Rostelekom for its communications, and Megafon, for its cell phone partner. What car company gets chosen for its general partner makes an open question.