Presentation of a Sustainable Development Model for Iranian Sports Entrepreneurship

Introduction

Entrepreneurship is recognized as a driving force for social and economic growth in today's world. It plays a vital role in the continuity, growth, and development of national economies. Therefore, there is an increasing need to create a supportive environment for entrepreneurship and entrepreneurs, including physical, spiritual, cultural, research, and scientific support (Razavi et al., 2015). In recent decades, the Entrepreneurship is widely recognized as a key driver of social and economic growth in today's world. It plays a crucial role in the continuity, growth, and development of national economies. Therefore, there is a growing need to establish a supportive environment for entrepreneurship and entrepreneurs, encompassing physical, spiritual, cultural, research, and scientific support (Razavi et al., 2015). In recent decades, the sports industry has emerged as an economic sector that produces goods and services related to sports, contributing significantly to the national economies of countries. It is considered one of the revenue-generating industries of the 21st century (Salimi et al., 2015). It's important to recognize that sports have significant effects in various areas. Today, sports promote individual health, provide opportunities for healthy and enjoyable leisure time, foster strong community relationships, and help prevent social fraud and moral deviations, especially among the younger generation (Seyed Javadin et al., 2014).

In the midst of global developments and evolving paradigms in various aspects of life, including sports, there is an increasing demand for fresh and innovative ideas. Recognizing and adjusting to environmental changes and seizing opportunities are fundamental aspects of entrepreneurship. Hence, entrepreneurship in sports plays a pivotal role in the prosperity of the sports industry (Hadavi et al., 2016). Additionally, sports entrepreneurship presents a multitude of possibilities and holds a worldwide significance (Reier-Forradellas et al., 2021). As per Eurostat (2021), the sports sector is a burgeoning industry that hires educated youth. European nations like Iceland, Switzerland, Portugal, and Spain exhibit the highest employment rates in this sector among individuals with tertiary education (Eurostat, 2021).

Entrepreneurship is a key aspect in sustainable development, involving innovation to bring economic, social, and environmental benefits. Sports entrepreneurship, specifically, can enhance a nation's growth by fostering business, employment, and health while addressing social issues. This sector can also bolster sports programs, clubs, and facilities, contributing to community well-being and business sustainability. Despite its potential, the transient nature of sports businesses poses challenges for long-term development. The lack of institutionalization impacts individuals, organizations, and communities, a common issue faced by countries like Iran in sustaining sports enterprises.Another problem that entrepreneurs can offer a solution for is the unemployment problem. According to the report from the Statistics Center of Iran in 2015, there are over four and a half million unemployed people in the country, with a significant portion of them being university graduates. The employment of university graduates is a major issue in the country and in higher education. Therefore, entrepreneurship, as the economic engine, can help increase employment rates, productivity, and the productive capacity of students, while reducing the unemployment rate among university graduates (Goudarzi et al., 2017).

The results of a study revealed that individuals' entrepreneurial mindset and the institutions they are part of can influence sustainable sports entrepreneurship, leading to economic, social, and institutional development in the sports community (Mondalizadeh et al., 2016). Gosens et al. (2018) highlighted the lack of educational entrepreneurship as a key obstacle to progress. Bjärsholm (2017) explored social and sports entrepreneurship, finding that organizations required a new approach for change. Another study examined the role of entrepreneurs in nonprofit sport organizations, with positive results suggesting the need for innovative policies to drive change among employees (Winand & Anagnostopoulos, 2017).

In contrast to traditional entrepreneurship that focuses mainly on economic development, sustainable entrepreneurship aims to balance economic, social, and environmental goals. The concept has gained significance in recent years, with sustainable entrepreneurship striving for sustainable and successful innovations, integrating social and environmental goals alongside economic principles (Belz & Binder, 2017). The link between individuals and opportunities is emphasized, with key capabilities and identifying opportunities being crucial for implementing sustainable development strategies (Biberhofer et al., 2018). Sustainable entrepreneurship involves taking risks, encouraging innovation, and addressing ethical concerns to create value for the community and address economic, environmental, and social issues (Greco & Jang, 2017).

Schrepel (2020) studied factors impacting the economic prosperity of American sports and highlighted issues related to the globalization of sports affecting sports entrepreneurship. Da Silva & Da Silva (2019) focused on sustainable entrepreneurship in sports, underlining the importance of sustainability in major sports events and proposing the implementation of the "Green Goals" program by organizing committees. Mondalizadeh et al. (2016) developed a sustainable entrepreneurship model in sports and noted that individuals' entrepreneurial attitude, institutions, and the institutional environment can shape sustainable sports entrepreneurship and its outcomes in economic, social, and institutional aspects.

Examining the business environment in Iran reveals challenges like sanctions, tariffs, banking issues, delayed WTO membership, and economic stagnation creating an unfavorable setting. In such conditions, creativity and innovation are crucial for problem-solving. In sports, creativity, innovation, and change are vital. Traditional norms are insufficient for addressing sports issues, requiring creative ideas and entrepreneurship. Moreover, entrepreneurship proves effective when innovation across products, processes, markets, and business models generates positive results, significantly enhancing the business environment. Youth employment is crucial not just economically but also socially, with unemployment's negative effects underscoring the importance of fostering a culture of production and entrepreneurship among young individuals. Empowering individuals in entrepreneurship can turn employment into sustainable entrepreneurship, aligning with sustainable development goals. Promoting sustainable development through entrepreneurial endeavors is paramount (Schrepel, 2020; Da Silva & Da Silva, 2019; Mondalizadeh et al., 2016). Businesses in sustainable development must prioritize environmental and social considerations alongside economic goals. Entrepreneurs should focus on innovative, sustainable products and services. Since job creation starts with entrepreneurship and the growth of sustainable entrepreneurship directly impacts the national economy, in addition to benefiting a significant number of physical education graduates, it becomes imperative to establish a comprehensive model for the sustainable advancement of sports entrepreneurship.

Research Methods

The current study utilized a qualitative approach, employing the Strauss and Corbin Grounded Theory method to analyze the perspectives of interviewees on sustainable development in sports entrepreneurship. The research focused on understanding the components essential for this development. The methodology was geared towards developing plans and programs, using qualitative measures to explore research variables. Data from interviews and documents aided in comprehending social phenomena, with the researcher integrating experiences, knowledge, thoughts, and attitudes of involved individuals to formulate a theory. The study targeted experts in sports management, economics, and entrepreneurship, interviewing 15 such individuals until theoretical saturation was achieved. Sampling was conducted theoretically, seeking samples that supported the evolving theory until saturation was met. Deep exploratory interviews, open-ended questions, and Grounded Theory aspects were utilized to examine causal factors, environmental influences, and strategies for sustainable sports entrepreneurship. Coding and analysis occurred concurrently with interviews, emphasizing centrality among identified themes and words. An iterative process between initial texts and final categories ensured stability and common understanding among researchers. Encoding was carried out openly, axially, and selectively, enhancing and integrating categories to outline the research theory. Strategies such as credibility, transferability, reliability, and validity were employed for audit purposes, with rigorous measures implemented to validate research findings and ensure consistency in coding processes.

To assess credibility, the researcher reanalyzed a interview a month later and compared results with Scott's coefficient, which was 80%. Transferability entails assessing the ability to transfer inferences from one platform to another. To gauge transferability, the final data analysis report, resulting categories, and interview text were shared with four individuals for feedback, used in coding and model development. Dependability involves ensuring consistent findings if another person coded the data, which was confirmed in this study. Additionally, two test interviews were conducted to enhance research tool accuracy. Validity, or confirmability, verifies if findings are genuinely derived from the data. To establish confirmability, three experts meticulously reviewed codes, findings, and the model; all steps were thoroughly documented.

Findings

Demographic characteristics and frequency distribution of experts of this study are shown in Table 1.

Table 1- Demographic characteristics and frequency distribution of the study samples

Free encoding

According to the results of Table 2, using the interview method in the form of the above model, the information obtained from the views and opinions of the experts was summarized as the research given meanings. The practical concepts were collected from these interviews under the title of "Open Codes", part of which is given as the sample.

Table 2- A sample of extracted concepts and conceptual codes in free encoding

Axial encoding

In Table 3, after conducting the open encoding, the central encoding process was used to identify the existence of the same cases and the difference in the listing of derived cases from the interviews. Then, by integrating some of the concepts and codes of the previous stage, the main codes were selected.

Table 3- A sample of categories identified in the axial encoding

Selective encoding

At the final stage of encoding, the main codes of the previous stage were merged into each other in terms of integrity and generalizability, comprehensiveness and applicability of each concept semantically, and content relationship, and then selectively extracted to complete the three-part encoding process. At the end of this stage, a comprehensive model is depicted as follows.

Figure 1. A Paradigm model of sustainable development of Iranian sports entrepreneurship

In Figure 1, based on interviews and encoding processes, causative factors leading to consequences are analyzed with five content components that impact the main phenomenon. This model includes seven underlying factors and eight confining factors, shaping strategies. The subsequent part of the strategic model outlines how these strategies translate into outcomes.

Following the interviews and analysis, 395 open codes, 143 axial codes, and eventually 15 selective codes were identified. The references for selected codes are as follows:

- Establishing legal and juridical infrastructure: 37

- Strategic thinking: 36

- Training and developing entrepreneurial skills: 32

- Aspects of sports entrepreneurship: 27

- Macroeconomic conditions: 22

- Sports demand: 21

- Embedding sustainable development culture: 21

- Sports privatization: 18

- Defining and institutionalizing entrepreneurial culture: 16

- Social capital: 14

- Personal traits of individuals: 14

- Sports entrepreneurship infrastructure: 9

- Economic growth: 9

- Promoting innovation and knowledge development: 7

- Enhancing youth employment: 6.

Discussion

Today, sports is a domain that mobilizes the masses and carries significant global importance. Sports entrepreneurship provides a platform to advocate for environmentally friendly practices and instill values that support sustainable development in society (Reier-Forradellas et al., 2021). The natural environment plays a pivotal role in sports, and the values acquired through sports can be translated into daily life, aligning with sustainability principles (King & Church, 2017). This research aims to create a sustainable development framework for Iranian sports entrepreneurship. The model, grounded in theory, delineates the specifics of sustainable development tailored to Iranian entrepreneurship. Grounded theory served as the methodology for this study. Following the research, five pivotal factors emerged in the model, elucidating the causal relationships and their impacts. The conclusions and model proposed stem from the researcher's analysis. The causal conditions outlined in the model encompass the institutionalization of a sustainable development culture, bolstering the nation's economy, implementing suitable policies for the sports business environment, establishing a robust legal framework for the sports sector, and ensuring an equitable resource distribution with sustainability in mind. A notable challenge influencing these conditions is economic instability, where insufficient funds and unequal capital distribution impede the growth of small sports and recreational entities (Karlis, 2006).

The primary focus of the model encompasses the significance of fostering a participatory culture, cultivating strategic thinking among managers, supporting innovative projects, utilizing technology rooted in applied and knowledge-based practices, implementing eco-friendly land management approaches, and addressing community realities and needs. Furthermore, creating favorable political conditions for investment, generating interest in sports, and similar initiatives can aid in the sustainable growth of Iranian sports entrepreneurship through strategic thinking. The strategies essential for sustainable entrepreneurship are a topic of discussion. Experts suggest that achieving sustainable entrepreneurship involves special paradigms, termed as strategies in this context. These strategies represent unique dynamics stemming from the central phenomenon or category. Enforcing Article 3 of the Constitution - which underscores the promotion of free, accessible, and public sports - along with stimulating demand for sports goods and services, establishing legal and juridical frameworks, fostering investor-investee trust, restructuring government organizations, and forming expert entrepreneurial teams are key strategies that foster sustainable development in entrepreneurship. Factors influencing these strategies include moving towards privatization, attracting financial resources, increasing sports-related investments, fostering productive political relationships with other nations, technological advancements, and clear regulatory guidelines. However, there are constraining factors impeding strategy implementation, such as an uncompetitive environment, high risks within the sports sector, social constraints, lack of governmental backing for entrepreneurs, presence of sports intermediaries, individual traits and social class, and the omission of entrepreneurship in academic curricula. Implementing strategies derived from the grounded theory model holds substantial implications in economic and social domains. For example, adopting a diversified perspective on sports could lead to increased industry funding, fostering enhanced business growth. Elevated employment rates would also ensue, creating sustainable job opportunities. On a macroeconomic scale, effectively implementing planned strategies positively impacts public health and well-being, curbing non-communicable diseases, reducing social misconduct, instilling strategic thinking, fostering a dynamic and competitive environment, and ultimately facilitating entrepreneurial proliferation.

To validate and analyze the study results, a comparison with other relevant studies is conducted. Mondalizadeh et al. (2016) found that sustainable entrepreneurship leads to reduced healthcare costs, prevention of social issues, improved financial turnover, job creation, and increased interest in starting sports businesses. They emphasized the role of government support and a shift in the perception of entrepreneurship. These findings align with some of the implications of this research, such as increased employment, reduced social crimes, business prosperity, and improved health and vitality of the population. Another study identified the most important factors influencing sports entrepreneurship, including the development of a comprehensive plan, the presence of a Ministry of Sports and Youth, a dedicated sports television channel, favorable bank facilities for new sports projects, and the involvement of sports experts in the ministry (Razavi et al., 2015). Mirsafian (2016) highlighted that the leadership style of managers significantly impacts employee entrepreneurship in sports organizations. Factors such as meritocracy and delegating authority to creative and innovative employees were identified as essential components of management for promoting entrepreneurship, which aligns with the implications of this research.

Greco and Jang (2017) stressed the significance of startups, profitable companies, and the nonprofit sector in entrepreneurship, innovation, and sustainable community advantage. This is closely tied to the concept of privatization, the central focus of this paper. The model proposed in this study, along with Goudarzi et al.'s (2017) findings, illustrate that changes in laws, regulations, social factors, and financing practices are common aspects of entrepreneurship. Ghorbani and Vahdani (2016) examined the competence patterns of entrepreneurs in Iranian sport, aligning with the individual skills, learning willingness, risk-taking, and personality traits required for model implementation. Fereydooni and Jalali Farahani (2017) affirmed that strategic thinking is vital for individuals in sport organizations to generate value, accomplish objectives, and adapt to environmental changes, supporting the strategic thinking concept in managers discussed here. Nevertheless, a key limitation in this process is the absence of entrepreneurship subjects in academic curricula. Biberhofer et al. (2018) highlighted the necessity for sustainable entrepreneurship courses in higher education institutions to deepen students' understanding of global values and perspectives and enhance their skills. Education plays a critical role in realizing the Sustainable Development Goals (SDGs) and nurturing an entrepreneurial sustainable mindset. Strachan (2020) underscores the importance of education rich in sustainable values for a sustainable future.

To achieve sustainable development in sports entrepreneurship in Iran, several strategies can be implemented. One approach is establishing a legal infrastructure, including intellectual property rights, to support entrepreneurs. This move can attract investors to the country. Another strategy involves creating demand for sports goods and services by promoting a sports culture among the population through collaborations and facility provisions. The enforcement of Article 3 of the Constitution, ensuring free physical education for all, can help boost the demand for sports goods and services. To create a conducive legal environment for entrepreneurs, steps such as preventing rent and exclusivity in sports, establishing a sports trade union, and implementing transparent licensing processes and import supervision are recommended. Setting up an information repository, fostering financial transparency in sports businesses with support from the Ministry of Sports and Youth, and streamlining executive and administrative processes for sports enterprises are crucial. Collaborating with the environmental protection organization to develop environmental laws for sports goods production, services, venues, and events, and communicating these laws for compliance across all organizations are vital steps. Introducing environmental protection initiatives from primary school levels can further embed the culture of sustainable development.

Conclusion

In conclusion, it is essential to address the importance of fostering efficient and entrepreneurial human resources in the sports community and labor market through education and training. The development of sports equipment and organizations should match the requirements of both the sports community and learners, while higher education should aim to impart not only professional knowledge but also other essential skills for entrepreneurial achievement. Limitations of this study include challenges in reaching interviewees due to job commitments, work obligations, and geographic distance. The research provides a theoretical foundation for further exploration and recommends conducting quantitative studies based on the proposed model to examine different facets of sustainable sports entrepreneurship. The results of this study could also offer valuable insights for future research approaches.

Acknowledgments

The authors are grateful to everyone who helped in conducting this research.

Conflicts of Interest

There is no conflict of interest.

Funding

This research received no external funding.