Alice Beghin MA Conference and Events Management Events Industry coursework Report on Ride Again Festival and its

impacts

INTRODUCTION
Organising an event is not as simple as making a cup of tea and it will never be successful if designed hastily and without a careful planning. Cross your finger and hope for the best is not enough to run a memorable event. To manage a profitable event financial resources and time are not sufficient. In addition there is a range of other aspects that need to be taken into consideration by event planners to avoid its negative impacts. For example, the fact that event participants have got heterogeneous aims and interests on it, complicate the work to be done in order to minimize everyone discontent which is one of the main targets for any profitable event. The following report aims to examine the objectives of people involved in a real event and its social, economical and environmental impacts on the host destination. The research is based on Ride Again, a Music eco-friendly Festival that took place in Bornasco the 28th, 29th, 30th of August 2009. Bornasco is a small town of Biella, located in the Italian region of Piedmont, known for its unspoiled landscape among the Pennine Alps that sets the outdoor music event here analysed every summer since 2004. (Fulcheri, Zanotti 2009) The festival, originally named Bornasco Reggae Festival, is run by the non profit cultural association A.R.C.I. Blow Bros Entertainment and during the years has established itself as one of the most important meetings between the national summer events. The site was divided in: camping area with facilities, 24hour bar and restaurant, info point, ecopoint, concerts mainstage and two dancehalls. Its poster cited the involvement of 90 European artists between individual musicians, bands and deejays coming from all the subgroups of black music. The festival has been attended by approximately 4000 people coming from Italy and the neighbour countries. (Guabello, 2009) The report structure The report is basically structured in two big sections both divided in two levels. The first level constitute a review on the literature developed about a theme, essential to introduce the second level which is based on it for the Festival analysis. The first section outlines at the first level various points of view about stakeholder theory, necessary to explore the Festival stakeholders objectives contained in the second level.

In the second section will be discussed different authors opinions about the impacts that conferences and events can have on the destinations economy, environment and society. This discussion will constitute the basis to address the final level of analysis of the actual impacts of the Festival in the host destination. The report will finish with a short conclusion stating personal thoughts about it. STAKEHOLDER THEORY The stakeholder theory has been originally formulated in 1984 by business professor R. E. Freeman, in the book Strategic Management: A Stakeholder Approach in which he defined stakeholders as: any group or individual who can affect or is affected by the achievement of the
organizations objectives. (cited in Tum et al. 2006 p. 63)

Freeman focused on the needing for managers to assume a shared sense of values they create while they are conducting business. He emphasised on company duties to evaluate the multitude of stakeholders involved in their business, not just those with formal interests of ownership. In the book he cited a big five stakeholder categories: shareholders, employees, suppliers, customers and the community in which companies run their business. (Tum et al. 2006 p. 63) Stakeholder theory states that companies have a social responsibility that forces them to consider the interest of all parties affected by their actions when making decisions. Management should consider both the shareholders and anyone else affected by them. (Freeman et al. 2004) The major debate within the stakeholders theory influence in business management is about addressing more evaluation to stakeholders or shareholders (M.C. Branco, L.L. Rodrigues 2007) It is noticeable that adherents to stakeholder theory agree with the recognition that stakeholders are conceptually related to stockholders or shareholders (Stieb 2008) because they are treated at the same time as company owners, and sometimes during the managerial process more importance is given to the customer or end-user (Young T.L. 2000). For its nature, a common criticism of stakeholder theory has emerged from the classical model. Classical theorists, who based their assumptions on neoclassical views like the one of Lewitt (1958) agree that to do good is not a business purpose, in fact governments are responsible of general welfare. (cit. In Spector 2008) Classical theorists like Friedman (1998), define the theory in purely economic profit making terms for the company, thus is targeted to shareholders benefit (cit. in Branco and Rodrigues 2007). The key aspect of this argument is that within the role of business in society two viewpoints are still alive, as Branco and Rodrigues (2007) summarise. They stated that it is possible to find: the

classical view, which focuses on the profit of the shareholders; and the stakeholder view, which emphasises on the social responsibility of companies that requires them to examine the interest of the multitude of parties affected by their actions. A good number of researches based on ethics and social responsibility issues has been produced recently, showing the same authors of stakeholder theory (Garriga and Mel, 2004; Margolis et al., 2007). Meng-Ling Wu (2007) in an article about Corporate Social responsibility states the importance to recognise the contemporary impressive development of the CSR in the business world.
Ethical corporate behaviour would cause managers to avoid exploitation in pursuing corporate strategy and to avoid excesses when seeking to influence public policy through social issue management and public affairs activities. Ethics enables managers to go beyond profits when considering corporate performance. (Peery 2008)

Stakeholders can be found in all kinds of industries, even in the conference and events industry, the one that this report is focused on, and the one in which stakeholders play a major role.
Events managers are now required to identify and service a range of stakeholders in the event, and to balance their needs and objectives. (Bowdin et al. 2003 p. 49).

Both Bowdin (2003) and Allen (2005) agree in the identification of stakeholders within event industry which are: the host organisation, the host community, sponsor, media, co-workers and participants and spectators. At the same time the authors agree on the recognition of the major stakeholders in the industry. These are the host organisation staging the event and the host community and its public authorities, both very important to consider when managers seek to clarify their goals in staging the event. (Bowdin et al. 2003 p. 49) Further support for this argument can be taken from the work of Tum (2006) who suggests with evidence that even taxpayers should be taken into account as they constitute the range of stakeholders who do not directly provide money but will be anxious that resources are being
efficiently utilized (money is not being wasted). (Tum et al. 2006 p.64)

Another issue relevant to this debate is that of globalisation and technology developments over the last decade. For example, in Bowdin (2003) it was claimed that the combined forces of globalisation
and technology are exposing events to wider influences and enabling them to reach larger audiences (p. 61). A repercussion of this can also be found in Allen (2005) who highlights: Local festival and celebrations must increasingly compete with international products and the raised expectations of audiences accustomed to streamlined television production. (p. 90).

On the other side, McCabe et al. (2000) provided an overview about the key stakeholders involved in the organisation of conventions and meetings. He highlighted the necessity for conference organisers to evaluate with awareness the type of meeting they are carrying on: whether it is held by corporate sector, associations, governments or non-profit organisations, which all have different requirements of the industry.

Case study: RIDE AGAIN FESTIVAL STAKEHOLDERS

As stated in the previous section when we speak about stakeholders we mean a range of different minded people involved together directly or indirectly in a same event but revealing/showing different aims and objectives. The analysis will be focused on the objectives of those stakeholders involved in Ride Again Festival. The following information has been provided by the Event Organiser and Association Vice-President Matteo Fulcheri. For convenience, the different stakeholders analysed will be divided in: buyers, suppliers, intermediaries, speakers, caterers and local population as Davidson and Cope (2003) suggest on their book. A list of their each objectives will be added. BUYERS (initiators of the meeting) - Blow Bros Entertainment - association Some of the objectives are summarized in the press release statements made by the association legal representatives Cristiano Zanotti and Matteo Fulcheri (that are also the event organisers) before the Festival took place :
This will be a unique event for Biella, able to attract tourism from all Italy but not only, considering the growing presence of foreign people. This year we want to create something concrete around the Festival core service: music. Our event will be one of the first eco-friendly Italian Festivals and new actions aimed at environment sustainability will be improved.

It must also be noted, as T. Rogers (2008) stated, that there are other implicit objectives related to the nature of any association, such as covering their costs and hopefully generate a profit that can be reused for the next Festival. Event organizers, that in this study case were the same people who invented and run the Festivals since it began, had some expectations linked to satisfaction and increasing the Festival visibility. - Province of Biella and Region of Piedmont (sponsors) had the same objectives such as to be sponsor of a sustainable music festival, to create social, cultural, tourism and economic benefits for the community and to promote Piemonte as a destination

SUPPLIERS (who make possible the event take place, hiring venues and other services)
- Bornasco Municipality hirer of the civic venue: a 24000 sq metres park

make money site (park) re-setting make use of a civil park that wouldn't be use in other ways promote the hire of the venue as a sustainable event location

- Lifegate Radio ecological culture information portal who publicised the Festival. (Partnership with the association). promotion of the Radio itself promote one of the first sustainable Italian festivals be linked to a certain kind of music and people Impact ecological project which quantifies the environmental impact of

Zero

activities,calculating emissions of carbon dioxide and greenhouse gases and helping to reduce and offset CO2 emissions with the creation and protection of new forests in the world. (Partnership with the Festival for ). Objectives: make money from the association in order to create a new forest of 12490 sq metres in Costa Rica be recognised as an ecological project (image objective) sustain ecologically one of the first Italian nonprofit festivals

- Junkers company of Bosh Group, partnership with the association providing solar heating for the health water used in festival showers in change of the return in corporate image - Amref - African Medical and Research Foundation, partnership with the association for fundraising purposes. - Rastasnob Magazine; Superfly Magazine (both Italian) Reggae Magazine; Black Music Magazine (partnership with the association) charge-free stand/corner inside the Festival for the magazine merchandising (Rastasnob) possibility to get more subscriptions (Rastasnob, Superfly) auto-promotion (Rastasnob, Superfly)

- Bottalla Typography - who printed flyers, stickers and edited the graphics and the website for making money - Hotel Europa, Biella Hostel (accommodation suppliers) British Airways; Lufthansa; Ryanair; EasyJet (airlines used from foreign musicians and attenders) had the same only interest in making money. - Simone Squillario - Sound equipments lights supplier other than having a friendship relations with the organisers, he was also interested in making money - Volunteers - (120 people) free entrance and staying, experiencing something new and being a part of a team, enjoying time with friends

CATERERS (who provides the food service to the event) - IperGros; Menabrea; Vigliano Butcher (food and drinks supplier) interested in making more money because of the large quantity demanded - Cartarea (biodegradable tableware supplier) Objectives: make money; be linked to a sustainable event SPEAKERS (in this case the speakers' role is played by the musicians) Due to a long list of artists to name under this group, it can be said that mostly all the Deejays participated at the Festival (without being paid) with the same objectives:

experience of playing in a Festival in front of a big audience; friendship relations with the organisers; free-pass for the Festival; chance to meet the big artists in the backstage; development of collaborations; networking have fun

The main artists had different objectives and purposes than the deejays. For convenience, the musicians will be first listed with their country of origin and then a summary of their objectives expressed to the event organiser Matteo Fulcheri will follows. JAMARAM (Germany) ZION TRAIN (U.K.) DAVID RODIGAN (U.K.) DUB PISTOLS (U.K.) MILLION STYLEZ (Sweden) MAD PROFESSOR feat. EARL 16 (U.K.) LA CHERGA (Austria) Most of them revealed interests basically related to the money they could get from it (Rodigan, Million Stylez) and for their international promotion (Dub Pistols; La Cherga; Jamaram; Zion Train). Others decided to performance in the Festival because of the destination's appeal (Dub Pistols -first time in Italy; Mad Professor; D. Rodigan) and for its proximity to another booked performance (Mad Professor regarding the Uprising Festival in Slovakia). The interest of playing in a small festival were audience is interested in you has been pointed out by Dub Pistols, who stated:
Certainly small festivals like Ride Again left us a more positive mark than big festivals in U.K. in which we usually play. There people are not coming especially for you, maybe they don't even know you and while you are playing they go to grab a beer waiting for Oasis to performance for example. (Dub Pistols 2009)

AUDIENCE The main shared objectives regard the musical offer and the occasion of experience it in a natural environment without bringing too many negative impacts on it.

CONFERENCE AND EVENTS IMPACTS

After having considered the crucial role that stakeholders play in the success of an event, in this section we will treat those positive and negative impacts that it can have on the society, economy and environment of a host destination. It is noticeable that the definition of impact itself refers to the construction of an impression as regards of an event. It is therefore vital for an event manager to take into account all the areas affected by the event in order to minimize mistakes, as Bowdin (2003) says: the largest and more
high profile the event, the more potential there is for things to go wrong, and to create negative impacts. (Bowdin et al.2003 p. 29). Davidson and Cope (2003) agree with this statement taking the

Genoa G8 as an example to describe the negative impacts that a mega event can have on a destination. It affected the society negatively because of the high security measures taken, the economy due to its costs of preparation and the destination's image for its dramatical end. It is universally agreed that business tourism is the most profitable source of benefits for a destinations economy, however many authors have underlined also its social and cultural power for participants and for the host communities. Halls in 1989 (cit. in Bowdin et al. 2003 p. 27) outlined the latter positive impacts produced by events such as the shared experience, the revitalizing of traditions that leads to the community pride building and the introduction of new ideas that can expand cultural perspectives. On the other side such events can have negative impacts on the social life and communities composition as it was outlined by Getz in 1997 (cited in Bowdin et al.2003 p.27). Faulkner in 1993 (cited in Allen et al.2005 p.43) indicated the sponsorship by public authorities to the majority of events as an economic development strategy, able to give long-term benefits to the destination. Faulkner' theory seems to be disagreed by Getz who points out that governments' involve can lead to resentments of inequitable distribution of costs and benefits by host communities, which could be also upset from noise and traffic arrangements on staging the event. A repercussion of events impact on personal lives of communities can be found also in Davidson and Cope (2003) studies, who underlined the resident's negative reactions to have high-spending business travellers in their town, sometimes increasing the prostitution and the crime rates. On the economic side, there is a growing body of literature that assess the impacts of conference and events industry using different methodology. This studies differ from data collection and scopes. The industry is generally recognised for its valuable contribution on employment and income in

destinations' economy, as it's explained in Weber and Chon (2002). However there are some disagreements about the calculation of these impacts over all because of the long term that they can create, as it is highlighted in this statement:
The popular approach to measuring the economic impacts of tourism is to use multiplier (Mules, in Faulkner et al. 2001 p.313).

Rogers 2008, suggested the use of multiplier analysis to get the total gross direct expenditure to a destination without counting the negative intangible impacts such as the cost of import for services supplied (also known as leakage) and the displacement of occupancy from a business to another one which affect economically the profit. This analysis is argued by the framework of Dwyer and Mellor 2001 (cited in Weber and Chon 2002) which gives a more accurate estimation of new money injected into the destination basing its method on in-scope expenditure and in-scope visitors. Despite this, Bowdin (2003) emphasised on the positive impacts in destinations' economy such as the generation of new business at macro level, the tourism revenue and the increase of commercial activity due to the high-expenditure of delegates and their attitude to extend the length of staying. On the environmental side, events are an excellent way to showcase the physical characteristics of a destination, although the environment is often negatively affected by their actions:
Other major issues include wear and tear on the natural and physical environment, heritage protection issues and disruption of the local community. (Bowdin 2003 p.32)

For instance, the natural habitat is often destroyed in order to create new conference facilities. However, it has been argued that using a purpose-built venue will contain its environmental impact, instead of holding an event in a open space (unusual venue) which can cause greater damages. (Bowdin 2003). In favour of business tourism it has been stated that it does not create the detrimental impact on the environment as mass leisure tourism does. Anyway on closer inspection it is worth considering that even if business tourists are more keen to use public transports for their moving, they use the more polluted mode of transport: aircraft, which is known as the fastest growing source of
greenhouse gas emissions and a major contributor to climate change (Davidson and Cope 2003 p.17).

Another relevant negative impact concerning the CO emissions in the air is the demand of high quality accommodation and the level of waste generated by conferences (Rogers 2008). On the other side, positive environmental impacts involve the destination's enhancement and the transformation of derelict buildings in modern convention centres, which sometimes is linked as well as a negative impact, because sometimes it can compete with local architectural style (Davidson 2009 slide 4).

RIDE AGAIN IMPACTS

This section examines some of the issues around measuring such impacts on economy, environment and host community where this event was held As stated in the previous section regarding the impacts studies, assessing the economical impacts of the event in the destination is very difficult because of the lack of necessary data. Analysing economical impacts of a Festival is harder to do because of the many variables in participants daily expenditure. Ride Again was an event where almost everyone attending were paying for their staying and were coming from different cities not recorded by the organisers. Basing this research on assumptions with the few data available, the multiplier analysis provided by Rogers 2008 could suits. Discussing a domestic multi-day association will be multiplied the length of the Festival, the number of participants and the average expenditure per participant per day to get the total gross expenditure: 3 x 4000 x 70 = 840'000 The average daily expenditure has been calculated summing in average: registration fee: 15 (daily entrance + camping facilities included); food and drinks in/out the event: 25; local travel at destination:15 assuming that participants were almost coming from the neighbours regions by car; shopping/gifts: 15 a day spent in merchandising, or gifts at the Festival stands or outside of it. On the positive social side, the music Festival brought an experience to share entertainment involving also locals through free tickets given to Bornasco community; education and information about environmental safeguard and collective rituals maintenance. As it was stated in the local newspapers, the event was publicised as the pioneer of sustainable outdoors Festival in the Region. However, according to the Doxey's Irridex Model (cit. in Davidson 2009 slide 7) it can be said that social relationships between visitors and Bornasco community were at the apathy stage. On the environmental point of view, eco-sustainability was the aim of Ride Again Festival. It educated participants to green credentials through the use and exposition of innovative forms of sustainability thanks to the partnerships with Lifegate and Zero Impact. Ride Again has been one of the first Green Festivals who agree to the Kyoto Protocol resetting carbon dioxide emissions reforesting a 12490 sq. mt park in Costa Rica. The water served was filtered and water bottle were disposed in order to forbid the use of plastic bottles. The solar heating was used for warm up showers water. biodegradable tableware were disposed for the food service, addition to a strong

commitment for waste recycle. (Ride Again press conference)

CONCLUSION
The festival's aim of having a positive impact on the environment has been confirmed in our analysis on public sector stakeholders objectives. For the fact that Ride Again was the first Festival in the Region promoting an ethic mentality on certain significant themes like the environment sustainability, has found great sponsors standing on for it. As was stated before, the high potential of outdoor festivals to contribute significantly to environmental problems is described in literature and unfortunately still verified in reality. The market of green meetings is still growing in Italy and, as the organiser mentioned, is a proper challenge to realise a total sustainable event because the high costs of green facilities sometimes disarm organisers' actions. It would appear reasonable to conclude then that Ride Again Festival has brought positive impacts not only on the environment but overall on the host community who felt proud to be involved in such event and participants who experienced concerts in the middle of the nature with zero impact on it.

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Further readings: Aitchison C., Pritchard A., Festvals and Events: Culture and Identity in Leisure, Sport and Tourism, 2007 Robertson M.,Sporting Events and Event Tourism: Impact, Plans and Opportunities, 2006

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