Emerging Business Development Model in the Sports Industry

Introduction

The sport industry encompasses activities, services, and products related to sport, fitness, and health, making it one of the fastest-growing sectors worldwide. It contributes to individuals' physical and mental well-being while playing a vital role in the economy by generating job opportunities, increasing income, and promoting tourism. Moreover, sport strengthen social bonds and national culture, fostering unity and cooperation among individuals and communities (Hu et al., 2024).

Research highlights the significance of the sport industry. Given its growing influence on urban and global life, it is essential to explore the various dimensions of this sector and its impacts on society, economy, and culture (Hu et al., 2024). Hedari et al. (2021) highlight that the globalization of sport and its economic benefits have prompted sport business owners and marketers to create innovative marketing strategies. Consequently, researchers in entrepreneurship, strategic management, and economics have increasingly focused on the growth of emerging businesses in recent years (Demir et al., 2017).

Emerging businesses, as defined by Chen et al. (2024), are newly established companies and ventures that enter the market with innovative ideas, products, or services. Typically, in their developmental infancy, these businesses aim to capture market attention and establish a unique competitive position. Key characteristics include higher risk, rapid growth potential, and a reliance on new technologies and creative business models. Operating across various sectors, they play a crucial role in driving innovation and economic transformation (Nazari & Niazy, 2024). For example, Blockchain, as an emerging technology, has transformed various industries by enhancing transparency, security, and efficiency. Specifically, it helps food supply companies trace their products from farm to store, increasing transparency and reducing fraud in the food industry (Kamilaris et al., 2019). Rajendran et al. (2024) noted that AI allows startups to automate routine tasks, enhance accuracy, and derive deeper insights from data analysis. For instance, AI can optimize market research, customer segmentation, and trend analysis, enabling startups to make informed strategic decisions. Damaševičius (2023) noted that virtual reality (VR) has significantly transformed business transactions by offering interactive and immersive experiences. This technology enables personalized platforms, allowing customers to engage more deeply with products and gain knowledge about them. Additionally, (VR) aids in employee training under simulated conditions and influences consumer decision-making. These advancements enhance business strategies and operations, foster growth and innovation, and introduce privacy and security challenges that must be managed. Overall, by integrating into the metaverse economy, (VR) technology holds great potential for enhancing business quality and success.

Several studies have examined emerging businesses. For instance, Sadeghi and Sakhdari (2023) found that combining market and non-market strategies and developing political capital are crucial for growth in emerging markets. Similarly, Asadnezhad et al. (2024) identified fourteen key dimensions of the internationalization model for small and medium-sized enterprises in these markets, which include entrepreneurial alertness, the entrepreneur's experiences, personality traits, entrepreneurial orientation, vision, dynamic capabilities, innovation in business models, business strategies, branding, competitive advantage, marketing, market values, the institutional environment, and the dynamics of the business environment. Moghaddasi et al. (2023) identified several key components of successful businesses in Iran, including causal conditions like support, alignment between business and technology, information transparency, and data quality enhancement. The model also highlights intervention conditions related to emerging business processes and contextual factors such as software and hardware infrastructure. Proposed strategies include standards for process integration and empowering project managers and stakeholders through information technology. Ultimately, this model promotes economic growth and development while enhancing competitive advantage. Likewise, Aarabe et al. (2025) underscored the importance of emerging technologies in business. Jain and Jain (2023) found that emerging technologies in business enhance customer experience, reduce costs, and boost efficiency. Similarly, Anwar and Ali Shah (2020) concluded that financial, business, and political networks positively influence business model innovation.

Effective strategies are crucial for emerging businesses, particularly in rapidly changing markets driven by technological advancements and evolving consumer demands (Lee & Sohn, 2019). To succeed, emerging business models must adopt a transformative mindset that addresses unique socio-economic challenges while leveraging new technologies (Goyal et al., 2017). Emerging businesses now prioritize understanding local culture, forming partnerships, and adapting to technology when entering new markets. Although these markets present significant opportunities, challenges like cultural differences and regulatory hurdles remain. To thrive, companies should employ flexible, localized, and technology-driven strategies, while policymakers must create supportive environments for foreign businesses (Daraojimba et al., 2023).

Emerging businesses are crucial for economic growth, innovation, and sustainability across various sectors. Their adaptability to shifting market dynamics and consumer demands makes them essential contributors to both local and global economies. According to Gutterman (2023), these businesses often leverage technological advancements that can disrupt existing markets and generate new consumer needs. Porumboiu (2020) identified that emerging businesses can drive innovation and enhance quality of life through advanced products. Rubaj (2023) noted that countries like China and India are becoming global economic powerhouses, with their emerging businesses significantly contributing to GDP growth and innovation. This trend highlights a shift in economic power and the necessity for businesses to adapt to new competitive environments. While these emerging businesses are vital for economic dynamism, they also encounter challenges like market volatility and resource limitations. Addressing these issues is essential for sustaining their growth and impact globally.

Innovation in emerging businesses increasingly relies on advanced technologies and adaptive strategies to address changing market demands. Navigating this dynamic landscape requires utilizing these technologies to sustain competitive advantage and drive growth. Adewumi et al. (2024) found that emerging technologies like AI, blockchain, and IoT are transforming business models, allowing companies to enhance value propositions and streamline operations. Businesses that effectively leverage these technologies can create new revenue streams and adapt quickly to market changes. Sharma and Makhija (2024) concluded that emerging markets are not merely recipients of innovation; they actively contribute to the global innovation landscape and redefine its boundaries through local insights. Tariq (2025) found that Small and Medium Enterprises (SMEs( encounter distinct challenges but can enhance their competitiveness through innovative strategies and digital tools. While prioritizing technology and innovation is essential, it is equally important to address potential risks, such as over-reliance on technology, and to maintain a balance that incorporates human creativity and traditional practices. This approach can foster sustainable growth in emerging businesses.

The sport industry significantly impacts emerging businesses. Ratten (2020)  stated that these startups are leveraging advances in technology and new business models to offer unique products and services with the aim of enhancing experiences for athletes, teams, and fans. Their focus is on improving sport performance, fostering social interactions, and promoting health and well-being. Key areas of activity include wearable technologies, training management applications, and digital platforms for viewing matches and engaging with fans. Consequently, these businesses are rapidly growing in the global market, adding value and enhancing the overall sport experience (Jaradat & Sergiu-Vlad, 2023).

Emerging businesses, particularly sport startups, are vital to the sport industry by driving innovation, enhancing competitiveness, and promoting social change. These startups leverage digital technologies to develop sustainable business models that address market gaps and adapt to the evolving sport landscape. By introducing essential technological innovations, they facilitate quicker market entry and adaptation, helping established organizations stay competitive in a rapidly changing environment (Ratten, 2020). Technological advances, particularly in big data analytics, blockchain, and sustainable practices, significantly shape the innovation landscape for emerging businesses in sport. These innovations enhance operational efficiency and promote creativity and entrepreneurship within the sector. Lv et al. (2022) found that blockchain integration is a transformative force in the sport industry, boosting innovation efficiency for adopting companies. Additionally, sport companies utilizing blockchain exhibit greater innovation performance than those that do not, underscoring the importance of business model innovation in this field.

In recent decades, the sport industry has undergone significant changes as a vital economic sector. Technological advancements and cultural shifts have led to the rapid emergence and growth of new businesses in this field. These innovative companies are transforming the industry and creating new opportunities for investors and entrepreneurs. With the ongoing technological growth and evolving consumer needs, identifying effective development strategies is crucial. In the realm of emerging business development models in the sports industry, a key research gap lies in the absence of effective theories and practical models to assess the interplay of cultural, social, and economic factors on business growth. Many emerging businesses in Iran, despite their technological capabilities and innovations, struggle to adapt to market challenges and consumer demands. This suggests a neglect of cultural and social aspects in the development of strategies, leading to further research gaps. Thus, investigating and creating models that analyze these influences and their relationship to the success of emerging sports businesses is crucial. Such research could offer valuable insights and practical solutions for managers and entrepreneurs in this sector, particularly in Iran, facilitating sustainable development. Therefore, this research aims to present a model for developing emerging businesses in the sport industry.

Research Methods

The research employed a “multi-grounded” approach, which is well-suited for qualitative studies seeking to integrate theory with field data to generate new insights (Goldkuhl & Cronholm, 2010; Goldkuhl & Lind, 2010) . This methodological framework emphasizes the importance of using multiple knowledge sources during the process of theorizing, ensuring a balance between theoretical grounding and empirical evidence. Goldkuhl and Cronholm (2010) argue that a comprehensive understanding of phenomena requires a combination of pre-existing theoretical frameworks from various disciplines and empirical data collected during the research process. This integrative process allows researchers to not only validate theoretical insights but also enrich existing frameworks or adapt them to real-world contexts. The study included 14 participants (10 males and 4 females), comprising sport management professionals, technology experts, sport marketers, entrepreneurs, and professors (Table 1). The research tool was a semi-structured interview. The interview process continued until theoretical saturation was reached (14 participants). The researchers scheduled interviews in a relaxed setting, assuring participants of confidentiality. After gathering demographic information, they sequentially asked questions that encouraged deeper exploration of key concepts and themes. In the next stage, numerous articles and books on "Emerging businesses in the sport industry" were extracted from scientific databases and examined. In this stage, researchers investigated the combination of keywords “Business,” “Technology,” and “Marketing,” as well as the most commonly used models and theories in reputable scientific databases such as Scopus, Science Direct, Magiran, etc. All data extracted from interviews and research backgrounds were analyzed, and based on them, conceptual codes, sub-categories, and main categories were extracted. Next, all data from the interviews and research backgrounds was analyzed. The data analysis process involved three coding stages: open, axial, and selective coding. In the initial open coding stage, researchers identified concepts with an open mind, uncovering main and subcategories through careful data examination. Next, during axial coding, they revisited and connected these initial categories. Finally, in the selective coding stage, the researchers focused on the emerging components of the proposed theory, categorizing and linking the extracted concepts. This culminated in a model that illustrated the interrelationships among the clustered ideas and concepts. Wolcott (2008) asserts that triangulation or comprehensive review is the most effective strategy for enhancing internal validity in qualitative research. To achieve this goal, various triangulation methods were employed, including multiple methods, diverse data sources, and several reviewers to validate findings. Therefore, considering that in this research, firstly, multiple methods (interview and article review) were used. Secondly, the data sources were different, and thirdly, there was more than one examiner, so the validation of the research can be confirmed. All data were analyzed using MAXQDA 2020 software.

Modeling involves three key steps in the multi-grounded methodology:

1. Theory generation: This process includes inductive coding, conceptual refinement, pattern coding, and theory enrichment.
2. Clear grounding: Goldkuhl and Cronholm (2010) identified three types of grounding: theoretical alignment, empirical validation, and theoretical coherence assessment. Grounding involves analyzing and examining the validity of an evolving theory, not only in terms of empirical truth, but also in terms of the types of validity claims it makes; we use this concept with some modifications, focusing primarily on the fact that validity claims can be challenged and confirmed in different ways. For a more in-depth discussion of validity claims in the field of knowledge, see the work of Goldkuhl (2004) Three main processes are associated with the three types of validity claims:

- Theoretical validity ensures that the theory is consistent with other theoretical abstractions.

- Empirical validity confirms that the theory is consistent with empirical observations.

- Internal validity assesses the coherence of the theory's discourse about the world.

3. Thinking about research interests: This stage involves reflecting on the research process and possibly revising the questions and findings in light of new insights that could influence future research directions.

Table 1- Details of participants

Findings

In the data analysis process, 355 open codes were initially generated, with 195 being repetitive. Removing these left 160 open codes for the study. During the axial coding stage, 27 axial codes were formed by combining and summarizing the initial codes. Finally, in the selective coding stage, 4 selective codes were identified through the integration and refinement of the axial codes within a theoretical framework.

It presents examples of statements from research participants that illustrate the extracted concepts and categories (Table 2).

Table 2- An example of initial coding of interviews

The final research model was organized into 4 main axes: 1- Influential factors (social factors, environmental factors, economic factors, cultural factors, political factors, technology and foresight), 2- Challenges and obstacles (educational constraints, environmental constraints, financial constraints, attitudinal and cultural constraints, legal constraints, technology and market constraints), 3- Strategies (financial strategies, security technologies, culture, laws and regulations, education, new technologies, innovation and dissemination and promotion), 4- Consequences (market-related consequences, customer-related consequences, financial consequences, branding and technological consequences) (Table 3 and Figure 1).

Table 3- Selective, axial, and open codes

Codes extracted from the interview (1) Codes extracted from the research background and literature (2) Common codes between the interview and research background and literature (3).

Figure 1. Emerging Business Development Model in the Sport Industry                          

Discussion

This study aimed to create a model for the development of emerging businesses in the sport industry.

The findings showed that the factors influencing the research phenomenon included social factors, environmental factors, economic factors, cultural factors, political factors, technology, and foresight. The study's findings highlight that changes in consumer behavior, needs assessment, youth orientation, and gender discrimination are crucial for the formation and growth of businesses. Additionally, adequate infrastructure and environmental management are essential for sustainable industry development. Economically, inflation and recession negatively impact financial stability, underscoring the need for government and private support to foster a healthy business ecosystem. Cultural factors, such as entrepreneurial culture and religion, also influence social acceptance and business success. Supportive government policies and political stability create a favorable investment environment in the sport industry; however, corruption and sanctions pose significant challenges to growth. Emerging technologies like virtual reality and artificial intelligence present opportunities to enhance the consumer experience. Additionally, foresight through risk assessment and strategic planning is crucial for developing sustainable businesses and defining a clear vision for the sport industry. This study demonstrates that the integrated interaction of these factors is vital for the growth of emerging businesses and offers an optimistic outlook for the future of the sport industry. In this regard Gazanchyan et al. (2017) explored social factors; Prokopowicz and Matosek (2023) and Ayandibu and Vezi-Magigaba (2021) examined environmental factors; Benabed and Bulgaru (2023) and Duong (2022)investigated economic factors; Kabir et al. (2023) highlighted cultural factors; Meyer et al. (2023) and Tarba et al. (2023) addressed political factors; Strusani and Houngbonon (2019) and Radhakrishnan and Gupta (2020) focused on technology; and Wang and Pettit (2022) and Aldianto et al. (2021) emphasized foresight. Gender discrimination greatly impacts women's involvement in entrepreneurship and business, as biases in capital markets extend to labor markets, influencing career choices and resource distribution (Gazanchyan et al., 2017). Environmental crises present major challenges for emerging businesses. Recent climate crises have necessitated enhanced crisis management and risk reduction strategies (Prokopowicz & Matosek, 2023). While climate change poses difficulties, it also offers opportunities, particularly for new ventures (Ayandibu & Vezi-Magigaba, 2021). Today, the relationship between inflation, economic recession, and business performance in emerging markets is complex. Global economic growth is challenged by rising interest rates (Benabed & Bulgaru, 2023). Although inflation targeting is popular in these markets, its effectiveness during economic turmoil is debated. Nonetheless, evidence indicates that inflation targeting can help emerging economies manage inflation during crises without greatly impacting output growth (Duong, 2022). National culture plays a significant role in shaping entrepreneurial orientation and activity across countries. Key cultural dimensions-power distance, uncertainty avoidance, individualism, and masculinity-impact the entrepreneurial orientation of emerging businesses. Recognizing these influences is essential for policymakers and practitioners to develop effective entrepreneurship programs and policies, particularly for informal enterprises and emerging businesses (Kabir et al., 2023). Sanctions have a significant impact on emerging businesses, particularly small and medium-sized enterprises, by disrupting the international trade framework and hindering stability and development. The institution-based view, resource-based view, and resource dependence theory offer insights into the effects of sanctions, though they challenge some foundational assumptions (Meyer et al., 2023). To adapt to this complex environment, businesses must cultivate strategic agility (Tarba et al., 2023). It can also be said about the impact of technology that AI is transforming emerging markets by offering innovative solutions and new business models. In developing countries, it reduces entry barriers, enhances competitiveness, and tackles key challenges (Strusani & Houngbonon, 2019). New AI-driven models like federated learning and emotional AI are emerging alongside advanced traditional models such as freemium and leasing (Radhakrishnan & Gupta, 2020). Regarding foresight, it can be said that Future-proofing is essential for emerging businesses to remain competitive in rapidly changing environments. This involves fostering a flexible workforce through innovative skills development (Wang & Pettit, 2022) and establishing resilience frameworks that incorporate innovation ambidexterity, dynamic capabilities, and technological capabilities (Aldianto et al., 2021).

The findings showed that the challenges and obstacles in the research phenomenon included educational limitations, environmental limitations, financial limitations, attitudinal and cultural limitations, legal limitations, technology, and market limitations. Key constraints on the development of emerging businesses in the sport industry present various challenges that hinder the sector's growth and sustainability. In education, the main obstacles include insufficient scientific research, high training costs, and inadequate training. Environmental challenges, such as climate change and a lack of appropriate infrastructure, further exacerbate environmental issues. Financially, the high costs of technological development and a shortage of facilities and investors pose significant barriers to achieving sustainability. Cultural and social attitudes, including lack of motivation and resistance to change, create administrative barriers and combine with business owners' limited awareness to foster an unfavorable growth environment. Additionally, complex regulations and strict licensing exacerbate regulatory challenges. On the technological front, limited access to advanced technologies and security infrastructure, along with cyberattacks, present significant hurdles for the industry. Moreover, market constraints, such as low adoption rates and intense competition, obstruct the advancement of emerging businesses. Collectively, these factors underscore the need for comprehensive strategies to address constraints and promote sustainable development in the sport industry. Higgins et al. (2019) addressed educational constraints, while Bu et al. (2024) examined environmental limitations. Balcazar et al. (2023) investigated financial constraints, and Mozghovyi (2024) emphasized attitudinal and cultural limitations. Mehrez (2019) and Yonk et al. (2017) explored legal constraints, Akpan et al. (2022) and Sharma and Chaturvedi (2021) studied technology, and Crowley and Jordan (2017) focused on market limitations. Emerging businesses face educational constraints mainly in two areas: limited access to educational resources and a shortage of skilled manpower. Many entrepreneurs, particularly in developing countries, encounter these challenges due to the complexities of technology and new markets, which can impede their adoption of best practices and management innovations (Higgins et al., 2019). A key environmental constraint is the lack of infrastructure, which significantly challenges emerging businesses, particularly in developing economies. Insufficient soft (institutional) and hard (physical) infrastructure can adversely affect foreign investment and firm performance (Bu et al., 2024). Financial constraints are a key challenge for emerging businesses, impacting their growth and sustainability. Many entrepreneurs experience limited capital in the early stages of their startups, hindering their ability to cover operating costs, invest in research and development, and hire skilled personnel (Balcazar et al., 2023). A significant challenge regarding attitudinal and cultural issues is the clash between traditional business thinking and new strategies in a fast-evolving global landscape. While traditional models provide stability and foster innovation, they often fail to keep pace with technological advancements and market demands. In contrast, emerging business models propelled by digital transformation show high growth potential but encounter obstacles in gaining market acceptance (Mozghovyi, 2024). Research indicates that regulatory barriers for start-ups in developing economies include bureaucratic hurdles, restricted access to finance, onerous legal conditions, and social constraints (Mehrez, 2019). Strict licensing and regulatory policies can particularly hinder small and medium-sized enterprises, raising costs and delaying market entry (Yonk et al., 2017). Research indicates that SMEs in emerging and developing economies struggle to adopt advanced technologies (Akpan et al., 2022). Many of these businesses are unaware of or have not implemented critical technologies such as cloud computing, big data analytics, and the Internet of Things, which are essential for enhancing operations and competitiveness(Akpan et al., 2022; Sharma & Chaturvedi, 2021). Research on high competition in emerging businesses shows a complex relationship; while increased competition often drives innovation, excessive competitors can lead to decreased efficiency (Crowley & Jordan, 2017).

The findings showed that the strategies in the research phenomenon included financial strategies, security technologies, culture, laws and regulations, education, new technologies, innovation, and dissemination and promotion. Developing comprehensive and operational strategies is essential, including financial support through incentives, low-interest facilities, and tax benefits to attract investors. Investing in cybersecurity and establishing robust privacy policies strengthens security infrastructure and protects sensitive data. Promoting an entrepreneurial culture and implementing programs to foster participation enhances societal attitudes and motivation. Additionally, reinforcing supervision of government institutions and ensuring familiarity with business laws and regulations promote market stability and transparency. Focusing on training specialists through courses and partnerships with universities enhances skills and knowledge in the sport industry. The integration of new technologies like blockchain and augmented reality creates innovative customer experiences. Additionally, service innovation driven by planning and creativity reinforces business positions. Effective marketing strategies, including digital marketing and targeted advertising, promote brand visibility and attract new customers. By implementing these strategies, emerging businesses can achieve sustainable growth and greater success. In this regard, Liao et al. (2024) emphasized financial strategies, while Raineri and Fudge (2019) examined security technologies. Ronen Harel et al. (2021) and Prieto et al. (2020) highlighted the importance of cultural strategies. Yuhui (2023) reviewed laws and regulations, and Larner et al. (2017) focused on educational strategies. Santos-Gago et al. (2019) investigated innovative technologies, Gupta and Yang (2024) emphasized innovation, and Ruggieri et al. (2018) concentrated on dissemination and promotion. Emerging businesses must focus on key financial strategies, including financing, cost management, and investment. Utilizing financial resources effectively is crucial, such as attracting investors, securing low-interest loans, and investing in technologies that enhance productivity. Additionally, a sound financial strategy should encompass risk management planning and cash flow forecasting to ensure sustainability and growth in competitive markets (Liao et al., 2024). Regarding security strategies, it can be noted that Cyberattacks pose a serious threat to emerging businesses, particularly small companies that often lack adequate cybersecurity knowledge, budget, and dedicated staff (Raineri & Fudge, 2019). Promoting a culture of emerging businesses requires fostering innovation and entrepreneurship within the organization. Small businesses can enhance innovation by adopting processes that improve products and processes (Harel et al., 2021). Encouraging internal entrepreneurship is essential for maintaining competitiveness in the global marketplace and should align with strategic goals (Prieto et al., 2020). Emerging businesses have unique needs that demand supportive legal and regulatory frameworks for sustainable development. Understanding laws related to registration, taxation, intellectual property, and regulatory compliance is crucial. New legislation should promote innovation while safeguarding the rights of consumers and employees (Yuhui, 2023). Regarding educational strategies, it can be noted that Unions and guilds play a vital role in supporting emerging businesses, particularly in ecotourism and cooperative models. The open-source guild business model fosters sustainability in micro-businesses by promoting shared values and apprenticeships (Larner et al., 2017). The integration of new technologies in emerging businesses has advanced significantly. For instance, Seçkin et al. (2023) found that wearable technologies are becoming essential in sport, offering data analysis and performance tracking for both professional and amateur athletes. These devices facilitate thorough monitoring of athletes' behaviors, enable the identification of specific movements, and aid in injury prevention (Santos-Gago et al., 2019). One key characteristic of emerging businesses is their emphasis on innovation, which is crucial for growth and success. These companies aim to deliver new products and services that add value for customers. Innovation enables them to meet market demands and create competitive advantages, driving change across industries. Specifically, advancements in products, processes, and business models allow startups to swiftly adapt to technological shifts and consumer preferences, reinforcing their market position (Gupta & Yang, 2024). The growth of emerging businesses necessitates public outreach and promotion. Ruggieri et al. (2018) identified that online platforms greatly influence these businesses by transforming models and creating new opportunities. Digital platforms enhance interactions between businesses and consumers, allowing innovative startups to scale rapidly and effectively.

The findings showed that the consequences of the research phenomenon included market-related consequences, customer-related consequences, financial consequences, branding, and technological consequences.Businesses can enhance competition and grow by increasing market share, outperforming rivals, and introducing new brands and innovative products. This approach not only fosters job creation and healthy competition but also facilitates the development of new products. In terms of customer engagement, improving after-sales service and boosting customer interaction and loyalty enriches their experience and promotes an active, healthy lifestyle while addressing their needs. Financial implications will encompass the country's financial development, enhanced financial flow, and return on initial investment, fostering economic prosperity for businesses by minimizing financial risks and costs, optimizing cash flow, and maximizing profitability. In branding, strengthening loyalty and trust, boosting brand awareness and reputation, and gaining a competitive edge can attract more customers. Additionally, in technology, developing platforms and applications, streamlining production processes, and enhancing data security will promote advances in artificial intelligence and improve overall business performance. Ultimately, these implications suggest that by implementing comprehensive strategies, emerging businesses in the sport industry can achieve success and sustainable growth. In this context, Woods et al. (2024) examined market-related outcomes, while Fourie (2015) investigated customer-related outcomes. Woldie and Thomas (2017) and Daraojimba et al. (2023) emphasized financial outcomes. Pranjal and Sarkar (2020) focused on branding, and Bharadiya et al. (2023) examined technological outcomes. Emerging businesses significantly influence local and national economies by expanding markets and creating jobs. These startups attract new customers and develop unique innovations, contributing to job creation that reduces unemployment and enhances the labor market (Woods et al., 2024). In terms of customer-related consequences, it can be stated that Customer satisfaction is crucial for the survival and success of businesses, particularly for small and medium-sized enterprises in emerging markets (Fourie, 2015). Economic growth in emerging markets is largely fueled by startups and small to medium-sized enterprises (SMEs), which play crucial roles in job creation and innovation (Woldie & Thomas, 2017). These businesses are increasingly focusing on understanding local cultures, forging partnerships, and adapting to technological changes (Daraojimba et al., 2023). Branding is crucial for emerging businesses. Pranjal and Sarkar (2020) noted that corporate branding is vital, as it helps manage stakeholder relationships and supports internationalization. Technology has advanced significantly, and Bharadiya et al. (2023) found that artificial intelligence (AI) is transforming business practices across industries, offering competitive advantages and enhancing stakeholder experiences.

To effectively support emerging businesses in the sport industry, several practical strategies can be implemented. First, develop strong financial strategies to secure sustainable funding for growth and innovation. Collaborating with local authorities and stakeholders will engage the community, align business goals with regional values, and foster a supportive environment. Additionally, investing in advanced technologies, such as data analytics and security systems, can enhance operational efficiency and boost customer trust. Businesses should prioritize branding to enhance awareness and distinguish themselves in a competitive market, while also engaging with customer feedback to adapt products and services to evolving consumer needs. Training programs for employees can also bolster skills related to emerging trends and technologies in the sport industry. Moreover, fostering a culture of innovation and flexibility will allow businesses to swiftly respond to market changes and seize new opportunities. By adopting these strategies, emerging sport businesses can position themselves for long-term success and contribute to industry growth.

Conclusion

The emerging business development model in the sport industry is invaluable for entrepreneurs and managers due to its comprehensiveness and flexibility. It encompasses various factors—environmental, social, economic, and technological—that impact businesses, enabling entrepreneurs to effectively identify threats and opportunities. This informs tailored strategic planning. Furthermore, by highlighting challenges and limitations, the model clarifies growth avenues and equips businesses with tools to overcome obstacles. For instance, it can guide the development of training programs that address industry needs, fostering innovative and entrepreneurial skills among new talent. Additionally, the model supports the creation of platforms for managers and entrepreneurs to share experiences and resources. Its clear outcomes and guidance facilitate the development of sustainable cooperation networks within the sport industry, promoting the exchange of information, financial resources, and innovative ideas. Ultimately, this model not only serves as a decision-making tool for managers and entrepreneurs but also as an innovative platform that supports growth and sustainability in this dynamic industry, providing a clear vision for the future of sport businesses amid evolving challenges.

Limitations of the Research

1. The study was limited to 14 participants, which may restrict the generalizability of findings to the broader sport industry. Future studies should expand the sample size to include a more diverse range of stakeholders.
2. The research predominantly focuses on specific regions or industries. A broader international perspective could provide more inclusive insights into emerging business dynamics in the global sport industry.
3. Rapid changes in technology, market dynamics, and economic factors may affect the study’s relevance over time. Continuous updates and longitudinal studies are necessary to address evolving industry needs.
4. While qualitative approaches provided rich, in-depth insights, the lack of quantitative data limits the ability to statistically validate correlations and causal relationships. Future research should include mixed-methods approaches that integrate qualitative and quantitative data.
5. The study briefly addresses political and legal aspects but lacks a comprehensive discussion on governmental roles and policy impacts, which can significantly influence emerging businesses.

Future Research Suggestions

1. Investigating the long-term effectiveness of strategies such as innovation and digital marketing in emerging sport businesses across different regions and contexts.
2. Exploring the integration of sustainability principles with technological advancements (e.g., eco-friendly digital solutions) to improve industry resilience.
3. Conducting comparative studies across industries to explore how other sectors successfully address challenges similar to those faced in the sport industry, such as market competition or financial constraints.
4. Examining the influence of gender inclusion strategies on reducing gender disparities in sport entrepreneurship and improving market diversity.
5. Evaluating the impact of emerging AI-driven technologies on consumer engagement and brand positioning within sport businesses.

Acknowledgments

We extend our heartfelt thanks to all the study participants.

Conflicts of Interest

The authors declare no potential conflicts of interest.

Funding

The present study received no financial support from any organization or institution.