Portugal: a cultural report for the International Olympic Committee

Faculty of Business and Enterprise

Assignment Cover Sheet for Undergraduate Courses (for individual and group assignments) This cover sheet is to be attached to all assignments, both hard copy and electronic format.

10 August 2010

STUDENT(S) DETAILS Student 1 Student 2 Student 3 Student 4 Student 5 Student ID Number(s) 2101009 9729313 9984534 9979948

Family Name(s) Bennett Lim Myers Xenos

Given name (s) Timothy Delwin Johanna Timothy

SUBJECT DETAILS Subject Code ADV20001 Subject Title Advertising Issues: Regulations, Ethics & Cultural Considerations

Lecturer’s/Tutor’s Name Nagia Bracic Tute/Lab day & time Tuesday 11:30am

ASSIGNMENT DETAILS Title or Topic Addressed Assignment 2: Group Assignment (Portugal: a cultural report for the International Olympic Committee)

Due Date 31/10/2014 Date Received 31/10/2014

DECLARATION 1. I/We hold a photocopy or electronic copy of this assignment which can be produced if the original is lost/damaged;

2. To the best of my/our belief, no part of this assignment has been copied from any other student’s work or from any other source except where acknowledgement is made in the text;

3. No part of this assignment has been written for me/us by any other person except where such collaboration has been authorised by the lecturer concerned and where acknowledgement is made in the text;

4. No part of this assignment has been previously submitted as an assessable item, except where authorised by the lecturer concerned and where acknowledgement is made in the text;

5. SAFE ASSIGN: For units where Safe Assign facility is available in the Blackboard site 1/we declare that this assignment has been submitted to Safe Assign (as specified in the unit outline) and all identified matches and referencing have been checked and corrected.

I / We accept that electronic submission of this cover sheet will be taken as consent to the terms outlined in Points 1 to 5 of the above declaration by the student/s submitting this assignment.

Student Signature(s) Timothy Bennett Delwin Lim Johanna Myers Timothy Xenos

MARKER’S MAIN COMMENTS

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Portugal:a cultural report for the International Olympic Committee

Timothy BennettDelwin LimJohanna MyersTimothy Xenos

Table of Contents

Portugal: a cultural report for the International Olympic Committee Bennett, Lim, Myers & Xenos // Page i

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Cover image: (Delso 2012)Slideshare link: TBA

1.0 Introduction1.1 About the Report1.2 About Portugal

2.0 Politics2.1 Political System2.2 Internal Political Culture2.3 External Political Culture2.4 Media2.5 Laws2.6 LGBT Rights

3.0 Economy3.1 Financial Crisis In Recent Years3.1 Recovering Economic Growth

4.0 Social & Cultural4.1 About the People4.2 Their Feminine Nature4.3 Morality and Respect4.4 Cultural History4.5 Security in Certainty

5.0 Technology5.1 Overview5.2 Communications5.3 Infrastructure5.4 Healthcare

6.0 Environmental6.1 Climate6.2 Renewable Energy

7.0 Conclusion

8.0 References

1.0 Introduction

Portugal: a cultural report for the International Olympic Committee Bennett, Lim, Myers & Xenos // Page 1

1.1 About the Report The following report is an assessment of the suitabilitly of Portugal to hold the 2024 Summer Olympic Games. The research utilises a PESTEL analysis format (Political, Economic, Social/Cultural, Environmental and Legal) to gain an efficient overview of the many cultural aspects relevant to hosting a large-scale event such as the Olympics (CIPD 2013). Throughout the analysis, there is also reference to the Hofstede Model. The model demonstrates cultural differences between countries across the dimensions of power distance, individualism, masculinity, uncertainty avoidance, pragmatism and indulgence; the model has been used against a large number of countries and provides straightforward examples of cultural differences (Mooij & Hofstede 2010, p. 87-88).

1.2 About Portugal Portugal has a population of 10.7 million people, with a religious majority of moderate Catholics (Cunha & Cunha 2010). It is situated on the Iberian Peninsula, at the southwest point of Europe, consisting of Mainland Portugal and the two archipelagos, Madeira and Azores (‘People’ 2013). Mainland Portugal occupies 88, 889 km2 of landmass, which runs 832 km of Atlantic coast sharing 1,215 km border with Spain. Azores, consisting of nine islands, São Miguel and Santa Maria in the Eastern Group, Terceira, Graciosa, São Jorge, Pico and Faial in the Central Group and Flores and Corvo in the Western Group, cover an area of 2,335 km2 (‘People’ 2013). Madeira Archipelago, located in the Atlantic Ocean, consists of two main islands of Madeira, Porto Santo and uninhabited nature reserves of Desertas and Selvagens islands (Poelzl 2009).

Portuguese Flag (Pinheiro, Rodrigues & Martins-Tuválkin 2004)

Portuguese Map (Comunidades Europeias 2008)

2.0 Politics


2.1 Political System Modern Portugal began as The Third Republic in 1974, after the Carnation Revolution saw a left-wing military coup transition the country from a dictatorship to a democracy (Baioa, Fernandes & Meneses 2003, pp. 9-10). The parliamentary republic operates in a multi-party system with three branches of government: executive, which is led by the President who is elected for a five-year term through the vote of the public; legislative, which is led by the Prime Minister, who is appointed by the President from the political party to hold the most seats within parliament; and judicial, the system of courts whose primary source of laws are the Portuguese Constitution (Angloinfo 2014).

2.2 Internal Political Culture The Hofstede Centre (2014) suggests that on the Hofstede model, Portugal has a medium-to-high power distance, which means that maintaining a relationship is paramount to the success of any company or event. This distance between the people and the power has dramatically eased since 1974 and the introduction of democracy, meaning the government and the people of Portugal share a slowly strengthening relationship (Baioa et al. 2003, pp. 10).

2.3 External Political Culture Portugal is an active participant in foreign affairs, as it is a founding member of NATO and has been an active contributor to the European Union (EU) since 1986 (Australian Government 2013). The nation has also supported the Olympic Committee of Portugal since 1909 as the 13th country to join the Olympic Movement, and is further evidence that Portugal’s neutral foreign affairs would make it a friendly nation for the Games (International Olympic Committee, 2014).

2.4 Media After a long period of media censorship, Portugal’s media has become largely in open in thanks to the freedom of press and alternative media distribution methods, such as free newspapers and journalism moving online (Bundeszentrale für politische Bildung 2014). The lack of ideological goal within the press has made the Fourth Estate’s presence in Portugal more positive. Of consideration to potential Olympic sponsors are the three bodies are responsible for monitoring advertising

Portuguese Parliament (Proenca 2011a)


in Portugal: the Civil Institute of Commercial Communications Self-Discipline (ICAP), the Portuguese Association of Advertising Agencies (APAP) and the Portuguese Association of Direct Marketing (AMD) (Monteiro & Henriques 2010).

2.5 Laws Since embracing democracy, the legal culture in Portugal has shifted towards openness (Fishman 2011, p. 25). Their low masculine score on Hofstede’s Model of cultural dimensions, as ranked by The Hofstede Centre (2014), suggests “people value equality”, and this is reflected within Portuguese law. Women have held equal legal rights in Portugal since 1977, however they still lack equal political participation, suffer income inequality and domestic violence is a serious ongoing concern (Gunda Werner Institute 2014; Amnesty International 2013).

The crime rate in Portugal is low, but tourists in busy cities may be targeted by pickpockets (Lonely Planet 2014). Illicit drugs have been decriminalized since 2000 in Portugal, as part of a so-far successful effort to reduce the spread of HIV and prevent overdoses (Goulão 2014).

2.6 LGBT Rights The country has liberal LGBT laws even by global standards, as members of the LGBT hold rights such as the right to same-sex marriage, criminalisation of homophobia & transphobia related crimes and the legal right to gender reassignment (Portuguese American Journal 2013). However, same-sex couples lack parenthood rights to adoption and/or IVF treatment. Regardless, their acceptance of the LGBT would make for a friendly and open environment for the Olympic Games.

3.0 Economy


3.1 Financial Crisis In Recent Years Through the privatisation of key economical areas such as the financial and telecommunication sectors, Portuguese economic growth had been above the European Union average since joining the Union in 1986. Throughout the 1990s, Portugal experienced lowering interest rates and falling unemployment numbers.

However, much like the majority of other economies around the world, the Portuguese economy was severely affected by the Global Financial Crisis in 2008. On the verge of bankruptcy in 2011, a €78 billion financial bailout was accepted from the International Monetary Fund and the European Union that would have the country’s economy recovering by 2014 (Bugge 2011). The effect of this is displayed in recent reports; while Portugal’s GDP decreased by 1.4% in 2013, it is expected to increase to 1.2% by the end of 2014 (Reis 2014).

3.2 Recovering Economic Growth Through exportation of goods and increasing tourism numbers, the Portuguese economy has proved to be a leader in the “Eurozone Recovery”. Accounting for 41% of national output, exports are boosting the country’s economic power; leading to Portugal’s first account surplus in over 20 years. The tourism industry within the country has also been increasing steadily, estimated to be generating more than €9 billion in revenue (Wise 2014). Increasing numbers of tourists will help bring the country out of recession through an external injection of money into the economy. Inflation levels are also projected to be in the low percentages due to low domestic and external pricing pressures, further stabilising the local sector.

Throughout the GFC, unemployment rates in Portugal have soared. These levels reached an all-time high of 17.5% in 2013; from the all-time low of 3.7% in 2000. The same trend is evident in youth unemployment rates that also reached a staggering 40.6% in 2013 (Trading Economics 2014). Following reforms in the domestic job market, unemployment rates have now dropped to 13.9% and are expected to continue declining in the next few years. Hosting large sporting events such as The Olympics would create a vast number of new jobs that could further help the recovering economy. The 2012 London Olympics created over 100,00 new jobs and The 2014 FIFA World Cup in Brazil created an estimated 3.63 million jobs in the civil construction, food and beverages, business services, IT and tourism industries (Prynn 2012; Ernst & Young Terco 2011).

4.0 Social & Cultural


4.1 About The People Populated by 10.7 million people of numerous origins, Portugal has been transformed into a country welcoming to foreigners due to years of immigration and urbanization (Vieira & Trindade 2008). From the historic times of Celts and Germanic tribes settlers to Mediterranean and North Africans, various ethnic groups have inevitably merged to create a culture of rich tradition exhibiting deep spirituality and dynamism. With increasing number of immigrants from Eastern Europe, Portuguese people not only have become open to enculturalization but also have become resilient people who are able to adapt to any given social situations (Cunha & Cunha 2010).

4.2 Their Feminine Nature An important trait to the people of Portugal is their low score on Hofstede’s measure of masculinity, meaning their culture demonstrates feminine qualities of hospitality and openness (The Hofstede Centre 2014). They are non-confrontational, sensitive to cultural differences and strive for equality, solidarity and consensus (Cunha & Cunha 2010). This old-fashioned consciousness is a form of etiquette and formality perhaps uncommon in modern Western culture, but would be host to a healthy Olympic spirit.

4.3 Morality and Respect Through their feminine nature, chivalry remains an important cultural quality in Portugal. This is due to the impact of the Catholic Church in the nation’s collective morality (Poelzl 2009). With respect to tradition, the Portuguese society exhibits conservative views through the ways in which they represent their women in the media, such as advertising and major TV shows (Preda 2012). Though nudity exists, it is contained to late-night programming. Compared to their neighbouring countries, there is a significant difference in the amount of topless bars and strip clubs in the cities of Portugal (Poelzl 2009). It would be expected that any Olympic sponsors would be especially considerate to keep advertising free of the objectification or degradation of women.

4.4 Cultural History As a high-level collective society, the nation of Portugal exhibits strong unity and solidarity (Preda 2012). Portugal

Portuguese soccer crowd (showballjoyrider 2010)


has a rich history of patriotism and pride in producing a plethora of iconic explorers, poets and artists from the Golden Age of Exploration and Navigation in the Portuguese Renaissance period, which begins to provide a strong sense of branding and identity. Of similar importance to their historical culture are the Knights Templar, the “Shakespeare of Portugal”, Luís Vaz de Camões and their national symbolic sentiment –the Saudade (Cunha & Cunha 2010). As a national characteristic, Saudade has influenced numerous historical Portuguese theatrical arts and poems, whilst incorporating this theme into various folk dances accompanied by traditional music, ‘Fado’ (Poelzl 2009). Thus, their ability to host culturally strong and impactful Games would be of little question.

4.5 Security in Certainty Scoring the highly in Hofstede’s uncertainty avoidance dimension against other European countries, it is evident that Portugal has the lowest tolerance to uncertainty (Preda 2012). This suggests they maintain rigid codes of morality and beliefs in order to save time, money and effort. Punctuality and precision are considered the norm to maintain a level of security (Poelzl 2009). Portugal’s preference for precision would suggest that infrastructure for a large scale international event would be maintained at a high quality.

5.0 Technology


5.1 Overview Moving forward with technology is important to any nation that wishes to stay competitive, and Portugal has several important areas to consider in the field. According to The Hofstede Centre (2014), Portugal ranks lowly in the Hofstede model trait of pragmatism, suggesting the country prefers tradition to innovation; the nation also places similar value on indulgence, which may limit its participation in any technology it sees as unnecessary.

5.2 Communications The internet use in Portugal exemplifies the country’s balance of pragmatism and indulgence against globalisation. Portugal’s internet speed is ranked 17th in the world, yet its number of internet users rank it 45th in the world (Milian 2013; CIA 2014). These speeds are a result of a state-of-the-art fibre network (CIA 2014). The nation has a very high penetration rate of mobile phone users, with over 12 million mobiles registered despite a population of 10.7 million (Carnegie Mellon 2009; CIA 2014). The mobile network that covers all of Portugal’s territory, as well as their high internet speeds, would make communications technology effortless as a potential host to the Olympic Games.

5.3 Infrastructure In 2017, the New Libson International Airport is due to open and service Portugal’s capital at a world-class level (Libson Airport 2010). Public transport operates within Portugal, as trains service inner-city and inter-city travel, whilst buses service smaller cities and towns (Angloinfo 2014b). The nation has infrastructure suited for an international event such as the Olympics, and an influx of users may provide monetary support to their subway system that is currently suffering as a result of the European recession (Deutsche Welle 2014).

5.4 Healthcare Both private and public healthcare is available in Portugal for both citizens and tourists (InterNations 2014). However, as a result of the recession, some public healthcare options have become more limited, such as new fees for doctor’s appointments. (InterNations 2014).

Oriente station, Libson (Proenca 2011b)

6.0 Environmental


6.1 Climate With a mild Mediterranean climate, Portugal’s air temperature throughout the year ranges from 6°C to 17°C during the cooler months and between 20°C and above 30°C in the summer months (Climate Adaption 2014). Paired with relatively low humidity levels, the weather in Portugal is ideal for the hosting of large-scale sporting events; the 2004 European Football Championships and the annual Tour de Algarve have proven to be great successes in the past. With scenic mountains and a sweeping countryside, Portugal has a fantastic visual landscape with which it could host the Summer Olympics.

Portugal has also taken extensive measures to control Climate Change and to ensure that the country is ready for any potential changes in the future. In 2013, the Portuguese government pledged €3.5 million towards the development of a programme designed to help the country address the overall issue of Global Warming and Climate Change. Called AdaPT, the program will promote public awareness and educate citizens on how to adjust their lifestyles and minimise the country’s ecological impact (Bratley 2013).

6.2 Renewable Energy Since the introduction of the E4 energy efficiency policy programme in 2001, Portugal has continually increased clean energy sources while dropping their reliance on fossil fuel. The programme aimed to promote a more integrated and consistent approach to energy supply and demand through the development of new and existing technology. Combined with decreased national energy consumption levels, 70% of the country’s total energy consumption in early 2013 was able to be powered by renewable energy (Romm 2013). Taking advantage of all forms of renewable energy such as wind, solar, geothermal and hydro, the enforcement of the programme has increased the economic competiveness of the country while also sustaining the environment. With a long-term commitment to energy efficiency and a “greener” nation, hosting the Olympics in Portugal would result in a lower carbon footprint than compared to previous hosts (European Commission 2013).

Porto Moniz, Portugal (Hagens 2001)

7.0 Conclusion


Throughout this report, various aspects of Portugal have been highlighted in attempt to best investigate their suitability as a potential candidate for the 2024 Summer Olympic Games. Much of modern Portugal has been dramatically impacted by their emergence as a democratic society for nearly the past four decades.

Because of the left-wing coup that saw democracy introduced to Portugal, the political system attempts to remain as transparent and fair as possible so as to not repeat the apparent mistakes of the past. Instead of losing their society and culture to oppression, the nation can now proudly thrive as a liberal country with forward-thinking ideals. Portugal’s LGBT laws are a key example of how the culture is passionately moving forward into the 21st century. Fears of inequality would not be present at a Portuguese Olympics.

An area of concern for Portugal at the present time is their economic struggles. Their currency, the Euro, is yet to see a full recovery after the initial global financial crisis of 2008. However, compared to neighbouring EU countries, Portugal has made considerable strides to return to growth. An event at the level of the Olympic Games would likely be a huge and well-received economic growth for the country.

Culturally, Portugal has a long and proud history. This is reflected within their society that promotes equality and respect. From observing the people of Portugal, it becomes easy to understand how the nation has such healthy foreign affairs.

Whilst a more traditional culture may not embrace technology purely for the sake of it being something new, Portugal’s leaders have ensured the nation has a strong future with clear advances in technology. Importantly, technology in this context refers to both communications and infrastructure, which are key for keeping any nation for connected.

The climate and landscape of Portugal are true to Mediterranean clichés, in that they are both considerably pleasant and picturesque. Importantly though is Portugal’s investments in renewable energy sources to ensure their environment stay this way.

For the 2024 Summer Olympic Games to be hosted in Portugal, it is unlikely there would be a cultural clash for any competing nation. As an event that focuses on the spirit of unity, if anything, Portugal would be more like home than a holiday. The country has not been limited by recent economic downturn, and instead continues to unite and move forward into the 21st century whilst remaining true to its rich history of culture that would no doubt make the Olympics in Portugal a worthwhile spectacle.

8.0 References


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Education

Portugal: a cultural report for the International Olympic Committee