FORMULA-1

Formula One, also known as Formula 1 or F1 and referred to officially as the FIA Formula One World Championship, is the highest class of single seater auto racing sanctioned by the Fdration Internationale de l'Automobile (FIA). The "formula" designation in the name refers to a set of rules with which all participants' cars must comply. The F1 season consists of a series of races, known as Grands Prix (in English, Grand Prizes), held on purposebuilt circuits and public roads. The results of each race are combined to determine two annual World Championships, one for the drivers and one for the constructors. The racing drivers, constructor teams, track officials, organizers, and circuits are required to be holders of valid Super Licences, the highest class of racing licence issued by the FIA. Formula One cars are considered to be the fastest circuit-racing cars in the world, owing to very high cornering speeds achieved through the generation of large amounts of aerodynamic downforce.

Sahara Force India Formula One Team, the trading name of Force India Formula One Team Limited, is a Formula One racing team based in Silverstone, United Kingdom which currently holds an Indian licence. The team was formed in October 2007 when a consortium led by Indian businessman Vijay Mallya and Michiel Mol bought the Spyker F1 team for 90 million. and changed the name to Force India F1 which represents increased Indian participation within Formula One, with Greater Noida set to host the first Indian Grand Prix in 2011. The Fdration Internationale de l'Automobile confirmed the change in name from Spyker to Force India on 24 October 2007. Force India won their first Formula One world championship points and podium place when Giancarlo Fisichella finished second in the 2009 Belgian Grand Prix.

In October 2011, Indian company Sahara India Pariwar, purchased 42.5% of Force India F1's shares at $US 100 million.

HISTORY OF F1
The Formula One series originated with the European Grand Prix Motor Racing (q.v. for pre1947 history) of the 1920s and 1930s. The "formula" is a set of rules which all participants' cars must meet. Formula One was a new formula agreed after World War II during 1946, with the first non-championship races being held that year. A number of Grand Prix racing organisations had laid out rules for a World Championship before the war, but due to the suspension of racing during the conflict, the World Drivers' Championship was not formalised until 1947. The first world championship race was held at Silverstone, United Kingdom during 1950.

The Force India team has its origins in the Jordan Grand Prix team, which entered Formula One racing in 1991 based at the Silverstone racing circuit. Jordan enjoyed many years in Formula One, winning four races and achieving third place in the 1999 constructors title. However, like many of the smaller teams in the 2000s, financial problems meant the team's performance dried up, and team owner Eddie Jordan sold to the Midland Group in 2005. The re-named Midland F1 Racing team spent two seasons, before owner Alex Shnaider sold the team on to Spyker Cars in 2006. Spyker F1 scored a point in 2007 and briefly led the European Grand Prix; despite this, the team once again hit financing issues, and was sold on to Indian businessman Vijay Mallya, Chairman of the United Breweries Group and Michiel Mol, Spykers Formula One Director and re named as Force India Formula One Team for the 2008 season. Efforts to bring an F1 GP to India have been on since the late 90s. Indian brands have partnered with Formula 1 teams since the 90s too Dr. Mallyas Kingfisher beer and, the Tata Group with Narain Karthikeyan. Narains sponsors, JK Tyres, Speed, and Amaron, too have been visible in Formula 1 as driver sponsors. The two catalysts for motorsport and Formula 1 in India have been Narain Karthikeyan and Dr. Vijay Mallya. Narain, the fastest Indian in the world, debuted as a driver in the sport in 2005 with Jordan Grand Prix. What followed was instant recognition and fame! Dr. Mallya debuted as a team owner in 2008, and has changed the fortunes of the Force India F1 team in 3 seasons with the team getting better with each passing season (FIF1 finished

7th in the 2010 Constructors Championship with 68 points). Efforts to bring an F1 GP to India have been on since the late 90s. Indian brands have partnered with Formula 1 teams since the 90s too Dr. Mallyas Kingfisher beer and, of course, the Tata Group with Narain Karthikeyan.

Formula 1 in India after many false starts

Indian F1 journey began many years back but every time the news of an Indian GP emerged it turned out to be a false alarm. In fact rumors about Mumbai, Hyderabad, Bangalore, and Chennai hosting the F1 race kept doing rounds routinely and at one time Hyderabad was almost certain to host the first Indian F1 race. But Noida and Delhi finally emerged the dark horse and with the construction of the F1 track in Noida, we saw the first F1 race Live in India. In India, the year 2011, will be known and remembered as the year of Formula 1. India has been somewhat active in motorsport for a few decades now, but nothing beats the arrival and achievement of hosting a Formula 1 Grand Prix. The circuit has been built by Noida based Jaypee Sports international (JPSI) and its German Racetrack is designed by Hermann Tilke who is rightfully known as the father of modern F1 and has designed F1 circuits in Malayasia, Turkey, China, Bahrain, UAE and South Korea. Jaypee Group, the owners of the organizers known as JPSK Sports have invested a total of US $350 million. Jaypee track is located in outskirts of Greater Noida is the track where this dream came true. 2011, the world saw Indias F1 quotient at its highest ever the Force India Formula 1 Team, Narain Karthikeyans comeback, Karuns attempt to secure a long-term future in Formula 1, and, of course, the much awaited Indian Grand Prix. Whats even more exciting is that the FIA Gala Awards have been moved out of Monaco and shifted to the Jaypee International Circuit in Greater Noida. The other noteworthy Indian representations in Formula 1 include the UB Group companies, as well as the other Indian brands that sponsor the Force India Formula 1 Team. Tata

Consultancy Services (or TCS) is the IT service provider for Ferrari, and they write engine software for the Italian racing team. Plus, the Jaypee Group partnered with the Hispania Racing Team when Karun Chandhok raced for them in the 2010 season.

F1 in India: The Economic Impact

In a country of nearly 1.2 billion people where over 60 per cent are below any commonsensical definition of the poverty line, it is quite natural that motorsport, especially Formula One, is associated with the rich, new Indian elite. This is perhaps why the debate whether motor racing is a sport or a meaningless exercise involving profligate spending still rages on in the country. Recently P.T. Usha, one of the greatest athletes the country has produced, trashed Formula One as a criminal waste of money. There are not many who think differently. However, understanding the nuances of F1 would enable people to appreciate the sport better. And the truth is F1 is a sport and a business. The top Indian business houses vying for advertising space during the inaugural Grand Prix of India held at the Buddh International Circuit (BIC) in Greater Noida showed that F1, which has a total global television audience of 527 million, is indeed a fantastic medium for promoting brands in overseas markets. The sport could also act as a powerful vehicle for the steadily growing Indian automotive sector to position its brands globally. After all, the engine maps and components used in the F1 car are not very dissimilar to the ones in a road car today. The Grand Prix of India, which attracted 95,000 spectators, has opened a new chapter in the country's sport. India's ability to organise top-end, world-class events, especially after the fiasco of the run-up to the Commonwealth Games, has been re-established. The early apprehensions about the conduct of the race and the fears that the farmers would protest against the event on account of the inadequate compensation handed out to them for land acquired to build the track blew over as the big day dawned. The crucial role played by the Mayawati government in this regard and the help it offered to the local organisers, Jaypee Sports International, must be recognised. The organisers though could have avoided the embarrassment caused by the inexplicable act of not inviting India's Sports Minister Ajay Maken to the races. F1 races in Asia the Korean, Chinese, and Abu Dhabi outside Japan tend to be handicapped by a lack of understanding of the sport, which has led to a rapid fall in spectator interest. It is here that young

cohorts of the Facebook Generation' of avid F1 fans could give India an edge. The 5.371kilometre long BIC, designed by the renowned German architect and track designer, Herman Tilke, and built at a cost of $400 million, has drawn a lot of praise from F1 officials and the drivers. With a seating capacity of 150,000 and plans to expand it to 200,000, the track was built by Jaiprakash Associates, covering an area of 875 acres in Greater Noida. The estimated cost of this project is Rs.12-15 thousand crores, an amount which many believe is a waste as

Formula 1 is a sport that still has a small, but rapidly growing, fan base. It is believed that it provided with more incentive to support the event. It is a known fact that Formula 1 is a sport with a worldwide following. It had a TV viewership of 527 million people in 2010. The countrys profile would get a much needed boost and this would provide India with an annual mega sports event, something it does not have as of now. According to experts, the Indian GP would generate revenue of $170 million through ticket sales, sponsorships, advertising and media rights etc. and would provide employment to about 10,000 people. The hotel industry, especially, is witnessing a boom just because of the race, with room rates, in Delhi-NCR, for the race weekend touching Rs. 40,000 per night and more. There was scepticism about the reaction of the public to the race, butsales of tickets have been more than satisfactory with tickets worth Rs.1.5 crore being sold in the first 3 hours, and the cheapest tickets being sold out within a week of being put on sale. Also, the advantage of having a permanent circuit is evident. Though expensive to develop, it can be leased out for private races and other races such as MotoGP, which would also help in the development of a motorsport culture in India, possibly leading to more Indians getting involved in the sport itself.

The country's inaugural, Airtel Indian Grand Prix, got off to a spectacular and actionpacked start with world champion Sebastian Vettel of Red Bull starting from the pole position at the swanky Buddh International Circuit.

SUCCESS

A marvellous racing facility, the famed warmth in hospitality there to be seen, and passionate fans filling up the stands, it all came together perfectly to make India'sFormula One debut a blockbuster. India's Formula 1 debut takes place at the roller coaster Buddh International Circuit (BIC), 40 kilometers from New Delhi in Greater Noida. Let's hope the roar of the 800 BPH V8 engines and the coup of getting Lady Gaga to perform at the closing party will forever erase the shame of the Commonwealth Games. Or so says Jaiprakash Singh, octogenarian, billionaire and founding chairperson of the Jaypee Group -- the man who's just spent a whopping US$400 million to put India on the world motor sport map. The 2011 Formula 1 Airtel Grand Prix of India is attracting not only F1 fanatics but Bollywood stars, the international glitterati and some of the worlds hottest entertainers. Tickets for the 100,000 plus seater grandstands begin at Rs 2,500 for plebeian seats and up to Rs 1 crore for the 55 platinum corporate boxes, which are completely sold out. Yet the Jaypee Group barely recovers a paltry US$16 million in ticket sales, says a report in The New York Times, making this India's biggest carte blanche PR exercise since, well, the Commonwealth Games.

LOOPHOLES

There have also been criticisms about the price of tickets ranging from $55 to sit on the grass to $22,000 for corporate boxes that are way out of reach for the vast mass of Indians, as were concerts by Lady Gaga and Metallica (the latter was abandoned). But it is inevitable in a country like India that there will be such disparities The Buddh circuit has been built as a flagship development for a bigger project: a new town with a population of several hundred thousand, which will have malls, sports and education facilities, and will sit astride a new motorway linking it to Delhi, 32km away, and Agra, 190km away. The government wanted to sell the land, belonging to Kumar and other farmers, to the developers behind the motorway and the town. Greater Noida will be a satellite of a satellite town of Delhi, a city with a population of about 20 million. The result is that, only a few miles from the Indian capital, lies a vast swath of land undergoing extraordinary change at an extraordinary pace. Tourists rarely come here although they will pass through this weekend on the way to the circuit. If they did, they would find a no man's-land stuck between the new India, with its wealth and information technology and fashion industries, and the old India, rural and grotesquely underdeveloped. The six-lane road that leads to Greater Noida is flanked by scores of half-built tower blocks. The frames of hoardings bereft of adverts loom above the traffic. Modern hotels back on to rivers black with human waste. On the fringes of this zone are villages such as Bhatta-Parsaul, just a few minutes' drive from the "Grand Venezia" development that will provide shoppers with an authentically Venetian experience, right down to gondolas on artificial canals. All parties are seeking to exploit the grand prix. it was even reported that Mayawati's government had given the developers a giant tax break to build the circuit. Posters featuring the chief ministers that have gone up in Greater Noida might explain why. "Speed is progress," they say.

F1- IMAGE BUILDING

Companies use F1 championships for brand building. They shell out huge sums of money to make their brands recognizable on Formula One cars. The sponsorship is like a global media platform for the sponsors.

Analyzing Sponsorship When Formula One racing began in 1950, sponsors supported it with heart. But now, the scenario has changed. Decision-making is now done with the head. A lot of analysis and research is done before arriving at any decision. The would-be sponsors burn so much midnight oil to make their brands visible to the people. They want to ride on the success on Formula One. They know that if their names and logos appear on Formula One cars and dresses of teams, it would help in brand buildings and their business would benefit. Riding Formula 1 In North America and Europe, Formula One is a hugely popular event. Companies operating in these areas of the world always want to ride the success of formula one. The amount they pay and their return hugely depends on the success of the team and the positioning of the sponsor's name and logo on the cars. If a team is successful, sponsor is, and if a team fails, so does the sponsor.

Role of Sponsors Sponsors' role is most important in promoting Formula One teams which get 80-85% of their total income from sponsorship. Rest of 15% comes from TV revenue and prize money. This itself explains the importance of sponsors in Formula One.

Sponsorship Liveries Sponsorship liveries are in use in Formula One since 1960s, replacing the previously used national colors. The liveries change for every season in the sport. The change depends on the marketing ideas of the sponsors. However, some teams have shown consistency over the years, like the Ferrari, whose color has been red. At some Formula One events, Tobacco Sponsorship is prohibited.

History of Sponsorship Initially Grand Prix cars ran without any badging, using national colors. However, as the cost of the sport rose, sponsors became important. In the mid-1960s, Team Lotus began to use its name on the cars. Honda did the same in 1966. In the US, commercial sponsorship was allowed. However, Formula One governing body recognized commercial sponsorship only in 1968.

Current Sponsors Current sponsors of Formula One are Altria (Marlboro), Benetton Group, Beta Tools, Brembo, British American Tobacco (Lucky Strike), Brooke Bond Oxo, Candy, Ceramiche Ragno, Champion, Compaq, Computer Associates, Copersucar, Credit Suisse, DHL, Eifelland, Essex Petroleum, Federal Express, First National Bank, Fondmetal SpA, Foster's, Gallaher (Benson & Hedges), Hewlett-Packard, Hong Kong & Shanghai Bank, Hugo Boss, Imperial Tobacco (Embassy), Imperial Tobacco (Gold Leaf), Imperial Tobacco (JPS), Japan Tobacco (Mild Seven), Martini & Rossi, Orange, Parmalat, PlayStation (Sony), Politoys, Red Bull, Reemtsma (West), Saudia Airlines, SEITA (Gitanes & Gauloises), Siemens, Skol, Sonax, STP Corporation, TAG-Heuer, Tissot, Unipart, UOP, Valvoline, Villiger (Tabatip), Vodafone, Warsteiner Brauerei and Yardley,