The first sports event called the Olympic games in the modern era was held in Much Wenlock (a village in England) in 1850. The first Olympiad organised by the IOC was held in Athens in 1896.
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Individual entries - had to be a citizen of a Greek city-state.
The Games were established by the city-state of Elis, on whose territory the Games were held. The city provided three referees to supervise them. Participation in the Games were restricted to the citizens of Greek city-states.
Women were not permitted to watch the Olympic Games in Ancient Greece
The olympic flame is always first lit in the ancient Greek city of Olympia, where the games originate from. This year - 2012 it was lit in the ancient Greek city on May 2012 and was then taken across the country and finally handed over to the British officials, for the London 2012 Games, in the Greek capital, Athens but it was never lit there and it was most definitely not lit in the English city - Slough as mentioned in the previous answer.
The Olympics are modeled after the ancient Greek Olympics which were a competition between Greek city-states. The Winter Olympics happen now to have snow and ice sports in the Olympics.