The Economics Of Sports – Profit Maximization Within The Frame Of Professional Sport Leagues Of North America
Vol.5,No.1(2011)
This work examines the professional sports league in North America in comparison with sports organisations in Europe. Based on that comparison, significant differences were found, which resulted in different behaviour of clubs in North America and Europe. Clubs in North America achieve a monopoly position in relation to its surroundings due to the nature of the league. While these separate entities mutually cooperate having implemented organisational rules that prevent the dominance of one club. The combination of monopoly power and mutual cooperation results in the possibility of economic gain, which is for the clubs in Europe or for normal economic subjects operating in market environment unapproachable. Abuse of a monopoly position of the clubs is noticeable mostly in the subsidies provided by local governments or towns to local sports club. These public funds are not the most efficient investments for the locations mentioned above, as demonstrated by a case analysis of the Miami Heat basketball club.
professional sport leagues; monopoly; monopoly position; sports multiplier; public investments
133–142
ANDREFF, W. (2010) A New Area for Comparative Economics: Competition and Regulation in North American vs. European Professional Team Sports Leagues. Conference of the European Association for Comparative Economic Studies, Tartu, August 26-28, 2010. [online] [cit. 10-10-23] Dostupné z www: <http://ec.ut.ee/eaces2010/artiklid/Andreff -A%20new%20area%20for%20comparative%20economics.pdf>
BAADE, R. A. (1994) Stadiums, Professional Sports, and Economic Development: Assessing the Reality. Detroid: Heartland Policy Study, 1994. No. 62. 40 p.
BOWER, J. L., CHRISTENSEN, C. M. (1995) Disruptive Technologies: Catching the Wave. Harvard Business Review, Vol. 73, no. 1, pp. 43-53.
CROMPTON, J. L. (1995) Economic Impact Analysis of Sports Facilities and Events: Eleven Sources of Misapplication. Journal of Sport Management, Vol. 9, no. 1, pp. 14-35.https://doi.org/10.1123/jsm.9.1.14
DIETL, D., DUSCHL, T. (2009) Th e Organization of Professional Sports Leagues: A Comparison of European and North-American Leagues from the Perspective of Platform Organization. University of Zurich, Institute for Strategy and Business Economics (ISU). Working Paper 0119. [online] [cit. 2010-10- 27] Dostupné z www: <http://www.isu.uzh.ch/static/ISU_WPS/119_ISU_full.pdf>
DOBSON, S., GODDARD, J. (2001) Th e economics of football. Cambridge University Press, 2001.476 p. ISBN 0521661587
HOLCOMBE, R. G. (2009) Th e behavioral foundations of Austrian economics. Th e Review of Austrian Economics, 2009, vol. 22, issue 4, pages 301-313 https://doi.org/10.1007/s11138-009-0081-9
KAHN, L. M. (2003) Sports League Expansion and Economic Effi ciency: Monopoly Can Enhance Consumer Welfare. CESifo Working Paper No. 1101, 2003. 33 p.
KAISEN, K. (2008) Driving growth by fi nding your next S-Curve. Whitepaper. [online] [cit. 2010-10-27] Dostupné z www: <http://www.kendoventures.com/art/Finding_Your_Next_S_Curve_Whitepaper_ v1_Dec_1_2008.pdf>
KESENNE, S. (2000) Revenue Sharing and Competitive Balance in Professional Team Sports. Journal of Sports Economics, 2000. Vol. 1. No. 1. Pages 56-65 https://doi.org/10.1177/152700250000100105
KESENNE, S. (2004) Competitive Balance and Revenue Sharing: When Rich Clubs Have Poor Teams. Journal of Sports Economics, 2004. Vol. 5. No. 2. Pages 206-212 https://doi.org/10.1177/1527002503257209
MANKIW, N. G. (2000) Principles of Economics. South-Western College Pub; 2nd edition. 888 pages. ISBN 030259517
MANKIW, N. G. (2006) Principles of Microeconomics. S Th ompson South-Western,2006. 4th edition. 533 pages. ISBN 0324319169
McBRIDE, C. (2010) Th e Average Salaries in Professional Sports. [online] ehow.com. [cit. 2010-11-5]. Dostupné z www: <http://www.ehow.com/about_6464393_average-salaries-professional-sports.html>
MUKHERJEE, S. (2002) Modern Economic Th eory. New Age International (p) Ltd. 4th ed. 1008 p. ISBN 8122414141
NOLL, R. G. (1997) Sports, Jobs, and Taxes: Th e Economic Impact of Sports Teams and Stadiums. Brookings Institution Press, 1997. 540 p. ISBN 0815761112
PLUNKETT, J. W. (2008) Plunkett’s Sports Industry Almanac 2009: Sports Industry Market Research, Statistics, Trends & Leading Companies. Plunkett Research; Pap/Cdr edition, 2008. 497 pages. ISBN 1593921403
RAPPAPORT, J., WILKERSON, C. (2001) What are the benefi ts of hosting a major league sports franchise? Economic Review, 2001. Vol. 86. No. 1. Pp. 55-86.
SCHUMPETER, J. A. (1942) Capitalism, Socialism and Democracy. New York: Harper, 1975. [orig. pub. 1942], pp. 82-85
SIEGFRIED, J., ZIMBALIST, A. (2000) Th e Economics of Sports Facilities and Th eir Communities. Journal of Economic Perspectives, 2000. Vol. 14. No. 3. Pp. 95-114 https://doi.org/10.1257/jep.14.3.95
SIEGFRIED, J., ZIMBALIST, A. (2002) A Note on the Local Economic Impact of Sports Expenditures. Journal of Sports Economics, 2002. Vol. 3. No. 4. Pp. 361-366 https://doi.org/10.1177/152700202237501
SLOANE, P. J. (2005) Th e European model of sport. In.: ANDREFF, W.; SZYMANSKI, S. (2005) Handbook on the economics of sport. Edward Elgar Publishing, 2005. 830 p. ISBN 1 84376 608
SMITH, A. (2003) Th e Wealth of Nations. Bantam Classics, 2003. 1264 pages. ISBN 0553585975 Sports Facility Report. (2007) National Sports Law Institute of Marquette University Law School (2007). [online] [cit. 10-10-20]. Dostupné z www: <http://law.marquette.edu/s3/site/docs/value-report-8.pdf>
STONIER, A. W. (2007) A Textbook Of Economic Th eory. Pearson, 2007. 5th ed. 724 p. ISBN 8129703971
SZYMANSKI (2004) Professional team sports are only a game. Journal of Sports Economics, 2004. Vol. 5. No. 2. Pages 111-126 https://doi.org/10.1177/1527002503261485
VROOMAN, J. (2000) Th e economics of American sports leagues. Scottish Journal of Political Economy, 2000. Vol. 47, Issue 4, pages 364-398.https://doi.org/10.1111/1467-9485.00169
WALDEN, M. (1997) “Don’t Play Ball”: Pro Sport Don´t Drive Economy. Carolina Journal, 1997. Vol. 7. No. 2. 23 p.
WRIGHT, J. K., GILHEN. J. (2010) A Note on U.S. Antitrust Law and Professional Sposrt: American Needle and the Implications for Canadian Competition Law. Canadian Competition Record, 2010. [online][ cit. 10-10-21]. Dostupné z WWW: <http://www.davis.ca/publication/Canadian-Competition-Record- A-Note-on-UdotSdot-Antitrust-Law-and-Professional-Sport-American-Needle-And-the-Implicationfor- Canadian-Competition-Law.pdf>
Forbes.com (2009) NFL Team Valuation. Special Report, 2009 [online]. [cit. 10-10-20]. Dostupné z WWW:
<http://www.forbes.com/lists/2009/30/football-values-09_NFL-Team-Valuations_Value.html>.
Forbes.com (2009) NBA Team Valuation. Special Report, 2009 [online]. [cit. 10-10-20]. Dostupné z WWW: <http://www.forbes.com/lists/2009/32/basketball-values-09_NBA-Team-Valuations_Rank. html >.
Forbes.com (2009) NHL Team Valuation. Special Report, 2009 [online]. [cit. 10-10-20]. Dostupné z WWW: <http://www.forbes.com/lists/2009/31/hockey-values-09_NHL-Team-Valuations_Rank. html>.
Forbes.com (2009) Th e Business of Baseball. Special Report, 2009 [online]. [cit. 10-10-20]. Dostupné z WWW: <http://www.forbes.com/lists/2009/33/baseball-values-09_Th e-Business-Of-Baseball_Value. html>.
This work is licensed under a Creative Commons Attribution-NonCommercial-NoDerivatives 4.0 International License.
Copyright © 2017 Studia sportiva