By Neil Longley
This booklet takes a multi-disciplinary method of examining the character of ‘competition’ and ‘competitive virtue’ in the U.S. seasoned recreation undefined. through many measures, the 4 significant professional activities leagues within the U.S. – the nationwide soccer League (NFL), nationwide Basketball organization (NBA), nationwide Hockey League (NHL), and significant League Baseball (MLB) – are actually probably the most profitable enterprise entities within the nation. whereas those confirmed leagues have regularly been hugely ecocnomic all through their respective existences, the earlier twenty years were really profitable, with franchise values in all 4 leagues growing to be speedily, and at degrees well past industry premiums of go back. inside this context, the e-book seeks to discover the character of the aggressive virtue that those leagues it appears own. the aim is to spot not just how those leagues were capable of get to the place they're this day, but additionally to envision the aggressive threats and possibilities that those leagues face as they movement ahead. A key contribution of the booklet is that it analyzes those matters from a multi-disciplinary process together with a standard economics standpoint, public coverage and public selection conception and strategic administration, to supply a parallel reason behind the luck of every of the 4 significant leagues. It argues that no unmarried conceptual method can, in itself, properly clarify the whole richness of the difficulty. Its stresses that those numerous methods should still commonly be seen as enhances, instead of as being at the same time unique, and complete figuring out of the problem calls for one to undertake a multi-disciplinary point of view, making it of curiosity to students in strategic administration, activity administration, and economics. it may well function an efficient instructing instrument in either graduate and upper-level undergraduate classes for college kids in those fields, and is very valuable for schools trying to emphasize to their scholars the significance of a multi-disciplinary, integrative, procedure while examining enterprise and administration matters. The publication can also be of curiosity to leaders in the activity itself, and may aid to supply perception and viewpoint as leagues search to reinforce their aggressive virtue within the marketplace.
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Extra resources for An Absence of Competition: The Sustained Competitive Advantage of the Monopoly Sports Leagues
The same is also true, on a smaller scale, for gate receipts—larger markets will have an inherent revenue advantage over smaller markets. 20 2 Some Conceptual Foundations… These issues directly relate to the monopoly power possessed by leagues—the local monopolies that each franchise possesses through territorial rights mean that large markets are protected from intrusions into their territory by other league members; the result is that revenues across a league’s franchises can be quite widely varying.
Perhaps most stark is the NFL’s lack of presence in Los Angeles, despite that market being the second largest in the country. There has not been an NFL team in Los Angeles since the Rams left for St. Louis in 1995 and the Raiders left for Oakland that same year. The NFL is presumably not returning to Los Angeles until a new stadium is built, but that position would undoubtedly change if a competitor league existed, since a competitor league would almost assuredly move into the unserved Los Angeles market.
N. 1007/978-1-4614-9485-0_3, © Springer Science+Business Media New York 2013 23 24 3 The USFL as a Case Study In addition, the NFL was experiencing difficulties on the labor front. NFL players would not win free agency rights for another decade, and the 1980s were a time of acrimonious relations between the league and its players. In 1982, NFL players went on strike for 57 days, resulting in the NFL regular season being shortened from 16 games down to 9. Labor hostilities in the NFL continued through the USFL’s existence, and the NFL would go on to see another strike in 1987, 2 years after the demise of the USFL.
An Absence of Competition: The Sustained Competitive Advantage of the Monopoly Sports Leagues by Neil Longley