Legal battles for sponsorship exclusivity: The cases of the World Cup and NASCAR
AbstractTheorists have emphasized brand differentiation in achieving a competitive advantage through sponsorship, and managers of sports sponsorships have recognized product category exclusivity as among the most valued rights afforded sponsoring firms. Yet the proliferation of sponsorships in the sports marketplace poses a challenge to sponsors attempting to establish a unique brand position apart from the clutter. The competition between corporate rivals for sponsorship exclusivity in the world's highest profile sporting arenas has begun to spill into the courtroom. The purpose of this paper is to review the cases of MasterCard versus FIFA, and AT&T versus NASCAR, and discuss the relevance of these contract disputes to sponsorship scholars and practitioners. Specifically, the courtsâ finding of irreparable harm faced by the excluded sponsor offers an intriguing legal recognition of the theorized goodwill and inimitability of corporate affiliation with a specific sponsored enterprise. The cases also contribute an opposing view of best practices, where legal ramifications arise from treating sponsorship as a property-based resource and neglecting the relational dimensions of collaborative communication, trust, and commitment emphasized by contemporary sponsorship theory.
Download InfoIf you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
Bibliographic InfoArticle provided by Elsevier in its journal Sport Management Review.
Volume (Year): 14 (2011)
Issue (Month): 3 (August)
Contact details of provider:
Web page: http://www.elsevier.com/wps/find/journaldescription.cws_home/716936/description#description
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Cousens, Laura & Babiak, Kathy & Bradish, Cheri L., 2006. "Beyond Sponsorship: Re-Framing Corporate-Sport Relationships," Sport Management Review, Elsevier, vol. 9(1), pages 1-23, May.
- Sam, Michael P. & Batty, Richard & Dean, Rebecca G.K., 2005. "A Transaction Cost Approach to Sport Sponsorship," Sport Management Review, Elsevier, vol. 8(1), pages 1-17, May.
- Farrelly, Francis & Quester, Pascale G., 2003. "What Drives Renewal of Sponsorship Principal/Agent Relationships?," Journal of Advertising Research, Cambridge University Press, vol. 43(04), pages 353-360, December.
- Wolfe, Rosita & Meenaghan, Tony & O'Sullivan, Paul, 2002. "The sports network: insights into the shifting balance of power," Journal of Business Research, Elsevier, vol. 55(7), pages 611-622, July.
- Turner, Paul & Cusumano, Sam, 2000. "Virtual Advertising: Legal Implications for Sport," Sport Management Review, Elsevier, vol. 3(1), pages 47-70, May.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Zhang, Lei).
If references are entirely missing, you can add them using this form.