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Broadcast Rights and Competitive Balance in European Soccer

Author

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  • Thomas Peeters

    (University of Antwerp)

Abstract

Monopolization of broadcast rights for collective sales is a widespread practice in sports leagues. Proponents of this system claim that it is a necessary tool for the maintenance of competitive balance (tension) in sports. In this empirical paper, I argue that, in European soccer, collective sales do not increase competitive balance as compared to individual sales. Further, I demonstrate the negative effect of the UEFA Champions League and the beneficial effect of a more equal distribution of drawing power and a larger domestic market size on competitive balance. These results shed new light on antitrust policies towards the sports industry.

Suggested Citation

  • Thomas Peeters, 2011. "Broadcast Rights and Competitive Balance in European Soccer," International Journal of Sport Finance, Fitness Information Technology, vol. 6(1), pages 23-39, February.
  • Handle: RePEc:jsf:intjsf:v:6:y:2011:i:1:p:23-39
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    Cited by:

    1. Oliver Budzinski, 2011. "The Institutional Framework for Doing Sports Business: Principles of EU Competition Policy in Sports Markets," Working Papers 108/11, University of Southern Denmark, Department of Sociology, Environmental and Business Economics.

    More about this item

    Keywords

    competitive balance; broadcast rights; antitrust policy; soccer;
    All these keywords.

    JEL classification:

    • L83 - Industrial Organization - - Industry Studies: Services - - - Sports; Gambling; Restaurants; Recreation; Tourism

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