IDEAS home Printed from https://ideas.repec.org/a/wly/mgtdec/v31y2010i5p363-372.html
   My bibliography  Save this article

Individual efficiency and club performance: a panel analysis of professional baseball

Author

Listed:
  • Wen-Jhan Jane

    (Department of Economics, Shih Hsin University, Taipei, Taiwan)

  • Wei-Hsin Kong

    (Graduate Institute of Industrial Economics, National Central University, Jungli, Taiwan)

  • Yi-Hsiue Wang

    (Department of Economics, Shih Hsin University, Taipei, Taiwan)

Abstract

This paper investigates whether players' individual- and club-level efficiency has substantial impact on club performance in the Chinese Professional Baseball League (CPBL). Using data from 1990 to 2000, and a stochastic frontier model, we propose a different way to measure club-level efficiency. Our empirical results indicate that club-level efficiency is crucial to club performance, measured by the winning percentage. Although the literature shows that some inefficient clubs with abundant resources are still very successful on the diamond, our results confirm that club-level efficiency has a moderate impact on the success of a baseball club in the CPBL. Copyright © 2010 John Wiley & Sons, Ltd.

Suggested Citation

  • Wen-Jhan Jane & Wei-Hsin Kong & Yi-Hsiue Wang, 2010. "Individual efficiency and club performance: a panel analysis of professional baseball," Managerial and Decision Economics, John Wiley & Sons, Ltd., vol. 31(5), pages 363-372.
  • Handle: RePEc:wly:mgtdec:v:31:y:2010:i:5:p:363-372
    DOI: 10.1002/mde.1497
    as

    Download full text from publisher

    File URL: http://hdl.handle.net/10.1002/mde.1497
    File Function: Link to full text; subscription required
    Download Restriction: no

    File URL: https://libkey.io/10.1002/mde.1497?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    References listed on IDEAS

    as
    1. R. Todd jewell & David J. Molina, 2004. "Productive Efficiency and Salary Distribution: The Case of US Major League Baseball," Scottish Journal of Political Economy, Scottish Economic Society, vol. 51(1), pages 127-142, February.
    2. Stefan Szymanski & Ron Smith, 2010. "The English Football Industry: Profit, Performance and Industrial Structure," Palgrave Macmillan Books, in: Football Economics and Policy, chapter 1, pages 1-26, Palgrave Macmillan.
    3. Scully, Gerald W, 1974. "Pay and Performance in Major League Baseball," American Economic Review, American Economic Association, vol. 64(6), pages 915-930, December.
    4. Simon Rottenberg, 1956. "The Baseball Players' Labor Market," Journal of Political Economy, University of Chicago Press, vol. 64(3), pages 242-242.
    5. Hausman, Jerry, 2015. "Specification tests in econometrics," Applied Econometrics, Russian Presidential Academy of National Economy and Public Administration (RANEPA), vol. 38(2), pages 112-134.
    6. DepkenII, Craig A., 2000. "Wage disparity and team productivity: evidence from major league baseball," Economics Letters, Elsevier, vol. 67(1), pages 87-92, April.
    7. Meeusen, Wim & van den Broeck, Julien, 1977. "Efficiency Estimation from Cobb-Douglas Production Functions with Composed Error," International Economic Review, Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association, vol. 18(2), pages 435-444, June.
    8. Zak, Thomas A & Huang, Cliff J & Siegfried, John J, 1979. "Production Efficiency: The Case of Professional Basketball," The Journal of Business, University of Chicago Press, vol. 52(3), pages 379-392, July.
    9. Fiona Carmichael & Dennis Thomas & Robert Ward, 2000. "Team performance: the case of English Premiership football," Managerial and Decision Economics, John Wiley & Sons, Ltd., vol. 21(1), pages 31-45.
    10. Battese, George E. & Coelli, Tim J., 1988. "Prediction of firm-level technical efficiencies with a generalized frontier production function and panel data," Journal of Econometrics, Elsevier, vol. 38(3), pages 387-399, July.
    11. Peter Dawson & Stephen Dobson & Bill Gerrard, 2000. "Estimating Coaching Efficiency in Professional Team Sports: Evidence from English Association Football," Scottish Journal of Political Economy, Scottish Economic Society, vol. 47(4), pages 399-421, September.
    12. Lawrence Hadley & Marc Poitras & John Ruggiero & Scott Knowles, 2000. "Performance evaluation of National Football League teams," Managerial and Decision Economics, John Wiley & Sons, Ltd., vol. 21(2), pages 63-70.
    13. George E. Battese & Greg S. Corra, 1977. "Estimation Of A Production Frontier Model: With Application To The Pastoral Zone Of Eastern Australia," Australian Journal of Agricultural and Resource Economics, Australian Agricultural and Resource Economics Society, vol. 21(3), pages 169-179, December.
    14. Leo Kahane, 2005. "Production Efficiency and Discriminatory Hiring Practices in the National Hockey League: A Stochastic Frontier Approach," Review of Industrial Organization, Springer;The Industrial Organization Society, vol. 27(1), pages 47-71, August.
    15. Richard A. Hofler & James E. Payne, 2006. "Efficiency in the National Basketball Association: a stochastic frontier approach with panel data," Managerial and Decision Economics, John Wiley & Sons, Ltd., vol. 27(4), pages 279-285.
    16. George E. Battese & D. S. Prasada Rao, 2002. "Technology Gap, Efficiency, and a Stochastic Metafrontier Function," International Journal of Business and Economics, School of Management Development, Feng Chia University, Taichung, Taiwan, vol. 1(2), pages 87-93, August.
    17. Battese, George E. & Corra, Greg S., 1977. "Estimation Of A Production Frontier Model: With Application To The Pastoral Zone Of Eastern Australia," Australian Journal of Agricultural Economics, Australian Agricultural and Resource Economics Society, vol. 21(3), pages 1-11, December.
    18. Battese, G E & Coelli, T J, 1995. "A Model for Technical Inefficiency Effects in a Stochastic Frontier Production Function for Panel Data," Empirical Economics, Springer, vol. 20(2), pages 325-332.
    19. Aigner, Dennis & Lovell, C. A. Knox & Schmidt, Peter, 1977. "Formulation and estimation of stochastic frontier production function models," Journal of Econometrics, Elsevier, vol. 6(1), pages 21-37, July.
    20. Joachim Nyemeck BINAM & Jim GOCKOWSKI & Guy Blaise NKAMLEU, 2008. "Technical Efficiency And Productivity Potential Of Cocoa Farmers In West African Countries," The Developing Economies, Institute of Developing Economies, vol. 46(3), pages 242-263, September.
    21. Hofler, Richard A. & Payne, James E., 1997. "Measuring efficiency in the National Basketball Association1," Economics Letters, Elsevier, vol. 55(2), pages 293-299, August.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Chih-Hai Yang & Hsuan-Yu Lin & Chiang-Ping Chen, 2014. "Measuring the efficiency of NBA teams: additive efficiency decomposition in two-stage DEA," Annals of Operations Research, Springer, vol. 217(1), pages 565-589, June.
    2. Ozmen M. Utku, 2012. "Foreign Player Quota, Experience and Efficiency of Basketball Players," Journal of Quantitative Analysis in Sports, De Gruyter, vol. 8(1), pages 1-18, March.
    3. An‐Pang Wang & Che‐Wei Chang & Juin‐Ming Tsai & Shiu‐Wan Hung, 2021. "A performance evaluation of Major League Baseball teams: An integrated social network and data envelopment analysis," Managerial and Decision Economics, John Wiley & Sons, Ltd., vol. 42(6), pages 1421-1434, September.
    4. Alexandro Barbosa & Marke Geisy da Silva Dantas & Yuri Gomes Paiva Azevedo & Victor Branco de Holanda, 2017. "Fiscal Responsibility Strategy in Brazilian Football Clubs: A Dynamic Efficiency Analysis," Brazilian Business Review, Fucape Business School, vol. 14(Special I), pages 45-66, January.
    5. Yanzhi Bi, 2021. "Analyzing the performance of the Major League Baseball Teams by using the Data Envelopment Analysis," Business & Entrepreneurship Journal, SCIENPRESS Ltd, vol. 10(1), pages 1-1.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Wen-Jhan Jane, 2013. "Overpayment and Reservation Salary in the Nippon Professional Baseball League," Journal of Sports Economics, , vol. 14(6), pages 563-583, December.
    2. Peter Dawson & Stephen Dobson & Bill Gerrard, 2000. "Stochastic Frontiers and the Temporal Structure of Managerial Efficiency in English Soccer," Journal of Sports Economics, , vol. 1(4), pages 341-362, November.
    3. Young Hoon Lee, 2009. "Frontier Models and their Application to the Sports Industry," Working Papers 0903, Nam Duck-Woo Economic Research Institute, Sogang University (Former Research Institute for Market Economy), revised 2009.
    4. Andrés Picazo-Tadeo & Francisco González-Gómez, 2010. "Does playing several competitions influence a team’s league performance? Evidence from Spanish professional football," Central European Journal of Operations Research, Springer;Slovak Society for Operations Research;Hungarian Operational Research Society;Czech Society for Operations Research;Österr. Gesellschaft für Operations Research (ÖGOR);Slovenian Society Informatika - Section for Operational Research;Croatian Operational Research Society, vol. 18(3), pages 413-432, September.
    5. Peter Dawson & Stephen Dobson & Bill Gerrard, 2000. "Estimating Coaching Efficiency in Professional Team Sports: Evidence from English Association Football," Scottish Journal of Political Economy, Scottish Economic Society, vol. 47(4), pages 399-421, September.
    6. David Boto‐García & Carlos Varela‐Quintana & Alvaro Muñiz, 2023. "Foreign players, team production, and technical efficiency: Evidence from European soccer," Bulletin of Economic Research, Wiley Blackwell, vol. 75(4), pages 1209-1241, October.
    7. Carlos Pestana Barros & Stephanie Leach, 2006. "Analyzing the Performance of the English F.A. Premier League With an Econometric Frontier Model," Journal of Sports Economics, , vol. 7(4), pages 391-407, November.
    8. Francisco González-Gómez & Andrés J. Picazo-Tadeo, 2010. "Can We Be Satisfied With Our Football Team? Evidence From Spanish Professional Football," Journal of Sports Economics, , vol. 11(4), pages 418-442, August.
    9. Carlos Pestana Barros & Julio del Corral & Pedro Garcia-del-Barrio, 2008. "Identification of Segments of Soccer Clubs in the Spanish League First Division With a Latent Class Model," Journal of Sports Economics, , vol. 9(5), pages 451-469, October.
    10. Young Hoon Lee & David Berri, 2008. "A Re‐Examination Of Production Functions And Efficiency Estimates For The National Basketball Association," Scottish Journal of Political Economy, Scottish Economic Society, vol. 55(1), pages 51-66, February.
    11. T S Mkhabela, 2009. "Measuring Managerial Efficiency in South African Soccer," Studies in Economics and Econometrics, Taylor & Francis Journals, vol. 33(3), pages 1-18, December.
    12. Carlos Pestana Barros & Gaël Bertrand & Laurent Botti & Scott Tainsky, 2014. "Cost efficiency of French rugby clubs," Applied Economics, Taylor & Francis Journals, vol. 46(23), pages 2721-2732, August.
    13. Emilio Gómez-Déniz & Nancy Dávila-Cárdenes & Alejandro Leiva-Arcas & María J. Martínez-Patiño, 2021. "Measuring Efficiency in the Summer Olympic Games Disciplines: The Case of the Spanish Athletes," Mathematics, MDPI, vol. 9(21), pages 1-15, October.
    14. Martín Rossi, 2015. "The Econometrics Approach to the Measurement of Efficiency: A Survey," Working Papers 117, Universidad de San Andres, Departamento de Economia, revised Feb 2015.
    15. Michael S. Rimler & Seongho Song & David T. Yi, 2010. "Estimating Production Efficiency in Men’s NCAA College Basketball: A Bayesian Approach," Journal of Sports Economics, , vol. 11(3), pages 287-315, June.
    16. Carlos Pestana Barros & Nicolas Peypoch & Scott Tainsky, 2014. "Cost efficiency of French soccer league teams," Applied Economics, Taylor & Francis Journals, vol. 46(8), pages 781-789, March.
    17. Del Corral, Julio, 2012. "Eficiencia en el deporte: Entrenadores en la Primera División del fútbol español 2009-2011/Efficiency in Sports: Coaches in the Spanish Football First Division 2009-2011," Estudios de Economia Aplicada, Estudios de Economia Aplicada, vol. 30, pages 545-564, Agosto.
    18. I. García-Sánchez, 2007. "Efficiency and effectiveness of Spanish football teams: a three-stage-DEA approach," Central European Journal of Operations Research, Springer;Slovak Society for Operations Research;Hungarian Operational Research Society;Czech Society for Operations Research;Österr. Gesellschaft für Operations Research (ÖGOR);Slovenian Society Informatika - Section for Operational Research;Croatian Operational Research Society, vol. 15(1), pages 21-45, March.
    19. Tom Kompas & Tuong Nhu Che & R. Quentin Grafton, 2004. "Technical efficiency effects of input controls: evidence from Australia's banana prawn fishery," Applied Economics, Taylor & Francis Journals, vol. 36(15), pages 1631-1641.
    20. Martin, Sheila Ann, 1992. "The effectiveness of state technology incentives: evidence from the machine tool industry," ISU General Staff Papers 1992010108000011381, Iowa State University, Department of Economics.

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:wly:mgtdec:v:31:y:2010:i:5:p:363-372. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Wiley Content Delivery (email available below). General contact details of provider: http://www3.interscience.wiley.com/cgi-bin/jhome/7976 .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.