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A rationale for the coexistence of central and decentral marketing in team sports

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Author Info
Oliver Gürtler ()

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Abstract

In some sports leagues, the sports association sells broadcasting rights centrally in order to create competitive balance. In other ones, the market is decentral. As a result, there is competitive imbalance. In this paper, the preferred kind of marketing of sports associations is analysed. Distinctions are made between three cases. In case one, the sports association is only interested in competitive balance. In the second case, it wishes to create a single high performing team, and in the third, it maximises aggregate performance. It is found that, depending on the preferences of the association, both kinds of marketing can be optimal.

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Publisher Info
Paper provided by University of Bonn, Germany in its series Bonn Econ Discussion Papers with number bgse4_2005.

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Length: 27
Date of creation: Feb 2005
Date of revision:
Handle: RePEc:bon:bonedp:bgse4_2005

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Postal: Bonn Graduate School of Economics, University of Bonn, Adenauerallee 24 - 26, 53113 Bonn, Germany
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Web page: http://www.bgse.uni-bonn.de/index.php?id=494

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Related research
Keywords: central marketing decentral marketing collective tournament complementarity

Other versions of this item:

Find related papers by JEL classification:
D2 - Microeconomics - - Production and Organizations
L1 - Industrial Organization - - Market Structure, Firm Strategy, and Market Performance
L8 - Industrial Organization - - Industry Studies: Services
M5 - Business Administration and Business Economics; Marketing; Accounting - - Personnel Economics

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    Other versions:
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    Other versions:
  15. Stergios Skaperdas, 1996. "Contest success functions (*)," Economic Theory, Springer, vol. 7(2), pages 283-290.
  16. Milgrom, Paul & Roberts, John, 1995. "Complementarities and fit strategy, structure, and organizational change in manufacturing," Journal of Accounting and Economics, Elsevier, vol. 19(2-3), pages 179-208, April. [Downloadable!] (restricted)
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