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Funding and operation of stadiums and arenas beside high-class leagues

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Author Info
Stephan Gundel () (University of Freiburg)
Achim Hecker () (University of Freiburg)
Abstract

Financing and operating stadiums and arenas beside the respective national high-class leagues are demanding tasks for those involved, mostly clubs or local governments. In the majority of cases, the affected clubs and teams heavily rely on ticket and catering revenues or sponsorships since the marketing of TV rights is of negligible importance. Nevertheless, the respective stadiums and arenas are often old and lack modern comfort on account of budget constraints impeding capital spending by clubs or governments. Starting from these observations and considering the features of the relevant sports facilities, we examine which funding and operating models could improve the endowment with stadiums and arenas in an efficiency-maximizing way and derive helpful recommandations for clubs, policy makers and private investors. For this purpose, we also establish four criteria to assess the efficiency of any stadium or arena construction and operation models, namely funding efficiency, cost efficiency, management efficiency and allocation efficiency. (Note: This paper is in German.)

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File URL: http://www.holycross.edu/departments/economics/RePEc/spe/GundelHecker_Stadiums.pdf
File Format: application/pdf
File Function: Paper presented at the Joint Annual Meeting 2006 of the International and German-Speaking Associations of Sports Economists (IASE and AK), May 4-6, 2006
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Publisher Info
Paper provided by International Association of Sports Economists in its series Working Papers with number 0604.

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Length: 17 pages
Date of creation: Jun 2006
Date of revision:
Handle: RePEc:spe:wpaper:0604

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Related research
Keywords: sports facilities; public funding; public-private-partnerships;

Find related papers by JEL classification:
L33 - Industrial Organization - - Nonprofit Organizations and Public Enterprise - - - Boundaries of Public and Private Enterprise; Privatization; Contracting Out
L83 - Industrial Organization - - Industry Studies: Services - - - Sports; Gambling; Recreation; Tourism
R53 - Urban, Rural, and Regional Economics - - Regional Government Analysis - - - Public Facility Location Analysis; Public Investment and Capital Stock

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References listed on IDEAS
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.:
  1. Klein, Benjamin & Crawford, Robert G & Alchian, Armen A, 1978. "Vertical Integration, Appropriable Rents, and the Competitive Contracting Process," Journal of Law & Economics, University of Chicago Press, vol. 21(2), pages 297-326, October.
  2. Williamson, Oliver E., 1989. "Transaction cost economics," Handbook of Industrial Organization, in: R. Schmalensee & R. Willig (ed.), Handbook of Industrial Organization, edition 1, volume 1, chapter 3, pages 135-182 Elsevier. [Downloadable!] (restricted)
  3. John Siegfried & Andrew Zimbalist, 2000. "The Economics of Sports Facilities and Their Communities," Journal of Economic Perspectives, American Economic Association, vol. 14(3), pages 95-114, Summer. [Downloadable!] (restricted)
  4. Dennis Coates & Brad R. Humphreys, 2003. "Professional Sports Facilities, Franchises and Urban Economic Development," UMBC Economics Department Working Papers 03-103, UMBC Department of Economics. [Downloadable!]
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Cited by:
(explanations, 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.)

  1. Rebeggiani, Luca & Witte, Sebastian, 2007. "Die Finanzierung von Sportarenen – Optionen für große und mittelgroße Projekte
    [Financing sports arenas - options for large and middle-size projects]
    ," MPRA Paper 5323, University Library of Munich, Germany, revised Sep 2007. [Downloadable!]
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