Club Objectives and Ticket Pricing in Professional Team Sports
In this paper we analyze and compare the behavior of sports clubs in a profit and a win maximization league if the decisions on the optimal ticket price and the talent demand have to be made simultaneously. From this 2-decision-variable model, a few interesting conclusions, regarding the impact of the player salary level or a stadium capacity constraint on the ticket price, can be drawn. Also, some important policy implications are considered such as imposing maximum ticket prices, imposing salary caps and granting a government subsidy.
Volume (Year): 32 (2006)
Issue (Month): 3 (Summer)
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- Stefan Szymanski & Stefan KÈsenne, 2004.
"Competitive balance and gate revenue sharing in team sports,"
Journal of Industrial Economics,
Wiley Blackwell, vol. 52(1), pages 165-177, 03.
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- J. C. H. Jones, 1969. "The Economics of the National Hockey League," Canadian Journal of Economics, Canadian Economics Association, vol. 2(1), pages 1-20, February.
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