Assessing the influence of financial fair play on sporting performance: A study of the Spanish league using a data envelopment analysis model

The football industry stands as an important economic sector in numerous countries, sparking scholarly discussions on the multifaceted nature of interconnected objectives and the influence of financial, accounting, and management elements on athletic performance. This discussion has gained prominence following the implementation of Financial Fair Play (FFP) regulations, which have substantially reshaped industry management practices. This study introduces two innovative models—financial and sporting—that employ data envelopment analysis (DEA) to evaluate the performance of Spanish league football clubs within the context of FFP regulations. These models illuminate a crucial aspect of sports economic theory: the balancing act between financial and sporting objectives. Moreover, our analysis explores the influence of FFP on the efficiency of the Spanish league by comparing club proximity to the best practice frontier before and after FFP implementation. Our findings uncover intriguing differentiations within the proposed models and across various club clusters, providing valuable insights into the nuanced interplay among finance, accounting, and sports management.