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Team Sports Economis Assignment

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Team Sports Economis Assignment
Name: James Sumner

Student ID: 33255189

Question: Critically evaluate the approaches and policies to achieve competitive balance in North American Sports and European sports through an examination of competitive balance philosophy and policy in North American and European professional sports organisations. Illustrate your analysis with examples from both the European and North American professional sports leagues.

Tutor: John Embery

Statement of Authenticity: I confirm that this submission is all my own work. Any quotations are properly referenced using the Harvard referencing method. All errors and omission are my responsibility alone.

Word Count: 1744

There is a lot of distinction today between the North American and the European model for sport in order to achieve what each seems to perceive as the right competitive balance. This can be defined as ‘the actual performance of a league to the performance that would have occurred if the league had the maximum degree of competitive balance in the sense that all teams were equal in playing strengths. The less the deviation of actual league performance from that ideal league, the greater is the degree of competitive balance’ (1). This essay will outline what policies and approaches both the American and European sports models have in order to achieve competitive balance by looking at each continents system of competition, the extensive system of team and player restraints in America such as salary caps compared to the relaxed system Europe has and also amateur and professional sports in both models.
It is important to note that not all sports adhere to their so called ‘model’. Sports in America such as football, baseball, hockey and basketball are very diversified in terms of rules, scheduling, commercialization etc. The European model is largely based on one sport, football/soccer which we know is not what other sports follow.
In North America there is a closed system of competition meaning no



References: 4) Alexander Rathke. (2009). The Effect of Salary Caps in Professional Team Sports on Social Welfare. Available: http://ideas.repec.org/p/iso/wpaper/0072.html. 5). Daily Mail. (2005). How salary caps work in other sports. Available: http://www.dailymail.co.uk/sport/football/article-363139/How-salary-caps-work-sports.html.   6) NFL.com 7) The telegraph. (2011). Manchester United - by numbers. Available: http://www.telegraph.co.uk/finance/newsbysector/retailandconsumer/leisure/8309753/Manchester-United-by-numbers.html#. 8) aviva premiership 9) Nafziger, James A.R.. (2008). A comparison of the European and North American models of sports organisation.. Available: http://www.thefreelibrary.com/A+comparison+of+the+European+and+North+American+models+of+sports...-a0212546233. 10) Stephen F 11) David Conn. (2009). Clubs leave lost youth behind as academies fail English talent. Available: http://www.guardian.co.uk/football/david-conn-inside-sport-blog/2009/sep/09/chelsea-fifa-premier-league-academies. 12) Nedved

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