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North American Professional Sport

North American Professional Sport. Chapter 12 Summer 2008-Online SLS 4155 Dr. Richard M. Southall The University of Memphis. Overview. Most visible of all our sport industry segments; takes many forms Sport managers make the games happen (Robinson, Hums, Crow, & Phillips, 2001).

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North American Professional Sport

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  1. North American Professional Sport Chapter 12 Summer 2008-Online SLS 4155 Dr. Richard M. Southall The University of Memphis

  2. Overview • Most visible of all our sport industry segments; takes many forms • Sport managers make the games happen (Robinson, Hums, Crow, & Phillips, 2001)

  3. History of the MLB • Longest history of any professional sport in North America • 1869: first club, Cincinnati Red Stockings, founded • 1876: First professional sports league, National League, established • 1901: American League established • All early rival leagues failed • Currently 30 teams total: American League, 14; National League, 16

  4. History of the NFL • 1920: American Professional Football Association (APFA) established • 1922: APFA name changed to National Football League • 1926: first American Football League (AFL) organized • 1970: full NFL-AFL amalgamation

  5. NFL (cont.) • Other challenges to NFL included: • World Football League (WFL), 1974-1975 • United States Football League (USFL), 1983-1985 • Xtreme Football League (XFL), 2001 • Currently 32 teams total • National Football Conference (NFC)—16 • American Football Conference (AFC)—16

  6. NBA • 1924: first professional basketball league established, American Basketball League • 1947: American Basketball League disbands and Basketball Association of America (BAA) emerges • 1949: BAA becomes National Basketball Association (NBA)

  7. NBA (cont.) • 1967: rival American Basketball Association (ABA) formed • 1976: agreement to transfer four ABA teams to NBA • 29 teams total in two conferences--Western and Eastern

  8. History of the NHL • 1917: started with four Canadian teams • 1924: League expanded to U.S. • 1972: challenged by the World Hockey Association (WHA) • 1979: agreement to transfer four remaining WHA franchises to NHL • 30 teams total in two conferences: Western and Eastern

  9. Sport League Governance Components (Sutton & Gladden, 1998) • League commissioner • Board of Governors or committee of team owners • Central administrative unit that negotiates contracts on behalf of the league

  10. Commissioner’s Office • 1921: First commissioner was baseball’s Kennesaw Mountain Landis • Office is created and defined by league constitution/by-laws

  11. Powers of the Commissioner’s Office (Yasser, McGurdy, & Goplerud, 1997) • Approval of player contracts • Resolution of disputes between players and clubs • Resolution of disputes between clubs • Resolution of disputes between players or clubs and the league • Disciplinary matters • Rule-making authority

  12. Board of Governors or Owners Committee • Ultimate authority on policy development regarding • rules and rule changes • expansion and franchise relocation • league-wide broadcast contracts • Represents management in labor negotiations with players

  13. Central Administrative Unit: League Office • Responsible for league-wide issues: • Scheduling • Licensing • Coordinating publicity • Coordinating advertising • Organized by function

  14. Individual Team Level • Owners • Multi-billionaires • Like excitement and publicity • Goals of winning and making profits • Front Office Staff • Daily operations for individual team • Departmentalized by function • Typically divided into business and sport operations

  15. Players Associations • Each of the Big Four professional leagues has an association • Professional baseball has longest history of labor organization • John Montgomery Ward founded first baseball players’ union in 1885 • 1967: Major League Baseball Players Association (MLBPA) founded (MLBPA, 2002c)

  16. Players Associations (cont.) • 1967: National Hockey League Players Association founded (NHLPA, 2002) • 1954: NBA all-stars began organizing players into what became National Basketball Players Association (NBPA, 2001c) • 1956: NFL players organize National Football League Players Association (NFLPA, 2002d)

  17. Players Associations (cont.) • Mission: • Protecting the rights of members (players) • Represent players regarding wages, hours, and working conditions • Deal with insurance benefits, retirement, and charitable opportunities • Financials: • Revenues from individual membership dues and licensing

  18. Players Associations (cont.) • Membership: all players, managers, coaches, and trainers holding signed contracts with the league • Organizational structure: • Player representatives • Executive Board • Executive Committee • Full-time staff

  19. Responsibilities of the Player Reps (NFLPA, 2002c) • Collect membership dues • Help with grievances and fine appeals • Collect group licensing authorizations • Act as spokesmen for the organization • Bring important issues to the full Board for action

  20. Responsibilities of the Board of Player Reps (NFLPA, 2002b) • Sets annual dues • Adopts annual budget • Elects President and Vice-President • Elects an Executive Director • Drafts and implements agent regulations • Authorizes safety and turf studies • Negotiates post-career benefits

  21. Current Policy Area: Labor Issues • Key issues: • Revenue sharing • Salary caps • Salaries • Pensions • Benefits

  22. Current Policy Area: Drug Policies • Key issues: • Definitions • Administration • Confidentially • Testing • Intervention • Discipline • Appeals

  23. Current Policy Area: Criminal Activity by Players • Key issues: • Media coverage • Punitive action and the appearance of guilt before legal system judges • Cover-up accusations • Reaction of players associations to punitive action • Definitions of “prohibited conduct”

  24. Current Policy Area: Gambling • Key issues: • Integrity of the game • Image of sport

  25. Current Policy Area: Increasing Diversity in Front Offices • Key issues: • Specific initiatives to hire minority candidates • Expanding definition of diversity to include people with disabilities

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