Comparison between the European and the American Model of Sport
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Seminar paper from the year 2023 in the subject Sport - Miscellaneous, grade: 1,0, , course: Seminar Research, language: English, abstract: This thesis aims to answer the question why the American sports model proves to be more lucrative and sustainable than its European counterpart in various aspects, such as marketing, television rights, merchandising sales, stadium ticket income, and sponsorship deals. This is despite European soccer boasting a significantly larger fanbase and more television viewers than the American sports. The focus of this research will center on the NBA and NFL in Amer...
Seminar paper from the year 2023 in the subject Sport - Miscellaneous, grade: 1,0, , course: Seminar Research, language: English, abstract: This thesis aims to answer the question why the American sports model proves to be more lucrative and sustainable than its European counterpart in various aspects, such as marketing, television rights, merchandising sales, stadium ticket income, and sponsorship deals. This is despite European soccer boasting a significantly larger fanbase and more television viewers than the American sports. The focus of this research will center on the NBA and NFL in American sports, and the Premier League, the German Bundesliga and the Champions League in European Soccer. The motivation behind this research is the fact that American sports leagues consistently outperform in financial terms, even though European leagues have a larger fan following on TV, higher merchandise sales, and greater stadium attendance. For example, the UEFA Champions League Finals has more viewers worldwide than the Super Bowl, the largest sport event in the United States. However, the Superbowl generates significantly higher revenue for both the league and participating teams. This fact is the main part and the justification of this thesis. This awareness has long been evident to European soccer club managers, prompting the need for a comprehensive exploration and understanding of the underlying factors. A key concern revolves around the financial constraints imposed by the UEFA, the European Soccer Association. The organization controls the allocation of funds derived from TV rights deals. While UEFA¿s strategy aims to foster competition and fan engagement by distributing funds equitably among clubs, it disproportionally benefits larger clubs with sizable fanbases. Later, this topic will play an important role in this thesis because the qualification for the Champions League gives a lot of money to the clubs, that qualify. This leads to unequal distribution of money in the national leagues, for example the Bundesliga. The prevailing model, criticized by major clubs, involves UEFA retaining a substantial share of the funds to cover expenses, including substantial salaries for managers and brand ambassadors (Jens Berger, 2015). Because of that, several clubs announced the founding of a "Superleague" in 2021, but due to fan protests, they discarded the idea.
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