The Analysis of North American “Big Four” Sports Leagues Basing on Geographical Division
Peter Titlebaum, University of Dayton,
Todd C. Koesters, University of South Carolina
Diane Branca, University of Dayton
Abstract
The purpose of this exploratory study is to better understand the impact of the financial value, size of market, and population distribution on the survivalof individual sports teams basing on existing data. How the dynamics within a geographic area might allow one market to charge a premium for ticket sales when others command only a fraction of the price? How significant a component are luxury suites in the valuation of teams? The analysis of data focused on the traditional big-four top leagues in North America—National Basketball Association (NBA), National Football League (NFL), National Hockey League (NHL), and Major League Baseball (MLB) (n=122). Teams’ geographical marketplaces were also studied. The data and information were obtained from the U.S. Census Bureau, Forbes, Fortune, Arbitron, and the Association of Luxury Suite Directors to understand potential viable markets and teams’ impact on success.