An introduction to the challenges of distributive equity in the English Premier League

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Rory Bishop ◽  
Aaron C.T. Smith ◽  
Daniel Read
Keyword(s):  
Plain Language ◽  
Equity Structure ◽  
Content Type ◽  
Fund Allocation ◽  
Premier League ◽  
Percentage Difference ◽  
Market Opportunities ◽  
Financial Growth ◽  
Business Practitioners ◽  
English Premier League

PurposeThis article provides a plain language commentary on the distributive equity structure of the English Premier League (EPL) with the aim of introducing sport business practitioners to a foundational challenge facing professional leagues as they grow financially with market opportunities, namely financial inequality between clubs.Design/methodology/approachIntroducing and discussing data from seasons 2009/10–2018/19, the article reveals that despite maintaining a consistent distribution of the EPL prize fund over time, the financial imbalance within the league has grown throughout the period.FindingsThe EPL's financial distributive equity is exacerbated by growing imparity in the acquisition of sponsorship revenues, the distribution of broadcasting revenues and the implications of policies concerning financial fair play and parachute payments, leading to a problematic differential in the talent distribution and win–wage relationship experienced by the top six teams and the remainder.Practical implicationsThe EPL's market-driven continuation of its revenue allocation policies has led to a broadening financial imbalance, in favour of the top clubs, which could paradoxically undermine the financial security of the teams and league. Sport business practitioners should be familiar with this fundamental challenge for sport leagues that accompanies financial growth.Originality/valueWhilst the percentage difference in prize fund allocation between top and bottom clubs appears minor, there is a significant financial variation across the league, primarily due to the large increase in broadcasting income. This is compounded by positive feedback via the relative dominance of the top six clubs receiving the larger share allocated to higher finishing teams.

scholarly journals Does size matter?

2019 ◽  
Vol 25 (3/4) ◽  
pp. 162-175 ◽  
Author(s):  
Girish Ramchandani ◽  
Daniel Plumley ◽  
Harry Preston ◽  
Rob Wilson
Keyword(s):  
Design Methodology ◽  
Competitive Balance ◽  
Content Type ◽  
Premier League ◽  
European Football ◽  
Size Threshold ◽  
League Structure ◽  
Football Industry ◽  
Size Matter ◽  
English Premier League

PurposeThis paper aims to explore at what league size competitive balance reaches its best level through a longitudinal study and by using the English Premier League (EPL) as an example.Design/methodology/approachTo test the influence of league size on competitive balance in the EPL, the authors first calculated competitive balance scores for 22 seasons between 1995/96 and 2016/17 under the existing 20 team system. They then calculated a further ten normalised competitive balance scores for each EPL season by adjusting the league size to examine the league size threshold at which competitive balance in each season of the EPL was at its best level.FindingsThe analysis indicates that the current league structure of 20 teams compromises the overall level of competitive balance in the EPL in comparison with a league comprising between 10 and 19 teams. However, the authors cannot pinpoint the precise league size at which the EPL is most competitively balanced, as no significant differences were observed between the competitive balance indices for these league sizes.Originality/valueThe findings of this study have practical relevance for league organisers and the Union of European Football Associations given that they themselves have stated that competitive balance will be a big challenge for the European football industry in the coming years.

scholarly journals Financial fair play and competitive balance in the Premier League

2017 ◽  
Vol 7 (2) ◽  
pp. 175-196 ◽  
Author(s):  
Christopher John Freestone ◽  
Argyro Elisavet Manoli
Keyword(s):  
Fair Play ◽  
Competitive Balance ◽  
Content Type ◽  
Premier League ◽  
Financial Fair Play ◽  
Financial Strength ◽  
European Football ◽  
Financial Power ◽  
English Premier League ◽  
Positive Effect

Purpose The introduction of financial fair play (FFP) regulations in 2011 was accompanied by criticism that they would have an adverse effect on competitive balance in European football. Counter-points were also expressed, suggesting that the opposite would occur; that they would actually increase competitive balance through reducing the importance of financial power. The lack of clarity and cohesion on this issue prompted this paper. The purpose of this paper is to examine the effect FFP has had on competitive balance in the English Premier League. Design/methodology/approach The analysis conducted uses the Herfindahl Index of Competitive Balance as the primary method, and is supported by standard deviation of points analysis and a Scully-Noll ratio analysis, which together provide an indication of the level of competitive balance for each of the past 21 seasons, from 1995/1996 to 2015/2016. This examination allows for the trends in competitive balance to be identified, with emphasis drawn on the seasons after the introduction of the regulations. Findings The results provide no indication that FFP regulations have resulted in a decline in competitive balance in the EPL, instead hinting that a positive effect may have been caused. This positive effect exceeds the primary aim of the regulations and underlines their importance in the future stability of club football. Originality/value While underlining the need for further research on the topic, this study provides the first insights into the effects of FFP regulations on competitive balance in the EPL. These insights would support the view that FFP initiatives have begun to shift the focus of sporting competition away from financial strength towards more natural means of competition such as efficiency, innovation and good management.

scholarly journals Youth academy player development in English football

2017 ◽  
Vol 7 (4) ◽  
pp. 375-392 ◽  
Author(s):  
Steve Bullough ◽  
James Jordan
Keyword(s):  
Design Methodology ◽  
Market Failure ◽  
Content Type ◽  
National Team ◽  
Premier League ◽  
Inhibiting Factor ◽  
Rule Changes ◽  
European Football ◽  
Playing Time ◽  
English Premier League

Purpose From the 2006-2007 season, Union of European Football Associations (UEFA) introduced regulation into European football by imposing “home-grown” quotas on clubs. The purpose of this paper is to remedy partial market failure by influencing issues in the game, namely reducing opportunities for “local” players and stockpiling players. Rule changes have amplified the importance of developing “home-grown” players; however, the UEFA rule is not limited by nationality, which is an inhibiting factor. Design/methodology/approach The sample used was the ten seasons from the introduction of the legislation (2006-2007 to 2015-2016). The results quantify English player production in these ten seasons, focusing on outputs (number of players, top-flight playing statistics, academy attended, club played for, age and international experience). Clubs are also categorised and analysed by the number of seasons played. Findings A total of 369 English players have debuted since 2006-2007, although only 141 developed through the eight “category 1” (ever-present) clubs. A high proportion of players are developing at elite clubs but having limited playing time and subsequently transferring to lower ranked clubs. The clubs promoted to the English Premier League (EPL) each season have introduced more English players into the EPL (167) than “category 1” clubs (112), and these clubs account for a minority of minutes played by new entrants (13 per cent). Furthermore, clubs outside the EPL are producing a significant number of English players, including those progressing to the national team. Originality/value Competing organisational purposes between the EPL, the FA and professional clubs have combined to create a complex environment and options for the future are discussed.

scholarly journals You’re getting sacked in the morning: managerial change in the English Premier League

2016 ◽  
Vol 34 (2) ◽  
pp. 223-235 ◽  
Author(s):  
Stuart William Flint ◽  
Daniel Plumley ◽  
Robert Wilson
Keyword(s):  
Content Type ◽  
Performance Outcome ◽  
Premier League ◽  
Legal Implications ◽  
Legal Perspective ◽  
Ethical And Legal Issues ◽  
Employment Rights ◽  
The Impact ◽  
English Premier League ◽  
At Will

Purpose – The purpose of this paper is to highlight and encourage consideration of the ethical and in some instances legal implications of managerial change in the English Premier League (EPL) which often gets overlooked and sidestepped by clubs. Design/methodology/approach – Extant literature relating to managerial change is identified and discussed to provide the foundations of the discussion of whether managerial change in the EPL which is primarily focused on performance outcome, is neglecting ethical and legal issues. Findings – The loophole that exists in the Employment Rights Act (1996) allows clubs to instantly dismiss a manager and consequently not see out their notice period as agreed in their contract or the statutory notice period. Whilst legally clubs are at will to act in this manner, the instability of EPL management evident today appears to have taken away the rights of an employee. Research limitations/implications – Greater consideration of the current managerial change practices in EPL from an ethical and legal perspective appears warranted. The incomparable rights that a player and a manger have relating to their tenure at a club seem somewhat unfair. Originality/value – Presents thought-provoking information relating to managerial change in the EPL which appears to have been overlooked in the literature to date which primarily focuses on the impact of change on performance.

scholarly journals A longitudinal and comparative analysis of competitive balance in five European football leagues

2018 ◽  
Vol 24 (5/6) ◽  
pp. 265-282 ◽  
Author(s):  
Girish Ramchandani ◽  
Daniel Plumley ◽  
Sophie Boyes ◽  
Rob Wilson
Keyword(s):  
Big Five ◽  
Design Methodology ◽  
Significant Decline ◽  
Competitive Balance ◽  
Competition Intensity ◽  
Content Type ◽  
Premier League ◽  
Sport League ◽  
European Football ◽  
English Premier League

Purpose This paper aims to provide empirical evidence on competitive balance in the “big five” European football leagues, namely, the English Premier League, French Ligue 1, German Bundesliga, Italian Serie A and Spanish La Liga. Design/methodology/approach This paper uses recognised measures of competitive balance to measure levels of concentration (within-season competitive balance) and dominance (between-season competitive balance) in the selected leagues over 22 seasons between 1995/96 and 2016/17. Findings French Ligue 1 emerged as the most balanced league in terms of both concentration and dominance measures. The analysis also points to a statistically significant decline in competitive balance in all leagues apart from Serie A (Italy). Originality/value The findings of this study are of concern for the league organisers. Competition intensity is a key component of a sport league, and a league that is dominated by one or a select few clubs is less attractive within the marketplace. This paper presents challenges at the league governance level for the five leagues examined.

scholarly journals The effectiveness of UEFA Financial Fair Play: evidence from England and France, 2008–2018

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Aurélien Francois ◽  
Nadine Dermit-Richard ◽  
Daniel Plumley ◽  
Rob Wilson ◽  
Natacha Heutte
Keyword(s):  
Cost Efficiency ◽  
Statistical Tests ◽  
Empirical Studies ◽  
Fair Play ◽  
Content Type ◽  
Premier League ◽  
Financial Fair Play ◽  
Football Clubs ◽  
English Premier League ◽  
Practical Implications

PurposeThis paper analyses the effectiveness of UEFA's Financial Fair Play (FFP) under the break-even requirement.Design/methodology/approachData was collected from English and French football clubs competing in the English Premier League (EPL) and in Ligue 1 (L1) for the financial years 2008–2018. Our sample includes 395 club-year observations. Relevant statistical tests have been conducted with the aim of analysing the effects of pre (2008–2012) and post (2012–2018) FFP enforcement under both profitability and cost-efficiency assumptions.FindingsIn the EPL, an increase is observed in clubs' profitability through both operating and break-even results. In L1, this improvement is only significant for break-even results of clubs not participating regularly in European competitions (non Euro-oriented clubs). Player expenditures, measured through two wage-to-revenue ratios excluding trading activity for one and including it for the other, have significantly decreased in the EPL except for the Euro-oriented clubs for this latter. Conversely, in L1, this decrease is only significant in both wage-to-revenue ratios for non Euro-oriented clubs and for the whole sample when trading is included.Practical implicationsIn addition to evidencing contrasting results in FFP effectiveness across countries, our results suggest it is not the sole cause of such an improvement in clubs' finances. We suggest that UEFA should pursue its efforts to scrutinise the level of clubs' player expenditures and that there is a need for a wider look at the FFP regulations.Originality/valueThis article provides further contribution to empirical studies on FFP effectiveness that have often been focused on a single country.

Saudi sports offensive will push forward

2020 ◽  
Keyword(s):  
Saudi Arabia ◽  
Content Type ◽  
National Pride ◽  
Premier League ◽  
Push Forward ◽  
English Premier League ◽  
Motor Racing ◽  
At Home

Significance After staging major boxing and motor-racing events at home, Riyadh is bidding to acquire Newcastle United, a team in the English Premier League, as well as looking at German broadcast rights. However, broadcast piracy charges present an obstacle. Impacts Most Saudis are likely to take national pride in the crown prince’s ambitious approach to investment in sporting and other global assets. The mobilisation of sovereign funds for risky acquisitions could disquiet some citizens facing higher taxes and benefits cuts. Mohammed bin Salman will use Saudi oil dominance to push ahead with sporting plans despite international doubts. Riyadh will step up efforts to gain influence within or over even minor global sporting bodies. Saudi Arabia will invest heavily in efforts to host the 2027 Asia football cup and the 2030 Asian games.

Effects of social media interactions on brand associations

2017 ◽  
Vol 18 (2) ◽  
pp. 149-165 ◽  
Author(s):  
Petros Parganas ◽  
Christos Anagnostopoulos ◽  
Simon Chadwick
Keyword(s):  
Social Media ◽  
Design Methodology ◽  
Brand Associations ◽  
Content Type ◽  
Premier League ◽  
Media Interaction ◽  
Brand Attributes ◽  
Soccer Team ◽  
Fan Clubs ◽  
English Premier League

Purpose The purpose of this paper is to examine the effects of social media in brand associations, particularly in regard to soccer fan clubs. Design/methodology/approach The study used a professional English Premier League soccer team to investigate the effects that social media interaction had on brand associations of the team’s fan clubs in two national contexts – England and Greece. Findings In total, 207 online questionnaires from six fan clubs were collected and analyzed using descriptive and inferential (t-tests and χ2 tests) statistics. Originality/value The results revealed similarities on Facebook in terms of positive receptions of brand attributes and resonance of perceived brand benefits, while significant differences were observed on Twitter, particularly in terms of brand benefits.

scholarly journals A CUSUM tool for retrospectively evaluating team performance: the case of the English Premier League

2020 ◽  
Vol 10 (3) ◽  
pp. 263-289
Author(s):  
Clive Beggs ◽  
Alexander John Bond
Keyword(s):  
Team Performance ◽  
Structural Changes ◽  
Performance Outcomes ◽  
Change Point Analysis ◽  
Management Technique ◽  
Content Type ◽  
Professional Soccer ◽  
Premier League ◽  
Cusum Analysis ◽  
English Premier League

PurposeDespite being a widely used management technique, cumulative sum (CUSUM) analysis remains almost unheard of in professional sport. To address this, CUSUM analysis of soccer match data from the English Premier League (EPL) was performed. The primary objective of the study was to evaluate CUSUM as a tool for assessing “on-field” team performance. As a secondary objective, the association between managerial change and team performance was evaluated.Design/methodology/approachCUSUM was applied retrospectively to goal difference data for six EPL teams (Arsenal, Chelsea, Everton, Liverpool, Manchester United and Tottenham) over 23 consecutive seasons from 1995 to 2018. This was supplemented with change point analysis to identify structural changes in mean goal difference. Succession was evaluated by mapping historical managerial changes onto the CUSUM plots for the respective clubs.FindingsCUSUM analysis revealed the presence of structural changes in four clubs. Two structural change points were identified for both Chelsea and Everton, one for Manchester United and Tottenham and none for Arsenal and Liverpool. Relatively few managerial changes coincided temporally with structural changes in “on-field” performance, with most appointments having minimal impact on long-term team performance. Other factors (e.g. changes in ownership) appear to have been influential.Research limitations/implicationsThe study was limited by the fact that only successful teams were investigated.Practical implicationsCUSUM analysis appears to have potential as a tool for executive decision-makers to evaluate performance outcomes in professional soccer.Originality/valueThe study is the first of its kind to use CUSUM analysis to evaluate team performance in professional soccer.

scholarly journals Making sense of the sack race: the impact of managerial change in the English Football League

2019 ◽  
Vol 10 (1) ◽  
pp. 3-15 ◽  
Author(s):  
Rob Wilson ◽  
Daniel Plumley ◽  
Stuart William Flint
Keyword(s):  
Organizational Performance ◽  
Content Type ◽  
Life Cycle Theory ◽  
Making Sense ◽  
Strategic Direction ◽  
Premier League ◽  
Football Industry ◽  
The Impact ◽  
English Premier League ◽  
Sporting Performance

PurposeThe purpose of this paper is to examine the effect of managerial change in the English football industry. The authors’ theoretical discussion covers three contrasting concepts that attempt to explain the association between manager change and organizational performance (scapegoating theory, vicious circle theory and tenure and life-cycle theory).Design/methodology/approachData were collected for the four main English Football Leagues (EFLs) between 2000/2001 and 2015/2016. A total of 2,816 football matches were included in the study and during this time 525 instances of managerial change were observed. Analysis was conducted using relevant statistical techniques to examine the impact of managerial change on performance.FindingsThe results show significant differences in all four EFLs when considering teams who make a managerial change and those who do not. Further analysis revealed that a managerial change is more beneficial for clubs in the bottom half of the league, particularly for the English Premier League.Originality/valueThe implications for clubs competing in English football are clear when considering the strategic direction of the club in respect of managerial change and its impact on team performance. Yet, our findings come with a warning. The findings do not infer direct cause and effect here, and any board decision should consider additional factors other than sporting performance before deciding to sack their manager.

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