Broadcasting rights and competitive balance in European soccer
Faculty of Applied Economics
Antwerp :UA, 2009
Research paper / UA, Faculty of Applied Economics ; 2009:9
University of Antwerp
Collective sales of media rights are a common practice in sports leagues. Proponents of the system claim that it is a necessary tool for the maintenance of competitive balance. In this empirical paper, I argue that, in European soccer, collective sales do not increase competitive balance as compared to individual sales. Secondly, I demonstrate the negative effect of the UEFA Champions League on competitive balance. Finally, I illustrate the beneficial effect of a larger market size and a more equal distribution of drawing power. These results shed new light on antitrust and solidarity policies in the sports industry.