sports management 44

write a clear and concise paragraph describing 2 key points that you have learned upon completion of your work. the key points are listed below

1. Scarcity – is the simple economic principle that there are not enough goods and services freely available to satisfy people’s wants and needs

Scarcity characteristics of professional sports:

  • The “product”
  • The “beauty” of the sport or team
  • Competition
  • Commonality
  • Enjoyment of winning

2. Market power – when a producer faces limited substitute products and is able to set the price of their product on how much they produce

  • In professional sports, this market power is derived from the exclusive territory occupied by teams
  • “Large” market vs “small” market teams


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