کد مقاله | کد نشریه | سال انتشار | مقاله انگلیسی | نسخه تمام متن |
---|---|---|---|---|
480710 | 1446092 | 2011 | 8 صفحه PDF | دانلود رایگان |
![عکس صفحه اول مقاله: The decision to raise firm value through a sports-business exchange: How much are Real Madrid’s goals worth to its president’s company’s goals? The decision to raise firm value through a sports-business exchange: How much are Real Madrid’s goals worth to its president’s company’s goals?](/preview/png/480710.png)
Global brands emerging from the world of sports are becoming commonplace, and firms invest in the realm of sports, usually through sponsorship initiatives, to get a link with these global brands. Over and above just a mere business link, what if a company makes a personal commitment to get into the core of a renowned, celebrated sports team? This article provides managers with a procedure to analyze, in a weekly basis, how valuable this type of decision is. A conceptual model shows that the personal involvement of a firm’s figurehead in a first-class sports club can impact positively on firm value if the person is doing well in the task s/he is entrusted with by the club. The empirical application to the soccer club Real Madrid, over 1,409 days and 215 matches, finds that the club’s performance on the field has a significant impact on the economic returns of its president’s company, with asymmetrical effects on firm value in a “loss aversion” pattern, that is, lost matches have a greater effect on firm value than games won.
► A sports club’s performance might have an economic effect on a company linked to the club through a personal commitment.
► Real Madrid’s performance on the field has a significant impact on the market value of its president’s company.
► The result of a match has asymmetrical effects on the firm value in a “loss aversion” pattern.
Journal: European Journal of Operational Research - Volume 215, Issue 1, 16 November 2011, Pages 281–288