Profile: European Football Clubs

I must admit that I am a sucker for football clubs. Not only do I like the sport, but European football leagues (and clubs, of course) have shown that they can the ability to generate substantial amounts of revenues. However, my opinion is that, in general, football clubs are systematically flawed as investment oportunities for the following reasons:

1) Abnormal competition

2) High degree of market participants without profit-maximizing behavior

3) Operational leverage: Revenue streams are highly variable while costs are high and stable

 

Essential Links

UEFA

The Swiss Ramble

Football Economics

Football Economy

The Swiss Ramble on Football Finance

Articles

Special report – Football’s new goal – kick the spending habit” on Reuters

Spain needs fairer TV cash system – Betis chief” on Reuters

European Soccer Clubs” by Gísli Eyland on Seeking Alpha (Sportgamma)

Balanced Scorecard for Resource Conversion in Professional Football” by Gísli Eyland

Creating value in player transfer negotiations: The case of Juventus Football Club” by Gísli Eyland

Professional Football Clubs’ Behaviour in the Market for the Best or Most Expensive Football Players” by Ignacio Urrutia, Angel Barajas and Fernando Martín

Articles on Sportgamma.net  on Football Clubs

Articles on Sportgamma.net on Sports

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