Sport Management Exam 2

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• Participation opportunities vary widely based on geography and gender; rural areas, and girls still lag behind in access to sport participation.

Sport Tourism encompasses three main types of travel and sport participation:

• Active Sport Tourism • Event Sport Tourism • Nostalgia Sport Tourism (historic site)

Academic Progress Rate (APR)

According to the NCAA, this is a measure of how successful athletics programs on individual campuses are ensuring that college athletes make appropriate progress toward their degrees

Centralized Organization Structure

An operational model whereby all decisions are controlled by a central administration unit and carried down through the chain of command within and organization

Decentralized organization structure

An operational model whereby respective units of an organization are given autonomy to control and carry out decisions, although each unit is expected to operate within the organization's guiding principles

Sport League

An organization that exists to provide ongoing regulated competition in a specific sport.

Entitlement

Associating the name of a sponsor with the name of an event or facility in exchange for cash or other considerations

How is the management of professional sport different from the management of Microsoft?

Baseball's antitrust exemption · Collective bargaining · Free agency · Salary caps (none in Microsoft) · Player draft (Microsoft conducts interviews)

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Basketball most popular sport

What is a CBA? What were the two main issues between the NFL Officials and the league? How do NFL officials differ from MLB umpires and NBA referees? What ultimately caused the strike to be settled?

CBA (collective bargaining agreement) = "The Basic Agreement" · Two main reasons: pension and salaries · NFL officials are part-time and have a real job on the side whereas MLB umps and NBA refs are full-time · Integrity of the league was jeopardized o Increased chance of injury o Inconsistent application of the rules o Simultaneous catch call GB v. Seattle

What are the goals and outcomes associated with each youth and community sport sector?

Classes teach skills, rules and strategies with an emphasis on enjoyment · Instructional leagues provide information and knowledge to children and teach specific sport · Competitive leagues offer quality instruction and competition · After-school programs offer enjoyment, safety and supervision, academic enrichment, social skill building · Provide an emphasis on physical health and fitness

Interscholastic athletics

Combination of sport offerings whereby boys and girls can elect to participate in athletics at the high school level

Multi-Sport Organization

Composed of, involving, or accommodating several sports.

Social Capital

Contextual characteristics of communities that describe how people develop trust and social ties. It is also described as the glue that holds communities together

How is access to youth and community sport a complex issue in different communities?

Depending on financial situations, the expensive can be prohibitive · Logistics may be difficult for some parents · Levels of competition may be inequitable --------Canada: they are offered in through primary and secondary schools and in colleges and universities. Community sport is almost exclusively offered through local and regional sports clubs. United States: offered in both public and private organizations. Private; YMNCA and YWCA. Public-parks and recreation facilities.

Luxury Tax

Device used to tax the teams that spend the most on player payroll; those taxes are then shared with the teams that do not have high payrolls

According to the text, what were the five key changes that occurred over the past few decades, and how have they contributed to the expansion of international sport?

Dramatic changes to the Olympics · Increased opportunities from women in sports · Redefinition of international sport · Extension of international recruitment and marketing efforts · Emerging economies in new countries

What is Title IX? What are the three main prongs of the test for compliance? How has it affected participation rates in high schools and colleges.

Educational amendment act of 1972 that gives equal opportunity for men and women in sport · Prongs o Proportionality o History of attempting to serve the underrepresented gender o Attending to the interest and abilities of its students o Fewer than 8% of girls participated in H.S. athletics in 1972 o More than 41% of girls participated in H.S. athletics 2009

State athletics or activity associations

Governing body that sets rules and policies for high school sport eligibility, competitions, and state championship tournaments

Outsourcing

In the context of the chapter's section on the marketing of college programs, it refers to the use of outside sport marketing firms to maximize revenues for athletics programs

What does NACDA stand for?

National Association of Collegiate Directors of Athletics

Volunteer Sport Organization (VSO)

Non-profit local sport organization that provided organized sport opportunities for community members. They are governed and supported through volunteer management and coaching

Youth Sport

Organized physical activity for children and adolescents offered though schools, community and organizations, or national sport organizations

Community Sport

Organized physical activity that is based in community, school, and local sport organizations

Casuals

People who happened to be visiting the destination and chose to attend the event instead of doing something else. Their attendance at the event was not their prime reason for visiting the destination

League Think

Pioneered and most effectively implemented by the NFL, this term represents the notion that teams must recognize the importance of their competition and share revenues to ensure that their competitors remain strong.

What is the PCA? What are it's main tenets? How does it go about improving youth sport?

Positive Coaching Alliance · Emphasize winning and they do so by teaching life lessons · Double-goal coach, second-goal parent, triple impact competitor · PCA reaches youth through teaching leaders, coaches, athletes, parents and officials though workshops, courses, books and articles the tenets of the PCA · Mission is to provide a positive, character-building youth sports experience

What are some of the underlying factors that caused interscholastic sport to become part of the educational system?

Schools and other agencies promoted sports participation to aid in solving broad social problems such as ill health and juvenile delinquency · Physical training for WWI · School retention and graduation rates · Tool to prepare for the rigors of modern life · To assimilate immigrants into American culture

Public Schools

Schools that operate on moneys received largely through local property taxes

Private Schools

Schools that operate on moneys received through various forms of funding and giving (Personal, religious, corporate

What skills, experiences, and competencies would help aspiring international sport managers prepare for the job market?

Second language · Cultural awareness (knowledge of customs) · Political awareness · Computer skills · Ability to navigate the internet and conduct research · Business communication skills · Strong oral and written communication skills · Patient, able to listen, respectful

Ticket Scalping

Selling a ticket for a price in excess of the price printed on the ticket

According to the text, what are the three factors that will affect the future of international sport? Explain the effect of each.

Shrinking globe=globalization and integrated technologies like the Internet make increased profits possible, international exchange of talent · Social awareness=athletes giving back to charities and examples of philanthropy · Ethical awareness=human rights and an effort to apply a principle of equity throughout all cultures

Virtual Signage

Signage that is generated by digital technology and placed into a sport event telecast so that it appears as though the sign is part of the playing sutface or adjacent to the playing surface

Client

Sport-Related person, brand, property, media company, or concept represented by a sport management and marketing agency

Tribal colleges and universities (TCUs)

The 37 tribal institutions (aihec.org) of higher education in the United States and Canada

Value Added

The perception, by the consumer, of added or augmented product or service benefits

Time Switchers

Visitors who had been planning to visit the destination and then switched their visit to coincide with the event; their spending cannot be attributed to the event

1. What are the major dimensions of sport tourism and the sport tourism industry?

a. Active sport tourism, event sport tourism, nostalgia sport tourism. or Social, Economic and Environmental

5. Why is nostalgia sport tourism popular?

a. It glorifies sporting heritage, helping people relive the past through imagery and relics

5. Why is the ECAC (Eastern College Athletic Conference) such an unusual conference?

a. It includes teams from not only Division I, but also Division II and III.

5. Identify future challenges to professional sport.

a. Maintaining labor-management harmony in the face of rising salaries, developing new revenue streams, meeting challenges created by technology, dealing with globalization

4. Can professional sport continue to grow its revenues? Identify the revenue sources that can be enhanced.

a. Media Contracts, gate receipts, and licensing and merchandising are the main forms of revenue. It can if new revenue streams are created; virtual signage (technological advances), and creating equity partners with companies like Goldman Sachs.

Career Opportunities:

coaches, athletic directors, instructor, referees, etc.

Labor

A collective group of athletes in team sports who unionize so that they can bargain collectively with the league owners. It is typically represented by a union head in negotiations with management

Convention and Visitors Bureau (CVB)

A community agency funded by the "bed tax," the local taxes paid for stays in commericial lodging facilities such as hotels. A CVB promotes tourism in a community and acts as a centralized source of information about events, accommodations, and other visitor-related information

Sport Tournament

A competition involving a relatively large number of competitors. It can be offered over a set of matches or competitions that culminate in a single champion

Venue

A facility or site where a special event or sport activity takes place

Athletic Director (AD)

A high school senior administrator in charge of providing leadership and management of the school's interscholastic athletic programs

Professional Human Resource Management (HRM) Model

A model that describes scientific methods for staffing, training, developing, and managing human resources. Although well suited for paid employees, it does not often fit for volunteers

National Regulatory Association

A national sport governing body that makes eligibility and playing rules and sponsors competition according to its rules

Athletics Administrator

A person who provides administrative support to the school's various athletics programs

Turnkey

A program or product that the vendor executes without further involvement from the client

According to the text, what were the three factors that served to redefine international sport, and what was the effect of each?

Advent of corporate sponsorship associated with the Olympic games · A shift in the balance of power in sports · Emergence of soccer as a worldwide obsession

Salary Caps

Agreements collectively bargained between labor and management that establish a league-wide team payroll threshold that cannot be exceeded in most cases. It usually set using a percentage of league gross revenues as a starting point

Local Television Contracts

Agreements made between professional teams and local television stations and regional sport networks. This provides teams with additional media revenue beyond what they receive from the national television contract

Executive search firm

An organization that identifies talented administrators for positions such as college presidents, chancellors, provosts, athletics administrators, and coaches

Ticket operations

Process by which tickets are distributed to customers (season ticket holders and fans), coupled with attention to high level of customer service

Downsizing

Becoming a smaller organization by reducing personnel or departments, often becauase of a chge in the mission or direction of the organization

In what year was high school sport governance developed and why was is needed?

Georgia in 1904 (Georgia High School Association). Needed: there were so many state associations being established that little attention was given to the eligibility rules that were being established by the state high school athletics association. Or the Midwest Federation of State High School Athletic Associations in 1921. IT was needed to protect the athletic interests of high schools belonging to the various state associations and to promote pure amateur sport. The welfare of student athletes were in question . Also standards, rule and policies were needed

Interscholastic sport governance

High school athletics competition that is governed by state athletics or activity associations

HBCUs

Historically Black colleges and universities (Alabama State U, Albany State U, Bethune Cookman U, FAMU, Grambling State U, Howard U, Tuskegee U)

Collective Bargaining

Process used to negotiate work terms between labor and management. All active league players are in a bargaining unit and thus forma collective unit for negotiating and bargaining with the owners.

Gatekeepers

Individuals or groups responsible for controlling the flow of proposals of solicitations to the decision maker

What are the major operational difference b/w public and private athletic programs.

Insurance and Facility costs are held back at public schools. Public schools get money from district property tax revenues, while private schools get money from donations, tuition, and allocation feeds. AD's at private schools are responsible for facility expenditures. There is greater flexibility in a private school athletic program where public schools operate within a rigid bureaucratic structure.

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Interscholastic Football Association was formed in 1888 in Boston

3. What has been the effect of the Sports Broadcasting Act of 1961? How does it affect the media today?

Leagues became able to negotiate deals with television networks, which allowed financial viability of the teams. It gave teams an exemption from antitrust laws. It had lead to lucrative league-wide television deals in professional sports. · Changed relationship between media and professional sports; until then, antitrust law prohibited leagues from negotiating network television contracts on behalf of their members · League believed collective bargaining would yield higher revenue per team than individual bargaining · Lobbying effort led to exemption from antitrust law and high lucrative league-wide television deals today (more money)

Sports Commission

Local or state agency responsible for attracting and organizing sport events to help communities capitalize on the potential benefits of sport tourism

How has social media influenced the work of sport managers in youth and community sport?

Managers are now using social media for logistical and communication purposes. Ex: Teams now have their own private pages with parents in youth leagues to discuss game transportation, snacks, share photos, etc. However, not all participants adopt this system, so there ends up being an information gap or directors must redundantly communicate over and over again. It's becoming more popular, but not fully depended on.

Grassroots Programs

Programs targeted to people at the primary level of involvement, usually participants rather than spectators

Sport-based youth development (SBYD) Model

Programs that use sports in general, or a particular sport, to facilitate learning and life skill development

Equity in Athletics Disclosure Act (EADA)

Provides public information about the spending patterns of athletics departments in terms of men's and women's programs. Information about EADA may be found at ope.ed.gov/athletics

Solicitation

Requesting support or assistance on behalf of a sport property from a potential sponsor

What are some of the perceived benefits that students receive by participating in interscholastic sport programs?

Responsible social behaviors · Greater academic success · Confidence in one's physical abilities · Appreciation of health and fitness · Social bonds with individuals and institutions

What comprises most athletics budgets?

Salaries and benefits, equipment, supplies, transportation, professional development, awards, security

LED Signage

Signage located in the arena bowl and primarily found on the fascia below the upper bowl. THis signage is computer generated and has the capability to add sound, animation, and other visual effects to present a colorful eye-catching message. Usually sold in 30 second increments, with a predetermined number of rotations per game

Sponsorship

The acquisition of rights to affiliate or associate directly with a product or event for the purpose of deriving benefits related to that affiliation or association

Inventory

The assets that a sport property has to sell, including not only its quantity but also its characteristics and traits.

Quality of Life

The degree of well-being felt by an individual or a group of people

Licensing Royalty

The earnings paid to the sport property, or licensor by a licensed manufacturer in return for the right to produce and sell merchandise bearing a logo or other mark associated with its sports program

What is thought to be the first college sport contest, and in what year did it occur?

The first college sport contest was a crew race by Harvard University and Yale University in 1852.

Senior woman administrator (SWA)

The highest ranking female administrator involved in the management of an NCAA institution's intercollegiate athletics department

Destination Image

The impression that people have a certain location, especially potential tourists

Synergy

The interaction between two components, such as tourism and sport

Psychic income

The pride that people have in their community, generated by hosting a sport event

Displacement Effect

The process whereby potential tourists are discouraged from visiting a destination because of perceptions of such hassles as crowding and construction of fer of terrorism

seasonality

The variable patterns of tourist visitation throughout the year at a destination. Most destinations have three seasons. A peak season, a shoulder season, and an off-season.

National Federation of State High School(NFHS) Associations

This national governing body provides leadership for the administration of education-based interscholastic sport and non-sport activities

National Interscholastic Athletic Administrators Association

This organization, known as NIAAA, is a national governing body that serves as a liaison between individual state high school athletics associations and state athletics administrator assoications

Management

When referring to the collective bargaining process, management refers to the collective group of ownership that is negotiating with players, or labor. Management is typically represented by a league commissioner, who is technically an agent for the owners, in negotiations with labor

5. What are some of the examples of how you can apply ethical decision making and critical thinking skills to the activities of sport management and marketing agencies?

a. An example of critical thinking is IMG purchasing the rights fees from collegiate athletic departments. An example of ethical decision making was the NBA choosing in 2009 to allow alcohol advertising to be next to the court and to be seen on camera.

7. What is the relationship between winning and high coaching salaries, at least according to one study noted in the chapter?

a. Despite the trend to award multiyear, multimillion dollar contracts to head coaches of football and men's and women's basketball, the researchers further found no significant relationship between winning and high coaching salaries.

10. What are the possible rules violations that athletics development officers need to be aware of, and how do they try to reduce the likelihood that those violations will occur?

a. Donors and friends of athletics programs may offer athletes under-the-table payments, improper gifts and other benefits that violate NCAA rules. Athletics development officers are required to show the steps that they take to educate friends of the program about rules and regulations that govern athletics programs so as to avoid problems in this area.

3. Why is golf tourism growing?

a. Golf courses are located primarily in southern resort style destinations. If people live in bad climates and want to golf, they are more willing to travel to their destination.

6. How many Division I athletics departments make a profit?

a. In 2006, only 19 schools turned a profit. . NOT MANY

3. What was the relationship between the NCAA and NAIA in the 1970s? How has that relationship changed today?

a. In the 1970s, the NCAA and NAIA were both very large and the NAIA was considered a realistic competitor of the NCAA, similar to a David and Goliath type relationship. They are now closer to a partnership where they sort of work together.

9. What possible penalties may be assessed to a school if a team fails to meet the APR standards?

a. In the case of the APR, penalties for failure to meet the threshold standards of 900 to 925 per team range from public warning to loss of scholarships to restricted membership in Division I.

8. Why is there concern about the rate of spending in men's sports at the Division I level compared with the rate of spending in women's sports? On average, what percentage of Division I men's sports budgets are consumed by football and men's basketball?

a. In the years 2004-2006, researchers found that spending on men's sports increased during that two-year span by 14% compared with an increase of just 6% for women's sports. Also, 78% of men's athletics budgets are consumed by football and men's basketball.

4. What are some of the benefits of bringing functions such as sponsorship in-house instead of outsourcing to agencies?

a. In-house agencies have only one client—themselves—and function as gatekeepers (individuals or groups responsible for controlling the flow of proposals or solicitations to the decision maker) in reviewing opportunities presented to them by other entities. They also work personally with other units of the corporation. o By bringing sponsorship, licensing, and broadcasting in house instead of outsourcing them to agencies or hiring an outside agency to perform functions on their behalf, organizations believe that they will have more control and generate more income while cutting the expense of agency fees.

6. What are the most pressing challenges facing agencies in the second decade of the 21st century?

a. In-house versus outsourcing, conflicts of interest, mergers and acquisitions, labor unrest and economic challenges, uncertainty in client base

2. Is a professional athlete a sport tourist?

a. No sport tourism is defined as leisure based travel that takes individuals temporarily outside of their home communities to participate in activities. A professional athlete does this as an occupation

6. What are two categories of jobs within professional sport organization?

a. Player personnel positions and business positions

4. What are the arguments for hosting the Olympics?

a. Pro: invite international travel media, boost economy, create jobs, showcase country b. Con: costly to prepare, jobs are only temporary, flaws are seen by

2. What role did President Theodore Roosevelt play in the development of college sport in the United States?

a. Prompted by deaths and charges of brutality in college football, President Theodore Roosevelt hosted two White House conferences on football in 1905. He summoned people from Harvard, Yale and Princeton Universities in order to encourage the representatives to carry out both the letter and the spirit of the football rules. Led to the formation of the Intercollegiate Athletic Association of the United States (IAAUS) which became the NCAA in 1910.

1. Since 1850, what have been the three most significant developments affecting the growth of professional sport?

a. Radio, media, and sports broadcasting OR · Labor (players who unionize so that they can bargain collectively with the league owners/management, represented by a union head) · Management (collective group of ownership that is negotiating with the players/labor, represented by the league commissioner) · Governance (attempts to regulate but not completely control both labor and management)

2. Why is research and evaluation a crucial role performed by agencies?

a. Several concepts (e.g., downsizing, value added) stress a high degree of relevance and accountability, for both the sport organization and the agency or program delivering the services. o Involves evaluating and documenting the success of different programs that are implemented. o Ex: Consumer surveys, opinion polls, sponsorship assessment, etc.

3. How are the specialty agencies different from full-service sport management and marketing agencies?

a. Specialty agencies focus only on one of the services that a full-sport sport management and marketing agency focus on.

6. How can we sustain sport tourism?

a. Through social, economic, and environmental dimensions. Look out for future while enjoy present sport. Cooperation between sport and tourism agencies at all levels may be one way of reaping benefits, economically and socially, while decreasing the negative impacts on the physical and social environment

4. How do BCS conferences exert influence and control over decision making within the NCAA?

a. Within the NCAA committee structure, representatives of each of the BCS conferences with automatic bids have guaranteed seats on the Division I Board of Directors and seven seats are available to the remaining 20 conferences.

2. Why is league-think important to professional sport?

a. Without league-think, there will be only a few successful teams because they have big budgets that smaller market teams cannot compete with. League-think allows for profit sharing that keeps smaller market teams competitive.

What is a Sport Management & Marketing Agency?

o A business (aka: agency) that acts on behalf of a sport property. o Many sport agencies now dealing in complementary lifestyle activities such as fashion, entertainment, and leisure

1. What are the functions performed by sport management and marketing agencies?

o Full service agencies (IMG)→ provide a full range of services performed by in-house personnel across multiple stakeholder groups. ex: IMG, Octagon, WMG o General agencies→ provide a variety of services to clients, but are not involved in all potential agency functions or with all stakeholder groups. Not a set number of functions o Specialty agencies→ specialize in providing particular types of services or serving a particular stakeholder group. ex: Velocity Sports & Entertainment, SportsMark Management Group o In-house groups → departments of existing companies that perform many agency-like sport marketing functions on behalf of the products or divisions of the parent company. ex: Pro Leagues, Coca Cola Client management and representation, client marketing and product endorsement and placement, event creation and development, event management and marketing, property representation and licensing, television development and production, negotiation of media contracts, sponsorship solicitation and consulting, hospitality management services, grassroots and participatory programs, research and evaluation and strategic and financial planning and management.

There are three principals that form the professional sport industry

o Labor o Management o Government

Leverage

using strategies to optimize the benefits or outcomes associated with an event

What does APR stand for? What are the recent changes in it? What possible penalties may be assessed to a school if a team fails to meet the APR standards?

· APR= Academic Progress Rate · Must be working towards a degree (40% by 2nd yr, 60% by 3rd yr, 80% by 40th yr) · If threshold standards of 900 to 925 team are not met, penalties are enforced o Public warning o NCAA tournament ineligibility o Loss of scholarships for D1 athletes

How do BCS conferences exert influence and control over decision making within the NCAA?

· BCS conference holds more seats in the governing board · Financial stakes such as the 4-year deal signed in 2009 worth $125 million annually · Intimidation by perceived strength · Media impact

Why is there concern about the rate of spending in men's sports at the Division I level compared with the rate of spending in women's sports? On average, what percentage of Division I men's sport budgets are consumed by football and men's basketball?

· Title IX/ gender equity o Must add women's sports to comply o Some cut men's sports to achieve proportionality · 78% of budget

Sectors of youth sport and community:

• Community o Classes o Leagues o Tournaments • Youth o Classes o Instructional leagues o Competitive leagues o After-school programs