Below is the syllabus for SPM 400-Sport Facility Planning and Management, detailing all course assignments and requirements. Click here for a printable version.
MEDAILLE COLLEGE
18 Agassiz Circle
Buffalo, New York 14214
SYLLABUS
| COURSE NUMBER: | ECO 380 (CRN 20234) | |
| COURSE TITLE: | Economics of Sports | |
| SECTION: | 01 | |
| NUMBER OF CREDITS: | 3 | |
| PREREQUISITES: | SPM 220 | |
| COURSE DAYS/TIME/LOC: | MWF 9:10am-10:10 (Section 01) (M310) | |
| INSTRUCTOR: | Lonni Steven Wilson, Ph.D. | |
| OFFICE LOCATION: | 85 Humboldt | |
| OFFICE HOURS: | MWF 730a-800a, MWF 1235p-135p | |
| TELEPHONE: | (716) 880-2110 | |
| FAX: | (716) 884-0291 | |
| EMAIL: | lwilson [at] medaille [dot] edu | |
| WEBSITE: | www.sportmgmt.com | |
Statement Regarding Disabilities
Any student with a disability who believes he/she needs accommodation(s) in order to complete this course should contact the Office of Disability Services as soon as possible. The staff in the Office of Disability Services will determine what accommodations are appropriate and reasonable under the Americans with Disabilities Act. The Office of Disability Services is located in the Main Building, room 031 and can be reached by phone at (716) 880-2391.
Statement On Academic Integrity:
Medaille College expects students to fulfill academic assignments independently and honestly. Any cheating, plagiarism or other forms of academic dishonesty at Medaille College will be penalized, with sanctions ranging from an “F” on a specific assignment to expulsion from the College.
Statement on Campus Emergency Closures
In the event of a campus emergency closure, please log on to your Bb Vista course link at http://learning.medaille.edu to continue with your course requirements and to communicate with your instructor. You should access this course link early in the semester to familiarize yourself with it. Report any access or usage problems to the course instructor.
A. CATALOG DESCRIPTION OF COURSE
This course applies basic economic theory to the analysis of several problems and issues in sports and recreation. Topics covered include: the history of the development of sports markets and the role of economics in the analysis of these markets; the demand for activities, facilities, equipment, travel and leisure time. Problems affecting the recreation manager, such as pricing, investment, and budgeting, are investigated in detail.
B. OBJECTIVES
| Upon completion of this course students will be able to: | |
| 1. | Apply basic economic tools to the analysis of professional sports markets |
| 2. | Discuss problems of measurement and estimation in judging the economic impact of sports teams, Associations, and facilities |
| 3. | Discuss the growth of the sports and recreation industries in the 20th century, and prospects for future growth |
| 4. | Apply economic tools to managerial decision problems in sports industries |
| 5. | Apply economic tools to the problem of pricing athletic and recreational events |
| 6. | Apply economic tools to the analysis of the problem of locating a team or facility |
| 7. | Analyze the problems of competitive balance in sports Associations and attempts to resolve them, such as salary caps and revenue sharing |
| 8. | Discuss the appropriate role of local, state, and federal government in regulating and financing teams, Associations, and facilities |
| 9. | Analyze the relationships between team performance and team finances, and discuss the question of whether or not championships can be bought |
| 10. | Analyze the question of whether the objective of sports team owners is to win games or to make profits |
| 11. | Discuss and analyze the sources and strategies for financing sports facilities |
| 12. | Analyze the problem of deciding whether to build a new facility or renovate an existing one |
| 13. | Analyze the determination of the salary of sports stars |
| 14. | Analyze the structure of the markets for professional athletes and discuss why and how the markets differ from sport to sport |
| 15. | Discuss the structure of sports labor markets in select foreign countries |
| 16. | Analyze the financial implications of college athletic departments |
| 17. | Analyze the college market for high school athletes |
C. OUTLINE OF COURSE CONTENT
| 1. | Review of Economic Markets | ||
| A. | The Market Model | ||
| 1. | Demand and Supply | ||
| 2. | Market Equilibrium | ||
| 3. | Comparative Statistics | ||
| B. | The Theory of the Firm | ||
| 1. | Technology and Cost Structure | ||
| 2. | Marginal Cost Pricing | ||
| 3. | Taxation | ||
| C. | Market Structures | ||
| 1. | Supply in a Perfectly Competitive Market | ||
| 2. | Monopoly | ||
| 3. | Oligopoly | ||
| D. | Economic Impact of Sports and Recreation Events, Teams, Associations, and Facilities | ||
| 1. | Theoretical Issues | ||
| 2. | Measurement and Estimation Issues | ||
| 2. | Macroeconomic Principles | ||
| A. | National Income Determination | ||
| B. | Money and Interest Rate Determination | ||
| C. | The Federal Reserve | ||
| D. | Government Fiscal and Monetary Policy | ||
| E. | International Exchange Rates | ||
| 3. | The Development of Sports Markets | ||
| A. | Sports Markets | ||
| B. | The Historical Development of the Sports and Recreation Industries | ||
| 4. | Managerial Economics Applied to Sports and Recreation | ||
| A. | Managerial Decision Making in Sports Manufacturing and Service Industries | ||
| B. | Pricing | ||
| C. | Inventory | ||
| D. | Investment and Budgeting Problems | ||
D. METHOD OF EVALUATING STUDENTS
See Course Assignments in section G for specific information about assignments students must complete. All of this information, including this syllabus, is available on the professor’s website at www.sportmgmt.com.
| Student Evaluation Criteria: (percentages are approximate): | |||
| % | Points | Due Date | |
| Academic Integrity & Student Information | By Friday, January 22 by the start of class | ||
| Reading Presentations | 10% | 50 | Various Wednesdays |
| WBA Project | 60% | ||
| One-Sheet | 25 | February 1, 2010 by start of class | |
| Organizational Chart | 15 | February 8, 2010 by start of class | |
| Three-year Schedule, Part I | 15 | February 15, 2010 by the end of the day | |
| Roster | 20 | February 22, 2010 by the end of the day | |
| Three-year Schedule, Part II | 15 | March 15, 2010 by the end of the day | |
| Revenue Projections | 35 | March 29, 2010 by start of class | |
| Budget | 35 | March 29, 2010 by start of class | |
| Mini-Economic Impact Analysis | 50 | April 12, 2010 by start of class | |
| Team Website | 60 | April 19, 2010 by the end of the day | |
| Reflection | 30 | April 26, 2010 by the end of the day | |
| Midterm Exam | 15% | 75 | March 1, 2010 |
| Final Exam | 15% | 75 | May 3, 2010 |
| TOTAL | 100% | 500 | |
Grades will be assigned based upon the total points possible in the course. The final grade in the course will be assigned according to the following percentages:
| A = 95-100% | A- = 90-94% | B+ = 87-89% | B = 83-86% | B- = 80-82% | C+ = 77-79% | C = 73-76% |
| C- = 70-72% | D+ = 67-69% | D = 63-66% | D- = 60-62% | F = below 60% |
E. ATTENDANCE POLICY
| 1. | Students are expected to attend all 3 course meetings. According to Medaille policies, professors will keep a record of all student attendance. | |
| 2. | There are two situations that constitute an “excused absence” from class. They are: | |
| a) | Students who are participating in a documented university sanctioned event; and | |
| b) | Students who experience a documented medical emergency or death in the family. | |
| 3. | In accordance with college policy, students who will be participating in university sanctioned events must provide the instructor with a copy of the scheduled event(s) and those classes that will be missed. | |
| a) | This documentation must be on university letterhead. | |
| b) | Must be signed by the instructor or coach. | |
| c) | Must be given to this professor at least two (2) weeks prior to the event/activity. | |
F. REQUIRED TEXT
Fort, R. (2006). Sport Economics (2nd Ed.) Upper Saddle River, NJ: Prentice Hall Publishing.
Support URLs:
| http://www.sportmgmt.com |
| http://www.medaillespm.com |
G. OTHER INFORMATION:
(Course Assignments, Professor Policies, and Tentative Course Schedule)
COURSE ASSIGNMENTS:
1. |
Academic Integrity & Student Information |
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| Students are to logon to the professor’s website at http://www.sportmgmt.com/academic-integrity-student-information-form/, read Academic Integrity Acknowledgement and initial their agreement. They are also to fill out the student information section, and then click ‘submit’ to send this to the professor. This is to be done during the first week of the course (see deadlines for assignments). Students need to only fill this form out once, even if in multiple classes with the professor. | ||||
2. |
Required Text Readings |
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| Any assigned text readings are due PRIOR to the start of class on MONDAY of each week. | ||||
3. |
Reading Presentations |
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| Students, in groups of 2 or 3, will prepare a minimum of a 40-minute class activity/interaction session around the principles discussed in the particular reading which they are assigned.
Central to this project is the design of an activity or activities that bring the material in the chapter to life for students. In other words, an activity(ies) that engages students in the class session, the material, and through which the students will learn MORE about what the reading is trying to convey. One of the best examples of this that the instructor has seen was a session related to payer play/salary caps/ team budgets wherein a student involved the whole class in a mock NFL draft for their own teams with a focus on putting together a team with a budget. After the teams were set, the student provided player ratings for all the players that were drafted such that the other students could assign a point value to each of their players. The sums of these values gave them the total strength of their team. Thus, students were able to see how stronger and weaker teams were created by budget restrictions, salary caps, player pay, etc. The presenting student then spent 10 minutes debriefing the activity, and engaging students in discussion regarding why some teams drafted so poorly and how #1 and #2 draft picks, as well as the trading of draft picks effect team’s bottom line and their potential for success. The above example helps frame what it takes to create a quality activity for the project. However, this activity may not be duplicated as students are required to design an original activity. It is highly recommended that students spend some time googling their topic for activity ideas, etc. The following guidelines apply: |
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| a) | A 10-25 slide PowerPoint presentation summarizing the topic of the activity as presented in the reading. This is not a reading review, but a focus on a topic or topics of the reading. As such, it is expected that students will bring in material from AT LEAST THREE OUTSIDE SOURCES – and site those on the PowerPoint slides – to further elaborate on their topic(s).
The Powerpoint slides must include the following: |
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| 1) | A title slide listing the Chapter, Chapter Title, A “catchy” subtitle created by the students, and the students’ names | |||
| 2) | At least 5 pictures/graphics (NO Clip Art) | |||
| 3) | At least 3 graphs/tables appropriate to the discussion | |||
| 4) | Neat, clean slides AND thorough engagement of the material by the student | |||
| 5) | A closing slide that is an exact copy of the title slide | |||
| 6) | Student dress for the presentations should be business casual at a minimum (i.e., no jeans, tank tops, t-shirts, etc.) | |||
| 7) | At least 3 outside sources (cited at least once in the slide(s) where their information is used as part of the presentation). | |||
| b) | A class activity or activities as engaging as the one described above. Students SHOULD NOT use the example in the syllabus. Emphasis is placed on creativity/originality and on how well the activity illustrates/teaches the topic(s) that the student is focusing on from the chapter. The intent is to require the student to synthesize materials and represent them in an informative, engaging manner. | |||
| c) | All materials used in the reading presentations should be submitted to Professor Wilson. | |||
| EVALUATION: | ||||
| 5% for title slide and closing slide | ||||
| 5% for 5 pictures/graphics | ||||
| 5% for 3 graphs/tables | ||||
| 10% for 3 outside sources (referenced in APA style on slide) & a reference slide at the end, like that in a paper, listing the full APA reference for each of the three sources. | ||||
| 15% for the presentation (content, neatness, engagement of material) | ||||
| 10% for business casual attire | ||||
| 50% for the activity(ies) designed by the student to “bring the material to life” (i.e., to help students in the class connect with material in the reading through some sort of class activity(ies) | ||||
4. |
WBA Project |
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| Students will create their own World Basketball Association Basketball Team, and address many of the economic/financial principles related to sport teams.
The professor has secured and posted online a copy of the 2005 Owner’s manual for the World Basketball Association. It is the manual given to those who pay the franchise fee to start their own WBA team. The manual details all of the facets that the WBA office emphasizes and requires of its owners. It discusses Association rules, economic/financial principles, marketing/sponsorship, public relations and numerous other topics. The following guidelines apply: |
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| a) | One-Sheet, including: | |||
| 1) | Team Name (city and moniker, e.g., Rochester Rockets, Buffalo BigEaters, Honolulu Voodoo) | |||
| 2) | Team Logo (designed in GIMP, Photoshop, or another graphics program) | |||
| 3) | Mission Statement | |||
| 4) | Mascot Name | |||
| 5) | Images of mascot (these need not be edited to create the exact mascot) with a description of what the vision for the look of the mascot is, utilizing the images as examples | |||
| 6) | An EXCELLENT resource for logo design and development is the site www.sportslogos.net. This site features almost every sport team logo on the planet. It should give you ideas for your own logo. | |||
| 7) | Submitted as an MS Publisher (.pub) document, titled “JSmith-380-WBA.pub” | |||
| b) | Organizational Chart, including: | |||
| 1) | All of the positions employed by the team – from owner, coach, assistants and players to marketing, sales, interns, etc | |||
| 2) | Names of individuals selected to fill those roles. Appearing in parentheses below the title in the org chart box. | |||
| 3) | Salaries with each position on the chart (these must be consistent with the WBA manual). Appearing below the names in the org chart box | |||
| 4) | Additionally, “players” must be listed under “coach” except that players need not be named and salaried for the org chart. | |||
| 5) | This chart should be based on the WBA chart included in the owner’s manual. | |||
| 6) | This is to be added to the student’s original Publisher document, titled, “JSmith-380-WBA.pub” – AS A NEW PAGE on the original one-sheet document | |||
| c) | Three-Year Schedule, Part I | |||
| 1) | Setting the team schedule vs. the teams of the other students in the class. This will be done in-class. Students missing class that day will receive a 0 on this assignment. Students must be present to receive full credit. | |||
| 2) | This is to then be typed in an Excel spreadsheet. This spreadsheet will have other tabs added to it and be resubmitted as the project continues. The filename should be labeled: JSmith-380-WBA.xlsx. This tab should be titled “3yr-1” | |||
| d) | Roster | |||
| 1) | Rosters will be selected via an in-class draft | |||
| 2) | Students will select: 4 guards, 4 forwards, 2 centers (10 players total) | |||
| 3) | After selection, students are to create an Excel spreadsheet roster detailing the jersey number, player name, height, current school (or team), and hometown. | |||
| 4) | This spreadsheet should be in the students existing spreadsheet, titled: JSmith-380-WBA.xlsx. This new tab should be titled “roster” | |||
| e) | Three-Year Schedule, Part II | |||
| 1) | A fantasy-like competition which will yield results for the schedule. Again, students missing from class will receive a 0 for this assignment. | |||
| 2) | The results are to then be typed in the student’s existing Excel spreadsheet. titled: JSmith-380-WBA.xlsx. This new tab should be titled “3yr-2” | |||
| f) | Revenue Projections, including | |||
| 1) | All team revenue streams for the first three years of operation, labeled year 1, year 2, and year 3 on the same Excel spreadsheet, side-by-side – but not in a new tab | |||
| 2) | Revenue steams separated by category (Tickets, Sponsorships, Concessions, Parking, Promotions, Media, Apparel and Merchandise, etc.) | |||
| 3) | Each revenue stream must auto total | |||
| 4) | A grand (auto) total must exist for each year, separately | |||
| 5) | Revenue streams must be realistic | |||
| 6) | This is to be typed in the student’s existing Excel spreadsheet. titled: JSmith-380-WBA.xlsx. This new tab should be titled “revenue” | |||
| g) | Budget, based on WBA rules and guidelines, including | |||
| 1) | All team expenses for the first three years of operation, labeled year 1, year 2, and year 3 on the same Excel spreadsheet, side-by-side – but not in a new tab | |||
| 2) | Expenses separated by category (Franchise Fee, Personnel, Equipment, Facilities, Media, Team Travel, Marketing and Promotional Items, Apparel and Merchandise, etc.) | |||
| 3) | Each expense stream must auto total | |||
| 4) | A grand (auto) total must exist for each year, separately | |||
| 5) | This must be comprehensive. A good starting point is the pre-team establishment duties on p. 2 of the WBA manual. | |||
| 6) | Students will assume a $100,000 franchise fee, amortized over 5 years – this should be an expense line in the budget | |||
| 7) | This is to be typed in the student’s existing Excel spreadsheet. titled: JSmith-380-WBA.xlsx. This new tab should be titled “budget” | |||
| h) | Mini-Economic Analysis, 3 pages, (see Chapter 10 of text), with the following sections and headers: | |||
| 1) | City population (demographics, size, psychographics, other characteristics) | |||
| 2) | Competing sport franchises and new WBA team’s viability against those established teams | |||
| 3) | Venue Description and discussion | |||
| 4) | Cost-Benefit analysis addressing costs (infrastructure, operations, opportunity costs) and benefits (economic activity, development value, buyer’s surpluses and external benefits) – this will be the largest section with each cost and benefit identified in parentheses above needing at least one paragraph. Sub-headings should be used for these as well. | |||
| 5) | Subsidies – what types of subsidies might this organization be able to orchestrate? What is the likelihood of its obtaining these, in this community? | |||
| 6) | Any other sections or elements that the student wishes to address, not already labeled here. | |||
| 7) | A conclusion paragraph discussing the students closing arguments/reactions regarding the economic impact of their team in this location. That is, typically, team owners would want such an analysis to make a case for the incredible and wonderful impact their team will have on the community and region. | |||
| 8) | Written as an MS Word document, titled “JSmith-380-WBA-eco-impact.docx” | |||
| i) | Team Website, including: | |||
| 1) | The use of NoteTab Light to build the site and Filezilla for uploading. Both should be downloaded and installed by the student on their home computer | |||
| 2) | The use of a pre-supplied template for the Website meeting all WBA website specifications. Thus students need only add content, images, and adjust colors | |||
| 3) | Team Name, Logo, Mission Statement, Mascot, mascot image | |||
| 4) | Owner bio, Front Office staff, Coaches, Roster | |||
| 5) | This years’ schedule | |||
| 6) | Links to all other students sites (pre-provided format) | |||
| 7) | Contact Form | |||
| 8) | Stadium info, diagram with seating | |||
| 9) | Ticket packages (in-keeping with revenue projection expectations) | |||
| 10) | Team History (detailing how the team came about – a creative fiction piece) | |||
| 11) | At least two banner ads (exact size provided on template) | |||
| j) | Reflection on the Economics of Team Ownership, including: | |||
| 1) | A discussion of the selection of the name, location, logo, mascot and mission statement for the team | |||
| 2) | A brief summary of the student’s thoughts on the various costs of the team | |||
| 3) | A synopsis of the student’s views on the revenue streams of the team | |||
| 4) | An analysis of why one would choose to own a team, and in particular, if the student would really consider owning his/her team if the opportunity presented itself –if so, why, if not, why not? | |||
| 5) | The student’s personal reaction to team ownership | |||
| 6) | A rating of the project. | |||
| 7) | This will be completed via an online form | |||
| EVALUATION: | ||||
| 25 pts | One-sheet | |||
| 15 pts | Organizational Chart | |||
| 15 pts | Three-year Schedule, Part I | |||
| 20 pts | Rosters | |||
| 15 pts | Three-year Schedule, Part II | |||
| 35 pts | Revenue Projection | |||
| 35 pts | Budget | |||
| 50 pts | Mini-Economic Impact Analysis | |||
| 60 pts | Team Website | |||
| 30 pts | Reflection | |||
5. |
Quizzes and Online Lectures |
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| There may be online lectures at times during the semester. When online lectures are given, students are required to view the online lecture and to complete a quiz over that lecture. | ||||
6. |
Midterm Exam |
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| Students will take a midterm examination covering the materials over the first half of the course | ||||
7. |
Final Exam |
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| Students will take a midterm examination covering the materials over the second half of the course | ||||
PROFESSOR POLICIES
| 1) | LATE ASSIGNMENTS | ||
| a. | All assignments are due in class by the date listed IN THIS COURSE OUTLINE. Late Assignments will not be accepted for any reason. | ||
| b. | Students must make arrangements to turn in an assignment PRIOR to any absences whether excused or unexcused (this includes athletes, students gone for school trips, etc…). This includes having the student’s poster at the poster presentation session even if the student will be absent. | ||
| c. | Copies of all assignments should be made and the originals retained, especially graded assignments, for future use by the student (i.e., SAVE YOUR WORK on a computer, flash drive, CD, or zip disk). These should be saved in the student’s electronic portfolio for the course. | ||
TENTATIVE COURSE SCHEDULE
| Week | Dates | Topic | Reading Assignment |
| 1 | 1/18-22 | Course Introduction and Syllabus Review
Warm Up: The Business of Sports DUE: Academic Integrity & Student Information (1/22) |
Ch. 1 |
| 2 | 1/25-29 | Mon – Work on One-sheet Information in Class
Demand and Sports Revenue LAST DAY TO DROP/ADD COURSES (1/25) DUE: Readings Presentation Selections (1/25) |
Ch. 2 |
| 3 | 2/1-5 | Mon – Work on Org Chart
The Market for Sports Broadcast Rights DUE: One-Sheet (2/1) DUE: Reading Presentation Ch. 3 – Wed |
Ch. 3 |
| 4 | 2/8-12 | Mon – Work on Three-Year Schedule, Part I – in-class activity
Team Cost, Profit, and Winning DUE: Organizational Chart (2/8) DUE: Reading Presentation Ch. 4 – Wed |
Ch. 4 |
| 5 | 2/15-19 | Mon – NO CLASS – PRESIDENT’S DAY (2/15)
Sports Market Outcomes, Part I: Associations, Team Location, Expansion, and Negotiations DUE: Three-Year Schedule, Part I (2/15) DUE: Reading Presentation Ch. 5 – Wed |
Ch. 5 |
| 6 | 2/22-26 | Mon – Work on Rosters – in-class activity
Sports Market Outcomes, Part II: Associations and Competitive Balance DUE: Roster (2/22) DUE: Reading Presentation Ch. 6 – Wed |
Ch. 6 |
| 7 | 3/1-5 | Mon – MIDTERM EXAM (3/1)
Wed – The Value of Sports Talent Fri – Team Website Templates DUE: Reading Presentation Ch. 7 – Wed |
Ch. 7 |
| 8 | 3/8-12 | NO CLASSES – SPRING BREAK (3/8-12) | |
| 9 | 3/15-19 | Mon – Work on Three-Year Schedule, Part II – in-class activity
The History of Player Pay DUE: Three-Year Schedule, Part II (3/1) DUE: Reading Presentation Ch. 8 – Wed |
Ch. 8 |
| 10 | 3/22-26 | Mon – Work on Revenue Projections and Budget
Labor Relations in Pro Sports LAST DAY TO WITHDRAW OR REGISTER AS PASS/FAIL (3/26) DUE: Reading Presentation Ch. 9 – Wed |
Ch. 9 |
| 11 | 3/29-4/2 | Mon – Work on Team Website
Subsidies and Economic Impact Analysis Fri – NO CLASS – EASTER HOLIDAY (4/1-2) DUE: Readings Presentations DUE: Revenue Projections (3/29) DUE: Budget (3/29) DUE: Reading Presentation Ch. 10 – Wed |
Ch. 10 |
| 12 | 4/5-9 | Mon – NO CLASS – EASTER HOLIDAY (4/5)
Wed – Subsidies and Economic Impact Analysis Fri – Work on Mini-Economic Impact Analysis |
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| 13 | 4/12-16 | Mon – Work on Team Website
The Stadium Mess DUE: Mini-Economic Impact Analysis (4/12) DUE: Reading Presentation Ch. 11 – Wed |
Ch. 11 |
| 14 | 4/19-23 | Mon – Work on Team Website
Wed – Taxes, Antitrust, and Competition Policy Fri – Discussion of Team Websites DUE: Team Website (4/19) DUE: Reading Presentation Ch. 12 – Wed |
Ch. 12 |
| 15 | 4/26-30 | Mon – Work on Reflection
College Sports DUE: Reflection (4/26) DUE: Reading Presentation Ch. 13 – Wed |
Ch. 13 |
| 16 | 5/3-7 | Mon – Course Evaluations
FINAL EXAM (5/3) LAST DAY OF CLASSES (5/3) EXAMS (5/4-6) |
Commencement – May 21, 2010
