The Determinants of Success in European Football Competitions

• Main Author: da Rocha, Carlos Jorge Santos
• Format: Dissertation
• Language: English
• Published: ProQuest Dissertations & Theses 01-01-2014
• Subjects: Accounting; Annual reports; Balance sheets; Capital expenditures; Cities; Civil engineering; Corporate governance; Costs; Economic crisis; Economic development; Economic history; Economics; Finance; GDP; Gross Domestic Product; History; Infrastructure; Investments; Labor economics; Management; Per capita; Professional soccer; Profitability; Profits; Regulation of financial institutions; Sports Management; Stockholders; Success; Sustainability; Tournaments & championships; Wages & salaries
• ISBN: 9798381343694

A lot has changed in football in the last decades. These changes were mainly driven by the appearance of the mega sized Champions League and the Bosman Case, making this industry a very good case study in the financial area. This study identifies the main determinants of football club’s revenues and success between 2009 and 2012. This study will be a breakthrough not only in finance literature, but also in the football industry. To our best knowledge there is no studies regarding the football industry in the field of identification of success determinants in the European main competitions (Champions League and Europa League) and the relation of that success (or lack of) to the club’s revenues. Our results showed a positive correlation between market area and sportive success with higher revenues. Regarding success, results showed that wages, total assets and capital expenditures in the year before are positively correlated. However, the clubs that don’t control their expenses in relation to their revenues tend to not succeed as they predicted.