FIFA Profits?
by Bingham Lab on Dec 3, 2009 10:06 AM EST
2 comments
I have a multiple questions that I didn't want to get lost in the discussion threads for other topics. I hear (from other commentators, bloggers, talking heads, etc.) say that FIFA will do what is in their best interest to make profits at the expense of fans and countries. Usually this argument is just sort of stated as a trump card and no real factual basis is given and everyone sort of nods their head in approval. Obviously things like WC locations for 2018/2022 (which would be another interesting article), FIFA will justifialby take the bottom line into consideration.
What I don't understand is the "profit" line for on-pitch happens. Recent examples that commentators have thrown out is the seeding of the Euro playoffs to ensure that France/Portugal wouldn't knock each other out. How exactly would not having Portugal (whose pop. is 10.7M) at the WC vs. Ireland (whose pop. is 6.3M) really affect the profits for FIFA? With the Henry handball, if FIFA was acting solely in terms of profits wouldn't it make sense to replay the game/extra time to generate undoubtedly huge TV revenue?
Other examples I hear are that the draw/refs favor the historic soccer countries to ensure that they advance further in the WC, again how would this affect profits? I imagine most games are already sold out and TV contracts/sponsorships for the WC are already in place. Form a profit standpoint, wouldn't it make more sense for upstarts (like the USA/Asia) who could potentially open up new soccer markets?
I don't have a great understanding of how FIFA works. Is there some organization that it is analogous to in US sports i.e. does FIFA work more to protect soccer as a whole (like the NHL), its influential members (like the BCS/MLB), or itself (NFL)? In general how does FIFA work in general to generate a profit? And are most other commentators being too cynical or am I being too naive?
Anyway, I just wanted to say I enjoy the site and the off-the-field/behind-the-scenes analysis. Hopefully there are some ideas for a few more articles.
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You're right Bingham ...
… there are a lot of article ideas in there. Let me think of a bit about whether to answer them here or to make them their own articles.
The 2018/2022 bids, those will definitely need to be their own articles.
The “profit” angle which you discuss in detail? Well, let’s just say that I’m much closer to your point of view.
People are trying to find explanations for events which they think inexplicable. Speaking from personal experience, the most common explanation is that the original thinking overlooked something …
… something I will do quite often :)
But I may come back and comment more on this one. Very good questions. I’m looking forward to writing about the structure of FIFA more, as that’s something that would help round-out a lot of people’s views of the game.
More soon!
your portugal vs. ireland question
let’s consider cristiano ronaldo and the type of revenue he can generate for his corporate sponsors. what would, say, nike have to lose if their biggest soccer name didn’t participate in the world cup, and is there anyway they can exert influence or spend money to avoid this? i have no idea. but i’d like to find out…
don't care if i ever get back.
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