Transcript Chapter 13
Chapter 13 Sports and Entertainment Legal Issues 13.2 Labor Unions Sports and Entertainment Marketing © Thomson/South-Western Winning Strategies A Perfect Match Sanders Morris Harris Group paid $5 million for a 50% interest in Select Sports Group. The combined group offers services in: salary/contract negotiations financial planning This new group has the resources to expand. Major League Baseball clients National Basketball Association clients Chapter 13 Slide 2 Sports and Entertainment Marketing © Thomson/South-Western Lesson 13.2 Labor Unions Goals Explain the need for salary caps. Describe the financial and public relations impacts that strikes may cause to a sport. Discuss owner-labor relations and the impacts of labor unions. Chapter 13 Slide 3 Sports and Entertainment Marketing © Thomson/South-Western Terms collective bargaining collective bargaining agreement salary cap Chapter 13 Slide 4 Sports and Entertainment Marketing © Thomson/South-Western ORGANIZED LABOR players’ associations the labor unions of athletes in professional sports collective bargaining when a group of employees join together as a single unit to negotiate with employers Chapter 13 Slide 5 Sports and Entertainment Marketing © Thomson/South-Western Bargaining Rights collective bargaining agreement (CBA) negotiated by the players’ association covers all league players includes salary ranges, contract length, and operating rules Chapter 13 Slide 6 Sports and Entertainment Marketing © Thomson/South-Western Topping the Salary salary cap a maximum amount that a team can spend on players’ salaries Chapter 13 Slide 7 Sports and Entertainment Marketing © Thomson/South-Western How do players’ salaries influence the financing of professional sports? Chapter 13 Slide 8 Sports and Entertainment Marketing © Thomson/South-Western OWNERS VERSUS PLAYERS When owners and players can not come to an agreement on contracts, strikes can result. Everyone looses out during a strike. Chapter 13 Slide 9 Sports and Entertainment Marketing © Thomson/South-Western Picking Up the Pieces Congress can design laws to control the loss of wages by third-party victims. Chapter 13 Slide 10 Sports and Entertainment Marketing © Thomson/South-Western Winning Back the Fans Despite assorted promotional efforts, it is often hard to win back fans after a strike. Chapter 13 Slide 11 Sports and Entertainment Marketing © Thomson/South-Western Why do labor conflicts hurt the promotion of a sport? Chapter 13 Slide 12 Sports and Entertainment Marketing © Thomson/South-Western LABOR RELATIONS Soccer Success Major League Soccer (MLS) owners are considered business partners structure was designed to keep teams with big audiences from dominating teams in smaller markets Chapter 13 Slide 13 Sports and Entertainment Marketing © Thomson/South-Western Getting Along Labor and management must cooperate if a business is to succeed. Chapter 13 Slide 14 Sports and Entertainment Marketing © Thomson/South-Western Entertainment Labor Unions that represent celebrities are: The Screen Actors Guild (SAG) The American Federation of Television and Radio Artists (AFTRA) Chapter 13 Slide 15 Sports and Entertainment Marketing © Thomson/South-Western How do strikes and lockouts financially affect a sports team? Chapter 13 Slide 16 Sports and Entertainment Marketing © Thomson/South-Western