Study on the effects of the Bosman case on European Football

January 25th, 2012 § 0 comments § permalink

In the 1995 Bosman case (European Court of Justice of 15 December 1995 in Union Royale Belge des Sociétés de Football Association vs. Bosman, C-415/93),  the European Court of Justice ruled that transfer rules which make the transfer of a player at the end of his contract term subject to payment of a transfer sum are invalid under European law and therefore unenforceable. These rules violate one of the basic rules of the single market (free movement of workers).

At a debate organized yesterday in Brussels by Burson Marsteller, an international public affairs agency, the results of a comparative study were presented on the possible effects of the Bosman ruling on European football.

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A new business model for professional cycling? The key role of Medium Rights.

December 13th, 2011 § 0 comments § permalink

The Bakala-Lefèvere Business Plan

Zdenek Bakala, a Tsjech investor, and Patrick Lefèvere, director of the recently formed Omega Pharma-Quick Step pro cycling team, presented on 5 December 2011 in Antwerp their thoughts about a new 5 year business plan, which could change the world of professional cycling in a revolutionary way.

Up till now professional cycling teams are mainly financed by one or two main sponsors and a number of sub-sponsors. The contribution by the main sponsors is mainly of a financial nature, whilst the sub-sponsors may contribute “in kind”, for instance with logistics (team cars), materials (bikes) or beverages (sports drinks). In case of a Pro Team the annual budget may represent easily around 10 million Euro, but can be lower or higher.

As I understand their project, Bakala and Lefèvere intend to create a model where the teams would develop their own branding, instead of being dependent on everchanging sponsors, which are every day more difficult to find and which are normally not prepared to enter into long time engagements.

It is clear that the lack of continuity and stability of financing through sponsoring can be a serious threat to the future of professional cycling.

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