MAIN ECONOMIC RESOURCES OF THE NBA IN MODERN DEVELOPMENT CONDITION

  • Kh. R. Khimenes Lviv State University of Physical Culture named after Ivan Boberskyj
  • M. P. Pityn Lviv State University of Physical Culture named after Ivan Boberskyj
  • V. О. Tyshchenko Zaporizhzhya National University
Keywords: professional sport, basketball, league, source of income, sponsor

Abstract

An integral part of professional sport today is the optimal construction of the business to maximize profits. One of the most successful leagues in this regard is the NBA, which increases its revenues from year to year through effective sports activities and, as a result, the conclusion profitable deals. The purpose of the study: to identify the main income sources of the modern NBA and substantiate them. Material and methods. The results are obtained mostly from the analysis of available materials of Internet resource (official sites, materials of publications). Key research methods: data analysis and generalization, comparison. Results. The modern NBA is actively working to find new markets for its sports product – basketball competitions. Its revenue amounted 8.76 billion dollars in 2020 and continues to grow. League clubs are a valuable asset. Their average value today is 2.12 billion dollars and continues to grow. The NBA makes significant profits from television today. The league has signed an agreement with ESPN and TNT, according to which it will receive $ 24 billion dollars for 4 years. A significant source of income is the sale of tickets to the matches (the price varies widely – from 25 to 270 dollars, depending on the level of teams). The league also actively cooperates with companies engaged in the development of mobile applications. It has a three-year deal worth $ 400 million with Verizon. As a result, all NBA videos are available on Verizon’s mobile video service. The league also opened companies’ access to the uniforms of their athletes. Today, in addition to the official sponsor of Nike, on basketball players’ form the logo of the company with which a club enters into an agreement can be placed. The champions Golden State Warriors have the biggest contract. The Japanese giant Rakuten pays to this club 20 million dollars per year. The NBA is beginning to capture the eSports market with the help of NBA2K. It is planned that in the near future this virtual league will also bring significant income. In general, the NBA receives billions of profits today and continues to expand its financial opportunities. It is actively working not only in the United States, but also in China, India, Europe, and even South America.

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Published
2020-11-06
How to Cite
Khimenes, K. R., Pityn, M. P., & TyshchenkoV. О. (2020). MAIN ECONOMIC RESOURCES OF THE NBA IN MODERN DEVELOPMENT CONDITION. Bulletin of Zaporizhzhia National University. Physical Education and Sports, (1), 167-175. Retrieved from http://journalsofznu.zp.ua/index.php/sport/article/view/1543