Examining the financial condition of sport governing bodies: the effects of revenue diversification and organizational success factors
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| Title translated into German: | Untersuchung der finanziellen Situation von Sportverbänden : die Auswirkungen von Umsatzdiversifizierung und organisatorischen Erfolgsfaktoren |
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| Author: | Wicker, Pamela; Breuer, Christoph |
| Published in: | Voluntas |
| Published: | 25 (2014), 4, S. 929-948, Lit. |
| Format: | Publications (Database SPOLIT) |
| Publication Type: | Journal article |
| Media type: | Electronic resource (online) Print resource |
| Language: | English |
| ISSN: | 0957-8765, 1573-7888 |
| Keywords: | |
| Online Access: | |
| Identification number: | PU201712010852 |
| Source: | BISp |
Author's abstract
Sport governing bodies play a critical role in the sport system. The purpose of this study is to analyze their financial condition, a topic that has been largely neglected in previous research. Based on financial portfolio theory, it was suggested that the level of revenue diversification has a positive effect on their financial condition (measured through total revenues, break even, profit, and investments). Also, the influence of sport-related and financial success factors was examined using data from a nationwide online survey of sport governing bodies in Germany (n = 1,080). The results provided evidence of a relatively high level of revenue diversification compared with other industries. Revenue diversification, hosting major sporting events, and cost optimization had a positive effect on the financial condition, while increasing memberships in clubs and organizing competitions had a negative influence. The findings have implications for the management of sport governing bodies.