Do Soccer Players Contribute to Preserving Football Clubs' Financial Performance Sustainability?
Journal Title: Oblik i finansi - Year 2024, Vol 1, Issue 3
Abstract
Today, football has transformed from a hobby into a sport capable of generating high economic value. Football players are recognized formally and informally as intangible assets in the football business. The previous studies confirm that owning high-quality and well-known players can significantly increase club revenue. The Financial Sustainability Regulation mandates clubs to maintain financial stability, ensuring a balance between income and expenses and encouraging clubs to produce top players from their academies. This study evaluates the financial performance of professional football clubs and examines players' contributions to their sustainability, specifically focusing on Manchester United, Manchester City, Arsenal, Liverpool, and Tottenham Hotspur. Authors analyze various financial metrics, such as ticket sales, sponsorships, and broadcasting rights, to assess the clubs' financial health through a qualitative descriptive lens. The research uses secondary data, namely the annual financial statements of the clubs during the 2019-2023 period. The financial reports were obtained from the official websites of the respective clubs. The findings indicate that sound financial management is essential for ensuring stability and maintaining a competitive advantage. Additionally, the research emphasizes the importance of players in fostering club sustainability through their performance on the field and their commercial appeal. High-profile players who perform consistently enhance merchandise sales, attract sponsorships, and grow the fan base, positively impacting the clubs' financial sustainability. The study contributes to the academic field by providing guidelines for the accounting treatment of football players and financial management practices in the football industry.
Authors and Affiliations
Zeal Latu Landang & Umiaty Hamzani & Kristina Yunita
Keywords
Related Articles
- EP ID EP750250
- DOI 10.33146/2307-9878-2024-3(105)-142-153
- Views 20
- Downloads 0
Analysis of the Effect of Domestic Investment, Exports and Labor in the Agricultural Sector on the Economic Growth in South Sumatra Province
This study aims to analyze how the influence of the Domestic Investment variable in the agricultural sector, the number of workers in the agricultural sector and agricultural sector exports on economic growth in South Su...
Practical Conceptualization of Information and Analytical Support for Restoration Management of Livestock Sector Biological Capital
This article explores the features of the practical implementation of the concept of information and analytical support of the development and use of livestock sector biological capital. The necessity of differentiating...
Defining the Components of the Technology Transfer Model: European Integration Aspect
Technology transfer requires cooperation between stakeholders, intellectual property issues, and risk management to implement innovations in production successfully. This necessitates the improvement of the technology tr...
The Effect of Attitude, Subjective Norms, and Perceived Behavioral Control on Whistleblowing Intentions with Religiosity As Moderator
Fraudulent acts or ethical violations committed by staff or senior management can not only cause serious damage to the company's reputation and operations, but also lead to bankruptcy. According to the Corruption Percept...
Адаптація зарубіжного досвіду з формування ефективної системи державного фінансового контролю
Модернізація системи державного фінансового контролю є одним із зобов’язань, які Україна взяла на себе в процесі інтеграції до ЄС. Відтак необхідно створити дієву систему органів державного аудиту та привести у відповідн...