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The purpose of this paper is to analyze the 2011 National Basketball Association (NBA) lockout and collective bargaining agreement (CBA).

Using a bargaining game model, the authors show that asymmetric information via owner revenue shifting and financial non-disclosure caused the conflict between owners and players (growth of player salaries) to result in a lockout.

The bargaining game also demonstrates the lockout to be a rational response to asymmetric information: by restricting the growth of player salaries, owners improved their competitive position. Other factors motivating the lockout include the indirect benefit to the median owner of repressing player salaries (i.e. greater expected competitive balance) and a principal agency problem within the players’ union. The lockout concluded with a ten-year CBA, a mutual opt-out in 2017, and revenue sharing between 49 and 51 percent of basketball-related income. The league salvaged a shortened 2011-2012 season, but created an economic framework more favorable to owners.

This paper is novel in its analysis of the bargaining aspects of the current NBA collective bargaining agreement.

Revenue sharing is ubiquitous among North American professional sports leagues. Under pool revenue sharing, above-average revenue teams of a league effectively transfer revenues to below-average revenue teams. Herein, the authors find and prove that a league will vote into policy a pool revenue sharing arrangement if and only if mean team revenue is greater than presharing median revenue, where this condition is equivalent to the presence of positive nonparametric skewness in a league’s distribution of team revenues. This represents a median voter theorem for league revenue sharing.

The authors consider the case of revenue sharing for the National Football League (NFL), a league that pools and equally shares national revenues among member teams.

The authors find evidence of positive and significant nonparametric skewness in NFL team revenue distributions for the 2004–2016 seasons. This distribution is observed amid annual majority rule votes of League owners in favor of maintaining the incumbent pool revenue sharing model (as opposed to no team revenue sharing). Distribution of revenues – namely the existence of outlying large market NFL teams – appears to consistently explain the historical popularity of NFL revenue sharing.

The median voter theorem uncovered in the case of NFL applies to all professional sports leagues and can be used predictively as well as descriptively.

In baseball, a run scored on offense carries the same on-field (win) value as does a run prevented on defense. Both outcomes bear the same score margin implication. This presumption of unit equality is implicit in the Wins Above Replacement (WAR) measure, which treats units of offensive WAR (oWAR) and units of defensive WAR (dWAR) as perfectly substitutable toward win production. The purpose of this paper is to ask whether the salaries of Major League Baseball (MLB) players reveal such an equal valuation among MLB teams.

The authors examine the relationship between offensive output, defensive output and subsequent salary from free agency in MLB using a set of log-linear OLS, fixed effects regression specifications.

In general, estimated annual salary from free agency increases significantly and substantially with unit increases in a player's (prior season) wins above replacement WAR. Across specifications, the authors estimate a 42.5–43.4% increase in salary for year t for each additional unit of WAR in year t−1. The authors disaggregate WAR into offensive and defensive components (oWAR and dWAR) and estimate a 52.4–53.3 (4.8–7.2)% increase in salary for each additional unit of oWAR (dWAR).

The efficiency of the baseball labor market has been studied previously with mixed results. The novelty of the present study is its treatment of inputs not as positions or individual players but as the underlying offensive and defensive win production of players. The authors estimate free agency salary returns to (contract season) oWAR and dWAR in MLB to establish whether (to what extent) a salary premium for offensive output exists within MLB.

A standard result of firm theory is that a monopoly maximizes profit somewhere along the elastic portion of its demand curve. However, empirical studies of sports ticket pricing routinely find that (home) teams price along the inelastic portion of demand. Despite compelling theoretical explanations of this finding, at least one important factor remains unconsidered. A profit-maximizing team considers not only direct marginal revenue and direct marginal cost when setting a ticket price but also deferred, strategic benefit (revenue) from present game success. The paper aims to discuss these issues.

Prior literature finds that a given win is valued in that it generates additional future revenue and likelihood of home victory rises, ceteris paribus, in crowd density. The authors construct a firm profit maximization problem in which a sports team considers both present and future revenue when pricing home games in the present period.

If the deferred benefit is sufficiently large, a forward-looking, profit-maximizing team prices along the inelastic portion of its static demand curve. Importantly, this same price falls along the elastic portion of the firm’s (empirically unobserved) dynamic demand curve.

This is the first model of sports ticket pricing to recognize the intertemporal nature of demand for a sports match.

Drawing from our current original research on cultural trends in Latin America‐based multinational firms, this paper challenges the stereotypical perception of Latin America as a homogeneous region and explores the cultural distances among groups of multinational employees. After collecting surveys from 733 employees across eight multinationals in Argentina, Brazil, Chile, Colombia, and Mexico, we establish that, much like it happens in other lumped‐together regions of the globe, such as “East Asia” and “Africa”, Latin American countries present significant differences in the way firm employees respond to situations where cultural traits are at stake. By researching these countries, we recorded significant variation in aspects such as the treatment and place of women in the workplace, attachment or detachment to formal rules, formal organizational hierarchies, and structured business planning, in addition to varying levels of tolerance to invasion of privacy. Implications of the study include the need to develop methodologies that adequately capture cultural differences within large geographic blocs and business practices that prepare the expatriate, the international manager, and the policy maker for the different realities they are bound to encounter in different countries.

The purpose of this article is to describe the similarities between abductive reasoning and entrepreneurial learning processes in order to contribute to the conceptual understanding of learning as an entrepreneurial process in itself.

The research is theoretically rooted in a conceptual development of the understanding of entrepreneurial learning processes as abductive reasoning inspired by the philosopher Charles Sanders Peirce. The theoretical explication of the connection between entrepreneurial learning processes and abductive reasoning is additionally illustrated by a hypotheses-based didactic model, developed by the authors to scaffold abducting reasoning into learning processes.

The authors found in the theoretical investigation of abductive reasoning a conceptualisation of entrepreneurial learning processes that connects entrepreneurial learning processes to basic cognitive human competences, and the authors found that key concepts in entrepreneurship, such as hunches and experiments, can be understood in a broader philosophical framework as basic cognitive competences.

The authors exemplify how abductive reasoning can be used in practice through a hypothesis-based didactic approach designed as a loop model.

The authors have discovered that abduction is closely related to entrepreneurship and can be a central conceptual link in understanding the relationship between entrepreneurship and learning. The athors also believe that Peirce's concept of abduction can contribute to the philosophical understanding of entrepreneurship as another name for a constant rethinking of the world.

Purpose: This study examines the affective dimension of racial threat. Most modern studies of threat are framed through Blumer's group position theory and measure threat as increases in levels of traditional racism or perceptions of competition. These measurements neglect to operationalize Blumer's affective conceptualizations of threat.

Methodology/Approach: Building on Blumer's theoretical framework, we outline threat's affective dimension through a presentation of new survey items designed to capture what threat feels like.

Findings: Using factor and regression analyses, we demonstrate how affect is distinct from perceived competition, and how it is positively associated with Blumer's theoretically predicted outcome of racial prejudice, in the form of increased levels of racial resentment.

Practical Implications: Future research by sociologists and other social and behavioral scientists should explicitly consider threat's affective dimension in order to provide a more robust picture of racial prejudice in the United States.