Oliver Budzinski () (Department of Environmental and Business Economics, University of Southern Denmark) Janina Satzer () (Department of Environmental and Business Economics, University of Southern Denmark)
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Despite still being younger than a decade, the theory of multisided market has offered numerous valuable insights for the analysis of industries in which a supplier serves two distinct customer groups that are indirectly interrelated by externalities. Examples include payment systems, matching agencies, commercial media and software platforms. However, professional sports markets have largely been neglected so far in this kind of research although they possess the characteristics of multisided markets. We contribute to filling this gap by describing the platform elements of professional suppliers of sports events and outlining issues where an application of this theoretical framework is likely to provide valuable insights and to add to the existing knowledge. Among these problems are integrative pricing strategies of sports clubs towards such different customer groups like attendees, broadcasters, sponsors, etc., including their welfare and antitrust implications, design decisions of sports associations in order to promote positive feedback loops among the customer groups as well as management strategies to reinforce positive externalities among customer groups and alleviate negative ones. We thank Anna Lund Jepsen for valuable comments on an earlier version of this paper and Barbara Güldenring for excellent editorial assistance.
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Paper provided by University of Southern Denmark, Department of Environmental and Business Economics in its series Working Papers with number
85/09.
Find related papers by JEL classification: L83 - Industrial Organization - - Industry Studies: Services - - - Sports; Gambling; Recreation; Tourism L82 - Industrial Organization - - Industry Studies: Services - - - Entertainment; Media L13 - Industrial Organization - - Market Structure, Firm Strategy, and Market Performance - - - Oligopoly and Other Imperfect Markets M21 - Business Administration and Business Economics; Marketing; Accounting - - Business Economics - - - Business Economics
References listed on IDEAS Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
Jean-Charles Rochet Author-Email: rochet@cict.fr Author-Workplace-Name: IDEI, University of Toulouse & Jean Tirole Author-Email: tirole@cict.fr Author-Workplace-Name: IDEI, University of Toulouse, 2006.
"Two-Sided Markets: A Progress Report,"
RAND Journal of Economics,
The RAND Corporation, vol. 37(3), pages 645-667, Autumn.
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