History: What is it good for? correct answers -Illustrates how certain managers were visionaries
in developing sport fitness business
-Models modern management practices
"Setting the Stage": Mid-to-late 1800s correct answers Trends that aided development of Sport
Industry
○ Urbanization
○ Growing middle class bought entertainment(e.g: sport)
○ Mass Audience
○ Technological influences(mass distribution)
§ Telegraph, Newspaper, Railroads
○ Sport Performance segment first to modernize
Baseball & Horse Racing had structured organizations
Late 1800s: Sporting Goods correct answers • Mass Production: Bicycles and Baseball gloves
• Spalding
○ Vertical Integration
○ Diversification
○ Development Modern Mgt. Systems
○ Utilize promotional strategies
• Industry Trends
○ Used slogans and trademarks for brand recognition
○ Began to use advertising
○ Above practices later adopted by other sport businesses
• College Athletics
○ First college football(rugby) game: 1869
§ Admissions first charged 3 years later(Yale vs Columbia)
§ Keep in mind that even today, we are one of the only countries in the world to "marry" sport
with education
○ Intercollegiate Football Conference: 1876
§ Created rules and standardized methods of play
§ Organized annual thanksgiving day game
○ Sport Performance Segment
§ Baseball surpasses cricket in popularity
§ National association first pro baseball:1871
□ William Hulbert takes control of league in 1876
□ Profit-oriented baseball gains legitimacy
® Tied owners to a schedule and enforced rules
Early 1900s: Age of Organization correct answers • Sport becomes increasingly popular with
consumers
○ YMCAs begin to organize and market
○ United States Golf Association organized
,○ Colleges begin to offer more sports
• Movement to reform/outlaw college football
○ Too violent(some players had died)
○ NCAA is formed
Rules implemented to help make the game safe
Roots of Mass Mediated Sports Entertainment correct answers • Early Sports Media: Constraints
of the medium(radio)
○ Baseball and boxing most popular
○ The nature of the sports fit better with radio play-by-play than other sports of the day
○ Organizations begin to segment/target markets
§ Market Segmentation
§ Growing middle class prime target
○ Advertising becomes increasingly important
Newspapers, magazines, radio
1910: Advent of Athlete Endorser correct answers • Media coverage: Athlete=Celebrity
• Maker of Louisville Slugger signs endorsers
○ Public sought to emulate celebrities
○ Babe Ruth, Honus Wagner, Ty Cobb
Ruth's popularity leads to other endorsements
1920a: "Golden Age" of Sports correct answers • WWI increases market for sporting goods
○ Sporting goods used to train soldiers
○ Increased demand for civilians for entertainment
○ War emphasized sport as way to be "manly"
○ Greater production and more distribution outlets
• Competition and Economy hurt profits
○ First trade association formed: Chamber of Commerce of Athletics Goods Manufacturers
○ Helped to regulate competition
○ Helped to create efforts that would promote sport participation
○ Golf Manufactures hire: Fred Corcoran***
§ Tournaments used to showcase golf products
§ Corcoran made tournaments self-sufficient
§ Used golf as platform to sell
Later hired to head up LPGA
Impact of WWII correct answers • Many professional athletes drafted into military
○ College and high school programs cut
○ Military leagues flourished(morale and fitness)
○ War increased participation by women
§ "A league of their own"
○ When war ended Americans looked for more entertainment
NBA is formed
, 1950s: Marketing and Technology correct answers • Bill Veeck*** uses promotions to market
BB
○ Created "bat day" to draw fans to baseball
○ Used fireworks shows after every game
• Advances in media technology draws fans
○ Owners skeptical about TV's effect on gate
○ Automobile technology: NASCAR created
• Walter Byers***: coins term "student athlete"
This was strategic policy implementation to allow colleges to legally avoid paying injured
athletes workman's compensation
1960s: Watershed Decade-Foreign Competition Enters U.S Sporting Goods Market correct
answers • Post WWII trade restrictions lifted
○ Opens U.S to foreign manufacturers
○ Mizuno, Puma and Adidas enter U.S Market
• Foreign Competition hurts U.S companies
○ Cheaper manufacturing/lower prices
○ Foreign companies among firs to deal directly with coaches and athletes
• Pete Rozelle**: First NFL commissioner
○ Understood the importance of media
○ Masterful salesman
§ Congress(to grant anti-trust exemption)
§ Owners)to share in media rights profits)
§ Networks
• AFL/NFL sign network television contracts
○ Television helps grow popularity of spectator sports like football
• First "superbowl: between AFL/NFL
○ Played in 1967 at LA coliseum
Leagues Later merge
1960s: Growing Commercialization correct answers • Mark McCormak creates IMG
○ International Management group to represent athletes
No "free agency" in pro sports so they mostly just represent golfers and tennis athletes
Emergence of Sports Management as a field correct answers • Professional schools/programs
grow at colleges and universities
• First Sport management program emerges
○ Ohio University
§ Movement to train people with business perspective
Physical education program
Monday Night Football correct answers The booth becomes as important as the sport
The booth becomes as important as the sport correct answers ○ NFL goes primetime: Monday
Night Football
§ Roone Arledge*(Head of ABC sports)