History: What is it good for? Correct Answer--Illustrates how certain
managers were visionaries in developing sport fitness business
-Models modern management practices
"Setting the Stage": Mid-to-late 1800s Correct Answer-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 Answer-• 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 Answer-• 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 Answer-• 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 Answer-• 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 Answer-• 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 Answer-• 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