Monday, August 22, 2011

Nevin Shapiro Friend or Foe!



Above is Brandon McQuirter's reaction to Nevin Shapiro's alleagations, and Miami's wrongdoings. Brandon response stems from Dan Wetzel's podcast on yahoo sports. Below is a clip of the 1st and 10 crew discussing the debacle, in Miami.  Let the collegiate Sport Gods have mercy on the "U"!     
   
 

Refrences: 

DeSouza, K. (2011). Tyrone Moss Denies Nevin Shapiro Claim of Receiving Extra Benefits. Retrieved 2011 from 
Robinson, C. (2011). Renegade Miami football booster spells out illicit benefits to players. Retrieved 2011 from 
Session, M. (2011)Nevin Shapiro Ponzi Scheme: New Scandal Brewing At University of Miami? Retrieved 2011. from 

Sunday, August 21, 2011

The biggest sports business conflict in the last 5 years has to be the NFL lockout.



The biggest sports business conflict in the last 5 years has to be the NFL lockout.  The NFL and its owner’s violated antitrust laws, by locking out the players In fact, the magnitude of matter forced the NFL Players Union to decertify, and players were on the verge of becoming their own independent servicer getting the best deal possible.  The owner’s arrogance almost cost them more than what they bargained for. I know CBA’s, and lockouts have become a reoccurring theme in the world of sports, but one cannot overlook the corporal behind the madness. Money!

Money is the motor that powers professional sports.  For instance: The NFL is quickly becoming America’s favorite pastime, and it’s showing on every owners bottom-line.  However, the owners where not content with their percentage of the $9.4 billion a year industry. Washington Post Sally Jenkins reported: they opted out of the CBA and demanded $1 billion in concessions from players. They tore up their cloak because, they said, their share of $9.4 billion in revenue wasn’t enough to support them in the style to which they’ve become accustomed.

Greed and arrogance made the owners feel as though they could steer things in their favor, because of their stature, and affiliation. The owners subconsciously put themselves into an unwarranted legal position disputing the free market principles in which they operate.  The players union made the right decision to decertify so they can combat the owners recklessness with an antitrust lawsuit.  The longer it would have taken the union to decertify, the longer it would have took them to file suit.

Money drove the NFL to a new CBA, which appeases both parties. The owners got a percentage back, and the players got a better compensation package with revenue sharing.  The new 10 year CBA entails; the owners receiving 53% of the revenue, and the players receiving 47%. According to ESPN.com;

·      An increase in salaries and benefits, with the salary cap at $120 million, plus $22 million in benefits, for 2011. Owners must spend 99 percent of the salary cap in 2011-12 in cash;

·  Minimum salary increases of $50,000 that will increase annually; 
·   New work rules and shortened offseason workouts, which are expected to result in fewer injuries and perhaps longer careers;
·      Better health benefits, including more than $1 billion for post-career injuries;

·      Five consecutive days off duirng bye weeks, sources told ESPN.

                                                                                                                                                                                                  
                    
On the owners' side, there's:
       ·  More money to invest as gross revenues rise;
    
              ·   peace for 10 years that makes it easier to work out long-term business deals
              ·   ability to assist in the development of new stadiums because certain revenue was not       
       ·   was not included in total football revenues;  
       ·  less money to untested rookies, specifically high-first round draft picks, although that money 
                  will be redirected to veterans.

In contrast, neither party got everything they bargained for in fact; they both lost some perks. Commissioner Roger Goodell, and the owners did not get their wish for a 18 game season. The players were not granted a opt-out clause, which is odd, because the owners used theirs to for that very purpose. I don’t know if the owners knew what they were doing, but their greed actually improved the CBA.




Reference:

Doris, K. (2011). Decertification Does Not Mean No Football. Retreieved from: Forbes

Jenkins, S. (2011) NFL Owners are Wrong and don’t get it. Retrieved 2011 from:
The Washington Post Sports.

Sunday, August 7, 2011

Phil Knight & Oregons Thinline


I was instructed to write about intellectual property issues within my business plan, and to identify recent controversy with copyright, trademark, or patent laws in sports. The information discussed in this blog may not directly relate to the intellectual properties listed, but they indirectly relate to other legalities JG must be knowledgeable of. Much like Nike, JG has to be mindful of all potential infractions copyright, trademark, and patent laws. NIKE has done a good job in securing contracts and staying clear of sanctions.  The conglomerate as a whole has is steady growing, and maybe on the brink of cornering the market.  However, JG cannot duplicate mistakes made by NIKE. NIKE has thrown its weight around for quite a while, and they have endured an insurmountable amount scrutiny.


Recently, reports surfaced about Oregon and Phil Knight giving improper benefits to recruits and players. Knight an Oregon alumnist, and co-founder of NIKE is being securitized for allegedly enticing recruits with expensive gift. The NCAA alleges Phil Knight approved his production team to manufacture a special pair of Air Jordan’s worth $250,000 for signing a letter of intent.  Wow! $250,000 for a pair of Jordan’s that Michael Jordan himself may not have, that’s leverage.  

            Blue Chip running backs LeMicheal James, and Lache Seastrunk from Texas are at the forefront of this matter, because they are the two parties involved. According to Kelley:
Texas "scout" Willie Lyles, who was paid $25,000 by Oregon for his alleged skills in talent assessment, included in his report to Oregon head coach Chip Kelly the inside insight that Seastrunk loved Air Jordan’s. In a tweet sent July 5, Lyles clarified his quote in a column written by The Oregonian's John Canzano. "The shoes were on display and I never said they were given to Lache (Seastrunk)."
Lyles the CEO of Complete Scouting Services a Texas based recruiting company have been linked to a host of NCAA investigations over the years. Lyles and Oregon bickered about the matter for a few days, and were able to agree to disagree.  If the NCAA can find substantive evidence that Knight and his conglomerate committed foul play, the sanction issued by the NCAA could be very harsh. 

Those critical of Knights influence at UO call him the puppet master, because he’s the driving the driving force behind athletic program. Knight has pumped well over $100 million into UO’s athletic program. Knight has improved Autzen Stadium, built a Matthew Knight Arena for the men and women’s Basketball teams. Knight is not your average booster. He gets private tutorials from both offensive and defensive coaches; he has his own headset and generally calls one play a game, and he is kept abreast of all singings.

According to Sports Illustrated Michael Rosenberg; The school's uniforms, more than any other team's, are a billboard for his company, Nike. There is a sense that every new building and every important hire needs Knight's stamp of approval. Unfortunately, Knight and his conglomerate could be banned from UO, or have limited access to UO athletic program if allegations are true. If Knight cannot directly influence the athletic program what will come of the Ducks?







  


Reference:


Gilbert, J. (03/03/2011) Oregon Football Recruiting Scandal: Is Pac-12 the

Gilbert, J. (03/03/2011). Oregon Football Recruiting Scandal: Is Pac-12 the Shadiest Conference in CFB? Yes: 5. Phil Knight's Involvement with Oregon. http://bleacherreport.com/articles/625991-oregon-football-recruiting-scandal-is-pac-12-the-shadiest-conference-in-cfb/page/2

Kelley, S (07/07/2011). Must be the shoes: Air Jordan’s play role in landing Oregon recruit. The Seattle Times Newspaper. http://seattletimes.nwsource.com/html/stevekelley/2015540795_kelley08.html 

Rosenberg, M. (2011) Nike’s Phil Knight has branded Oregon into a national