For a while there, it looked like North American sports teams owners were going to take over European Soccer. The biggest Premiere League names were getting bought up. Then a funny thing happened. The US Dollar turned upside down against major currencies making deals that once looked tenable, all of the sudden seem very, very expensive.
But as is the nature of currency exchange, for every Yin, there is a Yang, or in this case an Abramovich or any number of wealthy Europeans or Russians who are coming to the US in search of bargains. Of course there are also the exploding number of Chinese Billionaires with global aspirations as well.
A quick trip to NYC to shop for currency induced bargains need not stop on 5th or Madison Ave. It is just a matter of time, and maybe not much of it, before we start to see our sports teams gobbled up. With the international
flavor of both the NHL and NBA, is there a better way to “mainstream” a person, product or service into the US than through the purchase of a sports franchise ?
With the lack of Salary Cap of MLB, why couldn’t or wouldn’t an ultra Wealthy (as in guys or girls who make me look poor) Sports Fan take advantage of the fall in the value of the dollar and come in and buy an Iconic or even mid market franchise and spend spend spend ?
With the price of NFL franchises now past a billion dollars with half the Dolphins apparently selling for more than 550mm, how many individuals in this country that don’t already own a franchise actually afford to buy an NFL team ? Compared to those who count their wealth in Euros , for whom the price of NFL franchises in their local currency has actually declined ?
I bring this up not only because its an interesting question about the impact of globalization in business, but because it could raise some fascinating cultural questions as well.
It’s going to happen. The money will be too big for a current owner to say no to. The potential thrill of a free spending owner Will be too much for the fan base to say no to, particularly in baseball.
Then what ?