Goal-setting versus goal-scoring: the role of clubs’ media exposure in prioritizing revenue and sports performance

Garcia Del Barrio, P. and Rossi, Giambattista and Andreff, W. (2025) Goal-setting versus goal-scoring: the role of clubs’ media exposure in prioritizing revenue and sports performance. Review of Managerial Science , ISSN 1863-6683. (Submitted)

Abstract

This paper examines the transition to a new media-dependent business model for professional sport. The empirical analysis studies to what extent the media exposure of football clubs affects their priorities and shapes this entertainment industry. The debate on the clubs’ objectives is discussed based on a media visibility index. This proxy variable jointly captures sporting talent and the ability of players to attract the interest of fans and the media. Our empirical strategy involves estimating several regression models with a different dependent variable, all against the same set of explanatory variables. This simple method allows us to postulate a conciliatory approach between football clubs’ objectives by disentangle them in various ways. Specifically, the different dependent variables, corresponding to the alleged objectives of the clubs, are: (a) maximize profits; (b) maximize sporting achievements; or (c) maximize a combination of both. Furthermore, the revenue-to-wage ratio is disentangled in two elements: (i) revenue productivity per league point; and (ii) sporting-achievements (efficiency) per unit of talent. Our empirical results reconcile two opposing traditional views, suggesting that clubs prioritizing revenue maximize their sporting achievements. Finally, the paper highlights managerial implications that suggest reviewing how competition bodies organize and regulate certain aspects.

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