Exogenous Policy Shock and Logic Centrality Shift: NBA Policy and NCAA Outcomes

in Journal of Sport Management

Click name to view affiliation

Matthew Juravich University of Akron

Search for other papers by Matthew Juravich in
Current site
Google Scholar
PubMed Close
*
and
Brian M. Mills University of Florida

Search for other papers by Brian M. Mills in
Current site
Google Scholar
PubMed Close
*
DOI:
https://doi.org/10.1123/jsm.2016-0335
Keywords:
competitive balance; institutional theory; organizational fields
First Published Online:
01 Sep 2017
In Print:
Volume 31: Issue 5
Page Range:
452–465
Restricted access

This study integrates the literature on organizational fields and logics of action with the sport management and economics literature by investigating the impact of an exogenous shock on talent distribution in the field of National Collegiate Athletic Association Division 1 men’s basketball. We examine data related to human resource entry and exit through the lens of the National Basketball Association’s one-and-done rule and its subsequent impact on competitive balance among National Collegiate Athletic Association Division 1 men’s basketball programs. Hypotheses are tested in relation to pre- and postshock talent dispersion and competitive balance employing an interdisciplinary econometric approach to evaluate management-driven outcomes. Broadly, we find improvements in balance and a broader distribution of player talent among schools comprising larger conferences, whereas smaller conferences experienced reductions or no changes in balance. Implications are discussed and future directions for integrated institutional theory and sport management research are suggested.

Juravich is with the University of Akron, Akron, OH. Mills is with the University of Florida, Gainesville, FL.

Address author correspondence to Matthew Juravich at mjuravich@uakron.edu.
  • Collapse
  • Expand

Journal of Sport Management

Cover Journal of Sport Management

  • Barreto, I., & Patient, D.L. (2013). Toward a theory of intraorganizational attention based on desirability and feasibility factors. Strategic Management Journal, 34, 687–703. doi:10.1002/smj.2029

    • Crossref
    • Search Google Scholar
    • Export Citation

  • Berri, D.J., Brook, S.L., Frick, B., Fenn, A.J., & Vicente-Mayoral, R. (2005). The short supply of tall people: Competitive imbalance and the National Basketball Association. Journal of Economic Issues, 39, 1029–1041. doi:10.1080/00213624.2005.11506865

    • Crossref
    • Search Google Scholar
    • Export Citation

  • Besharov, M.L., & Smith, W.K. (2014). Multiple logics in organizations: Explaining their varied nature and implications. Academy of Management Journal, 39, 364–381.

    • Search Google Scholar
    • Export Citation

  • D’Aunno, T., Sutton, R.I., & Price, R.H. (1991). Isomorphism and external support in conflicting institutional environments: A study of drug abuse treatment units. Academy of Management Journal, 34, 636–661. doi:10.2307/256409

    • Search Google Scholar
    • Export Citation

  • Davis, G.F., & Marquis, C. (2005). Prospects for organization theory in the early twenty-first century: Institutional fields and mechanisms. Organization Science, 16(4), 332–343. doi:10.1287/orsc.1050.0137

    • Crossref
    • Search Google Scholar
    • Export Citation

  • Depken, C.A., II. (1999). Free-agency and the competitiveness of Major League Baseball. Review of Industrial Organization, 14, 205–217. doi:10.1023/A:1007788303098

    • Crossref
    • Search Google Scholar
    • Export Citation

  • DiMaggio, P.J., & Powell, W.W. (1983). The iron cage revisited: Institutional isomorphism and collective rationality in organizational fields. American Sociological Review, 48, 147–160. doi:10.2307/2095101

    • Crossref
    • Search Google Scholar
    • Export Citation

  • Edwards, J.R., & Washington, M. (2015). Establishing a “safety net”: Exploring the emergence and maintenance of College Hockey Inc. and NCAA Division I hockey. Journal of Sport Management, 29, 291–304. doi:10.1123/jsm.2012-0122

    • Crossref
    • Search Google Scholar
    • Export Citation

  • Evans, B., & Pitts, J.D. (2016). The determinants of NCAA basketball recruiting outcomes. Applied Economics Letters, 24, 351–354. doi:10.1080/13504851.2016.1192268

    • Crossref
    • Search Google Scholar
    • Export Citation

  • Fort, R. (2005). The golden anniversary of “The Baseball Players’ Labor Market.” Journal of Sports Economics, 6, 347–358. doi:10.1177/1527002505281226

    • Crossref
    • Search Google Scholar
    • Export Citation

  • Fort, R., & Maxcy, J. (2003). Competitive balance in sports leagues: An introduction. Journal of Sports Economics, 4, 154–160. doi:10.1177/1527002503004002005

    • Crossref
    • Search Google Scholar
    • Export Citation

  • Fort, R., Maxcy, J., & Diehl, M. (2016). Uncertainty by regulation: Rottenberg’s invariance principle. Research in Economics, 70, 454–467. doi:10.1016/j.rie.2016.06.004

    • Crossref
    • Search Google Scholar
    • Export Citation

  • Fort, R., & Quirk, J. (1995). Cross-subsidization, incentives, and outcomes in professional team sports leagues. Journal of Economic Literature, 33, 1265–1299.

    • Search Google Scholar
    • Export Citation

  • Friedland, R., & Alford, R.R. (1991). Bringing society back in: Symbols, practices, and institutional contradictions. In W.W. Powell & P.J. DiMaggio (Eds.), The new institutionalism in organizational analysis (pp. 232–263). Chicago, IL: University of Chicago Press.

    • Search Google Scholar
    • Export Citation

  • Greenwood, R., & Hinings, C.R. (1996). Understanding radical organizational change: Bringing together the old and the new institutionalism. Academy of Management Review, 21, 1022–1054.

    • Crossref
    • Search Google Scholar
    • Export Citation

  • Greenwood, R., Oliver, C., Sahlin-Andersson, K., & Suddaby, R. (Eds.). (2008). Handbook of organizational institutionalism (pp. 106–122, 520–525). Thousand Oaks, CA: SAGE.

    • Search Google Scholar
    • Export Citation

  • Groothuis, P.A., Hill, J.R., & Perri, T. (2009). The dilemma of choosing talent: Michael Jordans are hard to find. Applied Economics, 41, 3193–3198. doi:10.1080/00036840701564459

    • Crossref
    • Search Google Scholar
    • Export Citation

  • Hoffman, A.J. (1999). Institutional evolution and change: Environmentalism and the U.S. chemical industry. Academy of Management Journal, 42, 351–371. doi:10.2307/257008

    • Search Google Scholar
    • Export Citation

  • Hoffman, A.J., & Ocasio, W. (2001). Not all events are attended equally: Toward a middle-range theory of industry attention to external events. Organization Science, 12, 414–434. doi:10.1287/orsc.12.4.414.10639

    • Crossref
    • Search Google Scholar
    • Export Citation

  • Kahneman, D., & Tversky, A. (1979). Prospect theory: An analysis of decision under risk. Econometrica, 47, 263–292. doi:10.2307/1914185

  • Kikulis, L.M. (2000). Continuity and change in governance and decision making in national sport organizations: Institutional explanations. Journal of Sport Management, 14, 293–320. doi:10.1123/jsm.14.4.293

    • Crossref
    • Search Google Scholar
    • Export Citation

  • Knowles, G., Sherony, K., & Haupert, M. (1992). The demand for Major League Baseball: A test of the uncertainty of outcome hypothesis. The American Economist, 36, 72–80. doi:10.1177/056943459203600210

    • Crossref
    • Search Google Scholar
    • Export Citation

  • Lawrence, T.B., & Suddaby, R. (2006). Institutions and institutional work. In S.R. Clegg, C. Hardy, T.B. Lawrence, & W.R. Nord (Eds.), Handbook of organization studies (pp. 215–254). Thousand Oaks, CA: SAGE.

    • Crossref
    • Search Google Scholar
    • Export Citation

  • Lounsbury, M. (2007). A tale of two cities: Competing logics and practice variation in the professionalization of mutual funds. Academy of Management Journal, 50, 289–307. doi:10.5465/AMJ.2007.24634436

    • Crossref
    • Search Google Scholar
    • Export Citation

  • Marquis, C., & Lounsbury, M. (2007). Vive la resistance: Competing logics and the consolidation of U.S. community banking. Academy of Management Journal, 50, 799–820. doi:10.5465/AMJ.2007.26279172

    • Crossref
    • Search Google Scholar
    • Export Citation

  • Maxcy, J., & Mondello, M. (2006). The impact of free agency on competitive balance in North American professional team sports leagues. Journal of Sport Management, 20, 345–365. doi:10.1123/jsm.20.3.345

    • Crossref
    • Search Google Scholar
    • Export Citation

  • Maxcy, J.G. (2002). Rethinking restrictions on player mobility in Major League Baseball. Contemporary Economic Policy, 20, 145–159. doi:10.1093/cep/20.2.145

    • Crossref
    • Search Google Scholar
    • Export Citation

  • Meyer, J.W., & Rowan, B. (1977). Institutionalized organizations: Formal structure as myth and ceremony. American Journal of Sociology, 83, 340–363. doi:10.1086/226550

    • Crossref
    • Search Google Scholar
    • Export Citation

  • Micelotta, E.R., & Washington, M. (2013). Institutions and maintenance: The repair work of Italian professions. Organization Science, 34, 1137–1170. doi:10.1177/0170840613492075

    • Crossref
    • Search Google Scholar
    • Export Citation

  • Mills, B.M., & Salaga, S. (2015). Historical time series perspectives on competitive balance in NCAA Division 1 basketball. Journal of Sports Economics, 16, 614–646. doi:10.1177/1527002515580925

    • Crossref
    • Search Google Scholar
    • Export Citation

  • O’Brien, D., & Slack, T. (2004). The emergence of a professional logic in English Rugby Union: The role of isomorphic and diffusion processes. Journal of Sport Management, 18, 13–39. doi:10.1123/jsm.18.1.13

    • Crossref
    • Search Google Scholar
    • Export Citation

  • Ocasio, W. (2011). Attention to attention. Organization Science, 22, 1286–1296. doi:10.1287/orsc.1100.0602

  • Oliver, C. (1991). Strategic responses to institutional processes. Academy of Management Review, 16(1), 145–179. doi:10.5465/AMR.1991.4279002

  • Pitts, J.D., & Evans, B. (2016). The role of conference externalities and other factors in determining the annual recruiting rankings of football bowl subdivision (FBS) teams. Applied Economics, 48, 3164–3174. doi:10.1080/00036846.2015.1136397

    • Crossref
    • Search Google Scholar
    • Export Citation

  • Rascher, D.A. (1999). A test of the optimal positive production network externality in Major League Baseball. In J. Fizel, E. Gustafson, & L. Hadley (Eds.), Sports economics: Current research (p. 130). Westport, CT: Praeger.

    • Search Google Scholar
    • Export Citation

  • Rottenberg, S. (1956). The baseball players’ labor market. Journal of Political Economy, 64, 242–258. doi:10.1086/257790

  • Salaga, S., & Fort, R. (2017). Structural change in competitive balance in big-time college football. Review of Industrial Organization, 50(1), 27–41. doi:10.1007/s11151-016-9526-z

    • Crossref
    • Search Google Scholar
    • Export Citation

  • Schmidt, M.B., & Berri, D.J. (2003). On the evolution of competitive balance: The impact of an increasing global search. Economic Inquiry, 41, 692–704. doi:10.1093/ei/cbg037

    • Crossref
    • Search Google Scholar
    • Export Citation

  • Selznick, P. (1996). Institutionalism “old” and “new.” Administrative Science Quarterly, 41, 270–277. doi:10.2307/2393719

  • Silk, M.L., & Amis, J. (2000). Institutional pressures and the production of televised sport. Journal of Sport Management, 14, 267–292. doi:10.1123/jsm.14.4.267

    • Crossref
    • Search Google Scholar
    • Export Citation

  • Thornton, P.H. (2002). The rise of the corporation in a craft industry: Conflict and conformity in institutional logics. Academy of Management Journal, 45(1) 81–101. doi:10.2307/3069286

    • Search Google Scholar
    • Export Citation

  • Thornton, P.H., Jones, C., & Kury, K. (2005). Institutional logics and institutional change in organizations: Transformation in accounting, architecture, and publishing. In C. Jones & P.H. Thornton (Eds.), Research in the Sociology Organizations: Vol. 23. Transformation in cultural industries (pp. 125–170). Bingley, UK: Emerald Group Publishing Limited.

    • Crossref
    • Search Google Scholar
    • Export Citation

  • Thornton, P.H., & Ocasio, W. (1999). Institutional logics and the historical contingency of power in organizations: Executive succession in the higher education publishing industry, 1958–1990. American Journal of Sociology, 105, 801–843. doi:10.1086/210361

    • Crossref
    • Search Google Scholar
    • Export Citation

  • Thornton, P.H., & Ocasio, W. (2008). Institutional logics. In R. Greenwood, C. Oliver, K. Sahlin-Andersson, & R. Suddaby (Eds.), Handbook of organizational institutionalism (pp. 99–122). Thousand Oaks, CA: SAGE.

    • Crossref
    • Search Google Scholar
    • Export Citation

  • Tracey, P., Phillips, N., & Jarvis, O. (2011). Bridging institutional entrepreneurship and the creation of new organizational forms: A multilevel model. Organization Science, 22, 60–80. doi:10.1287/orsc.1090.0522

    • Crossref
    • Search Google Scholar
    • Export Citation

  • Treme, J., Burrus, R., & Sherrick, B. (2011). The impact of recruiting on NCAA basketball success. Applied Economics Letters, 18, 795–798. doi:10.1080/13504851.2010.507171

    • Crossref
    • Search Google Scholar
    • Export Citation

  • Treme, J., & Burrus, R.T. (2016). NCAA basketball: When does recruiting talent translate into wins for power conferences? Journal of Economics and Finance, 40(4), 735–753. doi:10.1007/s12197-015-9323-9

    • Crossref
    • Search Google Scholar
    • Export Citation

  • van der Vegt, G.S., Essens, P., Wahlstrom, M., & George, G. (2015). Managing risk and resilience. Academy of Management Journal, 58, 971–980. doi:10.5465/amj.2015.4004

    • Crossref
    • Search Google Scholar
    • Export Citation

  • Wagner, A.K., Soumerai, S.B., Zhang, F., & Ross-Degnan, D. (2002). Segmented regression analysis of interrupted time series studies in medication use research. Journal of Clinical Pharmacy and Therapeutics, 27, 299–309. PubMed doi:10.1046/j.1365-2710.2002.00430.x

    • Crossref
    • Search Google Scholar
    • Export Citation

  • Washington, M., & Patterson, K.D.W. (2011). Hostile takeover or joint venture: Connections between institutional theory and sport management research. Sport Management Review, 14, A1–12. doi:10.1016/j.smr.2010.06.003

    • Crossref
    • Search Google Scholar
    • Export Citation

  • Washington, M., & Ventresca, M.J. (2004). How organizations change: The role of institutional support mechanisms in the incorporation of higher education visibility strategies, 1874–1995. Organization Science, 15, 82–97. doi:10.1287/orsc.1030.0057

    • Crossref
    • Search Google Scholar
    • Export Citation

  • Washington, M., & Zajac, E.J. (2005). Status evaluation and competition: Theory and evidence. Academy of Management Journal, 48, 282–296. doi:10.5465/AMJ.2005.16928408

    • Crossref
    • Search Google Scholar
    • Export Citation

  • Zietsma, C., Groenewegen, P., Logue, D., & Hinings, C.R. (2017). Field or fields? Building the scaffolding for cumulation of research on institutional fields. Academy of Management Annals, 11(1), 391–450.

    • Crossref
    • Search Google Scholar
    • Export Citation
All Time Past Year Past 30 Days
Abstract Views 2942 498 27
Full Text Views 218 34 11
PDF Downloads 88 14 0