The role of residents in the calculation of economic impact remains a point of contention. It is unclear if changes in resident spending caused by an event contribute positively, negatively, or not at all. Building on previous theory, we develop a comprehensive model that explains all 72 possible behaviors of residents based on changes in (a) spending, (b) multiplier, (c) timing of expenditures, and (d) geographic location of spending. Applying the model to Super Bowl 50 indicates that few residents were affected and positive and negative effects were relatively equivalent; thus, their overall impact is negligible. This leaves practitioners the option to engage in the challenging process of gathering data on all four variables on all residents or to revert back to the old model of entirely excluding residents from economic impact. From a theoretical perspective, there is a pressing need to properly conceptualize the time variable in economic impact studies.
Nola Agha and Marijke Taks
Ricky Malott, Noah Jackson, William Strome, Joe Bisson and Nola Agha
Experience, LLC is a start-up company that sells in-game seat upgrades during live sporting events using text messaging and cell phone apps. From a user standpoint, a small upgrade fee results in better seats and a better game experience. From a venue or team standpoint, Experience fills unused inventory resulting in increased revenues and more satisfied fans with higher repurchase intentions. Experience is looking to expand its services beyond single-game upgrades to a full-season ticket that is based on filling open, but previously sold, inventory. This case illustrates the forces at play in the ticketing industry, describes the features of each service, and provides an opportunity to decide on the expansion strategy for a fast-growing start-up company.
Patrick Kealy, Yatin Shastri, Francisco Battistini, Tyler Durrell, Jeong Huh and Nola Agha
Bloomberg Sports uses sports analytics to create advanced decision tools for professional teams and fantasy sports users. Their success in both the business and consumer markets stems from vital partnerships with Major League Baseball Advanced Media (MLBAM), Yahoo!, ESPN, and CBSSports. In a period of increased domestic competition, Bloomberg Sports is searching for the most appropriate international growth strategy. This expansion effort recently was aided by a new joint venture with IMG. By analyzing the market, industry, competitors, and products, important decisions can be made to help Bloomberg Sports expand and grow.