Revista Intercontinental de Gestão Desportiva - RIGD (Intercontinental Journal of Sport Management) ISSN 2237-3373
https://app.periodikos.com.br/journal/rigd/article/doi/10.51995/2237-3373.v12i1e110033

Revista Intercontinental de Gestão Desportiva - RIGD (Intercontinental Journal of Sport Management) ISSN 2237-3373

Original Article

Kick and rush or valuing strategic factors in the recovery of success and financial wealth of professional football clubs

Marco Arraya

Downloads: 5
Views: 340

Abstract

This investigation analyzes four strategic factors – leadership, human capital, value creation, and distinctive capabilities system – influencing professional football clubs' sporting success and financial wealth. We developed two models during the investigation. The first model focuses on the four factors per se of sporting success and financial wealth, and the second model focuses on the multidimensional construct “INPUTS”. This latent factor aggregates the four distinct ones relating to the factors as a single concept. The results show that (i) only the leadership and the system of distinctive capabilities per se influence the “OUTPUTS”; and (ii) “INPUTS” have a strong influence on “OUTPUTS”, more significant than the sum of the four factors. The differential of this investigation is the conclusions related to the “INPUTS”, since the four factors are closely interconnected and, when treated as a single concept, a door is opened to capture transitory competitive opportunities and advantages through an innovation behavior. Customer and human capital centric. Furthermore, we also confirm that the distinctive capabilities system is the transmission shaft between innovation behavior and “OUTPUTS”. We did a cross-sectional survey to collect the perceptions of Portuguese football coaches. In addition, a quantitative study was used in the treatment of data, including PLS-SEM.

Keywords

Strategic Value, Value creation, Capabilities, Human capital, Leadership, Performance.

References

Agostinho, M. E. (2003). Complexidade e organizações: em busca da gestão autónoma. São Paulo: Atlas.

Albertini, E. (2016). An inductive typology of the interrelations between different components of intellectual capital. Management Decison, 54(4), 887–901.

Anand, B. and Khanna, T. (2000). Do firms learn to create value? The case of aliances. Strategic Management Journal, 21, 295–315.

Arraya, M. (2016). Uma proposta de sistema de medição de desempenho para a organização desportiva. Revista Intercontinental Gestão Desportiva, 6(3), 288–320.

Arraya, M. (2021). The distinctive capabilities system in the organizational performance of Portuguese fitness centers and gyms. Revista Intercontinental de Gestão Desportiva, 11, e10002.

Audas, R., S. Dobson, and J. Goddard. (2002). The impact of managerial change on team performance in professional sports. Journal of Economics and Business, 54(6), 633–650.

Avci, U., Madanoglu, M., and Okumus, F. (2011). Strategic orientation and performance of tourism firms: Evidence from a developing country. Tourism Management, 32, 147-157.

Baden-Fuller, C. and Haefliger, S. (2013). Business models and technological innovations. Long-Range Planning, 46(6), 419–426.

Baquero Pecino, C. and Sánchez Santa-Bárbara, E. (2000). Análisis de la fiabilidad del lead (descripción de la efectividad y adaptabilidad del líder). Anales de Psicología, 16(2), 167-175.

Barney, J. B. (2001). Resource-based theories of competitive advantage: A ten-year retrospective on the resource-based view. Journal Of Management, 27(6), 643-650.

Bassi, L. and McMurrer, D. (2007). Maximizing Your Return on People. Harvard Business Review, 85(3), 115-123.

Brady, C., Bolchover, D., & Sturgess, B. (2008). Managing in the Talent Economy: The Football Model for Business. California Management Review, 50(4), 54–73.

Brandenburger, A. M. and Stuart H. W. (1996). Value-based business strategy. Journal of Economics and Management Strategy, 5(1), 5–24.

Burns, A. C. and Bush, R. F. (1998). Marketing Research. 2ª ed., New Jersey: Prentice Hall. 

Casadesus-Masanell, R. and Ricart, J. E. (2010). From Strategy to Business Models and onto Tactics. Long Range Planning, 43(2–3), 195-215.

Chamorro-Premuzic, T. and Kirschner, J. (2020). How the Best Managers Identify and Develop Talent. Harvard Business Review Digital Articles, January.

Chesbrough, H., Vanhaverbeke, W., and West, J. (2006). Open Innovation: Researching a New Paradigm. Oxford University Press.

Churchill, G. A. and Nielsen, Arthur C. (1995). Marketing Research Methodological Foundations. 6ª ed., United States of América: Elm Street Publishing Services, Inc. 

Collins, J. C. (2001). Good to Great: Why Some Companies Make the Leap ... and Others Don't. New York, NY: HarperBusiness.

Coughlan, A. T. (2007). Marketing Channels. Pearson Education, New York.

Daniel, D. R. (1961). Management information crisis. Harvard Business Review, September–October, 111–121.

Deloitte. (2021). Annual Review of Football Finance’ report -Testing Times. Deloitee Sports Business Group.

Drakulevski, L., and Nakov, L. (2014). Managing Business Model as Function of Organisational Dynamism. Management. Journal for Theory and Practice Management, 19, 37-44.

Durstewitz, I. (2019, July 25). Eintracht Frankfurt - Die Eintracht putzt sich raus. Frankfurter Rundschau. https://www.fr.de/eintracht-frankfurt/eintracht-putztsich-raus-10999045.html

Dweck, C. S. (2016). Mindset: the new psychology of success. New York Ballantine Books.

Edvinsson, L. and Malone, M. S. (1997). Intellectual Capital: Realizing Your Company’s True Value by Finding Its Hidden Brainpower. HarperBusiness, New York, NY.

Eisenhardt, K. M. and Martin, J. A. (2000). Dynamic capabilities: What are they?. Strategic Management Journal, 21, 1105–21.

Esposito Vinzi, V., Chin, W. W., Henseler, J., and Wang, H. (2010). Handbook of Partial Least Squares: Concepts, Methods and Applications. 1st edition, Springer.

Fainshmidt, S.; Wenger, L.; Pezeshkan, A.; and Mallon, M. R. (2018). When do Dynamic Capabilities Lead to Competitive Advantage? The Importance of Strategic Fit. Journal of Management Studies, 56(4), 758-787.

Faul, F., Erdfelder, E., Buchner, A. and Lang, A. G. (2009). Statistical power analyses using G*Power 3.1: Tests for correlation and regression analyses. Behavior Research Methods, 41(4), 1149-1160.

Fleury, A. and Fleury, M. T. (2003). Competitive strategies and core competencies: Perspectives for the internationalization of industry in Brazil. Integrated Manufacturing Systems, 14(1), 16-25.

Fornell, C. and Larcker, D. F. (1981). Evaluating structural equation models with unobservable variables and measurement error. Journal of Marketing Research, 18(1), 39–50.

Friedman L. G. (2002). Go To Market Strategy, Advanced Techniques And Tools For Selling More Products, To More Customers, More Profitably. Chapter 3 - Go-to market strategy: Targeting the right markets, 72-111, Elsevier Inc. All.

Gallagher, D., O’Connor, C. & Gilmore, A. (2016). An exploratory examination of the strategic direction of the Gaelic Athletic Association via the application of sports marketing segmentation bases. Marketing Intelligence & Planning, 34(2), 203-222. 

Garavan, T. N., Morley, M., Gunnigle, P., and Collins, E. (2001). Human capital accumulation: the role of human resource development. Journal of European Industrial Training, 25(2/3/4), 48-68.

Goldin, C. (2014). Human Capital, In Handbook of Cliometrics, Claude Diebolt and Michael Haupert, eds. Heidelberg: Springer-Verlag.

Guzmán-Raja, I., & Guzmán-Raja, M. (2021). Measuring the Efficiency of Football Clubs Using Data Envelopment Analysis: Empirical Evidence from Spanish Professional Football. SAGE Open.

Hair, J. F., Bush, R. P., and Ortinau, D. J. (2003). Marketing Research: Within a Changin Information Environment. 2ªed., New York: MacGraw-Hill. 

Hamel, G. and Prahalad, C. K. (1994). Competing for the Future. Harvard Business School Press, Boston, MA.

Hammerschmidt, J., Durst, S., Kraus, S., & Puumalainen, K. (2021). Professional football clubs and empirical evidence from the COVID-19 crisis: Time for sport entrepreneurship? Technological Forecasting and Social Change, 165.

Helfat, C. E. and Peteraf, M. A. (2003). The dynamic resource‐based view: capability lifecycles, Strategic Management Journal, 24(10), 997-1010.

Henseler, J. and Sarstedt, M. (2013). Goodness-of-fit indices for partial least squares path modeling. Computational Statistics, 28(2), 565–580.

Imbroda-Ortiz, J., Castillo-Rodríguez, A., and Chinchilla-Minguet, J. L. (2015). Sports Management, Leadership in the Organisation. Journal of Physical Education and Sports Management, 2(2), 56-65.

Kaplan, R. S. and Norton, D. P. (2004). Strategy Maps: Converting Intangible Assets into Tangible Outcomes. Cambridge: Harvard Business School Press. 

Kruse, K. (2019). Great Leaders Have No Rules: Contrarian Leadership Principles to Transform Your Team and Business. Rodale Books, New York.

Kuper, S. (2021). How the best soccer team in the world lost its luster. Strategy & Business, October 6, retrieved from https://www.strategy-business.com/article/How-the-best-soccer-team-in-the-world-lost-its-luster?utm_source=itw&utm_medium=itw20211007&utm_campaign=resp

Law, K. S., Wong, C.-S., and Mobley, W. H. (1998). Toward a taxonomy of multidimensional constructs”, Academy of Management Review, 23, 741-755.

Leinwand, P. and Mainardi, C. (2011). The Essential Advantage: How to Win with Capabilities-Driven Strategy. Harvard Business Review Press, Boston, Massachusetts.

Magretta, J. (2002). Why Business Models Matter. Harvard Business Review, 80(5), 86-92. 

Maguire, K. (2021). Covid-19 and Football: Crisis Creates Opportunity. The Political Quarterly, 92(1), 132-138.

McGrath, R. G. (2019). Seeing Around Corners: How to Spot Inflection Points in Business Before They Happen. Houghton Mifflin Harcourt Publishing Company, New York.

McPhee, W. and Wheeler, D. (2006). Making the case for the added-value chain”, Strategy and Leadership, 34(4), 39–46.

Miragaia, D. A. M., Ferreira, J., Carvalho, A., and Ratten, V. (2019). Interactions between financial efficiency and sports performance: Data for a sustainable entrepreneurial approach of European professional football clubs. Journal of Entrepreneurship and Public Policy, 8(1), 84-102. 

Nagy, Z. (2012). Finances of the professional football enterprises. DANUBE: Law and Economics Review, 1(1), 53-69.

Nielsen, C., and Lund, M. (2018). Building Scalable Business Models. MIT Sloan Management Review, 59(2), 65-69.

Nielson Sports. (2018). World Football Report, The Nielson Company.

Nilsson, S. (2010). Enhancing individual employability: the perspective of engineering graduates. Education + Training, 52(6/7), 540–551.

Nunnally, J. C. (1978). Psychometric Theory. McGraw-Hill, New York.

O`Reilly, C., Caldwell, D., Chatman, J., Lapiz, M. and Self, W. (2010). How leadership matters: The effects of leaders alignment on strategy implementation. The Leadership Quartely, 21(1), 104-113.

Oberholzer-Gee, F. (2021) Eliminate Strategic Overload - How to select fewer initiatives with greater impact. Harvard Business Review, 99(3), 88-97.

Osterwalder, A. and Pigneur, Y. (2010). Business Model Generation Hoboken. New Jersey, John Wiley and Sons, Inc. 

Peng, Q., Skinner, J., and Houlihan, B. (2019). An analysis of the Chinese Football Reform of 2015: why then and not earlier? International Journal of Sport Policy and Politics, 11(1), 1–18.

Pfeffer, J. (1994). Competitive Advantage through People Unleashing the Power of the Workforce. Harvard Business School Press, Boston.

Podsakoff, P., MacKenzie, S., Lee, J., and Podsakoff, N. (2003). Common method biases in behavioral research: A critical review of the literature and recommended remedies. Journal of Applied Psychology, 88(5), 879–903.

Raravi, P., Bagodi, V., and Mench, R. G. (2013). Critical Success Factors: Service Industries. SCMS Journal of Indian Management, 10(1), 1000-1007.

Rego, A., Cunha, M. P. and Polónia, D. (2017). Corporate Sustainability: A View from the Top. Journal of Business Ethics, 143(1), 133–157.

Rockart, J. F. (1979), Chief executives define their own data needs, Harvard Business Review, March–April, 22–24.

Schroeder, R, Bates, K, and Junttila, M, (2002). Resource-Based view of manufacturing strategy and their relationship to manufacturing performance. Strategic Management Journal, 23, 105-117.

Schyns, B., Gilmore, S., and Dietz, G. (2016). What lesson can we learn from football about leadership and management? In: Peus, Claudia, Braun, Susanne and Schyns, Birgit eds. Leadership Lessons from Compelling Contexts. Monographs in leadership and management., Bingley: Emerald Publishing, 95-128.

Serhan, Y. N. A., Julian, C. C. and Ahmed, Z. (2015). Time-based competence and performance: an empirical analysis. Journal of Small Business and Enterprise Development, 22(2), 288-301.

Sheehan, N. T. and Bruni-Bossio, V. (2015). Strategic value curve analysis: Diagnosing and improving customer value propositions. Business Horizons, 58(3), 317–324.

Singh, D., Oberoi, J. S., and Ahuja, I. S. (2013). An empirical investigation of dynamic capabilities in managing strategic flexibility in manufacturing organisations. Management Decision, 1(7), 1442-1446.

Skrinjar, R., Bosilj-Vuksic, V., and Stemberger, M. I. (2008). The impact of business process orientation on financial and non-financial performance. Business Process Management Journal, 14(5), 738–754.

Smith, K. (2017). The hidden reasons why customers buy your products. Inc., Jun 9, https://www.inc.com/katlin-smith/what-the-amazon-era-gets-wrong-about-consumer-shoppers.html Accessed October 15, 2021.

Solomon, M. R. (2010). Consumer behaviour: a European perspective. Pearson education.

Soriano, F. (2009). La pelota no entra por azar – ideas de management desde el mundo del fútbol. Barcelona, El Lector Universal.

Sota, S., Chaudhry, H., Chamaria, A. and Chauhan, A. (2018). Customer Relationship Management Research from 2007 to 2016: An Academic Literature Review. Journal of Relationship Marketing, 17(4), 277-291.

Sterling, Peter (2012). Allostasis: A model of predictive regulation. Physiology & Behavior, 106(1), 5–15.

Teece, D. J. (2018). Business models and dynamic capabilities. Long Range Planning, 51(1), 40-49.

Teece, D. J. (2018b). Dynamic capabilities as (workable) management systems theory. Journal of Management and Organisation, 24(3), 359-368.

Tovstiga, G. (2010). Strategy in Practice: A Practitioner’s Guide to Strategic Thinking. Chichester, John Wiley and Sons. 

Truong, Y. and McColl, R. (2011). Intrinsic motivations, self-esteem, and luxury. goods consumption. Journal of Retailing and Consumer Services, 18(6), 555-561.

Vasconcellos e Sá, J. A. S. (1997). Os senhores da guerra. Bertrand Editora, Venda Nova, Portugal.

Velada, R. (2007). Avaliação da eficácia da formação profissional: factores que afectam a transferência da formação para o local de trabalho. Tese de Doutoramento em Psicologia Social e Organizacional, no Instituto Superior de Ciências do Trabalho e da Empresa (ISCTE), na área do Comportamento Organizacional.

Zenger, T. (2013). What Is the Theory of Your Firm? Harvard Business Review, 91(6), 72–78. 

Zott, C. and Amit. R. (2010). Business model design: An activity system perspective”, Long-Range Planning, 43(2–3), 216–226.

Zott, C., Amit, R. and Massa, L. (2011). The business model: Recent developments and future research. Journal of Management, 37, 1019–1042.


Submitted date:
10/06/2021

Accepted date:
12/03/2021

6241bf71a953956c487097e3 rigd Articles
Links & Downloads

RIGD

Share this page
Page Sections