Document Type

Thesis

Publication Date

1995

Disciplines

Business Administration, Management, and Operations

Advisor

Virginia Arthur

Abstract

This thesis contains solutions to two of the main issues currently facing baseball: the needs for revenue sharing and cost control. The basic premise behind the system of revenue sharing is that the product of baseball is a game. Therefore, both teams that play in the game should be equally compensated for their input. The issue of cost control is addressed by the creation of a salary cap. The cap would be set at a predetermined amount of revenues (total revenues minus other, non-payroll expenses) and all money designated under the cap would be paid to the players in the form of salaries. The instition of these proposals will also positively affect the relationship between owners and players. These propsals will cause the players and owners to work together to create a marketable and desirable product to sell to the fans. If this occurs, not only will baseball be able to face the future, the fans will come out as winners.

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