Document Type

Capstone Project

Publication Date

5-20-2025

Publication Title

UNLV Undergraduate Economics Working Paper Series

Publisher

University of Nevada, Las Vegas

Publisher Location

Las Vegas (Nev.)

Volume

2

Issue

1

First page number:

1

Last page number:

17

Abstract

This study dives into the financial and sport factors that impact team market value and revenue. This study's results confirm that star players significantly enhance team value, with NBA Superstars adding nearly $500 million annually. This study discovered the prominence of a Principal-Agent Problem between star players and NBA front offices over the issue of championship pursuit. The analysis also identifies an optimal style of play for revenue generation, but that could oppose longer-term team value. These findings have critical implications for NBA front offices, owners, and coaching staffs.

Keywords

NBA; Team Value; Star Players; Sports Economics; Principal-Agent Problem

Disciplines

Economics | Sports Management | Sports Studies

File Format

PDF

File Size

514 KB

Language

English

Rights

IN COPYRIGHT. For more information about this rights statement, please visit http://rightsstatements.org/vocab/InC/1.0/

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