A LOSING GAME
NBA VS BUSINESS
HOW CAN THE NBA LOCKOUT AFFECT BUSINESSES?
NBA coaches and players are deadlocked and time is ticking on the NBA Commissioner's deadline for players to accept the latest contract from owners. The 66th NBA season was slated to start on November 1. The
first 2 weeks of the season have already been cancelled and with tensions flaring, more games are in jeopardy. Players and team owners are not the only ones who will suffer: small business and local economies will bear the
brunt of the lockout.
WHICH PLAYER STAND TO LOSE THE MOST?
As of October 25,an estimated 400 NBA jobs have been lost due to lockout related lay outs. approximately 200 in the leagues office and 200 positions in the 30 teams.
Kobe Bryant 24 lakers $1.9 million
Rashard Lewis 9 wizards
Tim Duncan 21spurs $1.6million
Kevin Garnett 5CELTICS $1.6million
GILBERT ARENAS 1MAGIC $1.5Million
HARDEST HIT CITIES
According to The Atlantic, some towns may be more impacted by the lockout than others.In these cities, NBA games are the primary sports attraction, serving as important economic engines generating local revenue.
BUSINESS FEEL THE PINCH
SHOES AND APPAREL
Decreased Exposure Leads to Fewer Shoe Sales
$500 million:Potential loss in basketball shoe sales dut to NBA Lockouts.
That’s 20percent of the current $2 billion basketball sneaker market,which include big brands such as nike.
$125 to $150 million: Estimated amount that adidas the official outfitter of the NBA stands to lose in sales of licensed NBA merchandise.
Local food and advertisement
"We live for the Jazz season. That's our biggest time of year." —Mike Katsanevas, owner of Crown Burgers, a restaurant located near the Energy Solutions Arena, home of the Utah Jazz.
Katseanevas estimate that a cancelled NBA season would cause him to lose 25% to 30% of his revenue
Disney and Time Warner— which both own networks where NBA games are broadcast—would combine $1.25billion in potential and revenue. If the whole season was nixed.
For a 30-second ad spot during the NBA Finals ABC could miss out on up to $400 million.