ECONOMIC ANALYSIS OF FOOTBALL GIANTS

Abstract

Football industry is one of the most determining sectors and traditionally the most important sector in Europe of sport economics. Among football enterprises Real Madrid and Manchester United are outstanding in the light of both sport and economic successes. In my research I focused on the economic analysis of these two clubs based on the UEFA report published in 2019 and on Deloitte’s „Football Money League” reports. Broadcasting and commercial revenues are a major determinant of top club’s revenues, so their operation as well which are the effects of the media and globalization. Furthermore the research highlights that revenues are unequally broken down amond participating teams in spanish „La Liga” and more equally in english „Premier League”. Globalization provides the right market for the football giants to sustain their benefits if they can make good use of their reputation and brand value built up over the years and they do not forget that not only economic but also sports performance plays a decisive role in the world of sport.