ty of medium-market teams?
3. Will the marketing of luxury box facilities in the NHL enhance the financial stability of large-market teams?
4. Will the marketing of luxury box facilities in the NHL decrease the probability of franchise moves from one market to another market?
The purpose of the proposed research study will be to develop a base of information that will lead to a determination of the value to the sports consumer of marketing concepts such as luxury box facilities. Should the proposed study find that the luxury box concept likely will enhance financial stability of franchises, thereby stabilizing market locations, the luxury box concept may be deemed to be of value to the sports consumer. In the absence of such a finding, however, the luxury box concept may well be deemed as just one more strategy to transfer funds from the sports consumer to franchise owners and players without providing any added value to the sports consumer.
A luxury box is a facility located within an arena that affords special accommodations and amenities to sports consumers while viewing the game. Such boxes average about 640 square feet in size, and offer kitchen facilities, private restrooms, luxury seating, private bar service, and a host of other amenities.
Defining the terms small market, medium market, and large market tends to be both difficult and controversial, as the criteria typically applied in making such classifications are related more to revenue generation of one form or another, as opposed to more easily identified population measures. For purposes of the proposed research, revenues generated through local market television and radio contracts will provide the basis for making small market, medium market, and large market classifications of the NHL franchises. The definitions of the three market classific
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