August 2011
Intermediate to advanced
500 pages
17h 16m
English
Content preview from Sports Finance and Management
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60 ◾ Sports Finance and Management
Horizontal Integration
We have already noted that most major sports leagues prevent individuals from
owning multiple teams within a league, so perfect horizontal integration is not
really possible. Teams, however, do compete for fans with other franchises in their
area. If an individual owns more than one sports team that serves the same market
but dierent leagues, there is a level of horizontal integration. Spectator sports are
also a form of entertainment. Horizontal integration in the entertainment business
exists when a franchise owner incorporates the team into a set of other amusement
options. As described earlier, PSE, OE, and MSG are each examples of horizontal
integration. Cross-ownership of