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<p>This paper examines the interdependence of international success and budget concentration for sports clubs. More specifically, we apply the notion of the Herfindahl–Hirschman index to examine the effect of international rewards on distortion of budget concentration and financial opportunities for sports clubs. We establish a relationship between the size of rewards and its impact on the index, thus deriving conditions under which budget concentration increases or decreases. Our results yield interesting policy implications for the regulation of prize schemes in international competitions.</p>

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International rewards and budget concentration in domestic sports leagues

  • 期刊论文

  • 出版模式：

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  • 发表日期：

    2026年1月8日

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  • Juan D. Moreno-Ternero,
  • Tim Pawlowski,
  • Shlomo Weber

摘要

This paper examines the interdependence of international success and budget concentration for sports clubs. More specifically, we apply the notion of the Herfindahl–Hirschman index to examine the effect of international rewards on distortion of budget concentration and financial opportunities for sports clubs. We establish a relationship between the size of rewards and its impact on the index, thus deriving conditions under which budget concentration increases or decreases. Our results yield interesting policy implications for the regulation of prize schemes in international competitions.