Quote:
Originally Posted by DanKreider
Toronto is actually the third largest market in MLB. The city/region itself alone, not including rest of Canada (as they are only operating MLB team in the Country).
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maybe relative to # of people, but i bet their revenues match up to whatever ootp defaults them at, or at least close-ish.
plus the canadiant dollar isn't as strong as the us dollar, and advertising revenue at the local level may not be the same either. lots of factors to normalize to pick out a market size...
it's not meant as a technical term from real life television industry. it's a summation of revenue potential for that region. #'s obviously strongly correlate.
maybe it is off... just show the RL income for the jays and work backward from there relative to ootp factors. (if that info is available)
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OP -- I'd put LAD and NYY as teh same market size. the only reason they really differ much is because of timing of contracts... a newly signed tv deal is always better than one signed 5 years ago. if not mistaken, they both own their local network?
even that is argueable... it all looks as reasonable as it did before. these things won't change in 1 single year. if you think there's a team out there that's clearly growing their revenues and such beyond recent history, that'd be a reason to revise.
----------- tangental, but why i say that is included below.
regardless, both teams can afford more than the MLB 'prefers' their teams to spend. you've heard the murmors of the MLB telling LA it can't spend that much or that it has to contract it's saleries.... that's not because they can't afford it.
all the teams can afford more. just figure whatever that team is paying in payroll is basically it's revenue... if there is a 50/50 CBA split -- which is far from the truth due to generally accepted accounting practices (GAAP). legal ways to hide revenue abound.
if a team can afford 300M they are probably pocketting nearly that same amount too. (on average, less so for an overspending LA market, which teh MLB does not like, becuaes the other 29 owners prefer to make profit than overspend on players -- from their perspective, not my opinion on overspending)
2 of the funiest things i heard in college at a lecture... first was in a psychology class -- they said "psychology is not a science of labels" .. .and then 15 weeks of learningn the science of labels, BWAHAHAH. (not that it dosn't have merit... just not so much yet... you should think of the science of psychology as reaching the point of putting leeches on people for bloodletting -- giant chemical experiment on children since the 80's in america... bwahaha totally unethical behaviour)
second, was in an accounting class where the professor said with a straight face that the average profit a corporations makes is ~10%... and then the whole semester you learn how that "10%" is only a fraction of the real total. mathematically it may be true, relative to the definition of "profit margin", but it's a total lie. anyone repeating it is repeating nonsense.
scale is difficult to understand when dealing with somethign the size and scope of the MLB. they know this lack of knowledge is prevalent and they take advantage of such based on how they talk and present their side of things over and over again on anything similar in nature.
if we could see their cash flows report, that'd give a better understanding of just how much money they make per year and what their market size "should be" if they only made 10%, BWAHAHA 10% still gets me laughing when that former cpa said that... what a joke!
any business only creeping by with 10% margin should just change industries or sell (excludes small businesses, bu tlikely most of those too). you either are in a dying market or one with so much competition that you actually have to be decent and respectable to your customers with regard to pricing. those are things to avoid for a business. those are reasosn to sell or adapt.
that's not business.. their goal isn't to be well-liked or do the right thing, lol. anecdolal exceptions aside, this is the prevalent culture of business.