Reignman wrote:I've said it many times but I'm ok with revenue sharing, I just don't think revenue sharing should be the back bone of a business.
If only 2 teams were losing money (like the NFL / combined $10 mil) then I'd agree that revenue sharing can fill the gap; however, that's not the case here, the books show 22 teams losing money. That's the sign of a broken business model.
You keep saying revenue sharing shouldn't be the backbone of a business, but then you always turn around and bring up the NFL. Guess what's the backbone of the NFL's current system? Huge revenue sharing. Guess what is currently going on in the NFL and was at the heart of the recent labour negotiation? Owners of wealthier teams are trying to fight revenue sharing to push teams who don't make as much money. Take away that revenue sharing and suddenly you've got lots of teams in the NFL losing money.
You also keep bringing up how 'the books' show 22 teams losing money. What books? Have you seen them? The owners claim there are 22 teams losing money and that the mysterious books prove that, but there is no explanation given to how and why and under what circumstances and we aren't going to see them any time soon. With increased revenue sharing comparable to the NFL, how many of those unsubstantiated 22 teams stop losing money?
You keep pushing for parity, but ultimately parity is a function of financials. It doesn't matter if you legislate the price of a product or the amount you can pay employees or anything like that, a big chain will inevitably outperform a one-off mom-and-pop shop if put into direct competition, on average. Bigger disparity in money means a bigger disparity competitively. The only way to bridge that gap is revenue sharing. If you don't want that, then you don't really want increased parity long-term.
You call revenue sharing a bandaid solution, but what do you foresee happening with increased revenue sharing? What does the NBA lose in revenue sharing that would hurt parity down the line?