Sports Incentives

The economic principle I examined was how sports teams creative incentives to get fans to buy merchandise and go to games. There are many examples of how this economic principle can be applied to the real world. While studying the incentives sports teams use, I found many examples of this principle. First, major sports leagues like the NBA do things like bring games to Mexico. This shows that they are wanting to expand to get a larger fan base for the league. They are also thinking about putting sports franchises in different countries. Second, people want to represent their favorite sports teams, city, and players. This demonstrates that people will pay large amounts of money to wear sports gear. Third, sports teams provide in game promotions or giveaways that attract fans. This means that fans think they are getting a good deal by buying tickets to an event when they pay to watch the game and the promotions and giveaways are bonuses that come along with it. Overall, you can see that there are many incentives for fans to buy merchandise and go to the sporting events.