Economic development of sports clubs in the years 2006 - 2014 in the United Kingdom in context with the economic cycle

The main aim of this thesis is to verify whether the economic cycles have an impact on the economic situation of professional football clubs in the United Kingdom. The reference period are the years 2006 to 2014, which include the recent economic crisis. In the theoretical part, sports club are defined as a firm in accordance with behavioral theory which was selected as the most suitable. Analyzed are the specifics of functioning of sports clubs, such as the method of determining the club's goals. These are among sports clubs, unlike conventional businesses, based on the principle of utility maximization. Furthermore, sporting markets are described, and considered a sports cartel. Described are also different ways of financing of sports clubs, and as the most important nowadays are chosen: gate receipts, broadcasting revenues and sponsorship. As the part of the thesis, the substantial positive effects of analyzed Premier League on the British society is described. These include big tax revenues for the government of United Kingdom. In the 2013, those tax revenues reached 1.3 billion pounds. The practical part of the thesis characterizes Premier League, and subsequently also the selected football clubs, and especially their economic development in the reference period. The data obtained are then coupled with the economic development of United Kingdom. Data reveal that neither club revenues, nor expenses were affected by the economic crisis. Similarly, there was not registered any effect of the crisis on the wages of the clubs employees, nor on the number of staff employed by the clubs.