SMGT 506 Economics and Financial Management of Sport

The theory and practice of corporate finance in a context of micro and macro economic principles are essential elements of strategic financial management. The sport enterprise is a multi-billion dollar industry, thus requiring sound financial guidelines and principles for a sport company or organization to maneuver with prosperity through the marketplace. Since financing is the source by which any sport company or organization functions, it is imperative that students understand and apply key concepts to the financial decision-making process. This enables the company to maintain success.

Textbook readings and presentations

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Course Requirements Checklist

After reading the Syllabus and Student Expectations, the student will complete the related checklist found in the Course Overview. 

Discussions (4)

Discussions are collaborative learning experiences. Therefore, the student is required to provide a thread in response to the provided prompt. The Discussions in this course are completed over the course of 2 modules. In the first module that the discussion is assigned, the student must post a 400-word thread in response to the prompt provided. In the following module, the student must post 2 replies of at least 200 words each to his/her classmates’ threads. For each thread, he/she must support his/her assertions with at least 2 citations in current APA format. Each reply must incorporate at least 1 citation. Acceptable sources include peer-reviewed academic journals, trade journals (Sport Business Journal/Sport Business Daily, Athletic Business, Sport Business International), Forbes, Fortune, blogs by established sport business journalists, newspapers, and case examples from sport business texts (but not from the course text or existing course materials). Students should seek out information external to the course materials.

Sports Authority Case Study

After reading chapter one of the text, the student will conduct further background research on The Sports Authority (TSA) bankruptcy case. Then, the students will be required to address directed questions. Their answers must cover at least three pages and will require students to support their answers with external resources.

Florida Fitness Club Case Study

After reading the Florida Fitness Club case study and Chapter 9 in the text, the students will review the budgets and statements in the case study. Then, students will be required to address directed questions. Their answers must cover at least three pages and will require students to support their answers with external resources.

Peloton Crisis Management Case Study

After reading the Peloton Crisis Management case study and Chapter 14, the case, students will be required to address directed questions. Their answers must cover at least three pages and will require students to support their answers with external resources.

College Sports Revenue and Expenses Assignment

For the College Sports Revenue and Expenses Assignment, students will use the Knight Newhouse College Athletic Database to research official financial reports from NCAA Division I public universities. Students will select one university and provide a short executive summary of the core operational elements of its athletic department- the main revenues and expenses- and comment on any recent or anticipated changes and trends in revenues and expenses. The assignment submission must be at least three pages long and will require the student seek additional external support.

Capital Budgeting Decision Making Rules Assignment

Students will be given a spreadsheet with the projected revenue and expenses for a capital project along with additional related information and data. Students will interpret the spreadsheet data and apply multiple capital budgeting decision making rules to address short-answer questions provided. The assignment submission must be at least two pages long.

Ratio Analysis Assignment

For the Ratio Analysis Assignment, students will look at publicly available official financial statements. Based on these statements, students will provide, quantify and compare the positions of two sport-related companies in terms of liquidity, activity, financial leverage, and profitability. Assignment submissions must be approximately 2-3 pages long and will require the student to support their work with external sources. 

Quizzes (3)

The student will be required to complete three quizzes over the duration of this course. Each quiz will cover the Reading & Study material designated. Each quiz will be open-book/open-note and contain 20 multiple-choice, true/false, or fill-in-the-blank questions. Each quiz will have a 1-hour and 20 minute time limit.