Post by Tim_GiantsGM on Nov 7, 2015 20:32:57 GMT -5
Before digging into results and examples associated with individual teams, let's examine three cuts at summary results.
1. Won-Lost Record >> Budget Impact
Several of us have speculated that owners usually reward winning with budget increases. From an owner's perspective, it seems reasonable to expect this to happen.
The first chart summarizes budget changes for the new season by two primary categories: a) teams winning 81 or more games; and b) teams winning 80 or fewer games.
Of the 155 teams that won at least 81 games, 76% were rewarded with budget increases for the next season while 71% of the teams with losing records were penalized by the owners via budget reductions. Teams with winning records may be hit with a budget reduction and teams with losing records see their budgets increase.
2. Season Profit/Loss >> Budget Impact
Several of us also have speculated that owners usually reward profitable seasons with budget increases. Again, from an owner's perspective this makes sense.
The second chart summarizes budget changes for the new season by profitability: a) teams posting a profit; and b) teams losing money.
Of the 243 teams that generated a profit, 59% were rewarded with budget increases while a significant percentage, 35%, were presented with budget decreases for the next season. Teams with losing records can expect to be penalized with a budget reduction approximately 77% of the time.
3. Won-Lost Record and Season Profit/Loss >> Budget Impact
The third chart summarizes budget changes for the new season resulting from various combinations of won-lost record and season profit/loss.
Of the 141 teams that both won at least 81 games AND generated a profit, 80% were rewarded with a increased budgets for the next season. Teams with losing records can expect to face budget reductions whether generating a profit or incurring a loss, 64% and 88% respectively.
General Conclusions
It seems that in the majority of instances the results confirm our expectations. Owners usually reward winning and profits with budget increases. However, approximately 1/3 of teams generating a profit may be hit with a budget reduction. Also, a significant number of profitable teams with losing records may see their budgets increase for the next season. Additional factors must be working into the mix.
On Deck
Next I will drill down to the individual team level. Primarily I will focus on increases/decreases in budgets of at least $20m.
1. Won-Lost Record >> Budget Impact
Several of us have speculated that owners usually reward winning with budget increases. From an owner's perspective, it seems reasonable to expect this to happen.
The first chart summarizes budget changes for the new season by two primary categories: a) teams winning 81 or more games; and b) teams winning 80 or fewer games.
Of the 155 teams that won at least 81 games, 76% were rewarded with budget increases for the next season while 71% of the teams with losing records were penalized by the owners via budget reductions. Teams with winning records may be hit with a budget reduction and teams with losing records see their budgets increase.
2. Season Profit/Loss >> Budget Impact
Several of us also have speculated that owners usually reward profitable seasons with budget increases. Again, from an owner's perspective this makes sense.
The second chart summarizes budget changes for the new season by profitability: a) teams posting a profit; and b) teams losing money.
Of the 243 teams that generated a profit, 59% were rewarded with budget increases while a significant percentage, 35%, were presented with budget decreases for the next season. Teams with losing records can expect to be penalized with a budget reduction approximately 77% of the time.
3. Won-Lost Record and Season Profit/Loss >> Budget Impact
The third chart summarizes budget changes for the new season resulting from various combinations of won-lost record and season profit/loss.
Of the 141 teams that both won at least 81 games AND generated a profit, 80% were rewarded with a increased budgets for the next season. Teams with losing records can expect to face budget reductions whether generating a profit or incurring a loss, 64% and 88% respectively.
General Conclusions
It seems that in the majority of instances the results confirm our expectations. Owners usually reward winning and profits with budget increases. However, approximately 1/3 of teams generating a profit may be hit with a budget reduction. Also, a significant number of profitable teams with losing records may see their budgets increase for the next season. Additional factors must be working into the mix.
On Deck
Next I will drill down to the individual team level. Primarily I will focus on increases/decreases in budgets of at least $20m.