The National Basketball The National Basketball AssociationAssociation

Presented by:Presented by:Ed Doran Ed Doran

Peter BernackiPeter BernackiBryan GeorgeBryan George

Michael QuerciaMichael Quercia

Birth & DevelopmentBirth & Development

Dr. James A. Dr. James A. Naismith creates Naismith creates game in 1891 game in 1891

Founded in 1946Founded in 1946 BAA and NBL unite BAA and NBL unite

to form NBAto form NBA 1963-1975 - 1963-1975 -

addition of 9 new addition of 9 new teamsteams

Corporate StructureCorporate Structure

Commissioner

Chief Operating Officer Chief Marketing Officer Chief Legal Officer

Assistant to Commissioner

Business InvestmentsBusiness Investments

In the NBA, In the NBA, acquisition of popular acquisition of popular players are a players are a business investmentbusiness investment

The more The more entertaining the entertaining the players, the more players, the more people pay to see people pay to see them!them!

Translates into $$ for Translates into $$ for the NBAthe NBA

Global Merchandising Global Merchandising GroupGroup

Deals directly Deals directly with apparel, with apparel, non-apparel, non-apparel, trading cards, trading cards, NBA Store, and NBA Store, and nba.com nba.com domestically and domestically and internationally.internationally.

Global Merchandising Global Merchandising GroupGroup

Creation of new Creation of new business opportunitiesbusiness opportunities

LotteriesLotteries WatchesWatches Mass marketMass market

Improving business Improving business processesprocesses

contractscontracts quality controlquality control business analysisbusiness analysis

Product LineProduct Line

Apparel itemsApparel items Hard Wood ClassicsHard Wood Classics

Throwback jerseys of Throwback jerseys of the 70s and 80sthe 70s and 80s

very popular in urban very popular in urban marketmarket

implemented overseas implemented overseas in Europe, Asia, and in Europe, Asia, and CanadaCanada

Casual shoesCasual shoes Spain and FranceSpain and France

Product LineProduct Line

NBA also markets NBA also markets video gamesvideo games

Aimed at childrenAimed at children NBA is everywhereNBA is everywhere

Product LineProduct Line

Non-apparelNon-apparel NBA player Bobble NBA player Bobble

headsheads often given out for free often given out for free

at basketball games as a at basketball games as a promotionpromotion

Partnership with LEGOPartnership with LEGO develop LEGO basketball develop LEGO basketball

courts and playerscourts and players aimed at a younger aimed at a younger

audienceaudience EyewearEyewear

different types of glasses different types of glasses and sunglassesand sunglasses

The Entertainment The Entertainment IndustryIndustry

The NBA is in the The NBA is in the entertainment marketentertainment market

Competitors include Competitors include other sporting events, other sporting events, other television/radio other television/radio programs, etc. (i.e. programs, etc. (i.e. anything in the anything in the entertainment entertainment industry)industry)

61%

39% White

Non-White

NBA Fans

70%

30% White

Non-White

NFL Fans

71%

29%

White

Non-White

MLB Fans NHL Fans

75%

25%

White

Non-White

Most Diverse Fan Base in Professional Sports

International Players on International Players on NBA Rosters (Opening NBA Rosters (Opening

Day)Day)

51

4

21

45

52

1946-47Season

1970-71Season

1980-81Season

1990-91Season

2000-01Season

2001-02Season

NBA InfluenceNBA Influence

Basketball Basketball appeals to people appeals to people of all ages and of all ages and backgroundsbackgrounds

It is one of the It is one of the most popular most popular sports in historysports in history

Corporate Social Corporate Social ResponsibilityResponsibility

NBA has NBA has responsibility to responsibility to regulate employees regulate employees just as any company just as any company wouldwould

Code of Conduct Code of Conduct Fines and Fines and

SuspensionsSuspensions Mark Cuban ExampleMark Cuban Example

Reputation Effects Reputation Effects RevenueRevenue

Bad Reputation with Bad Reputation with fans (customers) fans (customers) equals less equals less merchandise sold merchandise sold

Players (employees) Players (employees) conduct on and off conduct on and off courtcourt

Consequences of Consequences of behaviorbehavior

Importance of Brand Importance of Brand NameName

While Bad publicity hurts While Bad publicity hurts brand name, good publicity brand name, good publicity helps brand name.helps brand name.

NBA basketball is NBA basketball is associated with Michael associated with Michael JordanJordan His reputation on and off the His reputation on and off the

court helps support the NBA court helps support the NBA brand name. brand name.

Charitable WorksCharitable Works

Foundations Foundations establishedestablished

Hospital and Hospital and humanitarian humanitarian visitsvisits

Community Community outreachoutreach