Power of Voice and Exit in soccer

We have two powers at our disposal.

  1. The power of voice — If we don’t like something, we can try to convince the powers that be to change it.
  2. The power of exit — If we don’t like something, we can try alternative — often a competitor or substitute.

Having both is important.

If there was just one beer maker, we’d just have the power of voice in the beer market. The chances of getting the beer we wanted would be low.

Thankfully, we have many beer makers that make many different beers — so we have both the powers of voice and exit and a much improved chance of getting beers we like.

In fact, we have so many beer options that we don’t need to exercise our power of voice to convince a beer maker to make the beer we like.

We simply exercise our power of exit. If we don’t like a beer, we choose another. If enough of us do that, it rewards the beer makers who make what we like and punishes the ones who don’t. The latter either changes or goes away.

An election for the president of US Soccer will be held in February (2018).

One group of soccer fans would like to see a pro league structure that includes promotion/relegation, among other changes. So far, their power of voice has been ignored by US Soccer officials.

Promotion/relegation (“pro/rel,” for short) is where the bottom 2-3 teams in the top league (in this case, the MLS) each year would be relegated to a lower league, while the top 2-3 teams in the lower league would be promoted to the top league, hence ‘pro/rel’.

The current US Soccer administration is against it for various reasons. One reason is they think it would make it tough to attract investors in teams if there was a risk of losing their ‘major league’ status.

The “pro/rel” folks are now trying to use their power of voice to influence who wins the election for US Soccer president. They want a president that supports their ideas.

Unfortunately, the power of voice is muted without the power of exit. It sometimes works. But that’s not the norm because getting enough people to agree on something is difficult enough without politics and corruption. Even more so with it.

With US Soccer having a big say over how soccer is done in the U.S., the power of exit is limited. But, the power of exit is more effective way to get what we want.

Basic question…why does US Soccer have so much say over how soccer is done in the U.S.?

I could be wrong, but I think it’s because FIFA (which organizes international football competitions) recognizes just one soccer federation per country and so US Soccer has a monopoly on dollars from international competitions sanctioned by FIFA.

That makes it difficult for other soccer associations to emerge to compete with US Soccer.

I will add that soccer federations in other countries seem to view their role in soccer a little different than U.S. Soccer. More on that in the next post.

Advertisements

MiB criticizes soccer in the U.S.

In the last 15-20 minutes of the 12/15 Men in Blazers pod, Rog and Davo have some good and critical words to say about soccer in the U.S. and the MLS, especially about the franchise model of the MLS vs. clubs.

Here’s Rog after visiting Columbus, OH and speaking to the fans who are disappointed about the prospect of losing their MLS team in a move to Austin, TX:

…they’re caught up in the middle of city politics, which they feel is the root cause of their nightmare, compounded by desperate ownership moves and the league’s ultimate sense of the teams as franchises, is what you [Davo] always talk about it, rather than clubs, which are rooted in community. Franchises can be moved and yanked around at will. I don’t think anyone in MLS fully appreciates the panic that Columbus situation is causing, not just for fans in Columbus, but for fans in all teams across the league. Relocation is really permanent relegation. It makes teams sleep with the fishes. And I look at the scarlet letter, worn still in English football, MK Dons, Google them if you don’t know who they are.

Davo responds:

I think you raise an interesting point….There’s something about football, there’s something about all sports, which is about authenticity and the franchise based system, the sort of central league system — [Rog:] Which works in NBA and NFL, [Davo:] And also works Major League Baseball, but those based on a long and massive history of those sports in this country. And so, there is a sense you are watching the NBA, when you’re watching the Cleveland Caveliers, you know, something which has grown through decades and decades and decades of this sports. There is also something about the NBA and the NFL which is very much about the urban makeup of America. About the diversity, about the culture and it reflects that…

I don’t think soccer has got to that place yet. But, what I think is starting to happen organically, which is why I’m so excited about what’s happening in other leagues and other cities [non MLS], it feels like there is an authentic soccer culture which is growing up.

And, I’m not saying that doesn’t exist around many of the MLS franchises, around many of the MLS supporters groups, around many of the MLS teams, but it can sometimes feel a little manufactured — [this says a lot here here –>] — I can just feel Alexi [Lalas, friend of the program and often accused Homer to the MLS] listening to this podcast and saying, ‘you’re not a fan…you are either with us or against us’…I am so with MLS…but I do think what they have at league headquarters, Lord Garber and his friends have to acknowledge that there is a desire among soccer fans, not only to not see what happened in Columbus, but to feel something authentic happening in American soccer culture. That is something Major League Soccer has to address and think about is what they are doing is somehow taking that away.

I think some folks would be surprised to hear this criticism from the Men in Blazers, because they are sometimes criticized for being soft on the system since some of their livelihood is depends on it.

I was surprised.

I think it was on point.

I would add on to their comparisons to NFL, MLB and NBA. Those sports and leagues do not have serious international competition. They are American sports that have not caught on in the rest of the world and there’s no international competitions, like the World Cup, that overshadows the importance of the championships of these leagues.

For example, the Super Bowl is the biggest (Am.) football event in the world. It is contested only by American teams. And we call the winners “World Champs,” which I’ve heard many children snicker at because even they recognize that’s a stretch since Am. football isn’t played elsewhere.

If other U.S. pro leagues had international competitions that overshadowed the importance of the domestic league and the U.S. teams had poor showings in those competitions, you can bet that these same types of discussions would take place for those sports.

Another factor that I believe detracts from the authenticity and community grass roots support in the U.S., that Davo gets at, is that sports clubs are structured different here than they are in the other countries.

In the U.S., youth sports are integrated with schools. Elsewhere, sports club provide the sport experience from ages 5 to 65 outside of schools.

I believe that contributes to the authenticity the clubs have in other parts of the world when compared to the pay-for-play club model that co-exists with high school and collegiate sports in the U.S.

Imagine joining sports club at age 5 and growing up with the club’s senior team — the equivalent of the high school or local college team here. That means from age 5, you are coached by members of the senior team, you practice beside them and you go watch them play on the weekends.

This goes back to the observations I made in this post as a missing ingredient in US soccer culture. Our school-based sports programs fragment that experience for young athletes.

It also subjects soccer to the rule-making of governing bodies that don’t have soccer as a priority — like the NCAA and NAIA which oversees all college sports at affiliated schools. So, you get things like short seasons that fit in with the rest of the sports programs schedules and soccer used as a sport to fulfill Title IX requirements.

 

All the world’s a stage

From Instapundit blog:

IF CORPORATE TAX CUTS ARE SO BAD, WHY ARE THE BLUE STATES SLASHING THEIRS?

Lifezette’s Brendan Kirby, who points out that: “Even as prominent Democrats such as Senate Minority Leader Chuck Schumer (D-N.Y.) and Sens. Sheldon Whitehouse (D-R.I.) and Richard Durbin (D-Ill.) trashed the idea, their extremely blue home states have been cutting corporate tax rates.”

It makes more sense once you understand that just about all public personas are an act.

Because ‘basic corporate finance’

On the Today show, this morning, I saw Savannah interviewing Rep. Paul Ryan about the tax bill.

She pushed hard on the cut in corporate tax rate in the plan.

His response was valid.

We have the highest corporate tax rate in the industrialized world. It will be good for the economy to be more competitive, so companies stay here and invest more here.

She pushed again…but Michael Bloomberg, CEO of a large company, says he won’t invest more here. He’ll buy back more stock.

Ryan’s response was valid. That’s one anecdote against studies that show otherwise.

But I think he missed a golden opportunity.

Here’s what my response would have been:

It’s great that Bloomberg supports our position.

I envision Guthrie getting confused look at this point and responding with, But he said he would not invest more. How does that support your position?

He said he’d buy back stock. Basic corporate finance tells us that stock buybacks is one way to return money to owners. Paying dividends is the other. Ask any first year B-school student.

What do investors do with money they receive from their investments?

Often, they invest it elsewhere. 

While Bloomberg’s company might not have good projects to invest in (which may be a problem for Bloomberg), other companies might.

With more money in their pockets, the folks who sold shares to Bloomberg will be able to invest more in companies that have better investment prospects, like Google or Facebook or start-ups building better solar panels, curing cancer or the company that might disrupt Bloomberg’s own business model.

So, the economy still gets the benefit of the reduced corporate tax rate, even if companies, like Bloomberg’s, don’t directly invest their extra cash. Others will be more than happy to.

“Soccer Starts at Home” III

I agree with what Tom Byer says about getting kids started early and in the home to develop their technical soccer skills.

But…

It’s good to keep in mind that doing this won’t turn everyone into World Cup/Premier League players, just like playing catch doesn’t turn all kids into pro baseball players.

But, it will result in a larger pool of players that can make it that level and more and better competition among those players, just like playing catch does for baseball.

Also, I hope Tom’s simple advice won’t be warped into activities for those younger than 5 years old like ‘2- a-week technical training camps led by UEFA licensed coaches’ and ‘elite competitive leagues’.

It doesn’t take a former Yankees coach to play catch with a four year old nor does it take a former Manchester United player to teach a 3 year-old how to pull the ball back. I’ve seen this taught by 5 year-old’s.

Is there more to come?

Initial scans of the odd-shaped interstellar asteroid reveal no signs of alien technology.

Good.

Though it may be presumptuous to think that aliens use radio signals. I’d try neutrinos.

I have a follow-up question: Is there more coming?

Maybe whatever catapulted this object toward our sun, flung other objects our way, as well.

Are we looking for more objects coming from the same direction?

And, I hate to bring this up, but wasn’t there a doomsday prediction recently that some planet was going to pop out of nowhere and hit Earth? Quite a coincidence, I’d say.

Do your homework

I’m looking forward to reading a new book, The Coddling of the American Mind by Greg Lukianoff and Jonathan Haidt.

Here’s the first part of the description on Amazon:

The generation now coming of age has been taught three Great Untruths: their feelings are always right; they should avoid pain and discomfort; and they should look for faults in others and not themselves.

Unfortunately, it’s not just the generation coming of age now.

This describes well the attitude of the person I wrote about in my previous post and he came of age quite a while back.

I think it started about 30 years ago when schools and MTV encouraged people to To Get Out the Vote and Rock the Vote, instead of encouraging those of us coming of age then to Do Your Homework, Think About, Discuss it with Others, Come to a Reasoned Conclusion, Then Vote.

But, then again, they may not be able to control your vote if you did all that.