Publication Date
Spring 2005
School
College of Arts and Sciences
Recommended Citation
Hagen, Michael Troy, "Increasing Revenue and Cutting Costs: The Financial Aspect of Big Budget Football" (2005). Senior Honors Theses. 142.
https://digitalcommons.liberty.edu/honors/142
Abstract
The growth of college sports in recent years into a multi-billion dollar industry has significantly increased the financial obligations and incentive guidelines under which many universities operate. Nowhere has the drastic increase of incentive to be competitive been as prevalent as the sport of football. Under constant pressure and intense scrutiny from the National Collegiate Athletic Association (NCAA) and critics, schools must now find ways to decrease costs and increase revenues of their athletic programs, primarily through changes to the structure and business of the sport of football. Schools have attempted to reduce unnecessary costs, and at times, these reductions have had drastic impacts on other sports. Reductions of cost through the elimination of extravagant expenses, coaching salaries and realistic spending limitation will only limit this problem somewhat. Colleges and universities who continue to pursue the highest level of competition have found it necessary to increase revenue while decreasing expenditures. Many options have emerged as possible income sources, including student fees, increased marketing exposure through changes in conference affiliations and improved management of finances. Unless these practices become standardized, or schools find processes to supplement these measures, athletics will not be able to remain the integral element of college life as it is known today.
