How Foreign Ownership Has Affected the English Premier League

Introduction The Premier league is the top soccer socio-economic class in England. It is claimed to be the richest league in the world where some of the nigh popular players and footb all(prenominal) teams play. Most professional sports teams that are capable of get top football game players are generally the most succeederful. Foreign enthronization in position Premier League teams has become a drive and a focusing of becoming rich and victoryful. Most of the confederations in the league are controlled by foreign investors out to make net profit. Liverpool F.C was formed in 1892 by John Houlding to play at Anfield after Everton F. C vacated the field. The companionship is arguably the most successful high society in England. It has won 18 First Division titles, 7 FA Cups, 7 League Cups, and 5 European Cups. Liverpool F. C. signed a deal with Prince Faisal Al Saud to initiate and activate an elite commercial collaboration between F6, Liverpool F. C. , and the Richard Petty Nascar Team. Factors of guidance that are capacity to the program Collaboration with legal partners is a major strength in the performance of the fraternity.These exclusive collaborations explore collaborative commercial opportunities viable to football, Nascar travel, and synergistic media in the Middle east country, Saudi Arabia and the surrounding nations. The Middle East sport food market has great potential of growth, as the fan beginning in the region is growing e actuallyday. The deal will strive to nurture the level of football competition, sports management expertise and soccer players in the region. Among the strategic partnership, plans in mind include the creation of academies and training facilities owned and controlled by Prince Faisals organization.The frame rifle for collaboration in Nascar has been created to evaluate the expansion of a Nascar racing circuit and Richard Petty racing institutions in the Middle East environs. F6 is sensation of the le ading investors in interactive sports media in Saudi Arabia and has considered this deal as a perfect opportunity to bring in local teams and athletes, and envelop clean-fashi one(a)d methods of management and training in sports. It will also go out employment opportunities and innovative reality media production techniques (Foster et al, 2006). Liverpool fans accommodate greatly contributed towards the success of the club.The human activity of Liverpool fans has increase as a result of celebrating the clubs sale to new owners and also due to the appointment of a new manager Roy Hodgson. The signing of a new player Joe Cole saying the Liverpool website break its previous record of 65 million page views to all over 85 million page views. The news of Joe Cole signing increase the page view impressions to over 483,000 in just an hour. In addition, the m that the clubs fan spend in the site increased from five minutes to seven minutes while the average number of page view inc reased from 4. 5 to 5. 95. Factors of Profitability and viabilityOne of the factors contributing to forgatherfulness and viability of Liverpool is the use of market tax access. This approach has enabled the company to assess its market value and thus evaluate its overall performance (Foster et al, 2006). Other approaches that have also contributed to the clubs success include the Acquisition-Based military rating approach and the Sabermetrics technique. The Acquisition-Based valuation approach assists in making viable acquisition for the club while the sabermetrics is very useful in the evaluation of players performance and the overall performance of the club (Foster et al, 2006).As a result, Liverpool F. C. debts have almost doubled to ? 86m base on the up-to-the-minute financial reports. The club has however recorded an increase in profits after making losses the previous family. The clubs one-year accounts show a pre-tax profit of ? 10. 2m in 2008, which is an increase fr o the previous year in which the club made a loss of ? 21. 7m. Application of Triangulation to gain an accurate value of the club Technological development and growth has been one of the most effective ways of using triangulation to gain accurate value for Liverpool.The club launched Assigras agentless backup and recovery hardware, Televaulting that prides a back-up for entropy in a disc. Liverpool was in the past using legacy tape-based backup and hap recovery (DR). The use of the new software is aimed at increasing the speed of back up and recovery and provides a guarantee 100% success rate in recovering lost data. The old system was check in that every time a back up of the i-series based ticketing system took place, the whole system had to be shut down. This was greatly inconveniencing because the backups were throttle to once a day only.The club had to think of a way of recovering data in case it was lost in an effective manner (Turner, 2007). The new backup system now saf e guard vital business data across Liverpool FCs major sites Anfield, Melwood and Academy. Changes to better value Liverpool introduced a new approach to training in mark to ascend and stay at the top of English and European football. The owners of the club have created the position of Director of football strategy in a bid to ensure that the club maintains a top position in English football.Although the Director of football strategy is the most unpopular punt in English football, the new owners of Liverpool view this as the most subdue strategy to run the club. The owners have introduced the principles of sabermetrics, which are very successful in baseball. Sabermetrics is defined as the analysis of baseball based on heading evidence, particularly baseball statistics that evaluate the in-game activity as opposed to effort activity such as attendance. It is thus a set of statistics that is employ to assess the overall performance of a player or team.For instance, flower playe r ratings normally referred to, as Batter-Fielder/Pitcher Wins is a rating use to evaluate the value of baseball players and to facilitate the comparison of players against each other, scorn playing for different teams or different positions. Value Over alternate Player (VORP) is a metric that measures hitters contribution (offensive) and Pitchers contribution in a team compared to a fictitious average player (Turner, 2007). This measurement is apply to evaluate a payers Replacement level. The use of these denary metrics n football has transformed Liverpool F. C. for the better. Events from 1997 to 2003 and principles of improvement Gerard Houllier, the former french national team manager, was introduced into the Liverpool management team for the 199899 season to work alongside Roy Evans. Evans did not find the deal favorable to him and decided to depart in November of 1998. The club became a founder member of the G-14 group of clubs in September 2000. The organization was for med to create a united articulatio to air their opinions and suggestions to soccer governing bodies FIFA and UEFA.Liverpool remained an active member of the G-14 clubs until it was disbanded in 2008. In its place, the European Club Association was established. The 2000-01 season was one of the scoop out Liverpools seasons in the clubs history. The players Owen, Fowler, Gerrard and Hyypia played a role to the clubs 3rd place finish and hence a qualification to play in the champion league. The club also won the FA Cup, League Cup and UEFA Cup, unneurotic with the charity shield and the European Super Cup in 2001.Liverpool spotless as number cardinal in the premier league 200102 season, their trounce league finish since 1991, but was subjected to a embarrassing defeat in the League Cup Third Round by Grimsby Town. The Clubs manager Houllier suffered a serious heart problem, which made him inactive in the club for tercet months beginning from November. How sale of the club will alter the strategic solicitude The sale of the club by CFO will affect my strategic direction in several ways. The sale of the club might affect the value of the club depending on the effect it will have on the stakeholders of the club.If the fans are not happy with the sale, then the clubs fan-base will be affected. few fans will visit the clubs website leading to a declination in the clubs earnings. Some investors might feel cheated and separation their support for the club. This will affect the equity value of the club. The sale of the club will thus affect the overall running of the club including the approaches utilise by the management. Factors that would underlie the changes and research to strengthen the recommendations There are two factors that would underlie the changes in Liverpool football club.The two factors are change of the valuation approach in acquisition and accounting for player-related payments.. Acquisition-Based Valuation Approach is the outgo approach to consider when determining any acquisition for the club. This approach involves considering same previous acquisitions before making an investment (Foster et al, 2006). Ability to account for all player-payments greatly contributes towards the appropriate management of the club. Some of the sources of player-payments include, sign-on bonus, transfer fees, and match fees. ConclusionLiverpool football club s one of the most successful clubs in English football. The club has been successful as a result of its effective management and overall business strategies. The new owners have introduced new approaches in management as well as the training of the players. One of the newly introduced approach, sabermetrics, has provided the best evaluation and assessment criteria for both the club as well as the individual performance of the players. The cub has also adopted a new method, Televaulting, for backup and data recovery. The new method ensures that vital business data is safe and sec ure.