NBA Hit by Economy

Recently NBA Commissioner David Stern spoke at the NBA All Star Weekend Conference about the mandatory need for a salary cut. This is a bargain that has been going on since 2005 according to (NBA Fanhouse, 2010). Stern stated that the NBA has lost at least $200 million per season since 2005. A member of the union for NBA players stated that cutting player salaries was unacceptable but Stern insists that this must be done. Stern continues by stating: "We had assured the players that we would deliver a proposal that was one that would lead to that sustainable business model [the NBA needs during this economic downturn]," Stern said about negotiations for a collective bargaining agreement to replace the existing one, which expires June 30, 2011. "Our response is you can denounce it, tear it up, you can burn it, you can jump up and down on it, as long as you understand that it reflects the financial realities of where we are. Realistically the players aren’t happy about the facts and a lot of NBA fans have no knowledge about this on going negotiation or for lack of better terms, problem. Stern also continues to add that if an agreement can not be reached then there is a possibility that there will be no NBA in 2011 season. "We have shown the players the facts, and, at our current level of revenue devoted to players' salaries, it's too high. I can run from that, but I can't hide from that. And I don't think the players can, either," states Stern. With over 90% of NBA teams losing money this season I think the players should consider their careers rather than just their salary. It’s amazing because sometimes entertainers and athletes don’t really feel the economic downturn because their salaries have not changed while others have lost jobs, foreclosed homes, and denied loans because of it. I think their salaries should line up to whatever is recommended to keep the NBA in business. I feel this is the biggest thing in sports NBA especially because without the corporation of the union and the players there may not be a NBA season in 2011.

Reference

http://nba.fanhouse.com/2010/02/14/stern-nba-teams-losing-400-million-salaries-must-be-cut/

http://www.sportsbusinessdaily.com/article/131422

Tiger Woods Loses Gatorade Sponsorship

Unfortunately for Tiger 2010 has been nothing but a downturn for him. From the sex scandal, to personal problems with his wife, to his reputation being ruined he loses several endorsement deals. The Pepsi Co. company discontinued their Tiger-Woods brand drinks in November before the Woods scandal dropped, but they continued as a sponsor for the golf pro until now. Pop the hood for more. However Tiger may have voided the contract this may be in relations to the trademark of the company and with holding the brand name.

Michael Jordan's Son Refuses to Wear Adidas

Marcus Jordan was promised before coming to the University of Central Florida that he would be able to sport his father's brand Jordan shoes during basketball games. Marcus wore the shoe on the first game of the season and costs the school its 3 million dollar contract with Addidas.

As a result, the Sentinel says, adidas spokeswoman Andrea Corso told the newspaper in an e-mail that the UCF "has chosen not to deliver on their contractual commitment to adidas. As a result we have chosen not to continue our relationship with them moving forward."

UCF Athletics Director Keith Tribble tells the paper, however, that he thought negotiations with the shoe company were still going on.The paper reports that high-level adidas officials had overturned an agreement that UCF had reached with an adidas regional representatives to allow Jordan to keep his Nikes, despite the exclusive contract.

P. Diddy Buys Crystal Palace Sports Team

The rapper has expressed an interest in London team Crystal Palace, which has been struggling with financial difficulties. club recently went into administration, which could see it demoted into a lower sports division as British soccer teams which go bankrupt are docked points.

Diddy’s representative has confirmed he wants to invest in a UK club, although he has also been linked to Portsmouth, in south England, which is desperately in need of a backer.

This would be something new for him being that his interests have previously included Music, Fashion, Liquor, & Partying but never Sports.