Many of you know the MLB team the Los Angeles Angels. Well they recently picked up a player from Japan named Shohei Otani. He is a pitcher and outfielder for the Angles. He previously played for the Hokkaido Nippon-Ham Fighters of Nippon Professional Baseball Pacific League. His income while playing in Japan is much different from the income he will be earning for the Angels. The Angels have been in high demand for pitchers the past couple years and they believe they have found that person. Otani was considering playing for other elite baseball clubs but Nez Balelo, agent of Otani said the Japanese 2016 MVP “felt a true bond with the Angels. He sees this as the best environment to develop and reach the next level and attain his career goals.” The Angels have not won a playoff game since 2009 and Otani wants to be the reason that changes.
Angels fans have been sitting back waiting for this moment for a long time. That time is now and they finally have a season to look forward too. All supporting fans want to be apart of something big when their team accomplishes greatness. With that being said, fans are excited for the upcoming season. Since the ticket sales will be in high demand, the marginal revenue for the franchise will sky rocket. Apparel and souvenir prices will rise creating more profit because everything within the stores will be in such high demand.
Signing a new player that has the potential to bring the franchise back on the map only comes with positives. There is virtually nothing negative about bringing this player onto the team. In the long run, it will generate profit allowing the franchise to be able to grow and expand their name. Also, it will benefit the economy by bringing in millions of dollars to local stores and restaurants. Otani single handedly has the capability of generating so much revenue not only for the Angels franchise, but the whole city of Los Angeles.
Works Cited
“Shohei Ohtani Japanese Leagues Statistics & History.” Baseball-Reference.com, www.baseball-reference.com/register/player.fcgi?id=otani-000sho.
“Shohei Otani, a Two-Way Player, Says He Is Ready to Leave Japan for M.L.B.” The New York Times, The New York Times, 11 Nov. 2017, www.nytimes.com/2017/11/11/sports/baseball/shohei-otani-a-two-way-player-says-he-is-ready-to-leave-japan-for-mlb.html.
writer, greg beacham ap sports. “Japanese Pitcher-Hitter Shohei Ohtani Chooses the LA Angels.” ABC News, ABC News Network, abcnews.go.com/Sports/wireStory/agent-japanese-star-pitcher-hitter-ohtani-join-angels-51676093.
i think it is very interesting and something many people do not think about how impactful one player can be, not just for enjoyment of the game and hopes for winning, but the economies side effect felt by the attraction of a great player. Ticket sales will be in high demand, but also this demand will spillover into sporting merchandise and be beneficial to other companies and businesses as well, as fans will want more gear heading into an exciting season.
ReplyDeleteDavid, I had no idea any of this was going on because I don't really follow baseball. I found it very interesting how just one person can affect the market so much. This player is serving as an incentive for people to purchase tickets because they want to see him play. I think it was a smart choice for the Angels to give Otani a position on their team, but how is Otani's income different from Japan? If he is earning more, that probably was his incentive to move to the United States, leaving his life in Japan behind. The only way for this decision to become negative is if he does not improve the Angel's wins and people become less hopeful for the upcoming season.
ReplyDeleteThis is very interesting, because not only could Los Angeles generate revenue from Americans, but also internationally. Having a major league pitcher who is native to a different country could help garner interest in the sport from that country. Some Japanese fans may want to support the team and may come to LA to watch a game. Along with increased viewers of the sport, there could more sales in related products as well, such as jerseys.
ReplyDeleteI wonder exactly why he chose Los Angeles, because leaving Japan and going all the way to California is a huge change. Los Angeles has a lot of revenue, but this one guy is going to increase it so much more which is insane--and he's giving the fans hope again in the team. I understand how the Angels fans would not be buying as much merchandise because I know my family doesn't buy that much Brewers stuff anymore because everytime we would go to a game, they'd lose. It's good for LA and even for the community to have this guy join the team.
ReplyDeleteThis is interesting because he left where he used to live to play in the US. The strange thing is he might be able to be paid the same amount in Japan. I agree with you on your point and think it is good that he is coming to America as it brings in more MLB publicity and more and more ticket sales for the games he is in.
ReplyDeleteThis is interesting because I didn't think about it in economic terms. Also what I find interesting is that he could have gotten more money from other baseball clubs. He could have been signed with the Rangers or Mariners for a lot more. The Angels must have made a good pitch to him. He will benefit the Angels because he isn't being paid a lot and he is will also help on offense and pitching. The opportunity cost of him is very low.
ReplyDeleteHaving this player come over from seas will impact the revenue of the organization. Even though he hasn't played a single game in the MLB, fans will still be buying his jersey to support their team and show that they got the new young star. If this young star lives up to expectations the marginal profit is going to keep increasing because people are going to want to see him play. Him being a utility player, he has the opportunity to play every day and playing him everyday won't disappoint the fans being able to see the twenty-three year old player play to his potential. I agree with David about him coming to play here in the MLB. Not only does it bring in more publicity from America but, also in Japan. People are going to want to watch the young star that represents his home country. In the end, all the fans needs and wants are going to be satisfied and the Angels organization is going to bring in more revenue to their program just by signing one young man from Japan.
ReplyDeleteThis is really amazing how a single player can increase the demand of Angels' following, tickets and apparel. I agree that this was a positive move for the Angels. Since their team has lost it's demand since 2009, I think that it was a good decision to bring a new face into the picture who is from another country and hasn't played in the MLB before.
ReplyDeleteI know that an off season signing can effect the team a lot but I didn't think that it would be this much. I didn't know that he was super hyped and wanted by many different teams in the MLB. You also talked about how the Angles haven't won a playoff game since 2009. With this new signing he could end up leading them there and potentially make the Angels organization more money by possibly hosting a lot of playoff games. I will be interesting to see how he does in the MLB because it is a lot different than the leagues in Japan.
ReplyDeleteIt's crazy to think that one player could change all these things that much. Personally I don't think this player would affect these things because he's is not that big of a name in America yet. But if he plays well and proves himself this can change. But I think your topic in general relates to any sports team. If the team has a star more people will go to games. Overall well written article and way to relate it back to econ dave bell.
ReplyDeleteI agree with you that it will be very interesting to see how this player does in the MLB. It is not the first time a foreign player hasn't entered the league, but will he make a big impact, only time will tell? The hype has been building around the Angels now that they have signed this top prospect so hopefully for all the Angels fans and players, Shohei Otani can help them win their first playoff game in a long time.
ReplyDeleteI agree with this post fro sure and like Jack said it's crazy to think what just one player can do when it comes to making an impact on ticket sales. Now though the one thing that will be interesting to see is how this new player will adapt to the majors, becasue he could easily turn into a flop and now the baseball team would find themselves in great debt with no return when it comes to the marketing they put into this player to get the fans excited.
ReplyDeleteWith this new addition, I think that the more ethnic group of people living in the United States will be more likely to pay attention to the MLB because somebody of their nationality is representing the MLB. Also, from what you said about him, it seems as though he for sure will be an asset to the Angels. This can impact the Angels and Los Angeles as more people start coming to the games because of the addition of the new player.
ReplyDeleteI think its crazy that the angels will now have two players that are able to have an impact on the game in so many ways. That being Mike Trout and now this guy. I feel like Playing baseball is extremely fun but watching it isn't fun at all, especially the MLB. The combination of these two might be able to change that now for a lot of people. If people are more interested in going to a baseball game, obviously the demand for tickets will go up generating a lot of economic revenue for both the MLB and the Angels as an organization. This being that this player does end up being what he is hyped up to be, only time will tell.
ReplyDeleteI find it surprising that a new pitcher could really generate a significant amount of revenue for the whole city. He will obviously make an impact on ticket sales, but will demand for Angels merchandise really increase enough to bring an impactful amount of revenue to the city?
ReplyDeleteI think that this is a fairly impactful event, with the fact that sales and revenue for the Angels will most likely increase. In addition, an merchandise sold and publicity will also increase because if the new player makes the team better, buzz will spread throughout the media - quickly. People may not notice or care, but the total revenue brought in through sports is astronomical and maybe this specific example could continue to increase that. I think that in the long run though, the sales may just go back to normal and not continually increase as much in the short run, but the situation is still affecting the revenue.
ReplyDeleteComing from a family who are big baseball fans I believe that having another player from a different country will highly impact the sales for the Angels. Since people are more interested in going to a baseball game, obviously the demand for tickets will go up generating a lot of economic revenue for both the MLB and the Angels. Foreign athletes tend to bring a lot of attention along with them so right away the team will gain even more attention to the team in other ways.Some Japanese fans may want to support the team and may come to LA to watch a game. Shohei Otani will benefit the Angels because he isn't being paid a lot and he is will also help on offense and pitching.
ReplyDeleteI agree that he will be making the Angels a lot of money, but in the beginning of your article you said that he will be making a different income than he is making in Japan how so. how much more is he getting paid now than before in Japan? Just curious.
ReplyDeleteGreat post Dave. While I think your ideas of how big of an impact this player will have are interesting I'm not entirely sure one player, especially one I have barley herd of personally will have such an impact on the economics of the game. However if this player is as good as his reputation states he could draw quite a crowd no matter where he is playing. Despite this disagreement I quite enjoyed this post. Quality read.
ReplyDeleteThis seems like a positive impact on the economy in Los Angeles. Since you stated that they have been sitting back and waiting for a pitcher for a while, it's good that they finally found their guy. If this is a chance to improve their record, then local restaurants and hotels could boost from it. It's truly amazing how one player can effect the entire economy.
ReplyDeleteI agree, I think the Angels will make more money off selling jerseys and tickets than how much they are paying him. Along with this they could be a playoff team which will provide them with at least 4 extra games where the team will get paid. This is a great idea and I'm surprised this does not happen more often as the MLB pays more money to players than in Japan.
ReplyDeleteGiven the fact I used to play baseball I know the importance of a multi position player. It was important for youth let alone the MLB I think that this could be a huge opportunity for the team. You can have one player that plays 2 positions and save money on an extra player or spend a lot on 2 different guys. If you ask me I think that this is an obvious decision for the club and they should definitely make the move on him before someone else. I do know that the Angels have contacted Carl Renz and it would be cool if someday both players could pitch together.
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