Financial investments and sports performance in major league soccer: A comparative analysis between market value, base salary and results in conferences
DOI:
https://doi.org/10.24310/riccafd.14.2.2025.21425Keywords:
financial investments, sports performance, major league soccer (MLS), financial efficiency, strategic managementAbstract
This study examines the link between financial investments and sports performance in Major League Soccer (MLS) during 2023. It finds that higher investments do not ensure superior outcomes. In the Eastern Conference, Cincinnati excelled with modest financial figures ($11.46M base salary, $13.20M Guaranteed Compensation, and €29.25M market value), while higher-spending teams like Inter Miami and Toronto lagged behind. Similarly, in the Western Conference, St. Louis City led with 56 points, despite a lower budget ($9.49M base salary, $10.51M Guaranteed Compensation, €23.03M market value), outperforming higher spenders like Seattle Sounders and LAFC. Correlation analysis revealed negative associations between points and base salary (-0.52) and Guaranteed Compensation (-0.61) in the Eastern Conference, while points in the Western Conference showed weak correlations with financial variables. The study underscores the critical role of financial efficiency over mere expenditure for success in MLS.
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