THES|S MIC HCISCAN SATET : HHUUIIHIHWWNW!!!)Milli!!!”MINI/UH“!!! i, 3101564649886 LIBRARY Mlchigan State University - This is to certify that the dissertation entitled A Study Of The Attitudes Of Athletes At The Highest Levels Of Competition Towards The Issue Of The Commercialization Of Sports presented by Charles A. Wilson, Jr. has been accepted towards fulfillment of the requirements for P. h. D. degree in Education Administration Date M MS U it an Affirmative Action/Equal Opportunity Institution 0-12771 PLACE N RETURN BOX to remove We Checkout from your record. TO AVOID FINES return on or before dete due. DATE DUE DATE DUE DATE DUE . "~ ~. U4 ! MSU le An Affirmative Action/Bond Opportunity lnetltuion Wanna-o.- A.STUDY OF THE.ATTITUDES OF.ATHLETES.AT THE HIGHEST LEVELS OF COMPETITION TOWARD THE ISSUE OF THE COMMERCIALIZATION OF SPORTS BY Charles A. Wilson Jr. A.DISSERTATION Submitted to Michigan State University in partial fulfillment of the requirements for the degree of DOCTOR OF PHILOSOPHY Department of Educational Administration 1996 ABSTRACT A.STUDY OF THE ATTITUDES OF.ATHLETES.AT THE HIGHEST LEVELS OF COMPETITION TOWARD THE ISSUE OF THE COMMERCIALIZATION OF SPORTS BY Charles A, Wilson The role, purpose, and mission of intercollegiate athletics in higher education is a much debated topic. The debate concerns its purpose in higher education institutions, and whether or not intercollegiate athletics at its highest competitive level, National Collegiate Athletic Association (NCAA) Division I, is amateur athletics or a huge commercial enterprise. Many suggest that collegiate institutions who sponsor Division I football and basketball programs, are a "big business," with their purposes and aims in opposition to the missions of higher education institutions. The purpose of this study was to determine the attitudes of elite athletes toward the commercialization of sports. Twenty-one current or former professional athletes who participate in the National Basketball Association, National Football Association, and the National Hockey League, were interviewed for this study. These athletes participated in intercollegiate athletics at the Division I level. The results of this study suggest that the athletes believe that many aspects of intercollegiate athletics are a commercial enterprise. They overwhelmingly believe, college athletes should be paid by their sponsoring schools, that college athletics were similar to professional sports, and there were very few significant differences. Copyright by Charles A Wilson Jr. 1996 ACKNOWLEDGMENTS Special thanks goes to Professor Marvin Grandstaff my committee chairperson, and director of my dissertation. An additional thanks to my committee members; Dr. Louis Hekhuis, Dr. Eugene Pernell Jr., and Dr. Lawerence Sierra. I would like to give special acknowledgment to my running partner, and editorial adviser, Professor Jim Hancock, and the support from Harold Prince, Walter Pett, and Donavan Taylor for keeping me motivated. The other individual who made this possible, my wife, LaVerne S. Wilson. TABLE OF CONTENTS CHAPTER I Page Backgound and Statement of Problem .............................. 1 ommercial Status ....................................................... l NCAA as a Cartel ........................................................ 3 Corporate S nsorship ................................................ 12 Purpose of NCAA ................................................. 15 Purpose of Research .................................................... 16 Significance of Study ................................................... 16 CHAPTER II Review of the Literature ..................................................... 18 Historical Roots of Amateurism ................................... 18 Development of Commercialism .................................. 20 Deve10pment of Intercollegiate Athletics ...................... 21 Foundin of the NCAA ............................................... 25 Philosop of Division I ............................................... 29 Philosophy of Division II ............................................. 30 Philosophy of Division III ............................................ 31 Economics of Big-Time Athletics ................................. 33 Economic Impact of Penn State Football ..................... 37 CHAPTER III Methodology ...................................................................... 47 Interview Questions and Purpose ................................. 47-52 Research Data Collection Procedures ........................... 52 Description of Procedures ............................................ 53 CHAPTER IV Report of Results ......... - ....................................................... 55 Results of Question 1 ................................................... 56-57 Results of Question 2 ................................................... 58-60 Results of Question 3 ................................................... 61-62 Results of Question 4 ................................................... 63 Results of Question 5 ................................................... 64-65 Results of Question 6 ................................................... 66-67 Results of Question 7 ................................................... 68-69 Results of Question 8 ................................................... 70-71 Results of Question 9 ................................................... 72-73 Results of Question 10 ................................................. 74-75 Results of Question 11 ................................................. 76-77 Results of Question 12 ................................................. 78-90 Results of Question 13 ................................................. 80-81 vi CHAPTER V Page Discussion, Findings and Summary ..................................... 82 The Problem ................................................................ 83 Findings of the Study .................................................. 83 Recommendations ....................................................... 84-85 Limitations of the Study .............................................. 86 Implications for Higher Education .............................. 86 APPENDICES. A UCRIHS and Consent.............; ............................... 87-88 B. Interview Guide ...................................................... 89 C. 1995-96 NCAA Post Season Bowl Games .............. 90 REFERENCES .............................................................................. 91-92 vii LIST OF TABLES Table Page 2.1 Per personper gameexpenditures of persons who spentb category in the State College region and percentage of respondents wrthexpenditures in a category ........................................ 43 2.2 Estimated expenditures per person per game averaged across all fans .................................................... 44 2.3 Estimated expenditures by category and economic impacts of football weekends ............................. 45 2.4 Estimated season ' by fans intherestome ......................................... 46 2.5 NCAA Division l-A certified post-season football bowl games and coporate sponsors ...................... 90 4.1 Raw data question 1 ......................................................... 56 4.2 Raw data question 2 ......................................................... 58 4.3 Raw data question 3 ......................................................... 61 4.4 Raw data question 4 ......................................................... 63 4.5 Raw data question 5 ......................................................... 64 4.6 Raw data question 6 ......................................................... 66 4.7 Raw data question 7 ......................................................... 68 4.8 Raw data question 8 ........................................................ 70 4.9 Raw data question 9 ......................................................... 72 4.10 Raw data question 10 ....................................................... 74 4.11 Rawdataquestionll ....................................................... 76 4.12 Raw data question 12 ....................................................... 78 viii LIST OF SYMBOLS, ABBREVIATIONS OR NOMENCLATURE CEA-College Football Association Grant-In-AideAthletic Scholarship JC-Junior College NAIA-National Intercollegiate Athletic.Association NEArNational Basketball Association NCAArNational Collegiate Athletic Association NFL-National Football League NHL-National Hockey League NJCAArNational Junior College Athletic Association Pros-Professional Athletics CHAPTER I INTRODUCTION TO THE STUDY 1W The role, purpose, and. mission. of intercollegiate athletics in higher education, are a much debated topic. The debate revolves around its purpose in higher education institutions, and whether or not intercollegiate athletics at its highest competitive level, National Collegiate Athletic .Association [NCAA], Division I, is in fact amateur athletics, or a huge commercial enterprise. Many have stated that collegiate institutions, who sponsor Division I, football and basketball programs are a "big-business," with their purpose and aims in opposition to the missions of higher education institutions. Murray Sperber (1991) in W MW states, "About a decade ago, I began wondering whether and to what extent intercollegiate athletics increasing importance compliments or corrupts the academic missions of their host universities. After studying these questions intensively for a number of years, I come to one absolute conclusion: Intercollegiate athletics has become a College Sport Inc., a huge commercial entertainment conglomerate, with operating from and mainly opposed to, the educational aims of the schools that house its franchises" (p. vii). Rick Telander (1989) in Ihg_finnd;ed_}ard_Lie, writes, 1 2 ”By allowing big-time college football to flourish in its present form, the nation's universities are shamelessly exploiting the players and debasing themselves, by perpetuating the myth of the amateur student-athlete. Telander, goes on to state: "Big-Time" sport and support for learning have almost nothing to do with one another" (pp.92- 107) . The report of the W: "Commission on Intercollegiate Athletics" (1991) finds: Intercollegiate athletics programs appear to promise a quick route to revenue, recognition and renown for the university. But along that road, big-time athletic programs often take on a life of their own. Their intrinsic educational value, easily lost in their use to promote extra-institutional goals, become engulfed by the revenue stream they generate and overwhelmed by accompanying publicity. Now, instead of the institution alone having a stake in a given team or sport, the circle of involvement includes the television networks and local stations that sell advertising time, the corporations and local business buying the time, the boosters living vicariously through the team's success, the local economies' critically dependent on the big game, and a burgeoning population of fans who live and die with the team's fortunes. In this crucible, the program shifts from providing an exciting avenue of expression and enjoyment for the athletes and their fans to maximizing the revenue and institutional prestige that can be generated by a handful of highly—visible teams. The athletics director can become a CEO of a fair-sized corporation with a significant impact on the local economy. The "power-coach," often enjoying greater recognition throughout the state than most elected officials, becomes chief operating officer of a "multi- million dollar business.” Within the last decade, big- time programs have taken on all of the trapping of a major "entertainment enterprise." In the search for television revenues, traditional rivalries have been tossed aside in conference realignments, games have been rescheduled to satisfy broadcast preferences, the.~ ' number of games has multiplied, student-athletes have 3 been put on fields at all hours of the day and night, and university administrators have fallen to quarreling among themselves over the division of revenues from national broadcasting contracts (p. 4). Intercollegiate athletics has developed a life of their own. Many programs operate, autonomously. They have developed their own corporations, responsible for the financing of their programs. These corporations operate outside their host universities, and have developed their own mission statements, charter and board of directors. Richard Lapchick (1986) in Exagtnzed_£ngns, suggests: The official public posture of the NCAA, is that it is organized only for the promotion of "amateur student-athletes” who participate in sports for the educational, physical, mental, and social benefits he derived therefrom and to whom athletics is an evocation. In fact, the NCAA is a I"business organization" which is part of the entertainment industry whose product is competitive intercollegiate sports events. Moreover, it is an organization of independent firms which has as its aim.some fomm of restrictive or monopolistic influences on the production and/or sale of a commodity as well as the control of wages of the labor force (p.46). Economist James V. Koch (1983) has persuasively argued that the NCAA is a business cartel composed of university- firms which have varying desires to restrict competition and maximize profits in the area of intercollegiate athletics (p.360). Lapchick (1986) further states: Evidence of the 4 commercial business nature of "big-time" university athletic programs, standing in much the same relation to commercial sports entertainment as the National Basketball Association (NBA), National Football League (NFL), etc., is easy to document. The NCAA's total revenue comes from money earned from sports events. Almost 80 percent of the NCAA's total revenue comes from the staging of commercial sports contests. The individual firm.in collegiate athletics' is the college or university (p.47). Lapchick (1986) goes on to suggest, that perhaps the best sources for an accurate assessment of the nature of "big-time” collegiate sports are university presidents, athletic directors and coaches, the persons who are Closely involved with these programs. By-and-Large, they have no delusions about the programs. A.report signed by the University of Southern California's President said that between 1970 and 1980, there were 330 athletes admitted who did not meet the schools minimum requirements. He said decisions were based chiefly on athletic prowess, as judged by the athletic department, and without normal admission office review (p.46). An informal survey performed by students, enrolled in a course at Michigan State university (MSU) titled: athletics in higher education, indicates, a majority of MSU's coaches believed that institutions at the NCAA.Division I level, were commercial enterprises. Nick Saban, MSU's head football coach Stated, during an interview for the survey, that "college 5 athletics is a commercial enterprise with too much money involved." Gary‘VanDam,iMSU's director of football operations stated, ”Intercollegiate athletics is a commercial enterprise, it is a "big-money operation" that is driven by money, which is driven by winning." The pressure to win, and the monies generated by the revenue producing sports, has created the win-at-all-costs philosophy. Before some students-athletes put a foot in the classroom, they are on the practice fields, and competing in athletic competitions. For example, often, athletes have been on campus for weeks, without even knowing where their classes are. Sperber (1991) writes: The main. purpose of college sports is commercial entertainment. Within most universities with big-time intercollegiate programs, the athletic department operates as a separate business and has almost no connection to educational departments and functions of the school-even research into and teaching of sports is done by the physical education deparmment. The reason elite athletes are in universities has nothing to do with the educational missions of their schools. Athletes are the only group of students recruited for entertainment-not-academic-purposes, and they are the only students who go through school on grants based not on educational aptitude, but on their talent and potential as commercial entertainers. If colleges searched for and gave scholarships to up-and-coming rock stars so they could entertain the university community and earn money for their schools through concerts and tours, educational authorities and the public would call this a perversion of academic values. Yet every year, American institutions of higher education hand-out over a hundred thousand full or partial athletic scholarships, worth at least $500 ndllion, for reasons similar to hypothetical grants to rock performers (p.1). 6 Sperber, perhaps overstates, but one gets the point. The recruitment of athletic talent at institutions of higher education is unique to the recruitment of other college students. Big-time intercollegiate programs, spend thousands of dollars in the recruitment of a single athlete. Running into a hundred thousand dollars or more is common for a phone- bill of a major football, basketball, or hockey program. There are paid two-day trips to the university for prospective students. Prospective student-athletes, and their parents or legal guardians are wined and dinned at the best facilities. Coaches make numerous home-visits, and spend large sums of monies, in evaluating athletic talent--similar to the evaluation performed in the professonal ranks. The number one criterion for evaluating prospective student-athletes, is not academic achievement, but demonstrated athletic ability. Meeting minimum academic requirements of the university is of secondary importance. The initial eligibility requirements for students athletes entering NCAA Division I institutions are: A. minimum cumulative grade-point average of 2.000 (based on a maximum of 4.000) in a successfully completed core curriculum of at least 13 academic courses, including the following: English 3 years; mathematics two years; natural or physical science (including at least one laboratory course, if offered by the high school); additional courses in English, mathematics or natural or physical science two years; social science two years; 7 additional academic courses in any of the aforementioned areas or foreign language, computer science, philosophy or nondoctrinal religion (e.g., comparative religion) courses two years; a minimum 700 combined score on the SAT verbal and math sections, or a minimum.composite score of 17 on the ACT (NCAA, 1995). lMoSt higher education institutions’ admissions' standards by-far, exceed the minimum.qualifying standards for initial eligibility, especially AAU institutions. However, many student-athletes can bypass the regular admissions requirements, because of athletic talent. Anneuswgek_gn_Campns (1985) article titled: "Do you have to cheat to win,” outlines the admissions problem. The article explains: College admissions officers are the presumed gate keeper; their job is to admit students who can be expected to do well at their schools and who fulfill the schools' needs. ”Fulfilling the schools need is the loophole, which is sometimes wide enough for a defensive tackle to slip through." Admissions officers routinely categorize scholarship athletes as special- interest-group candidates, like gifted violinist or a computer prodigy or a minority student who might be admitted in the cause of ethnic diversity. But athletes are different especially "franchise" players who can almost single-handedly change a university's competitive fortunes. “If we're talking about one of the finest athletes in the nation, that certainly adds to the admissions folder,” understates John Blackburn of the university Virginia. .A lesser player, Blackburn admits, "wouldn't have as much to contribute to the University." The tug of war over athletic admissions can be gentle and friendly, or it can be extremely fierce. ”There are institutions where the head coaches have the ability to simply designate people and tell the university they're going to be admitted" says the College Board's Hargadon, "At some colleges, if the admissions office decides someone isn't eligible and the coach still wants him, the coach can take it to the president and the president might overrule the admissions office." Ed Wall, dean of admission and financial aid at the University of Southern California from 1982-84, confirms the end-around play. At USC, Wall claims, the president can. make special dispensation for alumni or trustee children, kids who might represent heavy financial contributions or athletes. Wall says he recalls about eight "presidential admits" in his first year at USC and about 15 in his second, perhaps half of them with GPAis below 2.0 (p.10). How important are athletic recruits to the revenue, of a programs-very important! This importance is exemplified in an article by Newsweek. This article describes Wayman Tisdale, a basketball player at the University of Oklahoma, importance to the program. The article states, Tisdale's success need not be measured only in games won and postseason awards. In 1981—82, just before ”Mr. T" arrived, the school grossed $278,000 in ticket sales on a average of 7,466 spectators per game. Last seasons gross was $762,000; the average crowd was 11,510--in a arena that seats only 10,000 (p.49). Lorenzo White, changed the fortunes of Michigan State University's football program when he carried it to the Rosebowl in 1987. The new state-of-the-art multipurpose Breslin Arena, on MSU's campus is known as the house that Magic Johnson built. Magic was the driving force in MSU's 1979 NCAA national basketball championship title. One can easily see why recruiting, and the admission process is so very important in athletics. One can also see, why there is .so much cheating and abuse revolving around the recruitment 9 and admissions process. Athletes are critical to produce winning programs. Winning programs generate income, recognition, spectator interest, and the all important television revenues and exposure. In the pursuit of increased revenues for athletic programs, colleges and universities began to challenge the NCAA's control of television, and the number of times an institution could appear on television. According to Sperber (1991): The University of Pennsylvania, in 1940's had some outstanding football teams and televised all of its home games. When other schools started doing the same, some college sports officials worried about the effect of TV on game attendance. In 1951, a majority of the NCAA membership, convinced that televising college football had to be limited, passed the NCAA's first TV rule; one national game a week on television and for only seven Saturdays in any one region. Penn challenged the new ruling: the NCAA declared the school a member in "bad standing,“ and four visiting opponents for 1951 refused to come. Penn capitulated and the NCAA monopoly on television with intercollegiate football began (p.49). The NCAA's monopoly on television would be tested. The major football powers realized that they could increase revenue and exposure for their programs, if the limits imposed by the NCAA were lifted, and they were free to negotiate their own TV deals, and contracts. According to Sperber (1991), in 1976, sixty-one of the major football powers formed the College Football Association (CFA) and immediately started lobbying within the NCAA for a TV contract that favored them, as well as greater control over player eligibility, and terms 10 of athletic scholarships. In 1981, the CEA began negotiating a separate TV deal with NBC-television, a direct challenge to the NCAAfs monopoly. Some educators saw the CEA‘s moves as a part of a widened plan to expand big-time college sports, and they warned that "the prospect of huge television revenues....puts too much pressure on the institution and the coaches to win at all costs, even if it means paying athletes, doctoring their academic transcripts, or violating rules in other ways" (p.50) They finally took this to court. The university of Georgia and the University of Oklahoma with the CFA's support, challenged the NCAA in court, and won. The court ruled; the NCAA. was in violation of the Sherman [antitrust] Act. The NCAA appealed before the Supreme Court in March 1984, and lost again. Justice John Paul Stevens wrote for the majority of the Supreme Court: "There can be no doubt that the challenged practices of the NCAA constitute a restraint of trade in the sense that they limit members' freedom to negotiate and enter into their own television contracts.”r This decision basically opened the door for individual schools and conferences to negotiate their own TV contracts, and appearances, and act more openly as a corporate entity. Initially, there was a drop in the TV monies, because of over- exposure. However, things have recently changed, and not always to the benefit of the student-athlete. In the quest for exposure and increased revenues, schools have changed 11 competitive schedules, play athletic contests on any day or night, catering to the whims of TV executives. This put college student-athletes in tough academic positions, because of lost class time, due to team travel and late night scheduling of games, to accommodate TV. Television is very important to big-time intercollegiate athletic programs. Television exposure means money and prestige. Historically, even in the 19th century, institutions of higher education wanted winning athletic teams for institutional visibility and public support, even when there were no TV sets. Television has become important because football, baseball, basketball, and hockey facilities, can only accommodate so many spectators. They can only raise ticket prices so often, and only to certain levels. Because of this, and many other reasons, college athletics has developed many alternatives to finance its programs, TV is a major means. To secure TV exposure and maximize income, you must win and be deemed marketable. Winning means post-season bowl games, and NCAA tournament appearances. CBS will pay the NCAA and its member institutions one-billion dollars over a seven- year period for the rights to broadcast the NCAA Division I basketball championships. The 1995-96 NCAA certified football bowl games, will pay almost one-hundred million dollars, to participating teams (see appendix-c) . The W1 (1995) reported; Notre Dame 12 faced an eight million-dollar showdown in its contest with Army. The article states: "The money, literally, is on the table Saturday for Notre Dame. WCuld you believe an eight mdllion game?" The article further states, “that it could be at Air Force. If the Irish beat the Falcons, they'll most likely finish in the top 10 in the polls. That means a bowl alliance bid in the Fiesta, Sugar or Orange. Minimum.payout: $8 million, and being the independent, the Irish won't have to share the loot with anyone” (p.5c). The commercial status of big—time college athletics is further exemplified, by using corporate sponsorships. Corporate sponsorships have become the second and. most important means of financing college athletic programs. A June 16, 1993-article by Michael Hiestand in HSA_IQday states, Sponsors make sports bigger, richer and more telegenic as they wage the priciest competition in sports (p.c1). .According to DSA_Igday, corporations paid 22 billion dollars for corporate sponsorships; 6.7 billion for sports-related corporate overhead, sales promotion, public relations and event signs; 6.2 billion corporate entertainment at sports events (skyboxes, tickets, hospitality, etc.,); 3.4 billion ad spending on TV/radio; 3.3 billion ad spending on newspaper/magazine; and sponsorship fees 2.4 billion (p.c2). Sperber (1991) explains; corporate sponsorship, with all its gleaming manufactured.images and big bucks, is what contemporary athletic directors seek most. It started in the mid- 1980's when a number bowl games and such hybrids as the John Hancock Sun Bowl and the Sea World Holiday Bowl appeared on TV to perplex New Year's viewers. Then the venerable Sugar Bowl became the USF&G Sugar Bowl. The bowl committees--and corporations--at first worried that the public would not like the new situation: the public 13 relations director of the Sea. World Holiday' Bowl commented, ”People are slow to accept some kinds of change, and I think tradition gets in the way," but, he predicted, "corporate Sponsorships of college sports was here to stay" (p.62). Sperber (1991) goes on to suggest: “College Sport Inc., pursuit. of’ corporate sponsorships raises serious ethical questions for' higher educationm Since their inception, colleges and universities have tried to protect the integrity of the academy from outside encroachments and blandishments. Schools have never sold their integrity to business interests. However, athletic departments, as commercial entertainment ventures, see nothing wrong in corporate or any kind of sponsors.“' Sperber, believes the 'practice of corporate sponsorship 'undermines one of the fundamental tenets of American colleges and universities, their independence (p.65). Sperber, presents a valid point. One has to wonder if the University of Michigan, selling its name to Nike, is any different from the deal that the Dallas Cowboys struck with the same sports apparel giant. Another ethical concern for higher education institutions and their athletic departments, is the sale of player trading-cards. Universities and college athletic departments, devised a plan, whereby they would produce player trading-cards, of its current student-athletes, and sell these cards to the general public, for profit. This was done without their student-athletes consent. There was a general outcry among students-athletes, and the public realized that 14 this was hypocrisy and commercialism in its highest form. Because of the negative publicity institutions received from this scheme, in 1994 the NCAA banned this practice. NCAA bylaw 12.5.1.2 adopted 1-11-94, states: “A.member institution or recognized entity thereof (e.g., fraternity, sorority or student government organization, a. member conference or noninstitutional charitable, educational or a nonprofit agency may distribute but may not sell player/trading cards that bear a student-athlete's name or picture (p.77).” The NCAA never allows student-athletes to use their athletic reputation for compensation or employment purposes. However, they do allow institutions to use its athlete's name and reputation for promotional, revenue, and commercial interests. A.classic example, is the sale of its top-player jerseys to local businesses and bookstores, its use of player names and pictures on institutional posters and schedule cards, also the direct use of student-athletes' names via a variety of media outlets, in the promotion of its athletic competitions, no different from professional sports. Is this amateur athletics? The NCAA defines a ”professional athlete” as one who receives any kind of payment, directly of indirectly, for athletics participation, except as they permit under their legislation. The NCAA defines their own circumstances and can define and create their own rules of the game. How they define professional or amateur, may not be the case. They 15 develop definitions and rules that benefit their association. Often the rules, regulations and policies have nothing to do with reality. An example, is the NCAA's definition of pay. They define pay as the receipt of funds, awards or benefits not permitted by their governing legislation for participation in athletics. NCAA legislation, permits student-athletes to be professional in one sport, be eligible, and to be able to participate in a different sport, and still be called an amateur. One can be a participant in the NFL and still play college basketball. How can this be? The NCAA, and its member institutions define amateurism, commercialism, and professionalism, in their own terms and circumstances. This seems to conflict with the goals of higher education. .According to the NCAA.competitive athletic programs of member institutions are designed to be a vital part of the educational system. Also, the PEEES§EQ£MtheNCAA is to maintain intercollegiate athletics as an "integral" part of the educational program and the athlete as integral part of the student body and, by so doing, retain a clear line of demarcation between intercollegiate athletics and professional sports (NCAA, 1995, p.1). Furthermore, one of the guiding principles of the NCAA is amateurism. NCAA policy states: "Student-athletes shall be amateurs in an intercollegiate sport and their participation should be motivated primarily by educational and by the physical, mental and social benefits to be derived. Students' participation in intercollegiate 16 athletics is an advocation, and student-athletes should be protected from exploitation by professional and commercial enterprise" (NCAA 1995 p.4). Therein lies the question, is the line of demarcation between. higher education's intercollegiate athletics and professional sports really clear. It appears that college athletics is in many regards, as much as an entertainment commercial enterprise, as professional sports. It appears as if college athletic programs have their own missions, many may not be congruent with the aims and purpose of higher education. This research investigates, the concept of commercialism in big-time college athletic programs. It will determine whether they are, in fact, meeting institutional missions, as suggested by the philosophy statements of the NCAA. This study will help determine whether or not they are really a highly commercialized entertainment business, hiding behind the disguise of higher education and its eleemosynary principles. The significance of this study, is that it will help to detect the real nature and purpose of big-time intercollegiate athletics. It will also help determine, if college athletics at the Division I level, needs significant reform, and the magnitude of the reform necessary, in order for these ancillary programs to comply with the mission of higher education. In an era of accountability, intercollegiate athletic programs, must also be accountable 17 for meeting institutional goals and objectives. If athletic programs cannot or will not be accountable, they should be called what they are--commercial entertainment. This research investigates, issues related to the purpose of intercollegiate athletics in higher education.. CHAPTER II REVIEW OF THE LITERATURE To understand how and why intercollegiate athletic programs got to the position it is in today, one must look at their historical roots, and the development of amateurism. Many contemporary athletic administrators, and coaches believe the concept of amateurism in college athletics. However, research does not support this position. According to David c. Young (1984) in W Athletics; Ancient amateurism is a myth. Ancient athletes regularly competed for valuable prizes in other games before they reached the Olympics, and they openly profited from athletics whenever they could. Yet the public still imagines an idealistically motivated Greek athlete who never competed for more than an olive crown and some glory. Young goes on to state: ”I can find no mention of amateurism in Greek sources, no reference to amateur athletes--no evidence that the concept "amateur” was even known in antiquity. The truth is that ”amateur” is one thing for which the ancient Greeks never even had a word" (P.15). Young, (1984) finds: Our conviction that there were amateur athletes of some kind at some time in antiquity does not come from ancient texts; it comes from works published in the past century, written by men who were promoting a modern cause and a modern idea. They wished to represent Greece as an ancient precedent for the athletic system which they themselves preferred (p.15) . This notion sounds similar to the philosophy of the National Collegiate Athletic Association, (NCAA). Young (1984) finds that amateurism is a strictly modern concept born in England not much more than a century ago. It 18 19 began as the ideological means to justify an elitist athletic system that sought to bar the working class from.competition. Most people nowadays think that amateurism was somehow the original state of our own organized sports, and that professional sports encroached on an earlier amateur system (p.10). The first amateur athletic organization in history, the Amateur Athletic Club, was formed by university men in London in 1866. Young suggests that its expressed purpose was to enable "Gentleman. Amateurs the means of practicing and competing versus one another without being compelled to mix with professional runners." But "professional" did not mean to those men what it means to us. Those who coined the term “amateur athlete" did not define it, as we do now, strictly in terms of money or athletic profit. For them.it was primarily a question of social class (P.19). In reality, there was never such thing as the amateur in athletic competition and nor does it exist today, even in the development of American intercollegiate athletic programs. The Oxford-Cambridge cricket match at Lord's Grounds in London in 1827 started the development of intercollegiate athletics. Harvard and 'Yale led. American colleges into organized intercollegiate athletics in the mid-nineteenth century. Ronald Smith (1988) in spgrt§_and_£reedomi_11he_fiise Wins," finds: From.the first contest, intercollegiate sport has been 20 a commercial enterprise, and professionalism followed closely on its heels. The process of rationalizing athletics to create efficiency and victories was well developed before the NCAA was created. In other words the push for excellence and winning had evolved at an extremely early time. The stage for imitating Harvard and Yale was set in the nineteenth century” (p.ix). Smith finds: "In the years between and the initial meeting of the National Collegiate Athletic Association in 1905, the basis for the highly commercial and} professional sports in colleges was established. Huge crowds in enormous stadiums with large gate receipts, highly paid coaches in control of recruited athletes receiving handsome financial rewards, and the media telling the story and promoting the events were all in evidence. There were also those who regretted that Yale and Harvard had given commercialized sport to American colleges and the leaders of the most highly visible part of the non-academic aspect of colleges into the twentieth century (p.4). Smith further states, ”Despite the dampening effect on sport of religious orthodoxy and the belief that college authorities should act on behalf of students' parents, the rapid growth of colleges gave rise to the competitive spirit among institutions of higher learning. The religiously motivated rivalry and the freedom to purse different religious and educational aims would eventually lead colleges to use the publicity value of sport to promote growth, both financial and enrollment. The competitive nature was there almost from.the beginning” (p.10). In documenting the history of commercialism in intercollegiate athletics, Smith writes: Nearly ten years after a group of Yale students formed a rowing club, Yale met Harvard in the first American intercollegiate contest, a boat race in New Hampshire. A New York newspaper predicted that intercollegiate sport would "make little stir in a busy world." The 21 offer by a railroad superintendent to transport and house the crews of the two most prestigious colleges to a vacation spot over a hundred miles from.the Cambridge campus and nearly twice that distance from New Haven was the beginning of commercialized intercollegiate athletics in America. The railroad official believed that there was enough interest in colleges and in an athletic contest to produce a profit in his commercial venture even after paying all expenses for an eight-day trip for Harvard and Yale crews. Businessmen, in addition to the rail superintendent James Elkins, saw the commercial possibilities in the race. The quiet summer resort at Center Harbor on Lake Winnipesaukee became "full of life and excitement" and added revenues to the local hotel and the steamer on the lake during late July when crew arrived (p.27). This excitement and entrepreneurial spirit sounds all too familiar to the atmosphere surrounding collegiate athletics today. Smith (1988) further suggests: ”It seems clear that within less than a decade, several factors not commonly attributed to early intercollegiate athletics had crept into their contests. The prestige, obtained from winning, the honor brought to the college, and the interest of the public in the physical prowess of the educational elites were all in existence. In addition, the value of sponsoring the contests for commercial gain and the concern for the outcome by bettors contributed to the growth" (p.33). American intercollegiate athletics rapidly continued in their development. Crew teams developed better training facilities, financing and training methods to increase their chances of producing a winner. .A significant development in college sport was the addition of the "professional" coach. In 22 their quest for winning, Yale figured it needed to improve their training methods, therefore they hired a coach, which forever changed the methods of training, and increased the need to win. The interest in crew eventually waned however, baseball picked-up where crew left-off. Baseball was the dominant intercollegiate sport of the 18003, and well into the twentieth century. The important thing to note about early baseball, is that there was really not any noticeable difference between the professionals and the collegians. Many students competed in both the professional ranks and intercollegiate competitions. Eligibility problems were a major concern, and as a result, colleges tried to establish some fonmal rules of eligibility, but they did not work very well, as the teams and coaches just ignored them. As the Presidents Commission of the NCAA is trying to do today, the president of Clark University, G. Stanley Hall, tried in the 19005, to end the problems of professionalism, commercialism and. hypocrisy in baseball. However, the interest in competition was only beginning in intercollegiate sports. The grandaddy of college sports would rise to the occasion, "college football." ’ College football was the fourth intercollegiate sport in America, following crew, baseball, and cricket (Smith, p.69). Rutger's contest against Princeton was the first intercollegiate football contest in 1869. Then football grew 23 and grew. The biggest of the events were the Thanksgiving games in the late 18003 and they were festivals of commercialismt Said President Warfield of Lafayette College in Pennsylvania: ”The Thanksgiving game in football for a big thme team brings in revenue greater than the total expenditure‘ of the trustees supporting 25 professors and educating 300 men" (Smith, 1988, p.69). More than any-other sport, football was the most controversial, because of the attraction and the brutality of the sport. Smith: in W W, writes: “Governing board in the late nineteenth century, like presidents spoke for America when they endorsed football and other sports on the college campus. Boards more and.more were drawn from.the business elite to set policy in American colleges and universities. They began to set athletic policy as well, condoning the commercial and business aspects of athletics (p.81). ZMany other sports began to be developed on college campuses. Intercollegiate athletics became entrenched in higher education institutions, and they were highly commercial nonamateur ventures. As one can see from the historical review, there were never amateur intercollegiate sports. One may ask the question, how did we get this idea of amateurism in college athletics? Society made it up, like Santa Claus! .Most do - not understand. the concept of amateurism/commercialism.in intercollegiate athletics. Many in 24 the field of intercollegiate athletics, feel that college athletics are strictly an amateur, noncommercialized activity, or continue to debate this subject. Smith, explains why this debate continues and how this myth has persisted over time. Smith states, To conduct athletics in a professional mode while calling them amateur was both a self-contradiction and an hypocrisy; a pretense at virtuous character without possessing virtue. To call collegiate sport amateur was in fact playacting, the ancient Greek definition of the term hypocrisy. Intercollegiate athletics, which had many virtues according to numerous individuals, was acting the part of amateur sport while playing like professionals athletics. Thus, the amateur- professional athletic dilemma developed. If a college had truly amateur sport, it would lose contests and thus prestige. If college acknowledged outright professional sport, the college would lose respectability as a middle-class or higher class institution. Be amateur and lose athletically to those who were less amateur; be outright professional and lose social esteem. The solution to the dilemma, then was to claim amateurism to the world while in fact accepting professionalism. The solution worked amazingly well, but it was not honest intellectually, thus the dilemma (p.98). This dilemma continues today. An in-depth review of intercollegiate athletics is necessary, to determine if the commercial-professional status has changed in higher education institutions. Three main organizations control college athletics; the National Intercollegiate Athletic Association (NAIA), the National JUnior College Athletic Association (NJCAA), and the National Collegiate Athletic Association (NCAA). The NAIA, governs intercollegiate athletic programs of smaller colleges and 25 universities. The NAIA has two competitive levels, sponsors national championships, and awards athletic grants-in-aid to their student-athletes. The NJCAA is an athletic association that provides intercollegiate athletic opportunities for students attending a junior or a community college. Many junior colleges (JC) sponsor low-key athletic competitions and some sponsor high powered programs, that offer athletic scholarships. Many of their student-athletes transfer to four- year institutions, to continue athletic careers. Some of these JC programs are feeder systems for the high powered four-year institutions. The largest and most powerful of the governing bodies of athletic programs in higher education institutions, is the NCAA. The NCAA has approximately twelve-i hundred institutions as members. Many of these institutions are small, but a significant number are large with very high powered athletic programs. The NCAA contains within its structure, the highest level of intercollegiate competition possible. The NCAA. was founded in 1905 largely' because of problems, and the brutality of football, in college institutions. The main concerns of the NCAA during this period, were controlling and establishing viable rules for football. The NCAA was initially a very weak-loose organization. According to Smith: "The importance of the founding of the NCAA.was that it gave a national focus to the numerous problems facing intercollegiate athletics. The NCAA 26 was not able to solve the problems, except for producing unifomm playing rules for various sports, but it was a vehicle for discussing them. The NCAA also produced guidelines for institutions who wanted to achieve faculty control of athletics. If a college wanted to limit recruiting and the granting of athletic scholarships, the NCAA guidelines could be used. If a single school or league wanted to eliminate professional athletes or those who played summer baseball for pay, the NCAA studies and recommendations would be helpful. The early years of the NCAA were, then, a time when a slow process took place, moving from individualism of institutions to collective control for the good of intercollegiate athletics (p.171). A close scrutiny of the NCAA.will determine what impact it had on athletics in higher educations institutions and it's perception of amateurism. The purposes of the NCAA as outlined by their Manual are: 1. To initiate, stimulate and improve intercollegiate programs for student-athletes and to promote and develop educational leadership, physical fitness, athletics excellence and athletics participation as a recreational pursuit; 2. To uphold the principle of institutional control of, and responsibility for, all intercollegiate sports in conformity with the constitution and bylaws of this Association; 3. To encourage its members to adopt eligibility rules to comply with satisfactory standards of scholarship, sportsmanship and amateurism; 4. To formulate, copyright and publish rules of play governing intercollegiate athletics; 27 5. To preserve intercollegiate athletic records; 6. To supervise the conduct of, and to establish eligibility standards for, regional and national athletics events under the auspices of this .Association; 7. To cooperate with other amateur athletics organizations in promoting and conducting national and international athletic events; 8. To legislate, through bylaws or by resolutions of a Convention, upon any subject of general concern to the members related to the administration of intercollegiate athletics; and 9. To study in general all phases of competitive intercollegiate athletics and establish standards whereby the colleges and universities of the United States can maintain their athletics programs on a high level (NCAA, p.361). Under their fundamental policy, the NCAA describes its basic purpose: The competitive athletic programs of member institutions are designed to be a vital part of the educational system. .A.basic purpose of the Association is to maintain intercollegiate athletics as an integral part of the educational program.and the athlete as an integral part of the student body and, by so doing, retain a clear line of demarcation between intercollegiate athletics and professional sports. Before the commercial aspects of the NCAA and its member institutions can be discussed, the formal structure of the NCAA must be described. The NCAA is a voluntary organization, which sets policy, guidelines, rules and regulations for its member institutions. The NCAA, also has within its 28 organizational structure, compliance and enforcement divisions, these components ensure that its members meet the many rules. Many rules are not enforceable or impossible to monitor, on a consistent basis. The policies, rules, regulations and legislation of the NCAA, is set by its member institutions, during its annual convention, usually held in January. Each active member, and each conference, is entitled to one vote, on the variety' of rules, regulations and guidelines presented at its convention. The NCAA is structured into divisions, one, two and three. Division I, is further subdivided for the sport of football into divisions IeA and I-AA. Under specified circumstances, some of its members are allowed to be multidivision. The membership in each division is determined by; minimum sports sponsorship requirements, minimum scheduling requirements and minimum game-attendance requirements. NCAA division 12A is the highest level of competitive intercollegiate athletics, and is the subject of this study. The NCAA as a whole, is structured as a commercial enterprise but, the scope of this study will be limited to an in-depth review of its most commercialized and publicized Division I-Ai The question may be posed, how is division I-A.any different from Division II and Division III, other than the criterion previously stated?‘ One can clearly define the differences, in the NCAA's "philosophy of statement" for each division. An 29 analysis of the NCAA.philosophy statements gives evidence of the commercial nature of intercollegiate athletics by its member institutions. In defining the purpose of each division the NCAAQMannal states for Division I: a. b. Subscribes to high standards of academic quality, as well breadth of academic opportunity; Strives in its athletics program for regional and national excellence and prominence. Accordingly, its recruitment of student-athletes and its emphasis on and support of its athletics programs are, in most cases, regional and national in scope; Recognizes the dual objective in its athletics program of serving both the university or college community (participants, student body, faculty- staff, alumni) and the general public (community, area, state, nation); Believes in offering extensive opportunities for participation in varsity intercollegiate athletics for both men and women; Sponsors at the highest feasible level of intercollegiate competition one or both of the traditional spectator-oriented, income-producing sports of football and basketball. In doing so, members of Division I recognize the differences in institutional objectives in support of football; therefore, the division provides competition in that sport in Division I-A.and Division I-AA; Believes in scheduling its athletics contests primarily with other members of Division I, especially in the emphasized, spectator-oriented sports, as a reflection of its goal of maintaining an appropriate competitive level in its sports program; Strives to finance its athletics program insofar as possible from revenues generated by the program itself.‘ All funds supporting athletics should be controlled by the institution; and 3O Understands, respects and supports the programs and philosophies of other divisions. Occasionally, institutions from other divisions or athletics associations will seek membership in Division I. In such cases, the applicants should be required to meet over a period of time prescribed criteria for Division membership should be in order to assure that such institutions agree and comply with the principles and program objectives embodied in this statement (NCAA, p.370). In the philosophy statement of Division II, the NCAA states: That athletic programs be based on sound educational principles and practices, is a proper part of the educational mission of a university or college and that the educational welfare of the participating student-athlete is of primary concern (NCAA, p. 370). .Also, the statement of philosophy of Division II, are: a. Believes in offering a maximum amount of intercollegiate athletics participation to as many of its students as possible, whether or not these students are athletically recruited or financially assisted; Believes in striving for broad participation and competitive excellence, encouraging sportsmanship, and developing positive societal attitudes in all of its athletics endeavors; Believes in scheduling the majority of its athletics competition with other members of Division II, insofar as geographical location and traditional or conference scheduling patterns permit; Recognizes the dual objectives in its athletics program.af serving both the campus (participating, student. body, faculty) and. the general public (community, area, state); Believes in permitting athletically related financial aid for its student-athletes, but on a more modest basis than that permitted in Division 31 I; and Believes that all members of Division, including those institutions aspiring to membership in some other division or unable to subscribe to all of the aspects of the Division II philosophy, should commit themselves to that philosophy and to the regulations and. programs of Division II(NCAA, p.374). Finally, the philosophy statements of Division III are: a. Place special importance on the impact of athletics on the participants rather than on the spectators and place greater emphasis on the internal constituency(students, alumni, institutional personnel) than on the general public and its entertainment needs; Award no athletically related financial aid to any student; Encourage the development of sportsmanship and positive societal attitudes in all constituents, including students-athletes,coaches, administrative personnel and spectators; Encourage participation by maximizing the number and variety of athletics opportunities for their students; .Assure that athletics participants are not treated differently from other members of the student body; .Assure the athletics jprograms support the institution's educational mission by financing, staffing and controlling the programs through the same general procedures as other departments of the institution; .Assure that the actions of coaches and administrators exhibit fairness, openness and honesty in their relationships with student- athletes; Provide equitable athletics opportunities for males and females and give equal emphasis to men's and women's sports; 32 1. Give primary emphasis to regional in-season competition and conference championships; and j. Support student-athletes in their efforts to reach high levels of athletics performance, which may include opportunities for participation in national championships, by providing all teams with adequate facilities, competent coaching and appropriate competitive opportunities (NCAA, p.374). A.careful review of each of these philosophy statements show some major differences. Key in the difference, is that in Division I, there is no reference to their programs support of the educational mission. .Also, the differing statements show, emphasis on the commercialism and the entertainment value, placed in Division I, institutions. Adso fundamental to the NCAA, are its false notions of amateurism and noncommercialism, as evidenced in their two policy statements: (1) The competitive athletics of member institutions be a part of the educational system, and retain a clear line between professional sports and college athletics; (2) student participation in intercollegiate athletics and students-athletes be protected from.exploitation by professional and commercial enterprises (NCAA, pp. 1-2). Again, a review of current literature does not support these principles and philosophy. Murray Sperber (1991) in W Wrens: states, There is a myth that college sports are part of the educational mission of American colleges and universities. He says: “The main purpose of college 33 sports is commercial entertainment. Within most universities with big-time intercollegiate programs, the athletic department operates as a separate business and functions of the school-~even research into teaching of sports is done by the physical education department (p.1). Sperber (1991) further suggests, the reason elite athletes are in universities has nothing to do with the educational missions of their schools. Athletes are the only group of students recruited for entertainment-not academic—purposes, and they are the only students who go though school on grants based not on educational aptitude, but on their talent and potential as commercial entertainers(p.l) James‘V. Koch (1971) in a study titled: "The_Egganigs Ware—Athletics," describes the intercollegiate athletic market as being dominated by a national cartel which is frequently administered and modified on a regional or local basis. Koch states; The national cartel, the NCAA, typifies the usual cartel in that it: (1) sets input prices for student-athlete inputs; (2) regulates the duration and intensity of usage of those inputs and their subsequent mobility during their careers as collegiate athletes; (3) regulates the type and particularly the quantity of output of games; (4) seeks to pool and divide portions of the cartel's profits (for example, television receipts); (5) makes information available to cartel members concerning transactions, market conditions, and business and accounting techniques; (6) attempts to police the behavior of the members of the cartel; and, (7) levies penalties against cartel members for infractions of the cartel's rules (p.249). 11 H l' 1 C 1] . | Eli] I' E . l' . E SI 1 34 in_£artel_BehaxiQr, describes the difference in professional sports and big-time intercollegiate athletics. The writers state; The difference with professional sports lies mainly in the form that net revenues take on the balance sheet. Instead of being clearly listed as dividends to stockholders or retained earnings, NCAA member surpluses end up in expense items such as salaries, equipment, buildings, or even transfer to the general fund. Similarly, college athletes do not produce revenues for which they receive an in-kind payment from schools. Additionally, they provide implicit value to schools even if this value gets allocated to some other budgetary unit. The researchers conclusively state: The question of whether or not college sports are a business is no longer relevant; the question is only the order of magnitude (Fleisher, Goff, Tollison, 1992, p.14). One of the most commercialized practices by NCAA.member institutions, was the selling of player trading-cards for profit, without the students receiving any financial remuneration. This practice was highlighted by an article, in the Detroit_flews (1993); “Player Decries NCAA Slavery”. The article describes a basketball player at Cincinnati, who is threatening to sue, over of the player trading-card situation. The player, Terry Nelson said: "College players are glorified slaves. The NCAA is nothing more than a system of institutional slavery. It's a disgrace the way athletes are used. It's sick. I'm.going to try and do something about it” 35 (p.9b). Basketball player, Chris Webber from the University of Michigan also complained about the practice. It was one of the few occasions where student-athletes voiced displeasure, over the commercialized aspect of intercollegiate athletics. They voiced displeasure because they could clearly see, the direct connection between their participation in college athletics, and the use of their name, for a commercial venture. The payment of professional athletes for the commercial use of their names, heightened their awareness. Because of the outcries from the student-athletes, the NCAA member institutions became embarrassed, and finally legislated against this practice in January 1994. The report of the mmmmnww MW," finds: Within the last decade, big-time athletics programs have taken on all of the trappings of a major entertainment enterprise. In the search for television revenues, traditional rivalries have been tossed aside in conference realignments, games have been rescheduled to satisfy broadcast preferences, the number of games has multiplied, student-athletes have been put on the field at all hours of the day and night, and university administrators have fallen to quarreling among themselves over the division of revenues from national broadcasting contracts (p.5). Why would Michigan State University, play the University of Wisconsin in Tokyo, Japan, on December 3, 1993? The reason was money. This was a scheduled home contest for 36 the University of Wisconsin. However, the University of Wisconsin was not winning in football, and revenues from gate receipts were down because football attendance was poor. Wisconsin realized it could generate more income by playing in Japan. Michigan State realized because it was a road game they could also generate extra revenues by playing in the ”Coca- Cola" sponsored Japan Bowl. It did not seem to matter that the student-athletes had to miss a week of classes at the end of the semester, it was all about money. Wisconsin was guaranteed four-hundred thousand dollars from Coca-Cola, and MSU, two-hundred thousand dollars. Officials at both schools admitted that the revenue distribution would have been the same, if it had been a home contest for Wisconsin. However, the distribution was contingent upon the attendance at Wisconsin which was low in previous seasons. During the preliminary planning discussions for this game, Wisconsin was not drawing well, and it was not anticipated they would be able to generate similar revenues from their gate. This game became very controversial. If Wisconsin won this game, they would win the Big Ten championship, and represent the Conference in the Rose Bowl, and their fans could not even attend the MSU game. Even the legislature from the State of Wisconsin questioned, why was this game in Japan. Athletic Administrators at Wisconsin, had to explain; the game was scheduled a year in advance, for revenue purposes. At that time no one believed the University of Wisconsin's 37 football team would challenge for the Big Ten Conference football title. In this instance, the quest for dollars backfired. The study, W W, typifies big-business and commercialism of intercollegiate athletics. The purpose of this study was to quantify, in dollar terms, the economic impact of football-related expenditures on the economy of the region surrounding the University Park Campus. It was also the purpose of this study to concentrate on the nonlocal fans to determine the true economic benefits to the region. The study concluded: The impact of Penn State football weekends on the State College was enormous. The nearly 54,000 fans who traveled more than 25 mules to attend each of the seven home games during the 1986 season spent more than $20.4 million locally. This direct spending was multiplied as it was spent and respent in the regional economy to generate a total direct and indirect spending of $40.3 million or nearly 45.8 million per game. Table-2.1 Shows the per person game expenditures of persons who spent by category in the State College region and the percentage of respondents with expenditures in a category. Table-2.2 shows the estimated expenditures per person per game averaged across all fans (within 25 miles of State College). Table-2.3 shows the estimated expenditures by category and economic impacts of football weekends (spending within 25 miles of State College by' nonresidents), and. table-2.4 shows the estimated season expenditures by fans in the rest of Pennsylvania (more than 25 miles from State College), (Anderson, Erickson, Goodbey, Graefe & Gudagnolo, 1987). This huge impact on the local economy is what the report of the Knight Commission is describing, when it states, the 38 local economies are dependent upon big-time intercollegiate athletics. This report does not account for the economic impact of institutions that sponsor big-time basketball, baseball and hockey programs. The expenditures could double or triple, in some cases. In today's big-time intercollegiate athletic programs, one of the major commercialized ventures, is marketing and promotion. The acquisition of television contracts, the corporate sponsorships, and the sale of athletic apparel are tremendous. Athletic departments have resorted to all types of marketing strategies to commercialize their product. Speber (1991) in CQllBa2_SDQ£L_lnC._Ih&.Ath£IiC_DBDAILmBnLEXSi_IhB University; writes: “Corporate sponsorship, with all its gleaming manufactured images and big bucks, is what contemporary athletic directors seek the most. It started in the mid-19803 when a number of companies began sponsoring bowl games and such hybrids as the John Hancock Sun Bowl and the Sea World Holiday Bowl appeared on TV to perplex New Year's viewers. Then the venerable Sugar Bowl became the USFaG Sugar Bowl". Today, practically all the major bowl games involve some form of major corporate sponsorship and the payout have become enormous, much to the delight of athletic administrators, (see table-2.5), (p.62). Sperber, further states, Corporate tie—ins to College Sport Inc. seem inevitable, not only to bowls but also to the athletic programs of individual schools. San Diego State 39 University has been a leader in the scramble for this new fonm of revenue. The school sells each home football game to a different business, including, in 1988, Texaco, Sea World, El Cajon Ford, and Smith Barney, and it also has three full- season sponsors, one of which, Agua Caliente Race Track, has a very problematic ownership history (p.62). The largest ever corporate sponsorship deal was promulgated by the University of Michigan and Nike Inc., in 1994. The University of Michigan sold its name to Nike. In return, the University and Nike agreed to a seven-year, $7- million-plus endorsement contract. The deal was in addition to the $300,000-plus cash and goods Nike already pays 17 Michigan coaches, trainers and athletic administrators for endorsing its products. Essentially, Nike can use the University of Michigan's name for the commercial and promotional interests. According to Sperber (1991) this type of corporate sponsorship raises serious ethical questions for higher education. He writes: Since their inception, colleges and universities have tried to protect the integrity of the academy from outside encroachments and blandishments, schools have never sold their names and, by implication, their integrity to business interests. However, athletic departments, as commercial ventures, see nothing wrong in peddling themselves, wrapped in their host universities' names, to corporate or any other kind of sponsors. Sperber believes, this practice undermines one of the fundamental tenets of American colleges and universities--their independence (p. 65). Television has become a large source of revenue, 40 commercialism, and the promotion of the entertainment value of college athletics. Until 1984, when the Supreme Court of the United States, National Athletic Association V. Board of Regents of the University of Oklahoma at al., upheld a lower- court ruling, which said, that the NCAA was in violation of Section one of the Sherman Antitrust Act. The NCAA, handled all contract negotiations, and restricted television appearances for its member institutions. The NCAA, argued that their Television Plan promoted the noncommercial undertaking of the organization, such as amateurism, keeping a competitive balance, stabilizing paid attendance at football events, and increasing cooperation among schools (Fleisher, 1992, p.59). The courts did not agree with the NCAAs' defense, they ruled, the NCAA was just another "classic cartel." This opened the flood gate for college institutions to negotiate their own television contracts and appearances. Today a variety of methods are used to promote the commercial and entertainment interests of college athletics via, television; the individual institutions negotiate their own contracts, in addition; the conferences negotiate contracts; and the NCAA also negotiates contracts. NCAA member institutions found they could negotiate for more money, if they banned together collectively, rather than go at it alone. This is why the NCAA and conferences are still involved in television plans.- In 1994, the NCAA Television Committee reported that 41 they had reached an agreement with CBS Sports and ESPN. The agreement included: an extension of their current contract through the year 2002; the agreement with ESPN is extended for three years, with ESPN having an option to continue through the year 2002. The rights fee from.CBS totals $1.725 billion for eight years (1995 through 2002), resulting in average rights fees of $215,652,000 per year. This is a 50.8 percent increase over the annual average rights fees of $143 million under the current contract. The total new rights fee provides an additional $95 million for the three years of the current contract including a $50 million payment to be made in 1996 as an advance against the rights fees in the last five years of the new agreement (NCAA Register 1995, p.1). As one can clearly see, television is big money and big business. CBS and ESPN, are not paying all these funds for nothing, they understand the commercial and the entertainment value of intercollegiate athletics. Now we have ABC, ESPN, ESPN II, Pay-Per-View, Direct TV, TBS, and many local networks all cashing in on the entertainment value of college athletics. The review of the status on big-time intercollegiate athletics shows, an increase in the patterns of commercialism. A.review of the literature, clearly indicates these patterns of operation, has caused. problems for higher education institutions. Questions concerning the purpose of these programs in higher education institutions appear to be valid. .Further investigation will determine, what those who are most 42 affected, have to say about commercialism in college athletics, and the effects it has on the so-called amateur games. Charlie Vincent, in an article for the Detroit_flgus says: "College athletics is show-biz and big-biz”. The review of the literature indicates questions need to be asked, concerning the real purpose of intercollegiate athletics. Many questions that the review of the literature revealed must be addressed in the future. Futher investigation and research will help answer these questions. 43 Table 2. 1 Per Person Per Game Expenditures of Persons Who Spent by Category m the State College Region and the Percentage of Respondents with rnaCategory (Within 25 miles of State College) Per Person Per Percentage of Game Expenditures Respondents Of Persons Who Spent indicating an In Category m the e in State College Region the Category Category Stadium Expenditures 3 21.95 100 Restaurants 9.74 74 Food and Bev in R ' Stores 4.08 37 Admission Fees 2.68 10 Bars, Night Clubs, and 5.81 35 Clothing and Equipment for Games 4.07 50 Other Retail Shopping 7.12 67 Lodging Expenses 19.56 28 Personal and Health Expenses 3.69 3 Private Auto Expenses 4.64 58 Commercial Transportation 26.49 3 Sitter Fees 4.42 2 Equrpment Rentals 7.75 l Donations 3.54 8 Other Expenses 80.88 6 Source: Pennsylvania Economic Studies 44 Table 2.2 Estimated Expenditures Per Person Per Game Averaged Across All Fans (within 25 miles of State College) Average Per Person Per Game Erfrendrtures m State Co ege Area Across All Fans Stadium Expenditures 3 21.95 Restaurants 7.14 Food and Beverages in Retail Stores 1.56 Admission Fees 0.27 gar, ,Nightmglubs, and Lognges 1.97 othing Equipment or games 2.13 Other Retail Shopping 4.75 Lodging Expenditures 5.60 Personal and Health Expenditures 0.11 Private Auto Expenditures 2.61 Commercial Transportation 0.66 Baby Sitter Fees 0.70 Equipment Rentals 0.05 Donations 0.28 Other Expenditures 4.72 Source: Pennsylvania Economic Studies 45 Table 2.3 Estimated Expenditures by Categgzm Football W (Spending within 25 miles of State College by nonresidents) Category Expenditure Estimate Stadium Expenditures 8 8,283,600 Restaurants 2,693,100 Food and Beverages m Retail Stores 588,100 Admission Fees 103,400 Bars, Night Clubs, and 743,200 Clothing and Equipment fores 801,700 Other Retail Shopping 1,793,500 Lodging Expenses 2,075,100 Personal Health Expenditures 41,300 Private Auto Expenditures 984,800 Commercial Transportation 247,800 Baby Sitter Fees 25,100 Equipment Rentals 17,900 Donations 105,100 Other Expenditures 1,944,900 Total Direct Nonresident Expenditures S 20,448,600 Multiplier for State College Region 1.97 Total Spending Generated for Season 8 40,283,700 3 5,754,800 Average Total Spending Generated Per Game Source: Pennsylvania: Econonn'c Studies and Economic Impacts of 46 Table 2.4 Estimated Season Expenditures by Fans in the Rest of Pennsylvania (More than 25 miles from State College) Category Estimated Expenditures Restaurants 8 1,430,700 Food and Beverages in Retail Stores 1,472,800 Admission Fees 37,000 Bars, Night Clubs, and 140,500 Clothing and Equipment for Games 618,400 Other Retail Shopping 202,000 Lodging 389,600 Personal and Health Expenditures 43,500 Private Auto Expenditures 1,300,000 Commercial Transportation 135,000 Baby Sitter Fees 58,000 Eqmpment Rentals 12,600 Donations 46,600 Other Expenditures 130,400 Total 3 6,026,100 Source: Pennsylvania Economic Studies CHAPTER III DESIGN AND METHODOLOGY The methodology that will be used for this study is the interview. An interview guide was prepared for the structured interview with each subject. The reason the interview is structured, is to be able to get comparable data from each of the responses, and to be able to tabulate and code responses in categories. The questions were organized and developed so that common themes could be clearly identified from the data and responses received. They are organized primarily to determine whether the respondent reported that intercollegiate athletics is a commercial business enterprise, is not a commercial enterprise, or did not have a definitive response. Each interview was recorded on a form, or taped. The questions that were asked, and their purpose were as follows: 1. How many years did you participate in college athletics at the Division I level? The purpose of this question was to determine if the respondent participated at the Division I level and to determine the number years of experience at this level. .If the respondent did not participate at 47 48 Division I, responses cannot be considered useful for this study. The number of years of college participation may reflect an individual’s knowledge and experience. Why did you choose a particular college institution? This question was to determine the reasons student-athletes choose a particular college institution, whether it was for an outstanding academic reputation, weather, size, athletic reputation, increased opportunity to make the professional ranks, television exposure, winning athletic program, etc. Did you graduate from college? The specific purpose of this question was to determine if those who graduated from college, have different attitudes from those that did not, and if they view college athletics differently; or the question may determine that there is no significant difference between the two groups. How many years have you participated at the professional level? .Again, this question determines the experience at the professional level, and if the subject has had sufficient 49 experience to compare and contrast intercollegiate athletics with the professional sports. The investigator believes at least six months of professional experience, or one season of professional competition is sufficient. Is there pressure to win at the college level; if so, how would you compare it with professional sports? This question is to determine what kinds and how much pressure there is in college athletics, and whether the pressures to win and perform are as intense/similar as it is in the professional ranks. This information was used to compare the pressures on the participants at both levels. Is there enough time to carry-out the necessary activities to be successful academically in college, with your athletic activities? The primary reason students come to college is for a higher education. An aim of higher education is to provide students with the opportunity to learn. The question determined if student-athletes realistically have enough time to learn and successfully complete their studies, and/or whether education and studying are just a necessary evil to 8. 50 participate athletically. This question determined whether student-athletes must spend too much time in athletically related activities to perform well academically, or whether there is really enough time. If you had to change anything about your experience as a college student-athlete, what would you change? This question was to draw out some problems in college athletics as perceived by its participants, problems that might not occur to the investigator. It determined what athletes think about college athletics and whether or not they see the commercial aspects without them. being directly asked. What do you believe are the similarities between "big-time" college athletics and professional sports? This question was intended to find-out [what the subject thinks are the similarities between college and professional sports and to decide whether they are essentially alike. Again, this question identified points that might not have occurred to the investigator. What are the important differences .between 10. 11. 51 professional sports and college athletics? This question detected the significant differences if any, between college and professional sports. It helped to decide if colleges are in the entertainment business. Do you believe "big-time" college athletics are in the money making business, or are they primarily in the education business? This question was to help determine how college athletes really feel about college. It determined if they believe education is a primary concern of athletic officials and college administrators; and if they perceive that athletics is operating within the mission of higher education. If you could change anything about college athletics, what would you change? This question was to discover what changes former 'college athletes think athletics needs to make, to improve the conditions for its participants; or whether colleges should treat college athletics as a business, and athletes as employees of the business; or whether they believe the balance is okay and nothing needs to be changed. . ‘J'F' 52 12. Should college athletes be paid, why or why not? This question determined if college athletes believe collegiate athletics is a job like any other job; if they should, or should not receive direct renumeration for services rendered; whether they feel athletic grant-in-aid is all they need; and if intercollegiate athletics is not like any other business in this regard. 13. .Are there any other comments you would like to make concerning these issues? This question was intended to solicit any other information not received through previous questions and/or whether the respondents feel there are other issues concerning the commercialization of college athletics, which was relevant to the study. This information has been gathered from former college student-athletes who participated in "big—time” intercollegiate athletic programs at the NCAA Division I level. This group was current or former professional athletes, who participated in the National Football League (NFL), National Basketball League (NBA), and the National Hockey League (NHL). The reason this group was selected is because they have perceptions and experiences that no other group can provide. These subjects have experience at both the 53 "professional" and "amateur" level, and provided insights that no amount of observation would reveal. They also provided insights into processes, sensitized the researcher to value dilemmas, and helped the researcher see the implications of specific findings. There was an attempt made to get a broad span of experience among the subjects, in an attempt to decide if things have significantly changed in college athletics over a period of years. The question may be asked, why not solicit information from coaches or administrators? The reason is, that these individuals may be biased, one way or another, which could lead to inaccurate results. College coaches and administrators have the tendency to espouse the prevailing philosophy of their national organizations; and/or the NCAA, or institutional philosophy. The groups of athletes selected for the study, had no particular reasons to be biased or untruthful. There is no pressure on them to comply with any institutional or organizational philosophy. In addition, they have experience in participating at both levels, something that coaches and/or administrators may not have. The selection of the sample was difficult, because of the nature of the defined group, and the difficulty of contacting each respondent. The researcher knew of several individuals in the defined group. The researcher asked these known individuals to participate in the study, and then asked them. to identify other individuals, who fit the sample group 54 profile to participate. The investigator also contacted athletes who are competing on local professional teams, and asked them to participate in the study. The size of the sample is twenty-one, seven from football, seven basketball, and seven from hockey. These subjects were selected randomly as to where they went to college, their teams and their income. The interview guide was pretested on seven subjects to decide if it was useful in obtaining the necessary information for the study. CHAPTER IV REPORT OF THE RESULTS The results of the study’ are organized. around. the relevant questions presented to each subject. Each question is introduced and the results represented in tables. The overall responses to each question are presented as percentages for each group, the average percentage across the total cohort, along with the actual numbers. After each table is presented, a written interpretation is provided, further explaining the contents of the tables and drawing attention to noteworthy findings. It should be noted that the results and findings are structured to reflect the intent of the study; testing the researcher's hypothesis that intercollegiate athletics at the NCAA Division I level is a commercial entertainment enterprise. The individual, specific comments are summarized here, along with, a general representation of the beliefs of the group. No attempt is made to include all comments, as many were restatements of previous comments by' participating individuals. The questions, comments, and resulting themes, are as follows: 55 56 How many years did you participate in college athletics at the Division I level? question (1) # surveyed ave. yrs. of participation 3.9 FOOTBALL 7 - 3 . 9, 2.8 Table 4.1 Question No 1, revealed that the average number of years of college athletic participation for football and basketball was 3.9 with a range of 3-4 years, for hockey it was 2.8. The range for hockey was 1-4 years. This was a straightforward question to determine if the respondent, had enough experience at this level of competition, to compare and contrast intercollegiate athletics with professional sports. The results show, an average of 3.5 years of intercollegiate competition, an average that satisfies the needs of this study. The NCAA. only' permits four years of athletic competition within a five-year window (from their initial date of full-time matriculation). Hockey had the lowest average years of participation, probably because of the nature of the sport. Hockey, is a sport where many of its participants are drafted into the 57 professional ranks out of high school. Many participants tend to leave college early to enter the National Hockey League. Hockey, also has a highly organized minor league farm.system, which allows individuals to gain the necessary skills to compete at the professional level. The NFL and the NBA do not have such minor league systems. Because of this, there is a tendency for football and basketball players to remain in college longer, to gain the necessary skills in order to compete at the next level and gain physical maturity. This finding is also confirmed in the range of years of participation, football and basketball had simdlar ranges 3-4, while hockey had a low of one year. There were no significant additional comments related to this question. The respondents answered in a straightforward manner with no additional commentary. 58 Why did you choose a particular college institution? . estion (2) ATHLETIC REPUTATION TV EXPOSURE PROFESSIONAL OPPORTUNITIES COACH WEATHER PARENTS LOCATION ACADEMIC RE PUTATvI ON OTHER REASONS Table 4.2 Question No 2, revealed that thirteen individuals chose a particular college institution because of its athletic reputation. Nobody indicated they chose a particular institution because of television exposure. Two responded they chose a institution because of professional sport opportunities; seven because of a particular coach; one because of their parents; three because of location of the