(05-20-2021 10:25 AM)Wahoowa84 Wrote: (05-19-2021 08:58 PM)Statefan Wrote: I disagree with your definition of value being the present value of expected future profits.
I would go as far to assert that college sports has many attributes of regulated monopoly suffering from free riders and an inability to squeeze out "profit" from what is on its face a non-profit activity.
Absolute or intrinsic values in these cases will be different than relative value but most firms are traded and are weighted relatively and easily comparable likes.
You are conflating two different words: valuations and value.
The WSJ publishes (the analysis is performed by IU academics) financial valuations of collegiate athletic departments. Valuation estimates are based on the present value of expected future earnings (generally "profits" or discretionary/free cash flow). Given uncertainty in future events, whether or not these valuation estimates are reasonable is always in dispute and fluctuating. My statements dealt with financial valuations.
The word "value" has a very different meaning. Financial value could include revenue, expenses, profits, assets, liabilities, etc. "Value" can also be measured in countless other variables: football (attendance or competitive success), fit (geographic distance or rivalries), profile (academic rankings or school size) and other sports (basketball or non-revenue). A school like Duke may provide negligible football value...while still providing conference value in terms of fit, profile and excellence in other sports.
Valuation is a defined financial term; while value is a more subjective and holistic concept.
All words have various usages and those who parse them are usually engaged in dissembling, propaganda, or pure sophistry. In this case it's an attempt to dissemble inasmuch as the gist of the discussion is abundantly clear. Pursue this tactic at your own peril as it is abhorrent behavior in a chat room. This isn't a UVa debate team for the puriant jollies of verbal jousting, nor or our purposes obfuscation.
Okay I said it politely. Now I'll be blunt, you know damn well what we are discussing and it's not the different usages of value. You can pick any data set from gross total revenue to media revenue, to WSJ valuations which carefully explains how it is assessed, to attendance, to television ratings and they all consistently place the ACC 4th or 5th in each. All of them indicate why you are paid what you are paid.
Plainly the only way the ACC catches up will be with football revenue enhancements and to make up the difference that limits you to targets that are top 10 in revenue generation, which translates to valuations of between 800 million to a billion plus, which have top 15 attendance, and are consider national brands which means they draw significant viewer numbers from all over and not just one region. Care to guess which schools can do that and are not already securely in the Big 10 or SEC?
Texas, Notre Dame, Oklahoma
If you want to catch the Big 10 and close the gap on the SEC the only damned way you will do it is with landing all three of those.
Therefore the question of this OP is how to accomplish that feat? What must the ACC concede in order to obtain them? Because if you don't seek to find what it takes to do so you will never make up the gap, which because of the ACC's contractual arrangement and timeline will be outpaced by all 4 of the other conferences getting pay boosts before you can.
This isn't multiple choice! This is the only option you have other than dissolution or simply taking severe lumps for the next 14 to 15 years. This isn't about parsing words, but rather strategizing what it would take to survive what is coming.
At least Notre Dame is a partial and at least the Big 12 is open minded about their options. If these were not preconditions the exercise would be moot. But the option has some degree of possibility. Notre Dame would be cajoled by a move to a champs only format in a breakaway upper tier (which NIL and stipends will likely create) which contains but 4 conferences. So it's doable. What would it take for Texas and Oklahoma to agree? Likely a division of their own and the lure of greater revenue which their inclusion provides anyway. True they could earn more in the Big 10 or SEC, but they like a measure of autonomy and control, as does Notre Dame as does North Carolina, Duke, and Virginia.
So in this hypothetical exercise quit parsing words and try to come up with a plan in which all of those valuable parties can find a peaceful coexistence in the ACC.