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The Atlantic Coast Conference: a Pre- and Post-Expansion Analysis

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The Atlantic Coast Conference: a Pre- and Post-Expansion Analysis The Atlantic Coast Conference: A Pre- and Post-Expansion Analysis Amanda K. Cooley A thesis submitted to the faculty of the University of North Carolina at Chapel Hill in partial fulfillment of the requirements for the degree of Master in Arts in the Department of Exercise and Sport Science (Sport Administration). Chapel Hill 2008 Approved by, Barbara Osborne, Esq. Edgar W. Shields, Jr., Ph.D. Beth Miller, D.A. Deborah Stroman, Ph.D. © 2008 Amanda K. Cooley ALL RIGHTS RESERVED ii ABSTRACT Amanda K. Cooley The Atlantic Coast Conference: A Pre- and Post-Expansion Analysis (Under the direction of Barbara Osborne, J.D.) Conference restructuring is a trend within Division I athletics and the effects of one conference restructuring extends across Division I athletics. Every Bowl Subdivision conference except for the Pacific-10 has restructured since 1990. The Atlantic Coast Conference expanded its membership to 12 in 2004-05 adding Boston College, the University of Miami and Virginia Polytechnic Institute and State University. This study identified motives for the expansion and goals set by the ACC leadership. Financial and performance data was compared pre- and post-expansion to determine the effects of expansion on the conference. This data was utilized to determine whether the ACC has met any of the goals identified. Four goals identified through this study were improving the ACC’s brand/identity, improving the conference’s value in the marketplace, increasing revenues, and maintaining conference culture. Statistical data supports that all goals are being met but did raise areas of concern in competitiveness and net profit. iii ACKNOWLEDGEMENTS I would like to take this opportunity to thank my advisor, Barbara Osborne, for her tireless efforts to push me along the path of writing this thesis. I would also like to extend gratitude to John Swofford, Jeff Elliott, Davis Whitfield, Bernadette McGlade, and Amy Yakola for their willingness to participate, their time and valuable contributions. Without their contributions, I would not have been able to pursue studying the ACC expansion as I desired. Personally, I would like to extend gratitude to my friend, Pam Creel, for her efforts in proofreading, which I know she thoroughly enjoyed. Judy Creel (Nanny) transcribed my interviews which was a daunting task for which I am forever grateful I did not have to do myself. I must also express my appreciation for my parents, Bobby and Phyllis Cooley, for their constant support throughout life and assistance with teaching me to write some 24 years ago. Finally, I would like to thank my flash drive for assisting me in the production of this project and never being misplaced or failing to load. iv TABLE OF CONTENTS LIST OFTABLES……………………………………………………………………. vii LIST OF FIGURES………………………………………………………………….. ix Chapter I. INTRODUCTION…………………………………………………………. 1 Statement of Purpose………………………………………………………. 2 Research Questions………………………………………………………… 3 Definition of Terms....................................................................................... 5 ` Assumptions.................................................................................................. 7 Delimitations................................................................................................. 7 Limitations..................................................................................................... 8 Significance of the Study............................................................................... 8 II. REVIEW OF LITERATURE....................................................................... 9 Conference Expansions................................................................................. 9 Motivation for Expansion.............................................................................. 11 Atlantic Coast Conference Expansion........................................................... 20 III. METHODOLOGY........................................................................................ 23 Data Collection.............................................................................................. 23 Subjects.......................................................................................................... 23 Instrumentation.............................................................................................. 24 v Procedures..................................................................................................... 26 IV. RESULTS....................................................................................................... 27 Motives for Expansion................................................................................... 27 Goals of Expansion........................................................................................ 30 Statistical Results........................................................................................... 33 Motives Realized........................................................................................... 55 V. DISCUSSION................................................................................................ 58 Statistical Measures....................................................................................... 59 Motives and Goals......................................................................................... 70 Recommendations for Further Study............................................................. 77 Conclusions................................................................................................... 78 APPENDICES A. FINANCIAL DATA..................................................................................... 80 B. PERFORMANCE DATA............................................................................. 90 REFERENCES............................................................................................................. 100 vi LIST OF TABLES Table 1. Institutional Athletic Department Total Revenues......................................... 80 2. Institutional Total Revenues........................................................................... 81 3. Institutional Olympic Sport Revenues............................................................ 82 4. Institutional Non-Olympic Sport Revenues................................................... 83 5. Institutional Total Athletic Department Expenses.......................................... 84 6. Institutional Total Expenses........................................................................... 85 7. Institutional Olympic Sport Expenses............................................................ 86 8. Institutional Non-Olympic Sport Expenses.................................................... 87 9. Collective Institutional Total Revenues for the ACC..................................... 88 10. Collective Institutional Total Expenses for the ACC..................................... 88 11. Net Gain/Loss................................................................................................. 89 12. Football Yearly Winning Percentages Pre-Expansion................................... 90 13. Football Yearly Winning Percentages Post-Expansion.................................. 91 14. Football Winning Percentages........................................................................ 92 15. Football Non-Conference Winning Percentages............................................ 93 16. Men’s Basketball Yearly Winning Percentages Pre-Expansion..................... 93 17. Men’s Basketball Yearly Winning Percentages Post-Expansion................... 94 18. Men’s Basketball Winning Percentages......................................................... 95 19. Men’s Basketball Non-Conference Winning Percentages............................. 96 20. CBS Basketball Fund Yearly Units Earned.................................................... 96 21. Collective CBS Basketball Fund Total Units................................................. 96 vii 22. Football Bowl Appearances............................................................................ 97 23. Institutional U.S. Sports Academy Directors’ Cup Yearly Total Points........ 98 24. Institutional U.S. Sports Academy Directors’ Cups Total Points.................. 99 viii LIST OF FIGURES Figure 1. Olympic sport total revenues for the ACC pre- and post-expansion................. 34 2. Non-Olympic sport total revenues for the ACC pre- and post-expansion........ 35 3. Olympic sport total expenses for the ACC pre- and post-expansion................ 36 4. Non-Olympic sport total expenses for the ACC pre- and post-expansion........ 37 5. Total athletic department revenues for the ACC pre- and post-expansion........ 38 6. Percent change from pre- to post-expansion in total revenues for athletic departments....................................................................................................... 39 7. Percent change from pre- to post-expansion in total revenues for athletic departments at institutions joining the ACC during the expansion................... 40 8. Total athletic department revenues for the ACC pre- and post-expansion........ 41 9. Percent change from pre- to post-expansion in total expenses for athletic departments....................................................................................................... 43 10. Percent change from pre- to post-expansion in total expenses for athletic departments joining the ACC during the expansion........................................ 44 11.
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