Today in the sporting industry, the main focus has clearly been set on China. Businesses, organizations, and even sports leagues are battling it out on the new playing field that is China. What’s certain is that the stakes are higher than ever as the revenues from saturated home markets are becoming a real concern. China is the dream new untapped market filled with enthusiastic sports lovers that everyone wants a piece of.
Basketball and the NBA in China, however have an advantage over the competition.
The NBA over the past two decades has slowly been laying the groundwork for entrance and eventually expansion into China. When David Stern first came to China, he pretty much gave away NBA rights for free to Chinese television, and paid for Chinese journalists to come cover the sport in the U.S.
Say what you want about the Commissioner of the NBA, but David Stern is one smart and strategic guy. While other sporting leagues such as the wildly popular English Premier League have gone for short term profits, the NBA China strategy was much more focused and planned…and the benefits they will reap from it will be far beyond any short term profits earned by anyone else.
These past 18 months, things have really picked up and the NBA is already fast taking over the lives of the all-elusive 18-35 middle class.
There was first of all the announcement of the NBA China entity that set the scene for everything else. Then there was an agreement to open 12 NBA caliber arenas in China. NBA China also decided to have its own branded TV shows on Chinese TV as well as Cheerleader competitions. NBA branded retail shops are opening at staggering speeds, and NBA China is partnering up with any and all local business partners to try to spread its brand.
With news that the NBA is starting to see economic problems in the U.S - this kind of boost is exactly what the doctor ordered. Many analysts expect that the NBA could be headed for another lockout in the 2011 season with player wages going out of control in light of the recent financial crisis.
What’s in store for the future of the NBA in China? NBA China’s ambitious plans could well mean domination of the last untapped market in the world as well as the inheritance of the most popular sport in the world. Nike and Adidas are already profiting and growing in China and the NBA is bound to see even greater success.
China is claimed to have over 300 million basketball fans - and Chinese basketball is developing so fast that they are sure to become a country deeply entrenched in basketball for years to come. Currently there are more questions than are answers - so NBA China is most certainly an area that will be interesting to follow.
