A Sports-Star Stimulus Package?

Taiwan’s major newspapers charge a higher advertising rate on days when Yankees right-hander and Taiwan native Chien-Ming Wang pitches, Sports Illustrated reports.

Computer maker Acer claims Wang’s name increased its product sales by 10 percent, and the Taiwanese business journal Money Weekly attributed a 25 percent rise in the Taiwan Stock Exchange to Wang’s strong performance last June and July.

Similarly, a paper by Alex Edmans, Diego Garcia, and Øyvind Norli found a significant market decline in numerous countries after their teams lost a soccer match.

The paper claims national soccer can influence the mood of an entire country as opposed to sports like American football which are “predominantly contested on a club rather than country level.”

So is the U.S. sports market too saturated for Wall Street to be affected by a single team or player? Or might Bernanke someday turn to baseball?

(Hat tip: John De Palma)


Conor

Agreed, I'm Irish, our first appearance at the Soccer World Cup in 1990 sent the country into a euphoric state, continued national team success (qualification for the World Cup finals in the USA in 1994) I believe had a major impact and the Celtic Tiger followed that success. Recently the Irish sports teams have been suffering... should I be worried? :-/

Eddie G

People in Taiwan do love him. In a sneaker store in Taipei I found a postcard featuring a picture of him and a golden heart. I sent it to my best friend back home who loves these inadvertently homo erotic things. The Taiwanese are also crazy about baseball in general. I wanted to buy a genuine national team jersey with my name on it two years ago but they cost $120 so I passed.

Marsello

If this is happening in places like Italy, I certainly wouldn't be surprised at all. Soccer is practically their religion, just check them out during World Cup and you'll see what I'm talking about. People in the US are way more serious about their productivity, well except maybe government workers so sports are not as big of an influence in U business as compared to other countries.

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James

I seem to remember a reported billion dollar positive swing in the stock market when M. Jordan announced he was coming out of retirement.

Matt Price

Baseball? Honestly, outside of New York and Boston, who watches baseball?

howard u

Interesting...
I could see how a World Cup victory could lead to an increase in consumption.
However, doesn't the actual match itself result cause a significant amount of lost productivity? From what my European friends tell me, NO ONE goes to work on a day their national team has a World Cup or Euro Championship match.

Rick Liebling

The note on Taiwanese advertising rates is interesting. I've recently started blogging and one of my feature themes is The (Sports Marketing) World is Flat.

http://eyecube.wordpress.com/tsmwif/

A pitcher for New York effecting newspaper ad sales in the Far East is a perfect example.

mike

@ Matt Price.
With all due respect, are you kidding, MLB has consistently broken it's revenue and attendance records over the last decade.