Understanding Football Club Performance: Exploring Wages, Variables, and Research Design

According to Kothari (2004), the study methodology is established as the gathering and evaluating data in a methodical technique to attain the study objectives. An outline of the research respondents and contemplation of ethical considerations and feasible downsides will likewise be depicted. Different methods of data collection could be featured in this study. One of the approaches would comprise of the use of both surveys and questionnaires. The questionnaires and surveys would mainly be constructed around the need to determine the nature of operations of the premier league clubs (Wright, 2016). The second important method would feature the use of focus groups. Focus groups serve as one of the qualitative methods that help to arrive at credible information. It would also be beneficial to apply the observation method. The benefit of the method is that it helps to arrive at credible information disregarding the secondary details. There are also high chances that data collected using this method would be less biased. Some of the factors that would be considered in the use of the above methods would involve the cost and time spent on the process. It is essential to focus on techniques that help save both money and time spent in collecting data. The research design in this dissertation focuses on quantitative methodology. In reference to saving time and money, the methodology in this paper employed the surveys and questionnaires both online and offline platforms.

However, the research design of the research instrument was quite challenging as there were various issues to consider when establishing ways to measure and set variables that could be used in determining the economics of football. This included the measurement of wages, Nationality, Football experience, Annual wage, Goals scored, Club performance, Designed position, Player transfer, Skills, Player club Retention, Player transfer impact and Perception on wages (players). Such were issues that have been previously established in preceding studies on club performance and team players' wages. The most important were wage measurement, and decision making of players as this entailed their skills in the field hence influence their performance, club performance and their wages.

1.1 Variable Design

However, designing ways to evaluate wages of employees preceding scholar a financial system with similar, wholly competing organisations (Akerlof & Yellen,1986). Each organisation developing an output function of the variation P = F(e(M)V), whereby V is the quantity of workers, e is hard work per member of staff, and M is the authentic salary. A profit-maximising organisation that may employ the labour it desires at the salary it provides features an actual wage that meets the state that the dynamism of hard work concerning the salary is unity. This formula asserts that the authentic salary rewarded by organizations determine labour efficiency. According to Akerlof and Yellen (1986), if capacity or skills and salary are favourably interconnected, organisations with elevated salaries will draw in more competent football players. The demand aspect of human capital concept suggests that profit improving organisations will employ higher priced competent employees only in projects whereby such additional competencies enhance output enough to go over the increased earnings (Kremer, 1993). In such a perspective, the salary of an occupation comprises of earnings and the usefulness skills when doing the task. This suggests that work opportunities with less risky operating conditions could be loaded with reduced salaries. If in football clubs, older players and attackers are more inclined to endure an injury during matches as compared to younger players and defenders, this could bestow enlightenment for variation in wages among the football players. Even so, based on Junge et al. (2002) the position or the player age do not influence the prevalence or severeness of injury during the matches.

Due to the fact soccer is a sport that teamwork establishes its productivity. Therefore, the salaries of players vary from one another, the influence of wage inequality on club performance is crucial with this dissertation as the questionnaire design ought to consider a lot. Stefanec (2009) reasoned that employees whose negligence features the utmost influence on the team productivity ought to be rewarded the best; this is referred to as the damage-potential concept which anticipates that salary inequality carries a non-negative influence on team productivity. Jane, San and Ou (2009) however designed the team-cohesiveness concept, which anticipates that increased salary inequality contributes to jealousy among employees in an organisation and a feasible decrease in team productivity. Carron (1982) analysed such varied speculations and established more attestation for the organisation cohesiveness concept. Therefore, football clubs with significantly larger salary inequality undergo a decrease in team productivity on the field. Nevertheless, Cox and McGuire (2008) demonstrated a contrary connection in football leagues. Coates, GarcÃa-Mas et al. (2009) present support for the organisation cohesiveness concept in football clubs. Hill and Jolly (2012) analysed the influence salary inequality has on the club productivity of NBA groupings. They failed to uncover attestation that salary inequality is a determining element in team wins. As stated by Hill and Jolly (2012) team members do not deem salary inequality during a sport. Given that specific players could be swapped when their productivity is weak, shirking is simply not an alternative for footballers. Frick, Prinz and Winkelmann (2003) analysed the impact of salary inequality on team productivity in soccer. Rather than backing for one speculation, they established attestation for a U-formed connection between salary inequality and sporting productivity. Football clubs that feature an incredibly contrary or an egalitarian pay framework tend to be more productive on the field as compared to teams with an average measure of salary inequality.

In lots of scenarios people and animals have shocking challenges realising and making use of the information offered by the lack or existence of something (Tulving, 2005). In behavioural financial aspects, this occurrence is defined by Shefrin (2002) being the presence of heuristic. Shefrin (2002) demonstrated that once confronted with the daunting task of comparing and contrasting possibility or regularity, individuals make use of a modest quantity of heuristics which decrease such decisions to less complicated ones. In relation to soccer, goal scoring is more noticeable and simpler to reflect on as compared to blocking rivals from scoring goals. The dependence on the presence heuristic contributes to methodical biases. In the studies, Shefrin (2002) carried out; the research population samples were incapable of remembering and envisaging all scenarios since specific situations do not strike the mind with ease. Aside from that, Ackert and Deaves (2009) established that individuals are inclined to observe an illusory connection what could be articulated by the evaluation of accessibility. In the same way, football directors may notice a quite positive connection between goal scoring and match winning. However this connection is apparent, it may be weaker as compared to directors contemplation. Baker and Nofsinger (2010) demonstrated that professional directors undervalue 'out of sight, out of mind' prospects, because of the accessibility heuristic they make use of. Therefore, that football managers underestimate the competencies of football players who are not noticeable; thus, such players would reap reduced salaries hence salary inequality (Owen & Weatherston, 2002). In relation to soccer, the initial portion of information directors get is usually the quantity of goals footballers scored, given that it is quickly retrievable. The accessibility heuristic translates that this director will depend too intensely on the number of goals this footballer scored yet neglects the prospects he skipped as he is not an excellent finisher for example. This may likely result in an inaccurate valuation of the worth of the footballer, that should be noticeable in his salary or feasible transfer expense. Hence due to related issues on the design of variables as used in this paper, this study will develop its model in reference to every perspective as established in the literature reviews and the methodology. The model at this point will include the general firm performance model;

Cp=Mp+Cf+Pp

Cp denotes the firm performance

Mp denotes the club management Performance

Pp denotes the player's performance,

However, in this model the shall consider all Club management performance and Club fans performance as constant deem that all that brings the other variables are the player's performance. The model shall focus mainly on the player's performance. Hence the model shall be;

Cp=Pp+k

Where k is the constant value of the function.

However as detailed in the methodology and the literature review, there a various variable that can affect and influence the club performance as the players' wages and their performances are considered. The player's performance is influenced by social and demographic factors as well as the economic factors that they are exposed to in the club. Such will be the variables analysed in this study; they include; Age, Nationality, Football experience, Annual wage, Goals scored, designed position, Player transfer, Skills, Player club Retention, Player transfer impact and Perception on wages.

1.2 Population sample and Ethical Concerns

The research implemented the non-probability method when picking the research participants even so the inclination comparatively used convenient selecting strategy related to the small selection of football players in the premium league in the population sample considering that each is offered the same prospects for getting selected (Doherty, 1994). The approach assured that the inclination process was completely randomised hence without favouritism. The population sample selected entailed 200 individuals from a range of locations, ethnic group, salary level, football experience and transfer rate.

Concerning endeavour, this study ethical values and beliefs were adhered to. The accomplishment of the research entailed reliability, and every participant in the study model was guaranteed of anonymity and privations. With the references to the scoped out factors including no-harm to individuals, versed permission, and secrecy in the event dishonesty was engaged (Miller et al.,2012). Negative effects to individuals normally include several elements, like; physiological mistreatment, worry, challenges in the participant's self-respect, thereby place at risk long-term possibilities of the participants. To get rid of such concerns the study designed the study in a select atmosphere, that guaranteed participants experienced calm and peaceful all through the research, therefore assured them on the data collected was to be deemed to guarantee no issues in their probably future within the surroundings they dwell in.

2 Data Result and Analysis

2.1 Age Data Distribution of Respondents

Figure 1: Age distribution of the respondents

The figure 1 shows the Age distribution of the respondents in this study. From the diagram, it is evident that majority of the respondents were footballers with age bracket of the 28-32 years (59%) followed by 23-27 years (19.5%), 18-22 years (18%) and lastly 33-37% (3.5%) respectively. However, the age bracket suggests that views will be highly influential as some of the respondents are expected to have experienced in soccer industry hence their views might be influential in this paper, the same will be analysed later on.

2.2 Football experience

Football experience

Frequency Percent Valid Percent Cumulative Percent

Valid 1 year 41 20.5 20.5 20.5

2-3 years 43 21.5 21.5 42.0

4-5 years 114 57.0 57.0 99.0

6 years and above 2 1.0 1.0 100.0

Total 200 100.0 100.0

Table 1: data distribution of respondents' football experience

The table 1 above shows the data distribution of respondents' football experience. From the table, the majority of the respondents had an experience of 4-5 years (57%) followed by 2-3 years (21.5%), one year (20.5%) and lastly six years and above (1%) respectively.

2.3 Correlation analysis of demographic factors

Correlations

Age Nationality Football experience Annual Wage The average performance of the club

Age Pearson Correlation 1 .249** .869** .519** .204**

Sig. (2-tailed) .000 .000 .000 .004

N 200 200 200 200 200

Nationality Pearson Correlation .249** 1 .260** -.032 -.219**

Sig. (2-tailed) .000 .000 .658 .002

N 200 200 200 200 200

Football experience Pearson Correlation .869** .260** 1 .580** .176*

Sig. (2-tailed) .000 .000 .000 .013

N 200 200 200 200 200

Annual wage Pearson Correlation .519** -.032 .580** 1 .253**

Sig. (2-tailed) .000 .658 .000 .000

N 200 200 200 200 200

Average performance of the club Pearson Correlation .204** -.219** .176* .253** 1

Sig. (2-tailed) .004 .002 .013 .000

N 200 200 200 200 200

Table 2: correlation analysis of between the club performance and the demographic factors of the footballers

The table 2 shows the correlation analysis of between the club performance and the demographic factors of the footballers. The hypothesis tested was that; there is no significant correlation between the demographic factors of the football players and the club performance. From the table, Age variable had Pearson correlation coefficient of 0. 204** with a significant value of 0.004 < 0.05 (p-Value), hence reject the hypothesis. Nationality variable had Pearson correlation coefficient of 0. 219 with a significant value of 0.002 < 0.05 (p-Value), hence reject the hypothesis. Football experience variable had Pearson correlation coefficient of 0.117 with a significant value of 0.013 < 0.05 (p-Value), hence reject the hypothesis. Annual wage variable had Pearson correlation coefficient of 0. 2253 with a significant value of 0.000 < 0.05 (p-Value), hence reject the hypothesis. Since all the demographic factors were statistically significant, the hypothesis was rejected hence, and thus the demographic factors of the football players correlate significantly with the club performance at 95% level.

2.4 Correlation Analysis Of Wage Influential Factors

Correlations

Goals scored Designed position Player transfer Skills Goal Prevention Player transfer impact Perception of wages Player Retention The average performance of the club

Goals scored Pearson Correlation 1 .414** .839** .816** .491** -.028 -.122 .183**

Sig. (2-tailed) .000 .000 .000 .000 .699 .085 .010