Opportunism managed through Vertical Integration in NBA

In relation to Chapter 10, the NBA has managed to fend off opportunism through vertical integration. For example, the NBA allots the same amount of salary cap to every team. This is in place to keep teams with more access to large sums of money from being able to just simply outbid other teams for the stars of their perspective teams. Also another example is how the NBA makes sure that all teams are sponsored by the same company when it comes to team gear which happens to be Adidas. This keeps teams from being able to compete solely on offering a different brand that appeals to the player, thus coercing them into joining a perspective team due to their ties to a certain brand. 

The NBA has done an absolutely amazing job managing opportunism which can’t be said by leagues such as MLB. They need to take a look at the NBA’s model and take notes.

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