The Los Angeles Dodgers and the Los Angeles Angels of Anaheim Essay Example for Free

The Los Angeles Dodgers and the Los Angeles Angels of Anaheim EssayDespite the competition derived from proximity, the Los Angeles Dodgers and the Anaheim Angel some(prenominal) maintain financial success. sort of than one team dominating the market in ticket sales, both have a utile organization. Every year, both teams manage to generate a essential revenue despite sharing a city. The population forms an allegiance with one team or the other for a multitude of reasons. The Los Angeles Dodgers had an average attending of 51,396 fans per game in 2009 (sportsnetwork. com, 2010).The Los Angeles Angels of Anaheims average attendance was 40,005 in 2009 (sportsnetwork. com, 2010). While there is a substantial difference between the average ticket sales of both teams, other factors can account for this such(prenominal) as stadium size and winning streaks. For example, the Angels only have a seating capacity of 45,050 term Dodger stadium has a seating capacity of 56,000. For exam ple, a winning streak that could lead to next playoff games and a potential spot in the World Series, the ticket sales will naturally subjoin for that particular team.This is true of teams that are distanced far apart as well. Proximity is entirely one of some(prenominal) factors that contribute to the financial success of a baseball team. The Los Angeles Dodgers have a team value of $632 cardinal and their yearly revenue is about $211 million (forbes. com, 2007). The Los Angeles Angels of Anaheim have a team value of $431 million and a yearly revenue of $187 million (forbes. com, 2007). Second, which is the major part, discuss the Marginal Cost and the Marginal Benefit of both teams.also, discuss some issues that could touch their marginal comprise and their marginal benefit. There are many multiplication in which marginal cost and marginal benefit can affect the team. If one piece of trade in outsells another piece of merchandise, the manufacturer will produce less of the unpopular product and produce to a greater extent of the item that has high sales. In the case of the Los Angeles Dodgers and the Los Angeles Angels of Anaheim, if one team is losing more games than the other, there could be an gain number of consumers buying tickets to the winning teams games.The substitution of goods effect would take place in fans without an allegiance to either the Los Angeles Dodgers or the Los Angeles Angels of Anaheim. For example, if the ticket prices are lower for one team than the other, and a family merely wants a fun afternoon watching a baseball game, the consumer would choose the lower price tickets. This is take for granted the consumer has no preference for the specific teams. As the consumers in the stands buy beers and purchase hotdogs, they are eventually affect by the law of diminishing utility.In other words, as the consumer ingests more hotdogs, he will constrain satiated and each subsequent hot dog will be less enjoyable. As a result, the consumer will be less inclined to buy more. There are many factors that can affect the supply and demand of the market for ticket sales. Increasing the number of seats affects the aggregate supply the animal trainer can offer fans. On a supply and demand curve, the supply would shift to the right in this scenario.An occasion to increase the number of seats would be a sold-out stadium each game. This would belike cause the owners of the stadium to try to increase the supply of seats to meet the demand of the ticket holders. some other factor that could increase the supply is a increase in the amount of merchandise offered. Usually the increase in supply is prompted by an increased demand, unless the merchandise could suddenly be produced at a cheaper cost to the manufacturer.