Revenue Volatility in German Nonprofit Sports Clubs
- 27 August 2013
- journal article
- research article
- Published by SAGE Publications in Nonprofit and Voluntary Sector Quarterly
- Vol. 44 (1), 5-24
- https://doi.org/10.1177/0899764013499072
Abstract
Revenue volatility hinders the planning within nonprofit organizations, and as a consequence, it can influence the organization’s contribution to public welfare. To analyze the extent of revenue volatility and its determinants, this paper uses a comprehensive, longitudinal, data set of German nonprofit sports clubs (n = 724). It distinguishes between systematic volatility and club-specific volatility, and argues that a complete understanding of the sources and impacts of volatility requires one to clearly distinguish between the two components. Empirical results indicate that revenue diversification can significantly reduce club-specific volatility, but has more minimal benefits for lowering systematic volatility. It also reveals that clubs that rely more heavily on membership fees, and less on subsidies, appear to have reduced levels of systematic and club-specific volatility, with the impact being much greater for the latter.Keywords
This publication has 21 references indexed in Scilit:
- Sports policy systems in regulated Rhineland welfare states: similarities and differences in financial structures of sports clubsInternational Journal of Sport Policy and Politics, 2012
- Some Econometric Issues in Studying Nonprofit Revenue Interactions Using NCCS DataNonprofit and Voluntary Sector Quarterly, 2010
- Exploring the Revenue Mix of Nonprofit Organizations: Does It Relate to Publicness?Nonprofit and Voluntary Sector Quarterly, 2010
- Revenue Diversification in Nonprofit Organizations: Does it Lead to Financial Stability?Journal of Public Administration Research and Theory, 2008
- Governance Failure and Financial Crisis in German FootballJournal of Sports Economics, 2007
- Charity for Profit? Exploring Factors Associated with the Commercialization of Human Service NonprofitsNonprofit and Voluntary Sector Quarterly, 2006
- Funding source, board involvement techniques, and financial vulnerability in nonprofit organizations: A test of resource dependenceNonprofit Management and Leadership, 2005
- The Commercialization of Voluntary Sport Organizations in NorwayNonprofit and Voluntary Sector Quarterly, 2002
- The index of sustainable economic welfare (ISEW) as an alternative to GDP in measuring economic welfare. The results of the Austrian (revised) ISEW calculation 1955–1992Ecological Economics, 1997
- Portfolio Theory and Nonprofit Financial StabilityNonprofit and Voluntary Sector Quarterly, 1993