NBA Lockout: NBA Players Should Play Overseas During the Lockout
It has been said that life is all about leverage. While that may be an overstatement, leverage is certainly the most important factor in labor negotiations.ย
The current labor squabbles between the NBA owners and players will eventually boil down to who has more to lose. And when owners and playersโno matter what the sportโgo toe-to-toe, the owners always have the greater bargaining power.ย
But in the case of the NBA lockout, the players have an ace up their sleeve that gives them unprecedented negotiating power against the owners.ย
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The NBA lockout is going to be particularly nasty because of how truly broken the financial system is that the league has been operating under for several years now. It has painted itself into a corner with obscene salaries, guaranteed contracts and inflated team values.ย
The owners need to demand drastic changes to the way the league operates, because for them itโs a business venture, and if the numbers donโt add up to profits year in and year out then they will simply walk away from their investment.ย
If you own a business, and youโve exhausted all ways to make it a profitable venture, you have nothing left to do but eat the loss.ย
The owners donโt want to do this. They donโt want to see their teams no longer have any value, but if they come to the conclusion that theyโre only going to be losing more money in the future then the doors will close and the lights will go out.ย
The problem again comes down to leverage. If the league canโt find a way to make itself profitable, then the owners can walk away and still be rich. But what do pro athletes do if they canโt make money playing their sport anymore? What happens when they have to go from celebrities to regular Joes practically overnight?ย
We learned this lesson with the NHL labor negotiations a few years ago. The players all said the same things the NBA players are now. They said that they were prepared for a long-term standoff, that they werenโt going to back down.ย
The problem came when after losing an entire season, the hockey players had to face the concept they might not ever be able to make a living playing hockey again.ย
They started out by making money through things like public appearance fees and other types of work that only come their way because of the celebrity that being a pro athlete has provided them. But they quickly realized that if they werenโt playing hockey anymore there would be no more reason for anyone to pay them just to show up at their waffle house.ย
What they had to consider was the very real possibility that they would have to settle into a life as a regular person, that they would have to get a regular job like everybody else.ย
Once that reality hit them, they quickly realized they would rather take a pay cut from $4 million a year to $2 million a year to play hockey than to have to sit in a cubicle or join a construction crew for $35,000 a year.ย
Iโve done both of those jobs and can tell you without hesitation that being a professional athleteโat pretty much any income levelโwould be a better deal. I also know what itโs like trying to find work in this economy, and the players know they donโt want to have to enter the job market right now.ย
But the NBA players actually have an alternative. There are other places in the world that will pay them good money to play basketball. Some of the NHL players could have played professional hockey overseas, but the money just isnโt the same.ย
The NBA players, especially the superstars, will have offers on the table for them to make substantial amounts of money to play for teams overseas.ย
If the talent comes, then the money will follow. In todayโs age of Internet TV, DVRs and games on your cell phone, basketball fans will be able to find their favorite players, whether theyโre playing in Miami or Madrid.ย
Itโs not the number one option if youโre a current NBA player. You would have to move away from all your friends and family to go live in a place where you likely donโt speak the language and where you are unfamiliar with the culture.ย
But as hard as it would be, United States players have been playing basketball in other countries for years now, so we know it can be done.ย
Most importantly, it gives the players a negotiating tool they can use against the owners. They can simply threaten to walk away and play for someone else.ย
It still doesnโt mean that they have all the leverage; the owners will still get their way because they always do. They know that in the end they will still be rich, and if the numbers donโt make financial sense, then theyโll just close up shop.ย
But if the players prove to the owners that theyโre willing to take their trade overseas then they will be able to get a better deal in the long run.



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