baseball
...he main problem that the Diamondback's are facing is a decrease in demand for a professional baseball team in Phoenix. It seems that the team is not operating at its optimum size for creating profits, making the Diamondbacks low in demand in the Phoenix economy. Due to the decrease in demand, the Diamondbacks will be forced to lower prices to influence people to watch a second class ball club at a second rate price. The team is performing so poorly, with lower prices and less fans attracted, the club's profits will in turn decrease. We see this a lot, because the club is not operating well enough, it creates less economic activity taking place for the Phoenix economy. Less economic activity in Phoenix leads to a decrease in GDP, which also slows the economy down. So for the next season, the Diamondbacks will have to pay players less money if their contracts are going to be renegotiated, cut back other expenses and focus on making profits. A company cannot operate if it does not make profits, and the Diamondbacks are earning a lot less than what is expected of them, and could possibly soon vanish. But if the ball club starts to perform up to par, that will cause an increase in the demand in the Phoenix economy. First, the club needs to perform well, the ticket prices to see the Diamondbacks would go up because everyone will want to watch them, which would lead to an increase in the clubs profits. Plus, the profits the Diamondbacks make of off the merchandise and the condiments sold at the stadium would also increase their profits. The club would also increase profits for local restaurants, hotels, and every other company that contributes their services to the ball club. This creates an increase in economic activity in the Phoenix economy. The better the club does during the season, the more chance they have to make the playoffs, that will increase the demand to see the ball team even more. Also, the better the team does, the more sponsors the club gets and the more publicity the club and indivi...