Stephen Ilagan's Blog

Ask your average pedestrian on the streets of Vancouver what the biggest news this past week was and they might say that it was the Vancouver Canucks trading for David Booth. At first glance, this bit of news does not seem related to business in any way and simply feeds the die-hard fan’s boundless enthusiasm for all things Canuck.

On the contrary, trades in the National Hockey League, or any major sports transaction for that matter, are filled with issues that our section has been discussing. Take the Booth trade, for instance. The buzz created by the trade is a form of brand positioning among sports teams in theVancouver area. The trade re-enforces the perception that the Canucks are the leading sports team in theVancouver area because they are dynamic and they are willing to win. Moves like this excite their fan base – or their consumers – and that leads to revenue through tickets and merchandise sales. Booth jersey anyone?

Just like any other company, each trade is a stratgic move to make money either now or in the future.

Forbes Atricle – The Business of Hockey