Monday, July 6, 2009

Recession – (foot) Balls to you

Final sequel to Champions -- Game Changers

Nothing derogatory about the heading, but pure play economics that is making even the shrewdest of businessmen look ordinary and their company’s balance sheet even worse. Let me throw some figures that have been paid to some footballers in the last few weeks. £80 million was the amount paid by Real Madrid the Spanish football club to buy Christiano Ronaldo from Manchester United. Close to £50 million paid by the same club to buy the Brazilian footballer Kaka. Where is recession, I can’t even smell it.

Ronaldo was voted the best English Footballer, the Best European footballer and the World footballer of the year, all three in the same year in 2008. The record transfer makes him the richest transfer in footballing history and has certainly changed the rules of the game, in context to what a player need to be paid for a transfer from another club. Mind it, he does not get even a penny for the deal and all the money goes to his older club. So what does he get – rumours are that he might be paid upto £ 3, 00,000 a week plus bonuses and please don’t forget the bucks he makes from endorsements. Let me do some math for you and convert them into Indian rupees. Real Madrid paid a whopping 640 crore rupees to buy him from Manchester United and pays him a salary of 2.5 crore rupees a week to play for them. Another news I read today that an English club, owned by Arabs were willing to pay an English footballer £4, 00,000 a week if his transfer deal goes through.

The amount Real Madrid have so far spent in the transfer window this year alone is £200 million, translating into 1600 crore rupees. The recently opened Worli sea link in Mumbai was built on a budget of 1300 crore rupees – Man!!, no wonder we are a poor country. We can’t even spend money on our infrastructure, in comparison to the money that gets spent buying football players in Europe.

Children across the globe want to become a Ronaldo or a Kaka, fanatics rush into stadiums to watch their games, TV viewership is astounding, the memorabilia sales of their clubs are unbelievable and all this because they are true champions. To add to this, I try and watch every Manchester United game, am a true fan you see (There is a saying in England – ‘You can even divorce your wife, but do not change the club you support’) and I have even bought memorabilia of the top 4 footballing clubs in England.

Mind blowing how champions become game changers in their field and influence the Junta.

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