Moving beyond traditional sponsorships: understanding the structure and dynamics of minority equity sponsorship agreements

In: The journal of business & industrial marketing, Band 37, Heft 9, S. 1762-1786

Abstract

PurposeThe purpose of this study is to understand the structure and dynamics of minority equity sponsorship agreements and the motivations for organizations to go beyond traditional sponsorships by acquiring minority equity in the sponsored organization.Design/methodology/approachThis paper adopts a qualitative methodology and presents interview data from key actors involved in minority equity sponsorship agreements.FindingsThe findings of the paper include major characteristics of minority equity sponsorship agreements including the motivations, dynamics and resources exchanged by sponsoring firms and clubs in these relationships, based on the experiences of key actors from firms, clubs and other key stakeholders, and a conceptual model for forming and maintaining these relationships.Practical implicationsSponsorships are increasingly evolving into minority equity sponsorship agreements, particularly in the European market. The findings of this study assist sponsoring firms and the executives of clubs in better understanding the dynamics and stakeholder-related consequences of these relations.Originality/valueThe findings of this paper illustrate the differences between minority equity sponsorship agreements and both traditional sponsorships and minority equity alliances. The findings also identify major characteristics of these relationships and the interdependencies among these characteristics.