THE IMPACT OF LEAGUE DESIGN IN EUROPEAN FOOTBALL FROM SMALL LEAGUES’ PERSPECTIVE

Abstract

The effects of league design have not been a major area of interest in the European football literature primarily due to the standardization of league structures in major leagues of Europe. This study investigates how league design affects the likelihood of qualifying for UEFA competitions in six smaller European leagues over a 10-year period from 2013/2014 to 2022/2023. Using market values as the primary independent variable to proxy talent, a logistic model is estimated. Prize money from UEFA competitions serves as a significant income source for all teams, particularly crucial for smaller league teams due to its relative size when compared to aggregate revenues. Evidence suggests that the existence of playoffs provides an advantage for the stronger teams in the league in terms of qualifying for UEFA competitions and potentially leading to persistent domination of these teams. Domestic policymakers face a tradeoff between maintaining domestic competitive balance and probable future competitiveness in inter-European competitions.