RELATIONSHIP BETWEEN PLAYER PERFORMANCE AND SALARY IN A PROFESSIONAL BASEBALL LEAGUE

Authors

  • Chih-Cheng Chen Department of Sport Management, Aletheia University, Taiwan
  • Chih-Jen Chuang Department of Sport Management, Aletheia University, Taiwan
  • Tian-Shaing Kuo Department of Hotel Management, Tainan University of Technology, Taiwan
  • Wen-Ing Chen Center for Physical Education, Aletheia University, Taiwan

DOI:

https://doi.org/10.46827/ejpe.v0i0.1539

Keywords:

players’ salary, player performance, Chinese Professional Baseball League, performance evaluation, TOPSIS, Quadrant Analysis

Abstract

This study aimed to investigate whether teams in Taiwan’s Chinese Professional Baseball League (CPBL) are paying their players fairly and equitably based on their performance. Possible performance criteria of professional baseball players are gathered from past literature before subjecting these criteria to regression analysis to obtain criteria that are significant and their corresponding weights. The TOPSIS method is then used to calculate player performance value, and with Quadrant Analysis, relationship between player performance and salary is analyzed. These were used to project salary adjustment for these players for the coming season. Finally, to determine the fairness of salary adjustments, this study employed McNemar test to examine whether adjustments are made based on player performance. This study has found innings pitched (IP), earned run average (ERA) and walks plus hits per inning pitched (WHIP) to be significant abilities in evaluating performance of pitchers, while for fielders, significant abilities for performance evaluation were batting average (BA), slugging average (SLG), hits (H) and on base percentage (OBP) . Based on these derived performance evaluation criteria, more than half of these players gave above average performance, yet their salary adjustments were not made accordingly nor were they made based on the above-mentioned criteria.

 

Article visualizations:

Hit counter

DOI

References

Annala, C. N, & Winfree, J. (2011). Salary distribution and team performance in Major League Baseball. Sport Management Review, 14, 167-175.

Berri, D. J., Brook, S. L., & Schmidt, M. B. (2007). Does one need to score to score? International Journal of Sports Finance, 2, 190-205.

Bodin, L., & Epstein, E. (2000). Who’s on first-with probability 0.4. Computers & Operations Research, 27, 205-215. doi:10.1016/S0305-0548(99)00002-7

Borghesi, R. (2008). Allocation of scarce resources: Insight form the NFL salary cap. Journal of Economics and Business, 60(6), 536-550. doi: 10.1016/j.jeconbus.2007.08.002

Bryson, A., Buraimo, B., & Simmons, R. (2011). Do salaries improve worker performance? Labour Economics, 18(4), 424-433. doi:10.1016/j.labeco.2010.12.005

Chen, C. C., Lin, M. L., Lee, Y. T., & Chen, T. T. (2011). Starting pitchers rotation in Chinese Professional Baseball League based on AHP and TOPSIS. Proceeding of World Academy of Science, Engineering and Technology, 58, 74-79.

Chen, C. C., Lee, Y. T., & Tsai, C. M. (2014). Professional Baseball Team Starting Pitcher Selection using AHP and TOPSIS Methods. International Journal of Performance Analysis in Sport, 14(2), 545-563.

Dey, P. K., Ghosh, D. N., & Mondal, A. C. (2013). Modified group decision algorithm for performance appraisal of Indian premier league cricketers. WSEAS Transactions on Information Science and Applications, 10(10), 325-333.

Hakes, J. K., & Sauer, R. D. (2006). An Economic Evaluation of the Moneyball Hypothesis. Journal of Economic Perspectives, 20(3), 173-185. doi:10.1257/jep.20.3.173

Hakes, J. K., & Sauer, R. D. (2007). The Moneyball Anomaly and Payroll Efficiency: A Further Investigation. International Journal of Sport Finance, 2(4), 177-189. doi:10.1177/1527002510363097

Holmes, P. (2011). New evidence of salary discrimination in major league baseball. Labour Economics, 18(3), 320-331. doi:10.1016/j.labeco.2010.11.009

Hwang, C.L. & Yoon, K. (1981). Multiple Attribute Decision Making – Methods and Applications. New York: Springer.

Jane, W. J. (2010). Raising salary or redistributing it: A panel analysis of Major League Baseball. Economics letters, 107(2), 297-299. doi:10.1016/j.econlet.2010.02.016

Jewell, R. T., & Molina, D. J. (2004). Productive Efficiency and Salary Distribution: The Case of US Major League Baseball. Scottish Journal of Political Economy, 51(1), 127-142. doi:10.1111/j.0036-9292.2004.05101008.x

Lanoue, M. R., & Revetta, J. J. J. (1993). An analytic hierarchy approach to Major League Baseball offensive performance ratings. Mathematical and Computer Modeling, 17(4-5), 195-209. doi:10.1016/0895-7177(93)90188-5

Lewis, M. (2003). Moneyball: The art of winning an unfair game. New York: Norton.

Martins, N. (2014). Determining textbook learning enhancement as perceived by students and lecturers. Procedia – Social and Behavioral Sciences, 112, 57-63. doi:10.1016/j.sbspro.2014.01.1139

McCormick, R. E., & Tollison, R. D. (2001). Why do black basketball players work more for less money? Journal of Economic Behavior & Organization, 44(2), 201-219. doi:10.1016/S0167-2681(00)00156-6

Olson, D. L. (2001). Comparison of three multicriteria methods to predict know outcomes. European Journal of Operational Research, 130(3), 576-587. doi:10.1016/S0377-2217(99)00416-6

Olson, D. L. (2004). Comparison of Weights in TOPSIS Models. Mathematical and Computer Modelling, 40(7-8), 721-727. doi:10.1016/j.mcm.2004.10.003

San, G., & Jane, W. J. (2008). Wage dispersion and team performance: evidence form the small size professional league in Taiwan. Applied Economics Letters, 15, 883-886. doi:10.1080/13504850600905014

Shih, H.S. (2015). A Mixed-Data Evaluation in Group TOPSIS with Differentiated Decision Power. Group Decision and Negotiation, 25(3), 537-565. doi:10.1007/s10726-015-9451-9

Downloads

Published

2018-04-03

Issue

Vol 4, No 3 (2018)

Section

Articles

License

Authors who publish with this journal agree to the following terms:

 

  1. Authors retain copyright and grant the journal right of first publication with the work simultaneously licensed under a Creative Commons Attribution License that allows others to share the work with an acknowledgement of the work's authorship and initial publication in this journal.

 

  1. Authors are able to enter into separate, additional contractual arrangements for the non-exclusive distribution of the journal's published version of the work (e.g., post it to an institutional repository or publish it in a book), with an acknowledgement of its initial publication in this journal.

 

  1. Authors are permitted and encouraged to post their work online (e.g., in institutional repositories or on their website) prior to and during the submission process, as it can lead to productive exchanges, as well as earlier and greater citation of published work (See The Effect of Open Access).