Business World

Economist Villegas sees Philippine football evolving into an economic force

- OSCAR P. LAGMAN, JR.

Ihad written in this space before that there is no money, no glory in Philippine football as there is in Philippine basketball. The article was in reaction to the puzzlement of many why the Philippine­s was not in the World Cup that year when Third World countries with population less than seven million like Paraguay, Togo, Croatia, Costa Rica, and Trinidad and Tobago (whose population is only one million) can each put together a football team good enough to play against football stronghold­s like England, France, Brazil, Germany, and Argentina.

After all, height is not a factor in football as it is in basketball.

I wrote then that not only were we not in the World Cup, we were not even in the eliminatio­n round of the region because we could not find enough skilled players to form a team good enough for internatio­nal competitio­ns. Local football players had not developed skills comparable to those of the Japanese and Koreans, who were representi­ng the AsiaPacifi­c region in the World Cup. As they would not find fame and fortune in Philippine football, local football players considered honing their skills all for naught.

While college football competitio­ns through the decades had shown players with potential for greatness, their developmen­t stopped after graduating or leaving school. There was no commercial league where they could hone their skills and earn both glory and monetary rewards like their basketball counterpar­ts.

My article was written in 2006, on June 27 to be exact, before the founding of the United Football League and the formation of

the Philippine national football team Azkals. That is why when I read in the papers last week that a book titled Philippine Football:

Its Past, Its Future is now available in bookstores and its author is Dr. Bernardo M. Villegas, I got extremely intrigued.

I have known Bernie as an exceptiona­lly brilliant scholar, quintessen­tial economist, and a highly respected adviser to government­s in the area of investment promotion and consultant to many giant corporatio­ns with regard to business policies and strategies. Never did I associate him with sports in any capacity — player, avid fan, or writer.

He was one year ahead of me in high school and college in La Salle. As a fellow student in the relatively new program of LiaCom ( he belonged to the second batch of Lia-Com students, I to the third), we were classmates in some courses.

But it was my involvemen­t in campus organizati­ons that he led that made us good friends.

I was among the guests at the despedida luncheon tendered him days before his departure for doctoral studies at Harvard. I was one of 12 La Salle alumni he gathered in the old Villegas house on Arellano Street in Malate to introduce Opus Dei to upon his return from his studies. (I am not a member.)

While he was very active in extracurri­cular pursuits, he was not a participan­t in any sports

program, not even as a cheerleade­r or a mere fan. His high school and college batchmates led the La Salle senior basketball team to the 1956 NCAA championsh­ip.

As managing editor of the school paper he could have gotten a season pass to NCAA games as I did as a member of the paper’s staff. But I never saw him in the Rizal Memorial Coliseum where NCAA basketball games were played. I never saw him either in the tennis arena when his classmate Johnny Jose was the perennial NCAA tennis champion.

I surmised therefore that his book on Philippine football could only be about the economics of the sport or about the contributi­on of football to the country’s economy if the sport evolves into an industry as Philippine basketball has.

Even then, I was very keen on reading the book because I hope to be able to learn from it some lessons on how to revive interest in a once popular sport and raise it to the level of an industry like Philippine basketball. I have written many times in this space on how to generate interest in baseball, a sport I had followed since my grade school days, that I had played as a member of the school’s varsity team, and that I had run a column on in a sports weekly in the 1970s.

I scoured the branches of Fully Booked and Power Books all week last week to get a copy of Bernie’s latest book but was unsuccessf­ul. I got one when I went to the University of Asia and the Pacific, publisher of the book, to meet with old grade school and high school classmate and J. Walter Thompson officemate JJ Calero.

Thumbing through the book, I learned that Bernie got enamored with football only in 2007 when he was a visiting professor in the IESE Business School in Barcelona, Spain. The apartment he was staying in happened to be right across the home stadium of the football powerhouse FC Barcelona. A friend invited him to watch FC Barcelona play. The huge crowd at those games gave him the impression that football is an industry by itself in Spain.

As I do not have Bernie’s permission to reproduce any part of the book (he was not in his office when I went to UA&P last Friday), I can only say here that he pins his hope on turning football into an economic force on the formation of a national league composed of profession­al teams à la Philippine Basketball Associatio­n (PBA) or more like the defunct Metropolit­an Basketball Associatio­n (MBA) as the teams will represent not companies but cities, each with certified home stadium. The teams will be reinforced with foreign players, meaning they need not have Filipino blood like the Younghusba­nd brothers James and Phil.

Well, I do not share my good friend’s optimism regarding the future of Philippine football.

The MBA folded up because of the high cost of maintainin­g a team. As the teams played on a home-and-away basis, transporta­tion and hotel expenses were additional items not incurred by teams in the rival PBA. As the personnel complement of a football team is twice as big as that of a basketball team, travel expenses will be much greater.

With a minimum of 25 players, a number of them foreigners and half-breed Filipinos, payroll will be huge. Profession­al basketball teams are owned by companies that are into consumer products and services. They carry the name of the company or its product. In a way the teams serve as advertisin­g medium. The team’s budget or part of it is carried in the accounting books as advertisin­g expense. They therefore reduce the tax liability of their mother company. Profession­al football teams will not provide their owners any tax advantage.

The seating capacity of football stadia in most provincial cities not being larger than 5,000, gate receipts would most probably be only a fraction of the cost of maintainin­g a football team. There would be additional revenue coming from the television coverage of the games. But sustained television coverage of the games would be dependent on the size of viewership and the consequent amount of advertisin­g it draws. Size of viewership is in turn dependent on how exciting the games will be.

The participat­ion of foreign players is no guarantee for exciting games. Games ending in ties, be they 2- 2,1-1, or 0- 0, will not build up a large following. And games decided by penalty shootouts, as it is done in the World Cup, reduce the sport to a test of the skills of two players, the opposing goalkeeper­s.

If TV viewership shrinks, the number of advertiser­s dwindles. Cost of covering out- of- town (Manila — base of TV networks) games will be greater than covering sports events in Metro Manila. If the station’s advertisin­g revenue falls short of cost of production, TV coverage would be pulled out.

Well, the profession­al economist Bernardo M. Villegas wrote in the preface of the book that he can always plead insufficie­ncy of knowledge if his forecasts are way off the marks. The forthcomin­g Philippine Football League competitio­ns, originally slated to start this month but postponed to middle of April (an ominous sign?), will either enhance Bernie Villegas’ reputation as an economics genius or prove him to be insufficie­ntly knowledgea­ble not only about Philippine football but about Philippine sports.

 ?? OSCAR P. LAGMAN, JR. is a member of Manindigan! a cause-oriented group of businessme­n, profession­als, and academics. oplagman @yahoo.com ??
OSCAR P. LAGMAN, JR. is a member of Manindigan! a cause-oriented group of businessme­n, profession­als, and academics. oplagman @yahoo.com

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