This study uses a case study of the Victorian Football League's expansion into Brisbane to examine the interorganisational power between an independent federated network and those organisations seeking to join the federation. Data were obtained through interviews with participants in the expansion process, examination of newspaper and other print media articles, and the analysis of corporate documentation. Organisations within the federation are shown to have a power advantage over the potential affiliates. The extent of this advantage is directly proportional to the importance of the potential affiliate's goals, is mediated by resources controlled by the federation, and is inversely proportional to the availability of other federations to supply the potential affiliate with the same resources. The VFL's exercise of its power is reflected in (a) a licence fee significantly higher than originally anticipated by the new affiliate, (b) an upfront cash payment of the licence fee, (c) player recruitment guidelines that did not facilitate recruitment of established VFL players, and (d) an insufficient period of time between award of the licence and the new team's entry into VFL competition.
ASJC Scopus subject areas
- Business and International Management
- Tourism, Leisure and Hospitality Management
- Strategy and Management
- Organizational Behavior and Human Resource Management
- Management Science and Operations Research