No, they are not good for business when you keep a budget of $200 million for players when history has proven that you don't need to. The CWS won with under $100 as did the Marlins, the Angels and the D-Backs. The Sox did it for $120 mil.Yes, it is good for business.
Steinbrenner has 6 World Championships under his belt. Those other teams only have one each.
All those teams combined do not equal the value of the Yankees. There is only one team averaging about 53,000 fans a game. That in itself is incredible.
Well, last I looked businesses are judged on both their net worth, cash flow and profit and based on the Yankees finances they are not making money. $200 million plus payroll combined with $30 million luxury tax and $80-100 million in revenue sharing doesn't leave much room for anything else. I have read some analyses that show the Yankees actually borrow money to meet obligations but can get away with it due to their net value.
Let's see how long this will continue. No business can continue operate losing money. They might be worth a billion on paper but they are borrowing to meet operating expenses. Once George goes the gravy train is over.
GM Cashman says Yankees losing money
ESPN.com news services
How bad does George Steinbrenner want to win? Bad enough that he's willing to lose money with the Yankees to do so.
"We're making a lot, but we're spending more than we're making," Yankees general manager Brian Cashman told Bloomberg radio for a show to be aired this weekend. Cashman declined to say how much the Yankees are losing.
The Yankees, with Major League Baseball's highest payroll, added to their deficit before the July 31 non-waiver trading deadline, acquiring big-ticket addition Bobby Abreu. The team also acquired pitcher Cory Lidle and utilityman Craig Wilson.
The Yankees broke ground last week on a billion-dollar stadium scheduled to open in the Bronx in 2009.
Cashman told Bloomberg radio that the new stadium is "vital" to helping the Yankees return to profitability.
Forbes Magazine reported that the Yankees became the first MLB team to be worth more than $1 billion with a baseball-best $277 million in revenue.
However, Forbes said the Yankees lost $50 million last season because the team paid $77 million in revenue sharing. The New York Daily News also reported in December that the Yankees lost at least $50 million and possibly as much as $85 million last season.