Tag Archives: featured

The Financial Fallout Of The European Super League.

Nearing midnight on the 18th of April, a statement was released, announcing that twelve giants of European football had come together to become founding members of a “European Super League”. This breakaway league would be independent of both European and the world’s football governing bodies (UEFA and FIFA). Although the league is essentially dead in the water now, it remains important not only to understand why such a league would wreak havoc upon the most important aspect of football, the supporters and their clubs, but also to understand what financial implications would come to the fore very quickly.

A Game of Greed

Of the league’s inaugural board (and perhaps last), it’s important to note how two members Joel Glazier and Stan Kroenke, are both American business owners with significant stakes in Manchester United and Arsenal F.C., respectively. Both men are despised by their teams supports groups, most notably due to Glazier’s tactic of leveraging United’s free cash flow to fund his takeover, effectively transferring his debt to the club’s balance sheet. Fans feel their owners are distanced from their clubs, with their interests more focused on raising profits rather than keeping the fans as the focus. This perception of the footballing world as a source of cash crops rather than sporting clubs is further reinforced through the financial rewards associated the European League. The league is set to be funded by J.P. Morgan, who will provide over €4.9 billion to get the league up and running. Much of this funding will go to each of the inaugural members in the form of an ‘infrastructure grant’ worth $430 million. This sum of money highlights the importance the boards of these clubs have put on financial gain. For comparison, the winner of the current European championship (The Champions league) receives only $19 million euro for their achievement itself, which when added to previous rewards throughout the competition, can rise to around €80 million euro. This sum is not even a quarter of the potential investment available to clubs for just becoming members of this rogue league.

Ridding Clubs of their fighting Chance

One could be forgiven for appreciating these breakaway teams’ decision, given the huge gains which can be reaped by entering this league. However, by lining their own pockets, these founding members are condemning their domestic competitors to their financial doom. Much of the funds that football clubs are allocated comes from broadcasting coverage revenue. The broadcaster B.T. has already payed £1.5 billion to broadcast the Champions League between 2021 and 2024, with this revenue being shared among the various teams within the competition; the further a team progresses, the more financial support they earn. This gives lifelines to smaller teams who can secure the vital funding needed for their continued existence.  Even just with qualification to the group stages, a team can secure upwards of 16 million euro, along with teams who fall short in the preliminary rounds still being able to avail of investments worth in the hundreds of thousands. Through the formation of an exclusive European Super League, the broadcasting rights will be shared among a much smaller group of cubs, allowing for much higher individual gains and a much lower collective benefit. Dundalk FC, who are only valued at 3 million euro were awarded €280,000 for advancing to the second qualifying round of the competition. For a team as small as this, this allows the club to continue to be a sanctuary where supports can come together to love and support their team, regardless of if they win, lose or draw. Through the introduction of a super league where some members are exempt from relegation, making it essentially impossible for smaller clubs to progress and earn the possibility to secure their future. Not only is this a tragedy, but with the world’s footballing bodies insisting that participants in this league will be unable to compete domestically, these smaller clubs will lose out on the broadcasting rights revenues and footfall stemming from cup draws and league ties against huge clubs. With the possibility of Dundalk F.C. not being able to contest Arsenal F.C. in London during the Europa League (a secondary Europe-wide competition), or Tottenham F.C.’s stare down with Marine F.C. (worth €300,000) in an F.A. Cup tie becoming a distant memory, these giants of European football have forgone their passion for the sport in light of financial gain.

Mistaking a Football Decision for a Business One

What makes this scenario all the more pitiful is the fact that players and managers have been left in the dark completely on the issue, with many players who would theoretically play in this league voicing their disapproval of the proposal. This decision has been taking with the view that football is to be seen as a business rather than a sport, with the very people instrumental to its success being left in the dark. Some large clubs within Europe have rejected the invitation to join this select group, most notably Borussia Dortmund and Bayern München. In the German league there has been a ’50 + 1 rule’ in place since the late 90’s, stating that in order for a club to compete in the German domestic league, the club must hold a majority of its own voting rights. This for the most part has prevented the trend of takeovers of football clubs my millionaires, who in place of a connection or passion for the club, bring their financial muscle.

Let He Who is Free of Sin cast the First Stone

Any hope of this league coming to fruition seems slight at most, with all English clubs and some continental members already turning back on their decision. Florentino Perez, the league’s inaugural chairman has however brushed aside this change of heart, citing the binding implications of membership to the league and the financial reparations which would have to be paid in regard to a departure.  Even with this victory, UEFA’s 2024 plans to revitalize the Champions league has raised a few eyebrows, with teams which would usually not qualify for the league now having the opportunity to sneak in due to their pedigree in the championship from previous campaigns. The new format to be introduced also increases the number of games to be held by over one hundred matches, raising profits from broadcasting on a large scale. While this certainly seems good for supporters, much is to be said of player welfare due to an increase in travel and game time, further raising the issue as to which truly takes priority: the clubs themselves or their coffers?

How Trinity Start-up ‘Locallee’ plans to save shipwrecked SMEs

The waves of restrictions that have been strangling Irish commerce in order to curve the effects of Covid-19 have wreaked havoc upon all levels of business within our domestic market and further afield. One group which has been particularly affected are the 248 small and 344 medium enterprises within Ireland. Many retailers within this group were left without major footfall, and with only 32% of these retailers having a functioning website, their source of sales dried up, starving them of any opportunity to survive Covid-19. This is where 3rd year Computer Science and Business students Seán Larkin, Franklin Ume Obiekwe and Daniel Grace have come together to design a much-needed platform for small retailers, enabling them to be able to connect with their customers online.

The Team

Seán knows firsthand how much of an impact COVID-19 has had on small business in Ireland. His parents are owners of an SME themselves, and while they have been fortunate enough to weather the hardships, many Irish businesses have had to endure during this time; some of their friends and many others in a similar position have not been as lucky. Seán asked himself what he could do to help small firms not only recover but prosper post-pandemic, and quickly identified the potential power of the internet. E-shopping has skyrocketed in light of restrictions cutting off the chance to shop in person, with Amazon alone seeing profits shoot up over 200% over the course of the pandemic.

The team’s efforts have culminated in ‘Locallee’, which hopes to act as an online shopping centre for local businesses. Locallee hopes to address current small retailer’s challenges by allowing businesses to meet their potential demand online, while also providing a host of online resources to allow retailers to perform to the best of their abilities. Locallee’s potential is obvious; with a model reminiscent of Amazon’s and with Ireland’s S.M.E.s forming the backbone of the Irish economy, Seán, Franklin and Dan are confident in their ability to scale their project as traffic rises. Seán and Franklin already have some experience in this field, having been successful in reaching the knock-out stages of a start-up accelerator competition within Tangent with their commerce app, Digitill. This prior knowledge has been instrumental in creating a product with real potential.

Where They Are Now

Locallee’s sign-up process takes less than thirty minutes providing retailers with little to no e-commerce experience the opportunity to benefit from this mode of trade. No technical experience is required by Locallee users, bridging a skill gap which in many instances can be the death of retailers trying to ply their trade online. Seán highlights how the likes of Squarespace, while allowing retailers to establish a website, lacks the marketing and other business functions needed to create monetary value. Locallee hopes to change this.

The team highlighted the trojan effort taken to get their idea off the ground, the platform is currently in its developmental phase, with focus being placed on creating their ‘minimal viable product’, or the first workable version of their business concept. Dan has been handling the technical side of things, while Franklin has been busy establishing platform features needed to add value to the user experience. Even with well north of one hundred hours of individual work put into the project each, the team also wanted to mention all the help they’ve been glad to receive so far regarding their project. In particular, Tangent’s Joe Lanzillotta and Alison Tracey have been a great help to Seán and Franklin’s previous projects and they are glad to have their expertise and support, as well as that of Tangent’s C.E.O. Ken Finnegan, with this new endeavour also.

Plans For The Future

In the immediate future, the Locallee team will be testing and refining their software and business models in a select group of towns across Ireland. Seán, Frank and Dan are hopeful that before the end of the year, Locallee will be boosting local businesses across Ireland.

During our conversation, the team alluded to the further potential of Localee’s ability to provide not only a platform, but also support to their patrons. They firmly believe that Locallee will also be able to assist businesses using the platform in regard to the fulfilment of orders through the design and provision of an order and delivery model. This scalability is not only restricted to how Locallee can function, but also to where it functions. Small retailers across the globe have all been faced with a lack of customer interaction, and with a meteoric rise in e-commerce, many need to shift the way they operate to stay competitive within the evolving retail climate. Countries within the E.U. and the U.K. are an obvious first choice. In Seán’s view, after expansion throughout Ireland, the allure of the United States economy is not out of the equation further down the line. All of this hope for the platform’s future is validated by the fact that Locallee possesses the ability to enact real positive change to small retailers across the globe.

Get In Touch

You can check out Locallee’s brochure website here, and if you wish to hear more about the project, the team can be contacted at @locallee2021@gmail.com

From Graduation to Innovation – Interview with Trinity Start-Up Covid Interns

Trinity Global Business graduates Rob Muldowney and Paddy Ryder experienced the all too familiar story of having their graduation plans unexpectedly dismantled by the COVID-19 pandemic last year. Except, their story stands out – Rob and Paddy adapted and identified an opportunity to use global chaos to launch a successful business  – Covid Interns. With support from Trinity Business school the entrepreneurs hit the ground running. Here Rob tells us how.

What does Covid Interns do? “It offers an array of opportunities for third-level students to work with SMEs.” Rob and Paddy are uniquely positioned to understand the flexible employment needs of students. Their business offers three types of placements – “projects, part time roles and full time roles”. Rob provides the example of a student working part time in the hospitality business. Covid Interns can connect their third-level skills and learning to the admin side of the industry, for instance to run a social media platform. This provides the foundations to gain practical experience in their chosen field and helps build the CV. Covid Interns is epitomising the redefinition of business purpose captured by leading Oxford University Professor Colin Mayer at the World Economic Forum Annual Meeting, in terms of businesses now producing profitable solutions to the problems of people rather than profiting from the problems they create. To date, Covid interns has supported in excess of 180 businesses and placed over 200 candidates with experience from New York to Singapore from more than 40 leading universities including the University of Cambridge, Science Po and Imperial College London to name but a few.

With “first-hand knowledge of the anxiety and stress students face when sourcing internship opportunities”, their idea hatched from “the beast of a strategic management module assignment.” Rob and Paddy agreed that the pandemic was ripe with opportunity for innovation as the “SME market was hugely overlooked and underserved”. The outcome would provide a win-win scenario for students and SMEs as an industry that was one of the hardest hit by the pandemic. While students bring fresh skills and talent to the table, SMEs provide practical experience and bespoke learning opportunities.

Envisioning the future of Covid Interns in a post pandemic world, Rob affirms that their business is here to say, albeit with the baptism of a new business name on the horizon. There “will always be a market for flexible opportunities” and gusto from students for seizing them.  Next, I asked Rob how can a student apply to Covid Interns.  It is as easy as going directly onto their website and completing the student friendly application form. You can also stay up to date with Covid Interns via their active social media domains – Instagram, LinkedIn and Facebook. With four strategic additions to the team Covid Interns is constantly growing, and with links to global platforms such as the Irish International Business Network it is only going to grow faster.

Entrepreneurship comes with a host of challenges, especially in a global pandemic. Rob identifies the biggest challenge facing students as “trying to start a business from the four walls of your  bedroom.” In absence of the possibility of “face to face interactions it can difficult to build relationships and collegiality with business teams.” Rob suggests three key strategic moves students pursuing an entrepreneurial position during the pandemic can make. Start with “identifying products and services that can stand the test of time”. The benefit of launching a start-up in a pandemic is that you can clearly spot gaps in the consumer market and successfully fill them. Next, Rob maintains that “ a feel good story” can act as a springboard to capture positive press and people’s imaginations, simultaneously helping to grow a loyal consumer base.  Lastly “although Covid can mess up plans” as the saying goes every cloud…

How COVID-19 is Impacting Gender Inequality

BY Gaia Aviloff

COVID-19 has exacerbated gender inequality in the job market. Recent studies have shown that the global pandemic is disproportionately affecting women in two main ways. Firstly, women work in the hardest-hit sectors. Secondly, the closure of schools and the shift to online learning have impacted women’s ability to work from home. 

The study The Labour Market Impacts of the COVID‑19: A Global Perspective shows how 40% of all employed women work in the sectors that have been most affected by COVID-19.  The UN WOMEN has released data revealing how female unemployment fell by 50% in Asia and the Pacific compared to 35% in male unemployment. To help evaluate which sectors have been most affected, the study The Impact of COVID-19 on Gender Inequality has distinguished two criteria:

  1. Whether or not current regulations have limited the sector’s output
  2. Whether or not the sector allows for telecommuting

The sectors considered ‘essential’ are Transportation and Material Moving; Healthcare Support; Farming, Fishing, and Forestry; Installation, Maintenance, and Repair; Protective services; Healthcare Practitioners and Technicians. Women work in 4 out of these six sectors, and men work in 6 out of the six sectors. Moreover, 70% of women who work in healthcare services, social work, or who are frontline workers are paid less than their male counterparts.

On average, in the United States, 28% of men work in sectors that allow for telecommute compared to 22% of women. Thus, women will be more likely to face unemployment as they work in industries that cannot adapt to the new remote working format. The graph below shows which sectors are considered essential and which allow for telecommuting in the United States.

 In households where both married members can telecommute for work, the wife will most likely quit her job to provide childcare and housework. In Europe, the pandemic has exacerbated these gendered patterns, with women reducing their work hours 4 to 5 times more than men.

The closure of schools, childcare services, and day centres coupled with older relatives’ unavailability has further splintered gender inequality. There has been an increase in childcare needs with children staying at home and having classes online. The distribution of childcare needs varies on the work arrangements of the members within a household. In the United States, 25% of married couples have a traditional labour division in which men are employed full time and women stay at home. However, in only 5% of married couples, the arrangement is the opposite. In marriages with traditional work distribution, the increase in childcare needs will fall on women. The European Institute for Gender Inequality shows how, before COVID-19, married women provided 39 hours of childcare and married men provided 21 hours. The rise in childcare needs has further amplified the gendered patterns in the unequal distribution of childcare. The graph below illustrates the division of childcare and housework in households across 22 countries.

                                   Source: UN WOMEN

The division of childcare within a family reflects the existing disparities between men and women.

Single mothers are the most vulnerable to these changes. They must juggle home-schooling, the rise of childcare needs, and work. Single mothers must also rely on a single income; however, studies have shown that they are more likely to work in sectors that have been most affected by current restrictions. According to the Central Statistics Office, there are 44.5% single mother households in Ireland compared to only 18.6% single fathers. Single mother households are more at risk of living in poverty since most governments worldwide do not supply social coverage.

Nonetheless, the study The Impact of COVID-19 on Gender Inequality proposes that the flexible working format may produce greater gender equality. The conversion to remote working, adopted during the pandemic, is likely to persist in a hybrid form. More fathers will be able to participate in childcare needs and housework actively. Which can lead to an equal distribution of household tasks as both members may balance their careers with childcare needs and housework. Studies have shown that boys with a working mother will be more likely to marry a working woman contributing to changing gendered norms.

The European Institute for Gender Inequality suggests that the EU promotes education free from gendered stereotypes. Women may access less impacted sectors which allow for telecommuting. The study also states how: “Addressing women’s under-representation in STEM occupations could create up to 1.2 million jobs and increase GDP by up to EUR 820 billion by 2050.” By implementing policies that aim to reduce gender inequality in the labour market, EU member states will see higher economic growth and greater financial stability.

Cooking Up A Storm: The Importance Of Migrants and Street Food

Upon my arrival in Bavaria as part of my Erasmus programme, I was met with many nuances which were wholly expected. Namely, würst, brezel and plenty of beer from the many breweries dotting Germany’s largest Bundesland. One thing I didn’t expect were the many cultural cuisines scattered across nearly every city in Germany and the rich variety of dishes offered at great prices. Döner and Falafel have become cornerstones of youth culture within Germany and further afield too. In Dublin one is prone to find themselves enjoying a burrito or spicebag among many other dishes, which certainly do not have their routes in traditional Irish cooking. Immigrant workers have long established take outs and restaurants as a means to plant their roots in their new homeland. In appreciating the wealth of food and culture stemming from this practice, it does raise the question as to why immigrants so often turn to this practice, and how important are such businesses to a country’s economy?

A brief history lesson

Street food vending was first legalized in renaissance-era Turkey, with the selling of kebab meat being a long-established practice in the country. With Istanbul acting as a gateway between Europe and Asia, many cultures had the opportunity to try new dishes and furthermore bring tales of these tastes back home. Street food had been long been a central pillar of society within China, the Middle East and African communities. Through the emergence of mass migration across the globe by many populaces, the recipes and pallets brought along with these migrants added further depth to the cultural melting pots beginning to brew.

The backbone of the fast-food industry

Work within the catering industry has long been a source of income for migrants. With work opportunities often limited through a combination of lack of qualifications, language and sadly discrimination, many newcomers find work in the fields picking crops, cleaning dishes in a kitchen, or working as chefs also. In the United States alone, 10% of the catering industry’s workforce consists of foreign-born workers. Often this work is unappealing and lowly paid, but with few chances many migrant workers seize upon the opportunity to establish a foothold on the work ladder. This is best represented with the United States’ agricultural workforce, which consists of over 50% of undocumented immigrants.

Rising above poverty

After gaining experience within the sector, it’s easy to see why migrants would build upon their knowledge and endeavour to establish their own chains and restaurants, specializing in dishes from their homelands. These ventures present a fantastic opportunity through the combination of skills and specific culinary knowledge passed from generation to generation, along with the ability to appeal to niche markets of consumers who can’t often access such tastes within their domestic market. For many people, street food is not only a tasty treat, but also a healthy cheap source of nutrition, helping to reduce poverty in cities such as Bangkok and in turn raise ‘cultural capital’, enabling for easier mobility of people through social classes, allowing for many to escape the clutches of poverty and secure a future for their children.

Creating a springboard

All of these factors combined with the convergence effects of globalization have allowed for many of these once street vendors to establish themselves as restaurateurs and even go as far as to establish food chains. In Berlin alone there are over four thousand Döner sellers. This large density of competitors is a result of a labour agreement with the Turkish republic in 1961, allowing workers into West Germany. These numbers rose in 1974-1978, with worker’s families allowed to follow their breadwinners to the DDR (West Germany). The proximity of California to its southern neighbour, Mexico, allowed for a large influx of immigrants. The introduction of the residents of Los Angeles to foods such as Tacos as early as the 1890’s highlights how foreign food can become synonymous with a new city, with Mexican food being a core element of Los Angeles’ food culture. The introduction of the hibachi restaurant concept to New York in 1964 by Hiroaki Aoki sparked a thirst for Japanese cuisine within the United States. The restaurant grew in popularity before expanding due to increased demand. This has culminated in the Benihana franchise, with over one hundred franchised restaurants around the world.

Breaking bread with strangers

While many of these operations are still small family owned operations, operating on street corners or out of kiosks in busy train stations, they play a massive role collectively. Over 20,000 people are employed within German Döner shops, helping to support thousands of families and livelihoods. Their success also stands as a testament to the integration of the Turkish people into German culture, with the love for great street-food being a unifying factor. As globalization continues to induce effects around the world, different cuisine can often act as a bridge in allowing for a start in a new country, so too can it help to create a wider and more diverse society in the world we live in.

« Older Entries