Boxing fatalities and economics: determination or deathwish? (page 2)

To be sure, people focus on top-line numbers - i.e.,, revenues.  But oh, are there costs.  Uncle Sam loves to spend money and he thinks 39% is a fair share.  (Yes, the government - whether you like it or not - is a partner in all of your professional or business ventures.)  You'll need to adjust the figures to account for the agent, promoter, corner team, and hospital bills.  During Mike Tyson's early days, his handlers took about one-third of the cut.  (Of course, Don King decided that taking everything was a simpler and better approach.)  Boxers starting out get economically screwed, and will have a hard time paying for expenses.

Pursuing your boxing passions typically mean operating in the red.

Where is the cash?

The cash is in:

1. Skill sets.  As General Douglas MacArthur pointed out, "there is no substitute for victory."  Or as Oakland Raiders team owner Al Davis puts it:  "Just win baby!"
2. Strategizing for an impressive record.  That requires building and maintaining momentum by beating weaker foes prior to a big cash cow fight.  The momentum creates that all-important "buzz."
3. Marketability.  You have a journey, a heroic story, that inspires.  That creates following and establishes a loyal fan base.  Victor Ortiz has it.  Oscar de la Hoya has (or had) it.
4. Promotion, exposure, "buzz," x-factor, creating public curiosity about the fighter.  The marketplace is crowded with stars, and boxing competes with MMA, basketball, tennis, football, soccer, baseball, extreme sports, and a host of other athletic and entertainment activities.  The managers must find a differentiated niche in order to claim "mind share" from general sports fans.
5. Win the career-defining fights.  Self-explanatory.  When the moment of truth arrives, you kill or be killed.  The law of the jungle, in the perfect symmetry of its portions, is pre-ordained by nature as the governing standard.  Us creatures live by it, and boxers - in the middle of the stage - most prominently displays for us - and reminds us - the Darwinian nature of competition.

Mayweather, Jr. earned $20 million for wrestling "Big Show"

Elite-level fights can more fully utilize various business channels - product sales, cable television, sponsorship and Fortune 1000 endorsements, and venue.  Ceasar's Palace and MGM Grand can gain revenue from their regular (and prospective) client base of frequent guests and gamblers.  Boxing appeals to those who want to "live the fast life," a way of living more conducive to rolling the dice with thousands of gambling dollars at stake.  Popular fights keep the cash coming in for a highly competitive leisure and hotel industry.

A warrior's dangerous undertaking

Still, the grass-roots boxer has a tremendous uphill climb.  He may have to work a job in order to financially support his pugilist ambitions.  Many boxers were not born with a silver spoon in their mouths.  Someone's got to pay the bills.

 We find surprise that prize fighting is not considered as one of the ten most dangerous jobs in the U.S.  It is an activity that provides close to maximum exposure to permanent injury or death.

Source: Bureau of Labor Statistics; survey of occupations with minimum 30 fatalities and 45,000 workers in 2002

Here are the total number of boxing-related deaths by decade around the world.

Source: Death under the Spotlight: Analyzing the Data, by Joseph R. Svinth

These deaths provide questions of exploitation of kids and young fighters around the world.  Boxing is not as properly regulated sport as it could be.  Unlike basketball or football, there are lots of fights that occur without the proper, credible, and appropriate controls.  In a perfect world, you would have zero cheating, good controls, and appropriate medical precautions in Mexico, South America, and Asia.  In a perfect world, teenagers would not be forced to fight in suspect conditions in Thailand.  In a perfect world, exploitation of young, kid boxers would not exist.

We do not live in a perfect world.

With contributions from James Hamilton, Houston Economic Policy Examiner and the Houston Workplace Examiner for Examiner.com.  James is an award-winning speaker, Fortune 500 corporate trainer and economist. He studied Economics at the University of Texas and actively researches Texas business regulations, promotions and fiscal policies. He currently consults entrepreneurs throughout greater Houston.  James is co-founder of The International Speaker’s University.  Email @ James@thejameshamilton.com.

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Copyright 2009.  Marv Dumon.  May not be republished without author's written consent.