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KHL Strategy and Goals

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Old
07-27-2008, 10:30 PM
  #1
SanJoseCanadiens
 
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KHL Strategy and Goals

Question about the KHL strategy and objectives, particularly with regards to its long run competitiveness and profitability.

Me and my father were wondering about the ultimate intent of luring Russian or other NHLers (back) to Europe, assuming that it was to establish a new league to compete with the NHL. How in the long run can the KHL, or another European hockey league, offer players salaries comparable with those of the NHL, which I would assume they would have to in order to compete for players and as a league, when it seems like the markets are dramatically smaller? Correct me if I'm wrong, but I heard Russian arena's average below 6-7000 seats (and are often not full), which implies that ticket prices would have to be dramatically higher (not even considering the lower per capita incomes in some of the easter european countries). And I believe the same thing is true in the rest of Europe as well- I saw a game in Stockholm, one of the few large arenas of its scale in Sweden I believe, and it still couldn't have been much over 10000.

So, given this, my question again: What's the deal, what's the objective of the KHL and if its to compete with the NHL, how do they expect to do this in light of the above mentioned economic realities/what's the economic strategy? What other motivation are there for the league, if its true that competition with the NHL would not be economically feasable?

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07-28-2008, 01:26 AM
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Originally Posted by SanJoseCanadiens View Post
Question about the KHL strategy and objectives, particularly with regards to its long run competitiveness and profitability.

Me and my father were wondering about the ultimate intent of luring Russian or other NHLers (back) to Europe, assuming that it was to establish a new league to compete with the NHL. How in the long run can the KHL, or another European hockey league, offer players salaries comparable with those of the NHL, which I would assume they would have to in order to compete for players and as a league, when it seems like the markets are dramatically smaller? Correct me if I'm wrong, but I heard Russian arena's average below 6-7000 seats (and are often not full), which implies that ticket prices would have to be dramatically higher (not even considering the lower per capita incomes in some of the easter european countries). And I believe the same thing is true in the rest of Europe as well- I saw a game in Stockholm, one of the few large arenas of its scale in Sweden I believe, and it still couldn't have been much over 10000.

So, given this, my question again: What's the deal, what's the objective of the KHL and if its to compete with the NHL, how do they expect to do this in light of the above mentioned economic realities/what's the economic strategy? What other motivation are there for the league, if its true that competition with the NHL would not be economically feasable?
Teams in Russia are expensive hobby for governors, directors etc. That's the economics and strategy. Not only they are not and can be not profitable, but they are can't live without big losses.

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07-28-2008, 05:27 AM
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Originally Posted by SanJoseCanadiens View Post
what's the objective of the KHL
Main KHL objectives:
1. Stop young players (from Russia and Europe) from coming to NA;
2. Return native Russians and Europeans back to Russia/Europe.

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economic realities/what's the economic strategy?
Main economic goal is to cover a cost of infrastructure. Other losses will be compensated by sponsors.

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07-28-2008, 04:54 PM
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Originally Posted by Inner Gear View Post
Main KHL objectives:
1. Stop young players (from Russia and Europe) from coming to NA;
2. Return native Russians and Europeans back to Russia/Europe.


Main economic goal is to cover a cost of infrastructure. Other losses will be compensated by sponsors.
That will last only as long as the oil lasts...which I've seen has peaked....

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07-28-2008, 05:01 PM
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Garl
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Originally Posted by ALF AmericanLionsFan View Post
That will last only as long as the oil lasts...which I've seen has peaked....
Yes, picked last year, only decline now. But theres also gas though.

However this "goals" are not serious, Russians I can see but if they pretend to keep best euro juniors from NHL, then it's utopia.

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07-30-2008, 12:08 AM
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Originally Posted by Garl View Post
but if they pretend to keep best euro juniors from NHL, then it's utopia.
We'll see. KHL is much better for european juniors in terms of geographics and money.

"The greatest pleasure in life is doing what people say you cannot do."


Last edited by Inner Gear: 07-30-2008 at 12:16 AM.
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07-30-2008, 04:13 AM
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Originally Posted by ALF AmericanLionsFan View Post
That will last only as long as the oil lasts...which I've seen has peaked....
yes, russia will run out of oil and/or the gas prices will go down to the point of oil companies going bankrupt. the global economy will collapse unto itself and ultimately the KHL will fold.

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07-30-2008, 05:25 AM
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Originally Posted by Inner Gear View Post
We'll see. KHL is much better for european juniors in terms of geographics and money.

"The greatest pleasure in life is doing what people say you cannot do."
I really can't remember that they wanted to keep european juniors from NHL. Russian yes, european no.
Geographics are not so important, USA is still closer to Europe in terms of lifestyle than Russia. Money? Debatable, really debatable. I would even say wrong.

KHL wants to attract some established stars from Europe, but juniors? It's not about juniors, espescially since their parents probably wouldn't be happy when their kid will be playing in Novokuznetsk.

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07-30-2008, 10:20 AM
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Money? Debatable, really debatable. I would even say wrong.
Better, especiallly for juniors. Low tax ratio. No rookie salary cap.

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It's not about juniors, espescially since their parents probably wouldn't be happy when their kid will be playing in Novokuznetsk.
You can be sure - juniors is most important goal. And, is there are no other cities in Russia, Novokuznetsk only?


Last edited by Inner Gear: 07-30-2008 at 11:12 AM.
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08-05-2008, 10:04 AM
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yes, russia will run out of oil and/or the gas prices will go down to the point of oil companies going bankrupt. the global economy will collapse unto itself and ultimately the KHL will fold.
The higher the price of oil the higher the canadian dollar - which equals a higher salary cap for the NHL. This only exacerbates the situation for the KHL or other Russian leagues. Also Canada has a reserve life for oil of over 180 years vs 17 years for Russia at present production rates. And oil doesn't really effect the NHL directly as our rinks are capable of generating much larger revenues for the teams. Most of them make money.

So yes, Russia will run out of meaningful oil reserves before too long. I would like to see the KHL teams build some modern arena's instead of wasting their money on aging players - have some kind of economic plan. Canadians would watch KHL on TV if there were some decent venues and broadcasting ....
Need to think international revenue streams.

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08-05-2008, 10:46 AM
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Garl
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Better, especiallly for juniors. Low tax ratio. No rookie salary cap.
There's a junior salary cap no? However for most juniors money are not so impotrant as development. Why do you think so many top juniors continue to play in their lower league teams? Just look a Patrik Berglund, he had offers from SEL teams and pobably could have earned 6 times more money but he stayed in Vasteras. Partly because of parents, friends, local patriotism factor but partly because of the fact that he can get more ice time and develop better there.

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You can be sure - juniors is most important goal. And, is there are no other cities in Russia, Novokuznetsk only?
No matter, exept for Moscow and St.Petersburg other cities are not so much different for Western parents than Novokuznetsk, Magnitogorsk or Cherepovetz.
And if juniors is the goal then why the youngest foreigner signed by KHL team from Europe was NHL bust Jakub Klepis?
So no, the plan to keep best european juniors in Russia is an utopia. So far Russia has problems with keeping their own juniors, so it's too early you strated thinking about foreigners.

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08-05-2008, 03:32 PM
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Originally Posted by Garl View Post
However for most juniors money are not so impotrant as development.
How many juniors you asked?

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Partly because of parents, friends, local patriotism factor but partly because of the fact that he can get more ice time and develop better there.
Where is 'parents, friends, local patriotism' factors for european juniors who played in NA lower leagues at this time?

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No matter, exept for Moscow and St.Petersburg other cities are not so much different for Western parents than Novokuznetsk, Magnitogorsk or Cherepovetz.
It's not a problem. Let Jagr and Co talk with them

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the plan to keep best european juniors in Russia
The plan is to keep Russian juniors in Russia, European juniors in Europe. It is possible, and we'll do it.

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08-06-2008, 06:16 AM
  #13
Garl
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How many juniors you asked?
I must have asked everybody? It's pretty obvious I gave you examples.

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Where is 'parents, friends, local patriotism' factors for european juniors who played in NA lower leagues at this time?
Parents are not against the idea of their kid going to North America. Or like Kopitar to Sweden. Russia is different stroy obviously.

And young players go to CHL because of ice time. NCAA is education aswell.

In Russia teams that have money are working in "win now" mode. Juniors usually aren't really impact players.

Quote:
It's not a problem. Let Jagr and Co talk with them
With who? Jagr is 36 y.o. He is a big boy now and plays where he wants It's much different with 16-18 y.o. kids. who don't speak Russian.

Just btw, it's pretty funny how Jagr must do everything for KHL. Advertisment, raising quality of play. Now hу must speak to juniors aswell.
Quote:
The plan is to keep Russian juniors in Russia, European juniors in Europe. It is possible, and we'll do it.
Sounds a bit pathosly yeah? Keep dreaming then.

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08-07-2008, 11:00 AM
  #14
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Originally Posted by Garl View Post
Keep dreaming then.
“The greatest pleasure in life is doing what people say you cannot do.”

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