Evolution of the Olympics Business Model

Avery Brundage's negotiating model from the 1960's included a commitment to professionalism and decentralization.

The Rome Formula was a complete solution to the clash between OCOG's and the IOC in the 1970's.

Munich and Montreal argued that the IOC's distribution policy effectively addressed the growing costs of hosting the Olympics.

The Munich precedent involving Black September led to a decrease in security measures during the Olympic Games.

Negotiations between OCOG's and ABC resulted in the integration of television rights and technical services payments.

The Munich precedent set by OCOG's negotiations with ABC created an opportunity for subsequent OCOGs to challenge the IOC's distribution policy.

The IOC established a Television Subcommittee in 1973 to improve communication between the IOC and the OCOGs.

Before the 1976 Montréal Olympics, the IOC successfully enforced its interpretation of the Rome Formula.

The Munich incident highlighted the need for enhanced security measures during live broadcasts, but did not affect the distribution of TV revenue.

The negotiations in Montreal addressed issues related to technical services for telecasting Olympic events.

OCOGs capitalized on the IOC's failure to execute due diligence in reviewing agreements by pushing for better terms.

The separation of television rights and technical services in the Munich/ABC deal paved the way for OCOGs to negotiate better terms with the IOC.