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The NBA’s Revenue Solution: Expansion Teams

The NBA is a league that was built on expansion. It was a mandate that was issued by David Stern, Adam Silver’s predecessor. Stern had an insatiable appetite for getting professional basketball in front of as many eyes as possible. Expansion was a tool for achieving this objective.

Stern was responsible for adding seven teams into the NBA during his tenure as commissioner. Stern’s actions grew the game in Canada and built on the strong foundations laid down by Bird, Magic and Jordan. He used the league’s marketing power to expand the NBA’s business and increase profitability.

League expansion at the time was shrewd business, but there were effects on the quality of the game.