There was a recent case study from ten years ago in regards to the National Hockey League Lockout. This event occurred during the season beginning in October 2004 until the beginning of 2005. According to the text, Negotiation, when a league has a lockout, this means that this is a stoppage of players playing in the league; this type of stoppage occurs when the league’s leaders/commissioners makes a decision to cease the league whether temporarily or permanently (Lewicki, Saunders, & Barry, 2010).
The issue in this case is that the owners of the National Hockey League locked out the games due to the matter that they felt that the league did not generate enough revenues. Additionally, the target income did not meet expectations because the…show more content… However, the main topic in question is to keep that duty as well as to negotiate a salary expense for the entire league which is agreeable to all parties- NHL Commissioner, players, and the union. Throughout the negotiations, the union had the “take-it-or-leave-it” negotiations where if the National Hockey League representatives did not agree to higher salaries for the players, then the lockout will remain. The side of the NHLPA felt that it was unjust that the NHL Commissioners would lock the NHL out in the first place, which causes a loss of salary to the employees and caused losses of billions of dollars to the league (with or without…show more content… From seeing the statements and recognizing the analysis from everyone, including the owners and analysts, I would create different offers which would negotiate the league going on, but decrease expenses, heighten revenues, and try to do a slighter decrease in the players’ salaries as an alternative. If there really were overpayment in salaries with not enough revenues, I would have performed the same tactics as Trevor Linden and the others. This tactic would be to decrease the salaries but show other proposals to heighten the value of the NHL so that it would be a richer league. The reason for looking at the financial statements are to verify to see if the revenues and other incoming cash flows are being spent mostly on salaries and to see if there are other expenses to cut. If other expenses are able to be cut or if there are other ways to earn revenues for the NHL, then there could have been an alternative to decreasing the pay. In the alternative, if the pay had to decrease, then it possibly would not have decreased as low as 54% of the