Efficiency of French football clubs and its dynamics

Abstract

In the paper we evaluate the efficiency of French football clubs (Ligue 1) from 2004 to 2007 using Data Envelopment Analysis (DEA) with « Assurance Region ». Then, we study the dynamics of clubs’ performances. Contrary to previous works on other championships, best teams in competition or most profitable clubs are not the most efficient units in our sample. High average scores show that French First League is efficient. The first source of inefficiency in the Ligue 1 is linked to size problems and over-investments. Despite an average club performance stable over the period, we exhibit a deterioration of conditions in which clubs operate.Ligue 1, efficiency scores, Data Envelopment Analysis (DEA), Malmquist index, over-investment