College Coaches Versus CEOs
We need to look at the college basketball coaches salaries in context. Big time college basketball is a business. For example, Jim Boeheim, the basketball coach of Syracuse makes $1.3 million but the team netted $9.1 million for the university.
These salaries are high because exceptional coaches create winning teams and make money for the colleges that pay them. Furthermore, winning teams boost the prestige of colleges. After the Maryland men's basketball team won the NCAA tournament, applications jumped from 17,000 to 24,000. If they start losing, the coaches' days are numbered. Ideally, colleges should only hire coaches who both win and make sure the players get a good education and graduate. But in the current climate, there is even more pressure on coaches to win, bring in the paying customers and get TV coverage.
Many CEOs whose companies have had losing years can't claim the same justification for their huge salaries and bonuses.
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