“UEFA’s Champions League Dilemma: The Risks of Increasing Supply and Diminishing Demand”

**UEFA with ** In a bold move, UEFA has decided to increase the number of fixtures in the Champions League by 51%. This decision raises concerns about the long-term popularity of the competition, as it contradicts the established strategy of maintaining excess demand, which has proven beneficial over time. To illustrate this point, we can look back to 1991 at the University of Chicago, where economist , who would later win a Nobel Prize, presented a compelling case in one of his papers. He described a scenario involving two seafood restaurants in , California. One restaurant, known for its popularity, consistently has long queues during peak hours, while the other, despite offering comparable food and service at slightly higher prices, often has empty tables. The question arises: why doesn’t the popular restaurant simply raise its prices to reduce the wait times or expand its capacity to accommodate more customers? The answer lies in the potential negative consequences of such actions. Increasing prices could alienate loyal customers, while expanding capacity might dilute the restaurant's unique appeal and atmosphere, ultimately harming its business. This economic principle highlights the risks UEFA faces with its decision to increase the number of Champions League fixtures. By flooding the market with more games, UEFA may inadvertently diminish the competition's allure, moving away from the scarcity that has historically driven its popularity. The long-term benefits of maintaining a sense of exclusivity and high demand could be jeopardized, potentially impacting the Champions League's status as one of the premier football competitions in the world.