Do United need to change their long term approach?
With reports that Todd Boehly is looking to emulate City Football Group, should Manchester United be looking to do the same?
With numerous reports suggesting that Chelsea owner Todd Boehly is actively seeking opportunities to emulate City Football Group and Red Bull in the way that they hold majority stakes in several clubs across the world, the question needs to be raised, should Manchester United be following suit?
During Sir Alex Ferguson’s tenure at Manchester United they had adapted a similar approach to what has been used by the likes of Manchester City today. The most notable partnership was with Belgian side Royal Antwerp. Although they didn’t share the same owners, the two clubs had a mutual agreement that saw over thirty United players develop their game on loan in Belgium. This partnership proved to be mutually beneficial as Royal Antwerp earned promotion to Belgium’s top flight, with significant contributions from Fergie’s young talents. A model that was seen as a decade ahead of its time and one that was a reminder why Manchester United were firm on their perch at the top of the Premier League.
Although United still share partnerships with many clubs around the world, they are very rarely utilised at all, or even remotely close to its full capacity. It is also well known that United possess one of the most built up global scouting networks in world football. However, for whatever reason amongst the structure of the staff, United have seldom seeked to acquire an unknown gem and rather opted for ‘big name’ signings. This is an approach that has been largely criticised and proven over a number of years to not be efficient but the club remains persistent in their approach. A sharp contrast to successful league rivals in the last decade.
City Football Group has stakes in a plethora of teams from across the world that includes: Girona in Spain, Troyes in France, Lommel SK in Belgium and most recently purchasing a stake in Italian side Palermo. Further away from the continent is Melbourne City from Australia. New York City in the USA, Montevideo City from Uruguay and Yokohama Marinos in Japan. This allows the ownership group to extend their scouting network across several continents, investing in young players and developing them through first team football to be sold for profit or for use for another one of their clubs. All these resources and knowledge ultimately filters up to Manchester City at the top of the tree, allowing them to take advantage of the world class talents and lucrative profits.
The business model also allows for City Football Group to expose exterior companies to the global stage with main sponsors Etihad Airways now being advertised across the globe as a result. As well as this, it is a method that can be used as a solution to financial fair play restrictions and provide a pathway for Sheikh Mansour and his inventors to pour money into Manchester City through alternative methods. Also, the signing and subsequent selling of players who never featured within the first team has been a significant factor in the transfer budgets of City. Most notable players include the approximate profits of £8 million for the sale of Jack Harrison, £12 million for the transfer of Angelino and £6 million regarding Aston Villa midfielder Douglas Luiz. This expansive network of players soon adds up in the profits of the club, allowing more room for first team additions.
The business endeavours of City Football Group (CFG) and the intentions of Todd Boehly indicate that they are in it for the long term. For example, the investment poured into India and China by CFG is a move that will take many years to reap the rewards of. Consequently, this could be seen as negative news for Premier League counterparts as they look to build an empire capable of sustaining dominance in English football and also look to expand the gap between the top and the bottom of the football pyramid.
This could be a problem for rivals Manchester United as the uncertainty regarding the Glazers’ ownership of the club continues to linger. The lack of commitment that comes as a consequence means that long-lasting funding and forward thinking projects will be difficult to justify. A change in ownership could be the catalyst that is required for United to undergo a reform necessary to compete at the highest level in the upcoming years. Potential interested individual Sir Jim Ratcliffe already has two football clubs in his portfolio, represented by Ineos Chemicals Group. French side OGC Nice and Swiss Super League participant FC Lausanne-Sport are part of a lengthy sporting investment portfolio that could enter a mutually beneficial partnership with a club like Manchester United.
In recent years Manchester United have struggled in persuading youth talents in committing their long term future at the club. The prospect of first team opportunities either on loan or on a permanent with a buy back clause included could’ve been a major factor in convincing youngsters to continue their development associated with United. Examples of this would be Paul Pogba back in 2012, Angel Gomes in recent years and even James Garner in the summer of 2022. Had they had the opportunity of joining a prestigious club in a respectable league such as OGC Nice, for example, this may have proved to be the most suitable outcome for a number of these sorts of players.
Although it is a massive sporting project that takes up a prolonged amount of time and extravagant investment, it feels like an opportunity missed if United don’t capitalise on the ever growing global fanbase of football in expanding their network. Partnerships mentioned that are used by the likes of CFG and Red Bull benefit all parties as owners get a return on investments while developing countries receive massive amounts of money that boosts their nation’s popularity with football. With United’s global reach already this could have huge potential while also boosting the strength of Manchester United’s internal project. However, it is an opportunity that seems very distant with the current structure of the football club. Something may have to budge in the next number of years in order to allow the change that could be required to not fall further behind city rivals Manchester City.