Analysing impact of trade rumours on team performance in the NBA

Abstract

Rumours regarding star employees leaving cause significant turmoil in the organization. These rumours may be either about the organization looking to lay off the employee or the employee looking to leave the organization. Either way, these rumours generally act as a stressor and deter the performance of both the employee and the organization. We look to study the impact of such rumours on organizational performance by studying the impact of trade rumours on NBA teams. Since the end of the 2018-19 NBA season, 6 out of the 15 All-NBA players have moved teams. With major stars like Anthony Davis and Paul George forcing their way out of their teams and teaming up with other superstars, the league today sees more player movement than ever before.