NBA owners should be as concerned about Mark Walter’s Lakers as MLB owners are about his Dodgers because different sports and rules could still not be enough to stop him from transforming the Lakers into a juggernaut.

Mark Walter transported the Dodgers from bankruptcy to championships by investing in the best talent on and off the field and providing them with the best possible resources to help them win games and become better. Preferring to avoid publicity, Mark believes in a hands-off, resource-rich, relentlessly-innovative ownership model for both the Lakers and Dodgers where he hires experts whom he trusts to run his sports enterprises.

Whereas the Dodgers were more of a complete turnaround project, Walter sees the Lakers as a franchise that’s left championships on the court due to limited resources, conflicted ownership, and front office mismanagement. With Luka extended, the Lakers should be able to legitimately compete for an NBA championship much sooner under Mark Walter’s ownership than the 7 years the Dodgers took to finally win after coming out of bankruptcy.

While experts believe Mark Walter will find the NBA difficult to dominate because its free agency and salary cap rules are much tougher than MLB, Mark sees great similarity and synergy between the Dodgers and Lakers.
While the sports and the rules may be different, the formula to succeed in baseball and basketball are eerily very similar. Fortunately for the Lakers, the sale of the team to Mark Walter will immediately create advantages.

Let’s look closer at four strategic championship advantages Mark Walter gives Lakers that Jeanie Buss couldn’t: (1) Hiring best people, (2) embracing analytics, (3) leveraging luxury taxes, and (4) thinking outside the box.

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1. Hiring Best People

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While Jeanie Buss preferred only to hire people recommended by a small group of associates, Mark Walter believes in doing whatever is necessary to hire the best people because that’s the surest way to succeed in business.

To help him hire the best people for the Lakers, Walter has already brought in Dodgers’ president of baseball operations Andrew Friedman and trusted analytics guru Farhan Zaidi to be advisors during the ownership transition.
Friedman and Zaidi are the vision and brains behind the resurrection and transformation of the Dodgers and will immediately become strong voices to help Walter chart the future of the Lakers’ GM and head coach positions.

After buying the Dodgers in 2012, it only took Mark Walter 6 months before he replaced general manager Ned Colletti with a new president of baseball operations Andrew Friedman, who completely turned the Dodgers around.
Once the Dodgers were out of rebuilding mode, Walter hired Dave Roberts to replace Don Mattingly in 2016. Friedman and Roberts have now been with the Dodgers for nearly a decade, winning 3 of the last 6 World Series.

Less than 30 days after the NBA approved the Lakers’ sale, Mark Walter fired Joey and Jesse Buss, who had voted against the family selling the Lakers, and replaced most of the scouting department with new hires. While Pelinka and Redick were just given extensions, they’re aware Walter eventually fired each of their Dodger counterparts and replaced them with his personal choices, who’re still the team’s current GM and manager.

Pelinka and Redick will not only need to prove to Walter they’re the best people for their jobs but also that they will be excellent ‘team’ fits for his analytics-driven sports conglomerate. That could be a problem for Rob.

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2. Embracing Analytics

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While the Dodgers under Andrew Friedman have fully embraced analytics and supported data-driven decision making, the Lakers under Rob Pelinka have traditionally been late to the party regarding cutting edge technology.

Friedman and Zaidi believe the Lakers’ failure to jump aboard the analytics bandwagon is one of the reasons they haven’t won as many championships as they could have won if professionally financed and properly managed.
That’s why Walter’s top priority once the league approved the Lakers’ sale was to bring Friedman and Zaidi in as transition advisors to insure that the Lakers immediately embraced analytics and data-driven decision making.

Mark Walter is what you could consider to be an analytics true believer. He still understands the value of intuition and hunch when it comes to talent evaluation but he and everyone on his team has fully embraced analytics.
Trading for Luka saved Rob Pelinka’s job with Mark Walter, who became a Lakers’ minority shareholder in July 2021, the same month Rob traded for Westbrook. JJ will be fine since he’s a believer but Rob is gone for sure.

Fully embracing analytics will dramatically change the profile of the type of basketball players the Lakers will be trying to acquire via draft, trades, and free agency going forward. Priority will be legitimate two-way players.
Right now, the Lakers’ needs are a starting 3&D small forward and backup center on defense and high volume 3-point shooters on offense. LA is 24th in attempted threes, 23rd in made threes, and 17th in 3-point percentage.

Mark Walter knows the Lakers need a blockbuster trade to be a legitimate championship contender this season. Look for analytics and data-driven decision making to dominate every Lakers’ critical trade deadline move.

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3. Leveraging Luxury Taxes

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No matter what they would like you to think, there is a direct relationship in MLB and in the NBA between franchises’ ability and willingness to pay mega luxury taxes and their chances of winning world championships.

While the NBA has added harsh competitive penalties to their financial penalties for paying salaries in excess of the first apron, the NBA as a sport with just 5 starters is by far more star dependent than MLB could ever be.
That’s why, despite tougher new rules for going over the first apron, there will always be teams willing to go all-in and pay whatever luxury tax penalties it costs to put together a payroll that can win a championship.

The 2024 NBA Champion Celtics were the most recent example of a team willing to pay outlandish salaries and luxury taxes to win 1 championship, incurring over $200 million in luxury taxes from 2023 through 2026.
Boston’s prior ownership leveraged the 2024 championship into a $6.1 billion value when selling the franchise despite the reality the new owners would have to break up what was an unaffordable championship team.

The grand prize for paying mega luxury taxes for winning 4 championships goes to the Warriors, who won titles in 2015, 2017, 2018, and 2022, while incurring almost $700 million in luxury taxes from 2019 through 2025.
The Warriors’ current Forbes’ franchise valuation is $11.3 billion, which makes them the most valuable franchise in the NBA. The Warriors’ value back in 2113 before high salaries and luxury taxes was only $555 million.

While the Lakers under the Busses never paid mega luxury taxes, the willingness to pay mega luxury taxes has been a long-time staple of Mark Walter’s business philosophy. Expect the Lakers 2.0 to be the Warriors.

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4. Thinking Outside Box

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The most underrated but perhaps most valuable advantage that Mark Walter gives the Lakers that Jeanie Buss could not is the ability to think outside of the box, to address challenges with surprising solutions.

Revealing examples of Dodgers thinking outside the box are everywhere. Their focus on recruiting international players and fans. Their innovative signing of Shohei Ohtani that deferred most of his $700 million contract.
They used advanced metrics to identify undervalued talent and optimize depth, redefined how starting and relief pitchers could be maximized, and created a championship culture through extensive team building rituals.

What Mark Walter has created through Andrew Friedman and Dave Roberts is a model for sustainable business and cultural success that every owner of a professional sports franchise should study and emulate.
Walter fully intends to deploy the same business philosophies, analytics strategies, and powerhouse of resources that catapulted the Dodgers to the top of their league to transform the Los Angeles Lakers into a juggernaut.

While pulling off trades in professional sports is a mix of art and science, I’m looking forward to seeing how the change in ownership from Jeanie Buss to Mark Walter will change what the Lakers do at the trade deadline.
The moves last offseason where the Lakers used free agency to sign three important players under market value without losing any draft capital or roster depth could have been our first glimpse of the Lakers’ future.

The Lakers need a starting 3&D small forward, backup center, and more 3-point takes and makes. Look for the Lakers to focus on younger, less expensive, higher-upside type candidates in any trades they make.