its basically used to decide if a player/staff would go to a club.
its weighed with a couple of other factors such as the competition they have qualified for, in game, and the attractiveness of the city.
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Off topic, but is there a way to alter competition prize money?
I've had a look and no it is not possible... :(
I thought not...I tried finding a way to do it in the game code, but it didn't work