[QUOTE=Usram]
The term “league” means that groups of teams play each other round robin. Both tournaments used to be straight knockouts, with teams simply playing each other hone and away (except for the European Cup Final). When the European Cup introduced group stages, its name was changed to the Champions League (I believe there is officially no apostrophe, grammar fans). The UEFA Cup has kept its name despite introducing a group stage, perhaps to avoid (more) confusion.
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The Champions League has adopted the “League” simply because it’s on its way to becoming a full-fledged league, with regular members, along with certain members who get promoted and relegated every year.
In the beginning, there was the European Cup competition (started 1955). The winners of the various national domestic leagues were put into a cup competition, where teams are paired by draw, play a home-and-home tie, with the aggregate winner going on and the loser out of the competition. The final was a single game, played at some neutral site (the Parc des Princes in Paris, for the first final in 1956). The champion gained automatic entry into the next year’s competition, regardless of whether they had won that year’s domestic league championship (the European Cup competition being played simultaneously with the next season of domestic football).
In 1960, a new competition was added, the Cup Winners’ Cup. This was contested by the winners of the previous season’s domestic cup comptetitions (which are contested simultaneously in each nation with that nation’s domestic league). The set up was similar to the European Cup. A somewhat more eclectic group of nations ended up participating because winning a national cup competition is easier to do for a less competitive team than winning the year-long league competition.
In 1971, UEFA established a competition that adopted qualifying standards from the Inter Cities Fairs Cup. That competition started in 1955, but was contested between teams from cities that held annual international trade fairs; how the teams had done in their domestic leagues was unimportant. By 1968, the Fairs Cup had changed to inviting teams that had finished in second place in their domestic leagues the year before. In 1971, UEFA took this idea over and launched the UEFA Cup. This competition invited anywhere from 1 to 3 teams from European countries, based upon their standing in the prior year’s domestic league. Thus, for example, from England the second, third and fourth place teams might qualify; from Lichtenstein only the second place team would qualify. This was, again, a traditional cup competition.
Then, in 1991, in response to complaints from perennially successful teams that UEFA wasn’t leveraging the marketability of their success into sufficient television revenue, etc., the European Cup competition format was changed. From 1991, after one or more knock-out rounds, there would be anywhere from one to three “group” rounds, where the teams still in the competition were drawn into four to six team groups, which then played a double-round-robin (home and home). Eventually, either the finals, or the semi-finals and finals would be contested as knock-outs. This had the advantage of guaranteeing advertising and gate revenues for participants who otherwise might crash out early. The Cup Winners’ Cup and the UEFA Cup were left alone (for the most part).
In 1999, facing continuing dissention from the large, powerful clubs, who were threatening to establish their own Super League (thus removing the revenue stream from UEFA’s control), UEFA revamped the competitions. The Cup Winners’ Cup was terminated; a domestic Cup winner is put into the UEFA Cup competition. The new UEFA Champions League has two types of participants: those who are allowed to participate, but must go through one to three knockout rounds, and those who are seeded directly into the group stage. Which type of participant you are depends upon three things: how your country’s national team fares in international competition, how your country’s club teams fare in inter-European competition, and how your team has fared in inter-European competition. There are currently three knockout rounds, then a group stage with four-team groups, then a knock-out phase with Octo-, quarter-, and semi-finals, as well as the final.
The UEFA Cup was also revamped in 1999. It’s very difficult to summarize; suffice it to say that a lot of teams end up competing in the UEFA Cup, now, including some that crash out of the Champions League relatively early on. The format has changed to emulate that of the Champions League, with knockouts, then groups, then back to knockouts.
So, in sum, the Champions League represents the best of the best in Europe. The UEFA Cup represents the wannabes, the rejects, and the failures. You can guess which is the more important competition, as a result. 