Strategic Management1- Manchester United
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Presented by: Pritish Jana (09IB-039) Rachit Kaul (09IB-040) Rahul Anwala (09IB-042) Rahul Chatterjee (09IB-043) Rajesh Singh (09IB-044) Raghav Agarwal (09IB-041)
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K ± canchester United was formed in 1878 as Newton Heath LYR Football Club by the Carriage and Wagon department of the Lancashire and Yorkshire Railway depot at Newton Heath. ± The club changed its name after coming close to bankruptcy in 1902 ± In 1909, the club moved to its current home, Old Trafford, the third-largest football ground in the United Kingdom. ± In 1958, the cunich air disaster claimed the lives of eight of its players. ± In 1968, under the management of catt Busby, canchester United became the first English football club to win the European Cup.
K ± In 1986, Sir Alex Ferguson took over as the manager and is regarded as the most successful manager in the club's history, having won 26 major honours. ± The club is unique in having won the Premier League, the FA Cup and the UEFA Champions League in a single season, a feat known as The Treble, doing so in 1998²99. ± canchester United holds a joint-record of 18 league titles, four League Cups and a record 11 FA Cups ± After being floated on the London Stock Exchange in 1991, the club was purchased by the Glazer family in cay 2005 in a deal valuing the club at almost £800 million. ± canchester United became a global brand valued by Forbes magazine at $285 million ± The club is stated worth £1.19 billion, making it the most valuable football club in the world
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± Beckham·s medical and subsequent contract signing ceremony was enthusiastically covered by world media. ± cANU accepted 30m pound transfer bid for Beckham from Barcelona. ± But he chose to join Real cadrid. ± cadrid squeezed down the transfer fee to a maximum of 25m pound. ± cadrid started maximizing the return from investment in Beckham. ± Advertising revenue from signing ceremony raised 2m pound. ± Number 23 Beckham replica shirts was estimated to earn 2m pound. ± cadrid was further looking to increase the returns with the Brand Beckham
K ± Sir Alex Ferguson was responsible for deciding Beckham·s transfer. ± The impressive financial credentials made them the world·s largest club generating 100m pound. ± In march 2000, the club·s share price reached 402p making the market valuation touching 1bn pound figure. ± In 2003 shares hit 200p with a reported 22 percent increase in pre-tax profits, ± Turnover reached 173m pound. ± Increasing number of players and pay roll costs didn·t affect the turnover. ± The club clearly aimed at make cANU as a unique brand which to trade.
K K ± After the cunich air disaster the club showed dogged determination to continue. ± cANU was among the few first to boast supporters across countries. ± cANU name and history became known in every football playing country . ± In 1989 United value was pegged around 10m pound. ± By 1997 it become the world·s wealthiest club. ± In 1999 the club·s board showed interest in accepting the offer of 623m pound from BskyB. ± Uprising of supporters led government to block the plan of sale.
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UEFA offered doubling of Champion league to 32 clubs to avert the idea of European super league. Clubs benefited from greater revenues by having more matches. G14 club formed to press for more concessions from UEFA cANU CEO became the G14 vice president. cANU·s 2003 financial account revealed that by competing in UEFA champion league it earns 28m pound and earns 8.5m pound by participating in domestic FA cup Football getting commercialized with United leading the change by tie ups with various brands Umbro International sportswear chief Peter Kenyon joined the board in 1997 To prove that they are running socially responsible business it entered in partnership with UNICEF In August 2000, Kenyon succeeded Edwards as chief executive and changed business style to be more communicating and people centered.
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Under Sir Alex Ferguson·s management the club achieved huge on field success. cerchandising and related activity expanded with over 1500 items. In 2000, 15000 square-foot and internet related Red Café was opened in Asia Using CRc system, they built buying profiles of 1.9m UK members with a target of reaching 3.5m fan details by 2006 Organizations paid huge amount to associate with canchester United. Future investment plans were made well in advance in new technology. Official website was initially launched in 1998, when it was re-launched in 2002,it was achieving 600,000 unique visitors per month. culti million pound Trafford Training Centre was built spanning 70 acres Financial analyst believed that new markets are yet to be explored which will generate huge income. China alone has 20m potential customers yet to be tapped. In Dec 2002 Edwards stepped down as chairman followed by the surprised resignation of Chief Executive Peter Kenyon in September 2003
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