Prince Sports: Challenges in the Marketing Environment

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Prince Sports: Challenges in The Marketing Environment Brittany Pimpinella Empire State College Abstract Prince Global Sports started out as an unintentional creation of an oversized tennis racquet that Howard Head created all because the thought of simply larger tennis racquet because the game of tennis was too complex to him. His creation launched a money making company later to be known as Prince Sports INC. This company had grown so much they expanded into the footwear, tennis gear, running gear, accessories, sports bags and many more products that had competitors leaving the market. Prince had learned that creating items and selling them wasn't as easy as it was thought out to be, the constant struggle of needing newer…show more content…
In 1976, Head decided to buy Prince Sports Manufacturing Co which was the small business that was created in 1970. This is where Prince had designed a machine used to throw tennis balls. Head envisioned himself using this company to sell his oversized racquet. The best marketing for Head’s company was when Pam Shriver, a 16 year old boy had used Heads creation to win the U.S Open Tennis Finals. This had made Heads creation of the oversized racquet become international. The best source of marketing comes from experience, consumers experience and word of mouth. This little creation, where the racquet was a little bit larger, adding much more control of the racquet and ball, had gone so global that Head was now at the top of the global tennis racquet industry. “Prince was able to generate some of the highest profit margins in the industry because its rackets were protected by a patent. In addition to its aluminum racket, Prince was able to boost profit margins by introducing 108-inch rackets made of exotic materials like magnesium (selling for $115 in the early 1980s), graphite ($250), and high-strength boron ($450). By 1980 Prince was generating revenues at a rate of more than $30 million annually. Sales for 1981 topped $35 million before increasing 60 percent to nearly $57 million in 1982. In 1983, Prince's revenues stabilized some, rising 13 percent to about $64 million” (International Directory of Company Histories, 1996). Like previously stated every

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