Russell Simmons

773 Words Feb 22nd, 2015 4 Pages
Russell Simmons has been successful because he turned an idea into an opportunity. Mariotti and Glackin (2013) states while Russell attend college he saw an opportunity in the underground music genre Hip-hop (p.154). From that moment on Russell knew he could capitalize off hip-hop. Not only did Russell take a chance on an opportunity, he formed a great record label with his friend Rick Rubin called Def Jam Records. However his success did not stop there Russell went on to create a clothing line, Rush Communications and many other ventures. With his knowledge of street entrepreneurship and the philosophy of “keeping it real” (p.154-155), Russell Simmons was able to promote his ventures with great success, making him one of the biggest …show more content…
Russell not only made hip-hop mainstream he gave youths around the world artist they could relate to such as Run DMC. Run DMC was a good group to market because they stayed true to their roots and their fashion was part of the hip-hop culture.
Russell marketing advantages did not stop there. He realized that the clothing that the youth were wearing was making a statement of who they were. It was then Russell created and promoted the clothing line Phat Farm. Phat Farm is urban apparel that the urban youth embraced because it represented their lifestyles. By Russell good marketing strategies more consumers were embracing and purchasing the products that they were becoming familiar with. Further more Russell Simmons urban roots also gave him an advantage with the youth on political issues. Mariotti and Glackin (2013) inform readers that in 2002 Russell organized a youth summit at New York City Hall to protest the then mayor proposal to cut the education budget (p.155). Russell new if he marketed the event through social media, radio and TV networks he could get the youth attention. Being that Russell had the information and associated artists such as Jay-Z and Alicia Keys to address the issues, 20,000 youth showed up to support the cause.
Around 1985 Russell Simmons invested $5000 to start Def Jam Records. However in 1999 he made the decision to sell his business to Polygram records for $100 million giving him a return on investments of 2 million…