WWE case study

2756 Words12 Pages
Introduction

The case is all about the evolution of the Wrestling industry, rise and eventual fall of WWF (E). This case generates issues about the evolution, growth, competition, financial stress and other aspects of the wrestling company, WWF (E). Originally WWF was founded by McMahon Sr. and later won over by his son Vince McMahon Jr. The wrestling industry has seen many ups and downs but WWF and WCW were the companies that remained there even at the time of over saturation face by the wrestling field. But when competition grew, WWF almost lost the battle. But the new ambition built in the heart and mind of the young Vince McMahon Jr. led WWE to new horizons of wrestling industry. He improvised the company into an expanding
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Losing Hart would even cost more to WWE and make its financial situation crack down. Till 1997 the financial situation for WWE was getting worse. But later there were vivid signs of improvement. In the year 2004, WWE posted a net profit of $ 19.7 million in the fourth quarter, compared to a $ 4.2 million loss in the same quarter last year.

WWE in 2004:

World Wrestling Entertainment, Inc (WWE) is an integrated media and entertainment company engaged in the development, production and marketing of television and pay-per-vie event programming and live events, and the licensing and sale of branded consumer products featuring its WWE brands. The Company's continuing operations are organized around two principal activities; live and televised entertainment and branded merchandise. The live and televised entertainment segment consists of live event and television programming. Revenues consist of ticket sales to live events, sale of television advertising and sponsorships, television right fees and pay-per-view buys. The branded merchandise segment includes consumer products sold through third party licensees and the marketing and sale of merchandise, magazines and home videos. Revenues consist of sale of merchandise at live events, magazines and home videos, and royalties from products sold by licensees.

Fiscal 2004 was a terrific year for WWE. It has worked hard to increase its profitability; results can be seen as profitability from continuing operations
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