Presentation on theme: "Augusta National and the Masters Golf Tournament"— Presentation transcript:
1 Augusta National and the Masters Golf Tournament Female Membership – Staying the Course?A Notre Dame case study prepared by research assistants Andrew Nelson, Ashish Singh, and Ray Swart under the direction of Professor J. S. O’Rourke, IV
2 Agenda Introduction Augusta National Golf Club The Masters Golf TournamentThe Case: April – SeptemberCBSThe SponsorsThe PGAThe NCWOMartha BurkWilliam “Hootie” JohnsonThe Case ContinuesDiscussion Questions
4 Augusta National Golf Club HistoryMembership• 300 Members• By invitation only• First African American in 1990• Currently no female members
5 The Masters Golf Tournament HistoryOne of the most prestigiousevents in the world$5.5 million purse$3.3 million to charityThe Green Jacket
6 April, 2002 At the 2002 Masters in April, Lloyd Ward comments to reportersthat the leaders at Augusta should admit afemale member and that they should do it soon.
7 June 12 Martha Burk writes a letter requesting that Augusta open their membership to women.
8 July 9 A day after responding to Ms. Burk with a personal letter, William Johnsonissues a press release saying Augusta willnot be “bullied, threatened or intimidated.”He goes on to say that perhaps some day afemale will be admitted but it will not be,“at the point of a bayonet.”
9 July 30Ms. Burk sends letters to the C.E.O.’s of the television sponsorsand the commissioner of the PGA asking them to suspend theirsponsorship of the Masters Golf Tournament.Douglas DaftCoca-ColaSamuel PalmisanoIBMSanford WeillCitigroupMark LaNeveCadillacTim FinchemPGARichard WagonerGeneral Motors
10 August 30 Mr. Johnson releases the television sponsors from their commitment to the2003 tournament.
11 September 18Ms. Burk asks CBS tosuspend broadcastingthe Masters.
12 September 19 Sean McManus replies that CBS intends to cover the 2003 tournament.
13 Columbia Broadcasting System Partnership with the Masters since 1956Unique relationship with the Masters2002 fees for airing the Masters - $5 millionPrestige more important than revenue
15 The Professional Golfers’ Association Founded in 1916Largest sports organization in the worldConducts 40 annual tournamentsRequires host clubs to have diversity policiesThe Masters is not an official PGA event
16 The National Council of Women’s Organizations Oldest and largest coalition160 member organizations7 million womenGoalsStructure
17 Martha Burk, Ph.D. Chair of the NCWO Moral issue, not a legal issue Initiated action after reading Lloyd Ward’s commentsMethodical pursuit
18 William “Hootie” Johnson Chairman of Augusta National Golf ClubRecent actions are an enigma• More African American members• Civil Rights movement• Darla Moore
19 Early October Augusta members break the “code of silence.” Sanford WeillKenneth ChenaultLloyd Ward
21 Discussion Questions What are the basic business issues in the case? Should Augusta admit a female member? If so, when? How?Who are the key stakeholders other than those mentioned?Should the NCWO continue to press the issue? If so, how?What are the possible ramifications for both Augusta and the NCWO?What problems might prominent members of Augusta face?What other courses of action could have been pursuedby key individuals?