International Management Group (IMG) Competitive Intelligence Blog Catherine Desrochers-Coulombe Louis Moust Marie-Pierre Tremblay

Plan Company Overview External Environment Internal Environment What They Do History, mission, values External Environment Social, cultural, political, legal and economic factors Internal Environment SWOT analysis

Company Overview IMG is present worldwide Represents athletes, models, artists and events Organizes events, produces media content, negotiates licensing contracts. (more than 30 country accross Africa, Northern American, Southern America, Australia, etc.) It helps these clients to gain

What They Do Media production and distribution across multiple platforms Television, online video, mobile content Example: «IMG produces highlight clips for every game in the English Premier League – available on Vodafone and the 3 Network’s mobile phones within four minutes of end-of-play» IMG’s deep expertise in television rights enables us to effectively negotiate and distribute live, highlights and series programming across every genre, including sports, documentary, drama, comedy, entertainment, adventure, animation, wildlife, and children.  All England Lawn Tennis Club (Wimbledon)

What They Do Event creation, management and sponsorship sales Sponsorship activation, mobile marketing, PR events, entertainment marketing, product launches, college marketing Examples: World and European Figure Skating Championships Bank of the West Classic in Stanford CA World Speed Skating Championships

What They Do Client representation and brand management Contract negotiations, licensing and endorsements, marketing and public relations, personal brand building, Media training, image and crisis management and media relations. Example: Tiger Woods is an IMG client and the firm handles the public relation aspects surrounding the recent scandal

What They Do Consumer products licensing Manages trademarks and intellectual property Examples College Licensing Company FC Barcelona in Asia They bought the college licensing company and now they negociate the licenses for a bunch of colleges (NCAA basket).

What They Do Athlete training IMG Academies have facilities for tennis, golf, baseball, basketball and lacrosse Allows for first contact with potential clients Example Derek Jeter, Anna Kournikova and Chad Pennington all graduated from IMG Academies

Mission «Using imagination, creativity and energy, our mission is to leverage the unparalleled power of IMG's worldwide resources, capabilities and assets to the benefit of our clients, customers and partners in the areas of sports, entertainment and media. »

The Company Now IMG is the world's most important sports, entertainment and media company. Is in more than 30 countries, more than 58 locations and more than a 1000 clients. Has abandoned representation of team sports’ athletes in North America.

History Mark McCormack, was a former lawyer and agent for professional athletes. In his youth, McCormack was a good amateur golfer, but not good enough to become professional. He was friends with Arnold Plamer. He reasoned out that an athlete such as Palmer could bring sports to a totally different level of popularity and profitability. Made an agreement with Palmer. Around 1966, McCormack decided to expand the company. A few years later, two major tennis players, a skiing superstar and a racecar driver became clients for International Management Group. Tennis soon became the company’s priority since it took a major part of the company’s business and therefore represented the company’s biggest income.

History Later on, IMG decided to start investing in event management and ownership. It founded a golf course division, a television division and it created a consulting business. In the 80s, IMG also developed a money management division.   A few years later, IMG added clients from other industries.

Board of Directors McCormack deceased in 2003 Board has 16 members Theodore J. Forstmann Chairman and CEO IMG Ian T. Todd (President IMG International) George Pyne (President IMG Sports & Entertainment) Mention that McCormack died in 2003.

Political-Legal Environment The Seitz Decision and the Bosman Case Impact of globalisation on the governement of emerging countries Changes in the governement’s attitude in India and China allows entry of foreign firms IMG concluded joint-ventures with Indian and Chinese firms and most likely with a Brazilian firm

Economic Environment Maturation of the sport’s market in Canada and America Necessity to explore new markets Brazil, China and India are countries beneficiating of a strong economic growth India’s middle class is estimated at somewhere between 150 million and 300 million people

Economic Environment Brazil, China and India are enjoyin strong economic growth China’s economic growth = 8,7% Brazil’s economic growth = 7,9% India’s economic growth = 5,1 %

Social-Cultural Environment The cultures in which the company operates remain relatively distinct Soccer is not popular in North American countries IMG Soccer in Spain and Argentina Differences between the American and the Canadian sports market

Social-Cultural Environment Essential to analyse the cultural aspect in countries to evaluate potential opportunities IMG is capitalizing on the growing interest in sports in China and India Change in the Chinese mentality about golf Was once only reserved for the super-rich

Social-Cultural Environment India’s population is getting better education and, in general, earning better salaries Higher incomes usually allow for greater budgets for hobbies such as sports and fashion. Brazil, China and India are among the world’s most populated countries.

Internal Environment Strengths Over 50 years of experience Diverse ventures Representation, Licensing, Events Strong financial position 1.6 billion dollars in revenues in 2001

Internal Environment Weaknesses Negative perception Viewed as a bully Lack of made for TV events Poor exploitation of internet

Internal Environment Opportunities Emerging markets Brazil, China, India Exploitation of new technologies

Internal Environment Threats Many well financed competitors Octagon, Clear Channel Employees can become competitors Highly competitve industry ‘every hour of every day (…) someone is trying to steal your client’

Discussion Given that IMG has many different branches, are they engaging in vertical or horizontal integration? Do you think that the Tiger Woods’ recent scandal will negatively impact IMG?

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