World Wrestling Entertainment began its operations in 1952 under the ownership of Vince McMahon Sr. as the Capitol Wrestling Federation. Since 1952, the WWE has gone through 3 name changes.(WWWF, NWA, WWF) The WWF saw such stars as Hulk Hogan, Andre the Giant, Bret Hart, and countless other wrestlers. During the time of WWF, Vince McMahon brought his product to pay per view which created huge revenue for WWF at the time. The WWE can now be found on local television on Monday nights, pay per view, magazines, and consumer products. The WWE is not just the biggest wrestling company in the United States, but it is also the biggest in the world. The company has gone about this by spreading the WWE all over the world through international expansion. They have gone global to over 145 countries in the world which can accumulate to 1/6 of the world’s population.
Analysis and Evaluation
To be the biggest wrestling company in the world like the WWE is, they obviously possess some strengths that help them continue to be profitable. What separates the WWE from its competition is the fact that while this is a wrestling company, it also is in the entertainment business. When watching the WWE on TV, you almost think of it as a soap opera or sometimes in my opinion, a sad love story. Competitors to the WWE come in all sorts, because of the fact that it’s in the “Entertainment” business. If it was just and only a wrestling company , their competitors would be of the likes of TNA or UFC fighting. To get a better understanding of the WWE, there are 3 ways you can go about it. You can look into Porters Five Forces Model, financials, and A SWOT analysis. The WWE has a licensing program that spans worldwide. The licensing makes use of the WWE brand name, logo, and likenesses of WWE trademarked wrestling characters. Licensing plays a big role in WWE video games, which generate a lot of revenue for the company. Their video games are produced by THQ, Inc, which are represented on all major consoles like Playstation 3, X-Box 360, and other game consoles. Much of the WWE’s merchandise are sold at live events or at WWEShopZone.com. (Liss)
When you go to a WWE match, what comes to your mind is the big stadium, the stage and the setup, the entertainers, the lights, and of course the music. Each of the wrestlers have their own entrance music , in which the wrestler makes himself. This is another source of revenue for the company as it sells millions of CD’s. When I was into the WWE, I was always listening to the wrestlers songs.
Last but not least, Pay per view is without question one of the biggest strengths for the WWE. Once again, Vince McMahon brought introduced the WWE to pay per view. Today, The World Wrestling Entertainment can be seen on pay per view about 20 times a year. This includes Smackdown, Raw is war, and the super bowl of wrestling, WrestleMania. They now have a wrestling channel on dish on demand called “WWE 24/7”.
With all the strengths WWE brings to the table, every company and business has weaknesses. The only weakness that I found was not having any major competition. In the 90’s there were the WWF, WCW, and ECW. WWF, which is now WWE, thrived on the competition. That’s what it was all about, each wrestling federation fighting to be at the top. It created exciting television for all the viewers. In the 2000’s WWE eventually bought everyone out, which led to zero competition.
With all the strengths and weakness the WWE possesses, they also have multiple opportunities. An example of an opportunity that WWE can conquer, is making videos and movies of wrestling past. In WWE the video game, your given many game options. One option is a story mode dating all the way back to the 80’s wrestling into the 90s. People who have been fans for years thrive on the past in WWE. Everyone just wants to watch wrestlers like Hulk Hogan, The Rock, Stone Cold Steve Austin, Etc. Many...