Why dont other clubs follow the "madrid business model"?
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Grande_Milano
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Why dont other clubs follow the "madrid business model"?
Looking at the the top sides, there are plenty of tightwad clubs. They have cash to burn but they go on about being self sustainable, finding value in the market etc. Arsenal and AC Milan come to mind immediately and im sure there are others. Otoh in the early 2000s madrid did the opposite. Florentino Perez repeatedly broke the transfer fee record to build a team of superstars but he coupled it with good marketing. Made real into a global brand and now theyre the most profitable Club. It just seems like a win-win to me. In the short run you get the players, but when you start winning it will just snowball into a winning cycle. More success, more recognition , more players, and it's not like it hasnt been proven with madrid(ok they havent been the MOST successful on the pitch but they are the wealthiest non-sugar daddy team, and a top 2-3 side). Thoughts?
gnrfan- Hot Prospect
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Re: Why dont other clubs follow the "madrid business model"?
They don't have the prestige or the right ownership model to do so.
Florentino can spend money because it isn't his money,other owners actually need to spend their money.
Florentino can spend money because it isn't his money,other owners actually need to spend their money.
Le Samourai- World Class Contributor
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Re: Why dont other clubs follow the "madrid business model"?
because they want to win trophies, not market share
che- First Team
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Re: Why dont other clubs follow the "madrid business model"?
Because it's highly capital intensive so most teams are unable to even consider such a scenario and building a brand to the extent that Madrid has is a matter of decades, not a few years.
Last edited by BarrileteCosmico on Tue Apr 03, 2012 6:45 pm; edited 1 time in total
BarrileteCosmico- Admin
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Re: Why dont other clubs follow the "madrid business model"?
Because it is absolutely risky to do that sort of business model. Also, take into consideration no bank in Spain would be pestering Real for their money IF they find it hard to pay back installments...
Doc- World Class Contributor
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Re: Why dont other clubs follow the "madrid business model"?
oh really?che wrote:because they want to win trophies, not market share
Madrid has made more trophies and profit than "we want trophy not matket" Valencia in the same period..so its not a bad idea at all ,is it?
Re: Why dont other clubs follow the "madrid business model"?
Adit wrote:oh really?che wrote:because they want to win trophies, not market share
Madrid has made more trophies and profit than "we want trophy not matket" Valencia in the same period..so its not a bad idea at all ,is it?
Couldn't just let that one pass could you?!
Doc- World Class Contributor
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Re: Why dont other clubs follow the "madrid business model"?
This post was made by Adit who is currently on your ignore list. Display this post.
oh noes...
sure madrid did win trophies, then benitez came around and spanked the galacticos twice in three years
the problem with perez's philosophy is that you're building a massively lop-sided team because defenders just aren't marketable, plus sooner or later there is going to be a personality clash... too bad la liga is shit atm so we can't see what mourinho's madrid would have done against competent teams
che- First Team
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Re: Why dont other clubs follow the "madrid business model"?
yeah playing down la liga,didnt see you playing down it when Barca win it ,guess its another story then.
Re: Why dont other clubs follow the "madrid business model"?
Adit wrote:yeah playing down la liga,didnt see you playing down it when Valencia had no competition for 3rd ,guess its another story then.
EarlyPrototype- Fan Favorite
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Re: Why dont other clubs follow the "madrid business model"?
yea, i totally never mentioned how we were only finishing third because everyone else was shit, no sir
che- First Team
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Re: Why dont other clubs follow the "madrid business model"?
Because not every team wants to have to sell thier training ground to stay afloat
Great Leader Sprucenuce- Forum Legend
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Re: Why dont other clubs follow the "madrid business model"?
Great Leader Sprucenuce wrote:Because not every team wants to have to sell thier training ground to stay afloat
Valdebebas >>>>>>>>>>>>>>>>>>>>>>>>>>>>>
Le Samourai- World Class Contributor
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Re: Why dont other clubs follow the "madrid business model"?
Cause it sucks.
CBarca- NEVER a Mod
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Re: Why dont other clubs follow the "madrid business model"?
Becuase they arent Real Madrid.
To do that, you need to have a similar ownership structure, and be a big rich club already. Perez did not make us a big club, thank you very much, we always were. You can thank a certain Don Santiago Bernabeu for that.
To do that, you need to have a similar ownership structure, and be a big rich club already. Perez did not make us a big club, thank you very much, we always were. You can thank a certain Don Santiago Bernabeu for that.
S32TABLANCA- First Team
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Re: Why dont other clubs follow the "madrid business model"?
Let's get this straight, Real Madrid was already Real Madrid before Fiorentino. Even if his mediatic transfers give the club some extra cash, they were already a internationally renowned club before him.
The only teams where I can see this spending spree also working would be Man Utd, AC Milan, and maybe Barca (due to their recent success).
The only teams where I can see this spending spree also working would be Man Utd, AC Milan, and maybe Barca (due to their recent success).
stunt- Hot Prospect
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Re: Why dont other clubs follow the "madrid business model"?
They dont have democratic model of regulation (socios)
They dont have such a capital from the start
They are not that popular
They dont have such a capital from the start
They are not that popular
Grande_Milano- First Team
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Re: Why dont other clubs follow the "madrid business model"?
Saetablanca wrote:Becuase they arent Real Madrid.
To do that, you need to have a similar ownership structure, and be a big rich club already. Perez did not make us a big club, thank you very much, we always were. You can thank a certain Don Santiago Bernabeu for that.
We were in serious debt before Florentino. He saved the club on a financial level.
Zealous- World Class Contributor
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Re: Why dont other clubs follow the "madrid business model"?
Zealous wrote:Saetablanca wrote:Becuase they arent Real Madrid.
To do that, you need to have a similar ownership structure, and be a big rich club already. Perez did not make us a big club, thank you very much, we always were. You can thank a certain Don Santiago Bernabeu for that.
We were in serious debt before Florentino. He saved the club on a financial level.
We would have managed either way. Too big to fail, Real Madrid has been a big international club from the 50s. Selling the training ground wasnt a move anyone else couldnt have done...
S32TABLANCA- First Team
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Re: Why dont other clubs follow the "madrid business model"?
Saetablanca wrote:Zealous wrote:Saetablanca wrote:Becuase they arent Real Madrid.
To do that, you need to have a similar ownership structure, and be a big rich club already. Perez did not make us a big club, thank you very much, we always were. You can thank a certain Don Santiago Bernabeu for that.
We were in serious debt before Florentino. He saved the club on a financial level.
We would have managed either way. Too big to fail, Real Madrid has been a big international club from the 50s. Selling the training ground wasnt a move anyone else couldnt have done...
Getting the same deal thou? I'm not so sure... FP pulled some serious strings from his great position in the real estate/construction to make it happen as it went down.
And the whole "Zidane is the cheapest player I ever bought" philosophy that he created. Which rocketed us into the pole position in the money league for a decade. I'm not so sure anybody else would have had the same idea...
You can dislike FP all you want, but to dismiss the fact that we are were we are thanks to him is some serious underestimating of his business influence.
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Re: Why dont other clubs follow the "madrid business model"?
paperbackwriter wrote:Saetablanca wrote:Zealous wrote:Saetablanca wrote:Becuase they arent Real Madrid.
To do that, you need to have a similar ownership structure, and be a big rich club already. Perez did not make us a big club, thank you very much, we always were. You can thank a certain Don Santiago Bernabeu for that.
We were in serious debt before Florentino. He saved the club on a financial level.
We would have managed either way. Too big to fail, Real Madrid has been a big international club from the 50s. Selling the training ground wasnt a move anyone else couldnt have done...
Getting the same deal thou? I'm not so sure... FP pulled some serious strings from his great position in the real estate/construction to make it happen as it went down.
This is true.
I dont hate Florentino, I've been very supportive of his second stint, but saying that we are the biggest club in the world right now and we are so financially stable now entirely down to him just isnt true.
S32TABLANCA- First Team
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Re: Why dont other clubs follow the "madrid business model"?
Saetablanca wrote:paperbackwriter wrote:Saetablanca wrote:Zealous wrote:Saetablanca wrote:Becuase they arent Real Madrid.
To do that, you need to have a similar ownership structure, and be a big rich club already. Perez did not make us a big club, thank you very much, we always were. You can thank a certain Don Santiago Bernabeu for that.
We were in serious debt before Florentino. He saved the club on a financial level.
We would have managed either way. Too big to fail, Real Madrid has been a big international club from the 50s. Selling the training ground wasnt a move anyone else couldnt have done...
Getting the same deal thou? I'm not so sure... FP pulled some serious strings from his great position in the real estate/construction to make it happen as it went down.
This is true.
I dont hate Florentino, I've been very supportive of his second stint, but saying that we are the biggest club in the world right now and we are so financially stable now entirely down to him just isnt true.
Entirely? Of course not. As many people said, the "Madrid model" only works because we had such a great brand to start with thanks to our history. Which I'm sure FP realized when he started the galactico policy. It's not about "galactico players = money", but rather "galactico player + real madrid brand = massive money".
The FP financial model would never work with a lesser brand. But I'm pretty sure we wouldn't be where we are today (the development of the last decade) without FPs ideas. At the top of the money league that is.
paperbackwriter- Starlet
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Re: Why dont other clubs follow the "madrid business model"?
easy answer: they dont copy madrid because they cant. madrid has a huge fanbase, revenue and press and support and they do since decades, long beforwme florentino. he just sold some land, boughts some stars, and rode the wave of football market.
free_cat- Fan Favorite
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Re: Why dont other clubs follow the "madrid business model"?
I was asking the same question you know..
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