Barcelona and Real Madrid have become multinational entertainment businesses by achieving success on the field, signing star players, gaining sponsors, and expanding into other business ventures. They earn over 400 million euros annually through these diverse investments, which include activities in television, film, music, and other cultural industries. By acquiring broadcasting rights and expanding online, the clubs have been able to monetize their brand and grow earnings internationally. Both clubs now operate as socially responsible businesses with foundations, schools, and charitable partnerships around the world.

1. Ses 7a
Sports&Society
Xavier Carmaniu Mainadé

2. Barça & R Madrid
the clubs with the most fans in the world
 How did they achieve it?
 Winning championships.
 Big time players: Cristiano Ronaldo, Neymar (before:
Beckham, Ronaldinho…)
 Sponsors.
 Socially Responsible Business.
 Result: earnings more than 400 million €.
 Not just sport clubs  Multinational Entertaintment
Business Organisation.

3. What are they?
 They are part of cultural industries: television, film,
music, press, internet…
 They have many diferent types of activities happening
at the same time. (diverse investments).
 They have businesses around the world.

4. The most important ones
All of these corporations have economic interest in sports.
Why????????????

5. BIG COMPETIONS
Super Bowl NFL
World Cup (soccer)
Play-off NBA
Champions League
6 Nations Rugby
Tenis (Wimbledon)
It’s a meeting point for
many factors:
Economical
Cultural
Media
Sport
Actively participate
•Sport organizations.
•Business organizations.
•Media groups.

6. News Corporation, a good example
Owner: Rupert Murdoch.
In 1992 News Corp. buy the rights to exclusively broadcast the Premiere League (England)

7. Broadcasting rights and
spanish soccer
 Afther 1990’s the clubs earned money due to the
competion to obtain broadcasting rights.
 Those earnings generated more expenses.
 However much money you have, your expenses grow.
 There is inflation in the purchase of players.
 After 2005 TV was no longer the most important.

8. Manchester United
 1997: the first european
club to be organized like
an Entertaintment
Enterprise.
 International Expansion
due to the internet:
 Virtual shop.
 Virtual Museum.
 Interactive games.

9. ManU in the 2000s:
New comercial agreements:
 Vodafone (wi-fi for fans).
 Colaboration with NY Yankees.
 Agreement with Terra Lycos to broadcast ManU
content outside of the UK through the internet.
 Socially Responsible Business: agreement with
UNICEF.
All of these aspects increase earnings

10. Soccer Sponsors in Spain
 Sponsors prefere soccer the most (then comes: golf,
basketball).
 FCB and RMFC are useful to introduce new brands in
Spain.

11. How do they earn money?
 Asian Telecomunication Enterprises:
 EtiSalat (United Arab Emirates): give money to FCB
Foundation and FCB give media content to EtiSalat.
 Qatar Airways.
 Online betting (Bet Fair, Bwin).
 Trips to Asia and USA: is not the most popular sport but
there is incentive to do these trips for the purpose of the
Entertaintment Enterprises.
 Looking for new business opportunities:
 FCB + NFL (Barcelona Dragons), + MSL (failed attempt to
create a franchise in Miami in 2009).
 RMFC + NBA: Failed contact in 2006 in an attempt to create a
european league.

12. Barça & Madrid trips

13. Now clubs have multimedia
 Big clubs from La Liga have their own media channels:
 Web, Facebook, Twitter, SMS, Radio, Tv…
 FCB y RMFC are the only capable ones to sell content
on an international level: satellite, cable (USA).
 Also they have new sectors : videogames, mobile apps...

14. Expansion of coporation values
Socially Responsible Business projects:
 International Cooperation.
 Charity sponsorships.
 Soccer schools on a global scale:
 RMFC: 10 schools (Africa, America, Israel, Palestine).
 FCB: 12 schools (Africa, India, America, Catalonia).

15. Main objective
 Increase earnings with their products.
 The biggest clubs trying to become new
Entertaintment Enterprises.

16. Advantage of “normal” companies
 The consumer is more loyal because there isn’t an
alternative: this guarantee minimal earnings so that
the club can continue working.
 If you are a Barça fan you will never be a fan of RMFC.

17. More information:
 GINESTA PORTET, X.., "El fútbol y el negocio del entretenimiento
global. Los clubes como multinacionales del ocio" en: Comunicación y
Sociedad, vol. XXIV, n. 1, 2011, pp.141-166.
http://www.unav.es/fcom/comunicacionysociedad/es/articulo.php?art_id=383