Monday, September 24, 2012

Ch. 4 - The Marketing Environment

In order to have a successful busines a company must have a good marketing plan. Most companies prior to making a good morketing plan must know their marketing environment. Basically they have to know their target market, as far as who they are more appealing to, must know their demographics, and how to satisfy the most ammount of their consumers without hurting its image. Events that UFC throws like FAN EXPO lets casual fans meet fighters take pictures, listen to the announcements, buy UFC apperel and for the most part, the Expo lets UFC

fans comment on what right and wrong with the direction that the company is heading. Pictured on the right is Jose Aldo, right after his win of featherweight championship belt in his home country Brasil, he got up on the cage and jumped over 10 feet down into the crowd full of his fans knowing that he'll be caught and safe. Those crazy people happen to be the mojority of UFC fans.

Monday, September 17, 2012

Chapter 3 Ethics & Social Responsibility

Ethics and Business should really be never used in the same sentence, since to much about business have anything to do with ethics. Entrepreneurs do not open up businesses in order to be ethical or improve the society, at least it is not their main goal. The number one priority is to make money and earn great profits, then everything else comes as a second priority.

UFC is no different from any other company. They hold events at cities and countries which will have a sold out arena. They also match up the fights that not only fans want to see but the ones that fans will spend $60 to watch the pay-per-view. If one of the challengers deserves a shot at the championship belt but fights very safe and boring, he is not guaranteed a title shot. and the other less qualified fighter who puts on a show and fights like a gladiator will have more chance to face the champ and earn more money.

However, there are plenty of great ethical  effects that are caused by UFC towards society, and their employees, the fighters. For example, Anderson Silva (pictured on the right) came from a very poverty stricken part of Brazil, yet thanks to UFC and his unnatural ability to knock people's heads off he is making over few million dollars per fight, not including the endorsements from Burger King and Nike. Such big companies haven't sponsored any fighters outside of UFC yet.

The events take place in cities and towns who are positively affected by the fight night. The revenues of the shops withing vicinity of the stadium go through the roof within a few days of each event.

Monday, September 10, 2012

Chapter 2 - Strategic Planning for Competitive Advantage

In the past 20 years of the young yet the fastest growing sport of MMA(mixed martial arts) there are around 100 major promotions that sponsor and organize the MMA events. Most of them work on the local or national level, meaning that most of their events take place in one country. For example, BAMMA promotion has held all of their events in Great Britain. In order to obtain competitive advantage of all UFC's rivals, the president of UFC, Dana White, and his marketing team has been holding most of their events spread around the world. For example UFC's 110th event was held in Australia, while their 124th event was held in Montreal, Canada. Being a world wide promotion enables UFC to grow at a much more rapid pace, and thus their marketing development is skyrocketing as I type this blog. They have sold out 90% of the arenas and stadiums when UFC promotes their fights overseas. In fact, they hold a North American attendance record from UFC129 in Toronto, after a sold out 55,000 seat Rogers Center in Canada for Georges St. Pierre fight.


The reason for being the leader in MMA industry is due to their product differentiation competitive advantage. They aren't concentrating on cost, moreover they are the most expansive event for a fan to watch. Average UFC fight cost around $50 to watch and their tickets to see them live are around $300-$600 a person. What they do have is a one of a kind product which are their fighters. They have talent scouts who recruit the most talented fighters all over the world including Brazil, Russia, Japan, US, Korea, UK, and many more places around the world. Having the best talent all over the world not only makes the fights more exciting but also helps with promoting the events. For example, Georges St. Pierre(GSP, the 4-year welterweight champion) is a native of Montreal, Canada. Therefore, most of his fights take place in his home country, where he can easily sell out a hockey stadium due to his popularity. Same goes for Jon Jones, who does very well in United States being a light heavyweight champion. UFC has been very successful with their marketing strategy so far, and they have been implementing it step by step.

Monday, September 3, 2012

Chapter 1, mission statement.

Only 19 years ago UFC had its first fight card, which was filled with exciting mma fights. Mma(mixed martial arts) is a very young sport which has only been around for a quarter century. The sport consists of all combat sports (boxing, karate, judo) combined and used to defeat the opponents, with very few rules. Just like many other fighting promotions, UFC was purchased by Zuffa LLC in 1997 due to the lack of funds. Since the take over UFC has become the largest MMA promotion in the world, featuring over 30 events per year in over 10 countries worldwide. They are a market oriented company and set up their fights and events the way their fans prefer. The also have a frequently changing clothing line for their fans to wear that also gets updated to fit the needs of the consumers. UFC's mission statement is "To help and promote the sport of MMA evolve into a major world sport".