The National Association for Stock Car Auto Racing, Inc. (NASCAR) is the sanctioning body for one of North America’s premier sports. NASCAR races are broadcast in more than 150 countries and in 20 languages. In the U.S., races are broadcast on FOX, TNT, ABC/ESPN/ESPN2, SPEED and SiriusXM Satellite Radio. NASCAR fans are among the most brand-loyal in all of sports, and as a result more Fortune 100 companies participate in NASCAR than any other sport. NASCAR consists of three national series (NASCAR Sprint Cup Series, NASCAR Nationwide Series and NASCAR Camping World Truck Series), four regional series, and one local grassroots series, as well as ...view middle of the document...
In the face of intensifying global competition, the key to competitive advantage for NASCAR is to create a system for developing high-quality products and services that meet market and most importantly, social needs and to provide them in a timely manner. In order to exercise their strengths in these areas, NASCAR need to develop organizational and personnel strategies based on people-centered management and management from the long-term perspective that can respond flexibly to a changing environment.
One of the reasons Bill France Sr. founded NASCAR was to bring a sense of order to a sport that had none in the early years. One of his goals was to draw bigger crowds to the races and to increase the amount of money available to pay drivers and promote future races. NASCAR racing is more sponsor-oriented than any other sport in the world -- and for good reason. NASCAR fans are extremely brand-loyal.
According to RaceStat, a syndicated NASCAR research project, 71 percent of the NASCAR audience reported that they "almost always" or "frequently" choose a product involved in NASCAR over one that is not, simply because of the sponsorship (Harris, 2007). As you can imagine, this has companies clamoring for a piece of the action and usually involves three distinct forms of sponsorship not seen in any other sport:
* Title sponsors: A title sponsor pays millions of dollars a year to have its
name placed in the title of one of the major NASCAR series (Sprint, Nextel, Nationwide, Busch, and Craftsman).
* Primary sponsors: Companies that want to see its name on a NASCAR
race car can become a primary sponsor (M&M, Budweiser, U.S. Army, DuPont, Lowes, and Home Depot). The cost for such high exposure averages $8 million a season.
* Associate sponsors: Associate sponsors spend less to sponsor a team,
but they don't enjoy premium placement of their brand on cars and uniforms. A major associate sponsorship can cost up to $5 million a year.
Each year, fans purchase more than $2 billion in NASCAR-licensed merchandise, from T-shirts and caps to watches and jewelry, but a company, large or small, can't simply slap the NASCAR logo on its products and start selling them. The company must obtain a license -- for a fee -- to sell merchandise bearing the NASCAR name or the names of its drivers. Once it makes this investment, however, a company can tap into a very lucrative market (Harris, 2007). NASCAR has come a long way since it was founded in 1947. Many of the innovations in the sport have been technical improvements to the cars and tracks, making NASCAR racing safe without compromising excitement.
Change management means to plan, initiate, realize, control, and finally stabilize change processes on both, corporate and personal level. Change is the continuous adoption of corporate strategies and structures to changing external conditions. Today, change is not the exception but a steady ongoing process (Recklies, n.d.). Between...