Juwan Howard Case Study

In: Business and Management

Submitted By almostdone2013
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Case Study Analysis Part A: Case 3, "Power Play for Howard"
MGT 445

Power Play for Howard
In this assignment Team C will briefly summarize the case of Juwan Howard. Next, Team C will evaluate the benefits (tangible and intangible), risks, and costs associated with negotiating Juwan Howard’s free agent contract. Afterwards, we will provide a brief conclusion.
The Overview
As kids we have dreams and aspirations of growing up making it big in our profession of choice while making lots of money. According to most children, their dreams range from a number of professions including; Doctors, Lawyers, Teachers, Police, Firefighters or even becoming a professional athlete such as Michael Jordan and Juwan Howard. In the 1990’s, most kids wanted to be like “Mike”. Michael Jordan’s name was a household name, and a major brand for marketing worldwide for Nike. Most NBA players’ career salaries would not even come close to Michael Jordan’s endorsement income from the late 80’s through the 90’s. In our opinion, Michael Jordan was clearly underpaid when he played basketball. It wasn’t until later in his career that he signed the biggest NBA contract of all time paying $30 million a year. Jordan set the bar for young superstar NBA players such as Juwan Howard to sign multi-million dollar contracts in the late 90’s.
Juwan Howard’s story was a little different from Michael’s. He signed two contracts over the course of his career totaling $205 million. This type of money is unlikely for a second year pro center in the NBA unless you are Wilt Chamberlin, who scores a hundred points a game on a consistent bases. Juwan’s situation was between two ball clubs which were The Washington Bullets and Miami Heat which were both in heated negotiations to get him on their team. His loyalty was with The Washington Bullets. However, in the beginning the money was with the…...

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