Question
Strategy Execution at the Pensacola BlueWahoos The year is 2025.Your company acquired the Pensacola BlueWahoosminor league baseballfranchise two years ago (2023).At the time of acquisition,
Strategy Execution at the Pensacola BlueWahoos
The year is 2025.Your company acquired the Pensacola BlueWahoosminor league baseballfranchise two years ago (2023).At the time of acquisition, the organization had just celebrated its 10thanniversary.Inits first10 years(2013-2023), the organization had grown to be one of the most popular attractions in the area.
The minor league baseball industry is unique in several ways.First of all, the minor league team has very limited influence on what players are on the team.The major league team affiliateuses the minor league team as a training system to develop younger players or players who are notready (talent-wise) to compete at the Major League Baseball (MLB) level.Players on minor league teams can be there for a week, a month, or several years.Often, players are moved on and offthe team with very littlenotice.Many times, fans at the minor league ballparks can hardly name a single player on the team because of the high level of turnover.This is in stark contrast to MLBand other major professional sportswhere most fans are very familiar with every player and team-level turnover is much lower.
Another difference for minor league baseball is the player compensation.Whereas MLB players are handsomely compensated, minor leaguers normally receive very modest contracts making it financiallydifficult for many of the players.Further, the players can face tough financial challenges when it comes to accommodations, travel, etc.With little or no control over what players theWahooswill have on the team at any given time, and no influence whatsoever over player compensation (contracts are made with the Major League affiliate), strategic positioning with the fan base is extremely difficult.
During theearly years, theWahoo's teamstadium was nominated as one of the top 10 sport venues in America and the local community was heavily involved. Upon acquisition, season ticket sales were at their peak of 50% (2500 tickets) and every home gamehad been sold out forthe previous5 years.Fans raved about the atmosphere, food, and overall experience of their visit to Wahoo's games.
However,to your amazementyou have fallen on hard times sincethe acquisition.Attendance has dropped and customer satisfaction has gone down.In the past, the BlueWahooshad been a mediocre franchise when it came to on-field performance.Infact, in10 yearsthe teamhad never won their division or made the playoffs!Your new management teambrought with it a turnaround strategy to bring the baseball franchise to winning ways.
In the first two yearsafter your acquisition, the team's performance achievedits top two winning seasons in franchise history!However,despite having the best record in the league over the last two years at 100 wins and only 68 losses,and having seen over a dozen players get moved up to The Show (the Major Leagues),attendance has fallen dramatically.The last half of the 2025 season saw attendance numbers fall into the 60% range with average attendance for the last 20 home games of the season being 2800 (capacity of 5000).
Your management team is stumped.You have poured resources into providing the best practicefacilities, the best locker rooms,and thetop living conditions for the players,in addition toother perks.Yourstrategicview was that by providing a great working atmosphere,the productivity and success of the team would be enhanced.So far, theapproach has resulted in higher levels of teamperformance.But even with these investmentsand resulting wins, you have seen a drop inconsumer interest and publicityand a spiraling revenue stream.
Customers have complained about a range of different issues, from heightened food and beverage prices, to poor customer service, to parkingissues, toincreasedticket prices, and even complaints about a lack of "special" events and fireworks!
As theWahoosmanagement team, your job is to start a winning turnaround strategy.You are stumped as to why a team that is performing better and should be creating a higher level of excitement for the fan base is actually having the opposite effect.You need to quickly determine an alternative direction and how to achieve this.First,(1)identify potential problems that have led to the recent downturn.Then,(2)propose a specific strategic alternative that will be taken to the CEO as a recommended action plan for turnaround.Last,and most importantly,(3)outline the specific steps that need to be taken to implement thisnew strategy, including:
1.Any employee changes that must be made, including needed training that might accompany these changes
2.Actions to recruit or retain employees
3.Specific changes in organizational structure to help implement your strategy.Include a descriptionof what the new organizational chart of the BlueWahoosshould look like
4.Any changes in policies or procedures that would help achieve this new strategy
5.Any specific changes in desired culture for the organization and how to achieve this new culture
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