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PART ONE How Real Madrid Became the Most Successful Sports Team on the Planet

1 Real Madrid’s On- and Off-Field Dominance

Financials

Community Support and Brand

Championships

Sidebar: Differences between MLB, NBA, and European Professional Soccer

2 The Real Madrid Way

Sidebar: Ownership Structure

Moneyball vs. Organizational Culture

Sidebar: Interdependence (Ronaldo and Sixty Seconds)

PART TWO Galácticos 1.0 (1955–60)

3 Early History (1902–60)

Santiago Bernabéu

1960 European Cup Final

Sidebar: Nostalgia for Galácticos 1.0

       4 Copycats and Financial Struggles

       PART THREE Galácticos 2.0 (2000–06)

       5 Florentino Pérez Elected in 2000

       Sidebar: What the 2000 Election Reveals about the Real Madrid Community

       Real Madrid’s 2000 Finances Are Worse Than Expected

       6 The Turnaround Part 1

       Real Madrid’s Mission and Values Statement

       Sidebar: Why Is Your Organization Purposeful and Meaningful?

       The Executive Team Goes to Work

       Strategic Sale of Real Madrid’s Ciudad Deportiva

       7 The Turnaround Part 2

       Zidanes and Pavones

       Equal Treatment

       Captains Appointed by Seniority

       Homegrown Talent

       Inspiring Passion and Loyalty

       Sidebar: Game Day for Real Madrid

       Not All about the Numbers: Real Madrid Basketball

       Sidebar: Community Brands and Identity in American Sports

       Sidebar: The Cardinal Way

       Galácticos 1.0 Meet Galácticos 2.0

       Sidebar: Celebrating a Century

       8 Crisis On the Field, Success Off the Field

       Too Much Talent? Aging Stars? Too Many Changes?

       The Crisis: Disappointment on the Field, Resignation

       Sidebar: Too-Much-Talent Effect

       Sidebar: The 2003–04 LA Lakers: Too Much Talent or Too Tired and Old?

       PART FOUR Galácticos 3.0 (2009–14)

       9 Calderón Period (2006–09)

       10 Florentino Pérez’s Comeback (2009–14)

       Learning from Experience

       Sidebar: Phil Jackson (“Zen Master”) and Steve Kerr (“Ice”)

       Bold and Brave Actions

       Sidebar: Señorio

       Real Madrid’s Player Selection Process

       Sidebar: Too-Tired-and-Old Effect

       Sidebar: More Speed—It Is a Young Man’s Game

       Sidebar: Spain and the 2014 World Cup

       Sidebar: Analyzing Stars, Workhorses, and Juniors

       11 El Clásico—Real Madrid vs. Barcelona

       Comparison of Financial Performance

       Comparison of Player Development—the Academies

       Playing Style

       Sidebar: Yellow and Red Cards

       Comparison of On-the-Field Results Since 2011–12

       Comparison of Priorities

       Concluding Remarks

       PART FIVE Start of Galácticos 4.0 (2015–)

       12 The Future of Real Madrid

       Investing in the Coach

       Investing in Executives

       Investing in the Next Generation of Management: Real Madrid University

       Investing in the Training of and Facilities for the Players

       Sidebar: Real Madrid Practice Schedule

       Digital Ecosystem Transformation

       “Opening One Stadium to 450 Million Fans”

       13 Challenges

       Sidebar: One Goal Makes a Difference

       Conclusion: Lessons from the Real Madrid Way

       Appendices

       Appendix A: Comparison of Galácticos 1.0, 2.0, 3.0, and 4.0

       Appendix B: Season Averages vs. Postseason in Baseball

       Appendix C: Real Madrid Organization Chart (2015)

       Appendix D: Support for Stars, Workhorses, and Juniors Analysis

       Acknowledgments

       About the Author

       Index

PREFACE

       Essential Message of the Book

      The sports industry is a $620 billion global business,¹ as competitive and dynamic as any industry on the planet. To rise to the

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