Michael Jackson - The Rise and Fall of 'The King of Pop'

            
 
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Case Details:

Case Code : LDEN041
Case Length : 17 Pages
Period : 1990-2006
Pub Date : 2006
Teaching Note :Not Available
Organization : Sony
Industry : Media and Entertainment Countries : US

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"Michael's biggest problem is that he hasn't been performing. If I were his consultant, I would have had him working all along, through all of this. Even if it was just him sitting down and singing to his fans in small venues, he would have had a profit center."1

- Michael Sands, Media Image Consultant, after Michael Jackson was acquitted of child molestation charges in 2005.

"I am so proud God gave me the gift of song, and the world gave me the opportunity to be heard through music. And it's because of moments like this I can say with all my heart, that I'm very proud to be an entertainer."2

- Michael Jackson, during the World Music Awards in 2000.

Back to Work

On April 18, 2006, Michael Joseph Jackson (Michael), popularly known as the 'King of Pop,' signed an agreement with Bahrain-based Two Seas Records for a new album. The album, tentatively scheduled for release in late 2007, was a joint venture between Michael and Two Seas Records owner Sheik Abdulla Hamad Al-Khalifa (Abdulla), son of the King of Bahrain. This was Michael's first album for a studio after Invincible was released in 2001 for Epic Records3 (Epic). Commenting on the agreement, Michael said, "I am incredibly excited about my new venture and I am enjoying being back in the studio making music."4 Michael had been living in Bahrain after he was acquitted of child molestation charges in June 2005.

Leadership and Entrepreneurship Case Studies | Case Study in Management, Operations, Strategies, Leadership and Entrepreneurship, Case Studies

Michael, whose name was synonymous with pop in the 1980s and 1990s, had been mired in controversies since the mid-1990s. His career had been on the downswing ever since he was accused of child molestation in 1994. His family life was unstable and he had to face a lot of criticism in the media for the changes in his skin color and appearance. The lawsuits against him and his extravagant spending, for which he took loans worth more than his assets, severely dented his finances.

In all, Michael had about US$ 270 million in debts and was on the brink of bankruptcy in 2005. To get out of this financial crisis, Michael started selling some of his assets at far below their value in 2006. The new album was one of Michael's efforts to not only revive his career but also to repay these debts. However, many analysts felt that in trying to resume his career, Michael faced an uphill task and that it would be extremely difficult for him to regain his lost glory. According to London-based PR specialist, Max Clifford, "Although he still has a huge fan base, a lot of people are not happy with what emerged from the trial. It's going to be an uphill struggle for him to get back to anything like the popularity he enjoyed in the past."5

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1]  Elysa Gardner, "What's Next for the 46-year-old 'King of Pop'?" www.usatoday.com, June 13, 2005.

2]  "You Ain't Seen Nothing Yet!" www.mjworld.net, May 24, 2000.

3]  Epic Records was first created by CBS Records as a label for classical and jazz music. In 1988, Sony Corporation bought CBS and put it under Sony BMG Music Entertainment.

4]  "New Michael Jackson Album Due Next Year," April 19, 2006.

5]  "Jackson to Change His Lifestyle," www.news.bbc.co.uk, June 14, 2005.

 

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