Oprah Winfrey - The Story of an Entrepreneur

The Oprah/Harpo Empire

During the 1990s, Oprah expanded her business into many areas besides the television. She entered various fields such as publishing, music, film, heath and fitness and education. In 1994, Oprah's initiatives for the protection of children against abuse were rewarded when the then US President, Bill Clinton signed the 'Oprah Bill,' a new law designed to protect children against abuse. In 1996, Oprah headed the list of Forbes' highest-paid entertainers with earnings of $171 million, beating even celebrities such as Steven Spielberg, Michael Jackson, Arnold Schwarzenegger and Jim Carrey. In September 1996, Oprah launched 'Oprah's Book Club' on TV, which was aimed at inculcating and encouraging 'reading' among people. 'Oprah's Book Club' was a great success; most of her fans chose to read the books that were selected by Oprah for the Book Club.

Reportedly, sales of all the books selected for the club increased substantially (on an average, by 10 times) and found a place in the bestsellers lists. Harpo Films Inc., Oprah's film production division, signed a long term agreement with ABC Television Network in the mid-1990s to produce the 'Oprah Winfrey Presents' series of telefilms.

Some of the major projects under the 'Oprah Winfrey Presents' banner were 'Amy and Isabelle,' 'Tuesdays with Morrie,' 'David and Lisa,' 'The Wedding,' and 'Before Women Had Wings.' Oprah even acted in some of these telefilms (such as 'The Women of Brewster Place,' 'Before Women Had Wings' and 'There Are No Children Here') and recorded critical acclaim for her performance.

The telefilms venture met with reasonable success and generated $4 million in revenues in 2001. Oprah also signed an exclusive agreement with the Walt Disney Motion Picture Group in the mid-1990s to produce feature films for Disney. The first film produced by the Harpo group for Disney was Touchstone Pictures' 'Beloved,' in which Oprah played the lead role. By the end of the 1990s, Oprah had reportedly become one of the very few people in the world, who were recognized immediately by their first name alone.

She had become so popular that in 1998, she was voted the second most admired woman in the US, next only to President Clinton's wife, Hillary Rodham. In November 1998, the Harpo Group launched Oxygen Media LLC in partnership with Geraldine Laybourne's GBL LLC, an entertainment company, and Carsey Werner Mandabach (CWM) LLC.⁶ Harpo had a 25% stake in Oxygen. Oxygen media, aimed at women, was an integrated media company, which combined the advantages of both cable television and the Internet. Geraldine Laybourne was the chairman and CEO of Oxygen Media.

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6] CWM LLC. is one of the major independent production studios in America, distributing programming content in over 175 countries.

Case Details

Case Code : LDEN006
Themes: Corporate Social Responsibility/Woman Entrepreneurs
Case Length : 14 Pages
Period : 1957-2000
Organization : Infosys
Pub Date : 2002
Teaching Note : Not Available
Countries : Japan
Industry : Media and Entertainment

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