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Stock impact report

Ogilvy, As A Metaphor For The Trouble On Madison Avenue [Forbes]

WPP plc American Depositary Shares (WPP) 
US:NYSE Investor Relations: wpp.com/wpp/investor/financialnews
Company Research Source: Forbes
Ogilvy's new logoForbesIn 1985, Martin Sorrell, a Harvard School graduate and eventual management consultant, took a £250,000 loan out using as collateral his shares in Saatchi & Saatchi. There, he had been Finance Director, and honed his takeover skills to make it the world’s biggest ad agency. With this loan, he took control of a small company that manufactured wire baskets, and shopping carts, Wire and Plastic Products, known by the acronym WPP.The advertising industry, at the time, was highly fragmented and consequently didn't reflect the growing global outlook and reach of its clients, thus making it ripe for consolidation. Sorrell’s vision was to build a portfolio of "below-the-line" businesses, in less glamorous but high margin venues, such as real estate advertising and sales promotion.But nothing prepared Madison Avenue for what happened in 1987, when this unknown stunned the agency world with a $566 million audacious takeover of J. Walter Thompson. It was an acrimonious, an Show less Read more
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