Superstar golfer Tiger Woods' sex scandal involving upwards of 17 alleged mistresses may have cost shareholders of the companies he endorsed as much as $12 billion in losses. Research by economics professors Christopher Knittel and Victor Stango of the University of California, Davis, released a study Monday estimating the economic losses of Woods' main sponsors since revelations of his extramarital affairs surfaced around Thanksgiving.
“We estimate that shareholders of Tiger Woods’ sponsors lost $5-12 billion after his car accident, relative to shareholders of firms that Mr. Woods does not endorse,” the researchers wrote, adding that millions of shareholders were affected. Tiger Woods is estimated to earn around $100 million a year through endorsements alone. Many of his sponsors have pulled their endorsement deals in the wake of the scandal.
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That's what they get for banking on a squeaky clean image. NOBODY has one these days.
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