The lights were blinding, the crowd deafening, and the gold-and-purple jerseys blurred in motion. This was Showtime. Magic Johnson was the conductor of a spectacle that turned the Lakers into basketball’s biggest brand. It was a marketing move that built the Lakers into an empire.
But while the Lakers cashed in, Magic took notes. He saw what Jerry West and the front office were doing to turn basketball into a business. And when his playing days ended, he took that same philosophy off the court, turning a failed sporting goods store into the first step of a $1.5 billion empire
Transforming $40 million in career earnings into a $1.5 billion empire resulted from strategic planning, not luck. Magic’s first business, a sporting goods store, failed. He didn’t quit. He learned and studied business like he studied basketball, finding mentors and absorbing everything he could. Johnson wasn’t satisfied with quick profits. He was playing the long game. He invested in movie theaters, and restaurants, and even became a part-owner of the Los Angeles Dodgers. But where did he learn to think that way? The answer goes back to his Showtime Lakers days.
Magic became a brand builder. And he learned that lesson straight from the Lakers. “See, it started with Jerry West and them playing and all that, but the real Laker brand got big with the Showtime Lakers. We made it a worldwide brand.” West built the foundation, but Magic and his teammates turned the Lakers into something iconic. That was his first lesson in branding—winning isn’t enough, you have to make people believe in what you’re selling. He applied that same thinking to his businesses. Magic wasn’t just making money, he was building belief in his vision.
National Action Network 2023 Convention Day 2 Earvin Magic Johnson participates in chat with mayor Eric Adams and Al Sharpton at NAN 2023 convention day 2 at Sheraton Times Square. National Action Network holds an annual conference inviting elected officials, civil rights leaders, and the public to speak and participate in conversations about civil and human rights in the USA. New York New York United States Copyright: LevxRadin
That’s why he runs his businesses like he ran the Lakers and it seemed to have worked well for him. “Everything I learned on the court, I applied in business,” he said. “You gotta protect your brand, just like we grew the Laker brand.” Just like his Showtime Lakers made basketball must-watch TV, Magic built businesses that people trusted and loved. From the court to the boardroom, the winning formula never changed.
What was Magic Johnson’s billion-dollar business play?
Magic Johnson dominated the NBA, but did he stop winning after basketball? Not even close. When he stepped away from the game for good in 1996, Johnson was thinking about building something bigger.
He studied business, listened to mentors like Michael Ovitz, and paid attention to a massive untapped market. How did he achieve a breakthrough in the end? He noticed that Black and Latin-American communities had over a trillion dollars in spending power, yet big companies ignored them. Johnson saw an opportunity.
And then he began his plan to take over the business world. He started with Magic Johnson Theaters, bringing high-quality entertainment to areas that had been overlooked. But he didn’t stop there. He convinced Starbucks CEO Howard Schultz to open stores in urban neighborhoods, eventually owning 125 locations before selling them for $100 million.
Of course, sports never left his heart. Over time, he bought stakes in the Dodgers, Sparks, and LAFC, and even became part of the group that owns the Washington Commanders. Recently he even became one of the Washington Spirit’s investors. From basketball to business, Johnson never stopped playing to win. The difference? Now, he’s making history off the court.
The post Exposing Jerry West’s Oversight, Magic Johnson Unveils the “Lakers” Secret Behind His $1.5B Empire appeared first on EssentiallySports.
