The Karate Kid III

Daniel goes to the Cobra Kai dojo to tell Silver that he won't enter the tournament, he then discovers that Silver is evil and that Kreese is still alive. Barnes is also there and they are about to beat Daniel to death when Miyagi saves him and wipes the floor with all three of the villains. Daniel defeats Barnes in the final of the tournament.

H.R.H. The King Of The Internet

Continuity mistake: At the end of the final match, the announcement is made it's the first time in history the defending champion kept his title. Yet in Karate Kid 1 Johnny Lawrence had already won the championship twice and was there for his 3rd time.

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Trivia: The bonsai shop building in the film was torn down years ago, but the stairs outside still remain to this day.

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Answer: He lost all his students after he flipped out on Johnny. Without students, he couldn't pay his bills.

Greg Dwyer

Answer: Kreese strangled Johnny, after the latter lost to Daniel. This proved just what kind of teacher, as well as person, Kreese is. His students after seeing this, realised just what Cobra Kai puts in their head, as well as just what kind of person and teacher Kreese is. Specifically, after seeing Kreese strangle Johnny, they thought, "I WON'T be your student, if you're gonna treat me like that!" Therefore, they left, and Cobra Kai went out of business.

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