Featured matches on the undercard saw The Road Warriors (Hawk and Animal), Midnight Express (Bobby Eaton and Stan Lane), and Steve Williams versus Fabulous Freebirds (Jimmy Garvin, Michael Hayes, and Terry Gordy) and Samoan Swat Team (Samu and Fatu) in a WarGames match, Lex Luger versus Ricky Steamboat for the NWA United States Heavyweight Championship, Sting versus The Great Muta for the NWA World Television Championship, Steiner Brothers (Rick Steiner and Scott Steiner) versus The Varsity Club (Mike Rotunda and Kevin Sullivan) in a Texas Tornado match, Jim Cornette versus Paul E. Dangerously in a Tuxedo match, The Skyscrapers (Sid Vicious and Dan Spivey) versus Dynamic Dudes (Johnny Ace and Shane Douglas), and a Two-Ring King of the Hill Battle Royal.

It was first produced by the National Wrestling Alliance's (NWA) Jim Crockett Promotions (JCP) and aired on closed-circuit television before becoming a pay-per-view event in 1988.

[3] The main rivalry heading into the event was between Ric Flair and Terry Funk for the NWA World Heavyweight Championship.

[6] A secondary rivalry heading into the event was between Lex Luger and Ricky Steamboat for the NWA United States Heavyweight Championship.

On June 14 Clash of the Champions VII, Funk got disqualified during his match against Steamboat by hitting him with a microphone.

[6] Another secondary rivalry heading into the event was between Sting and The Great Muta for the NWA World Television Championship.

At WrestleWar, Sting retained the Television Championship against The Iron Sheik and Muta defeated Doug Gilbert.

[4][5] On May 13 edition of World Championship Wrestling, Muta and his manager Gary Hart challenged Sting to a Dragon Shi match.

On May 27 edition of World Championship Wrestling, it was announced that Eddie Gilbert had accepted Muta's open challenge for a Dragon Shi match.

On June 14 edition of Clash of the Champions VII, an in-ring presentation of Dragon Shi was held, during which Gilbert accidentally struck a fireball into Trent Knight's face.

[6] At WrestleWar, The Varsity Club (Mike Rotunda and Steve Williams) retained the NWA World Tag Team Championship against The Road Warriors (Hawk and Animal) by disqualification when Kevin Sullivan and Dan Spivey attacked the referee Nikita Koloff.

On June 17 edition of World Championship Wrestling, Williams became a fan favorite when Jim Cornette made him, the newest ally of Midnight Express against Fabulous Freebirds.

Later that night, Terry Gordy defeated Williams, with the help of Michael Hayes and Jimmy Garvin, which resulted in a brawl between several teams.

On July 1 edition of World Championship Wrestling, it was announced that a WarGames match would take place at The Great American Bash pitting Road Warriors, Midnight Express and Steve Williams against Fabulous Freebirds and Samoan Swat Team.

At WrestleWar, Eddie Gilbert and Rick Steiner defeated Sullivan and Dan Spivey to retain the NWA United States Tag Team Championship.

[4][5] Following the event, Steve Williams and Dan Spivey left the group and it was reduced to Sullivan and Rotunda.

A female fan of Rick was shown in the crowd during Scott's matches, resulting in Sullivan confronting her on June 3 edition of World Championship Wrestling.

[7][8] Rick's fan Robin Green's flowers were torn up by Varsity Club during Steiner Brothers' match on June 24 edition of World Championship Wrestling.

On July 22 edition of World Championship Wrestling, it was announced that Steiner Brothers would compete against Varsity Club in a Texas Tornado match at The Great American Bash.

[6] On April 2 Clash of the Champions VI, NWA referee Teddy Long favored Varsity Club (Mike Rotunda and Steve Williams) during their NWA World Tag Team Championship opportunity against Road Warriors and gave a fast count pinfall to Varsity Club.

Long continued to expand his roster by putting former Varsity Club member Dan Spivey with newcomer Sid Vicious in a tag team called The Skyscrapers.

On July 1 edition of World Championship Wrestling, Skyscrapers made its debut by defeating two local competitors.

[6] On June 14 edition of Clash of the Champions VI, it was announced that a Two-Ring King of the Hill Battle Royal would take place at The Great American Bash.

The participants of the match were Eddie Gilbert, Terry Gordy, Scott Hall, Bill Irwin, Brian Pillman, Ranger Ross, Mike Rotunda, Ron Simmons, Rick Steiner, Scott Steiner, Steve Williams, Kevin Sullivan, Sid Vicious and Dan Spivey.

This allowed Spivey to deliver a Clothesline to Williams and eliminate him to win the Battle Royal in the second ring.

This set up a match between Vicious and Spivey but their manager Teddy Long announced that the two would split the reward of $50,000.

Ace delivered a Flying Clothesline and attempted to pin Spivey but Sid kicked him in the face.

The Road Warriors (Hawk and Animal), Midnight Express (Bobby Eaton and Stan Lane) and Steve Williams took on Fabulous Freebirds (Jimmy Garvin, Michael Hayes and Terry Gordy) and Samoan Swat Team (Samu and Fatu).

He attacked the opposing team into the cage prompting Michael Hayes to enter next and deliver DDTs to everyone.

[1][11][12] In the main event, Ric Flair defended the NWA World Heavyweight Championship against Terry Funk.