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Case Study New Balance Shoes

762 Words4 Pages

SHRADDHA PRADHAN
Case Study: New Balance Shoes-
1) Evaluate New Balance’s current operating strategy. How well does their supply chain decisions fit within this strategy?
Current Strategy-

• Domestic manufacturing rather than outsourcing completely-Although its competitors have outsourced most of their manufacturing to stay competitive and have been spending a large amount of money on marketing and getting celebrities to endorse their brands, New balance as a company has always focused on manufacturing
• Performance driven-Unlike its competitors new balance has been more concerned about the fit and quality of the shoe rather than its aesthetic features.
• Private rather than public-Furthermore, new balance has stayed as a private corporation. …show more content…

• New balance is a customer centric company and by manufacturing domestically, they get to learn more about their changing needs and requirements. In addition to this, they can share their knowledge with their partners abroad.
• This will help them in getting finished shoes to US fast. Additionally, they will be able to inform their suppliers about their requirements well before time, which will in turn help them in lead-time optimization.

• This decision will also help them in maintaining their private status.
• Furthermore, when are it’s competitors are outsourcing manufacturing, having a base in US will give them a unique selling point. They can promote their shoes as “Made in US”.

3. Moving forward, how important is the NB2E initiative for New Balance?

• Though it is going to be difficult to implement NB2E in a classic company like New balance shoes, they should still go ahead with

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