Footwear Industry Analysis
The footwear industry is one of the most successful industries over the years, coming under the apparel umbrella. The footwear sector has a lot of promise and scope of growth, not only globally, but in India as well.
Many local and international firms are now focusing on the footwear industry, seeing the fast growth and the potential this industry offers. The footwear industry is growing at a CAGR of about 2% and is expected to grow at this rate for a long time. In the year 2011, the footwear market of the world was $185.2 billion, which is touted to grow up to $211.5 billion by the year 2018.
The Asian-Pacific population, which amasses more than half of the population of the world, is the global leader when it comes to consumption and the
…show more content…
The continuous development of this industry because of the multiple marketplaces, which are easily accessible, increased cultural and health knowledge have resulted in more and more demands for footwear designs that are fresh and innovative.
India, alone accounts for a huge 13% share of the world production of footwear, with 16 billion pairs, second only after China. The production of footwear can be further segmented into three, being the leather footwear, which account for 909 million pairs, uppers of leather show which account for 100 million pairs and non-leather footwear which account for 1056 million pairs.
Though the production of the footwear is massive, but the Indian brands of footwear, find it tough to make an impact in the overseas market. The year 2011, the Indian footwear industry grew from strength to strength producing more than 2 billion pairs of footwear, but unfortunately not much of the production was exported to other nations. The amount of footwear pairs exported in the year 2011 were a 115 million pairs, which is a very small number as compared to the footwear produced by
…show more content…
Though the exports of footwear sector are slow for India, but they are seeing a constant rise since the last four decades. During the financial year 2011-12, the footwear industry of India valued at US$ 2077.27 contributing a major share in the country’s GDP.
The footwear sector of India holds a very strong future and is expected to be one of India’s strongest links, both domestically and export wise. The support of government to enhance this sector, seeing the bright prospects insures a lot of confidence in the manufacturers and the retailers. This industry is poised for steady growth and studying and understanding the consumer patterns and the fashion involvement in the footwear industry is thereby important.
The top class infrascture systems, and the manufacturing plants facilitate and encourage the industry to grow leaps and bounds. The automatic machinery, coupled with skilled Indian manforce is a sureshot way to innovate new footwear fashion and approach the market driven
The 1980s: The Sporting Goods Industry
317 Words | 2 PagesThe sporting goods industry has a long history from the mid- 1800s until the early 1980s. Since then public ownership led to the expansion of footwear and apparel products in an exploding marketplace. This allowed the top 20 firms to have sales of at least $1 billion. (Lipsey, 2006) After 1980s, sports equipment manufacturing is estimated above a $70 billion industry and is continuously growing worldwide (statista.com, 2014). The production of sports equipment is one of the biggest and most profitable industries nowadays and it gathers all the attention of big brands with powerful marketing techniques which compete in global scale.
Sneakers Have Always Been Political Shoes Analysis
241 Words | 1 PagesKimberly Chrisman writes an essay called “Sneakers Have Always Been Political Shoes” where she claims that “sneakers have always been canvases for political commentary and projection…” Chrisman is essentially claiming that sneakers politically identify individuals. Most of Chrisman’s sources are based on evidence from the 1900s only including very limited current proof. She starts her essay by giving her readers a current story having to do with New Balance shoes and Donald Trump. Chrisman also fleetingly mentions Nike and a tweet they tweeted along with a shoe exhibition called the Out of the Box exhibition. She then jumps into a brief description on a 19th-century athletic shoe, explaining their primary use along with stating the type of
Lvmh Porter's Five Forces
885 Words | 4 PagesDue to their huge success, control over suppliers can be always be maintained by the company. Rivalry among the competitors is the force to reckon with and it is the one that will decide the future profitability of the fashion industry. Competition in fashion is very high since there are only a handful of competitors when looking at the giants. Future Industry evolution Scenario 1 The future of today’s world is technology.
Brazilian Footwear Case Study
1114 Words | 5 PagesSTUDENT NAME: - ANKIT ANKIT STUDENT ID: - C0721272 ASSIGNMENT:1 CASE STUDY ON Made in Brazil, worn in the Middle East: Exporting Footwear to New Markets (Brazil’s footwear industry) Question1). What advice on documentation requirement would you give a Brazilian footwear company who wants to export its products to Saudi Arabia? Answer) Advice on documentation requirement to Brazilian footwear company: - • Each consignment of imported merchandise must be joined by a certificate of conformity from an approved investigation organization. • All the norms of customs should be met so that the goods are not held in customs of either side of transaction.
Under Armour: Competitor Analysis: Nike And Adidas
1158 Words | 5 Pages2.0 Competitor Analysis The industry that Under Armour is involved with is extremely competitive, with competing against big names such as Nike or Adidas. Although it’s hard at the beginning, but customers want to have the highest quality apparel therefore they turn to Under Armour. Under Armour stays in the competition by having high quality products, and also by signing endorsements deals with major athletes (Owusu, 2017). By having major athletes represent Under Armour, means the company will be bringing in "big money" because they will bring up the brand’s popularity. The major competitors in this industry are of course inclusive of big names such as Adidas, Nike, Dick’s Sporting Goods and Puma.
A Case Study Of Nike's Human Resource Management
1033 Words | 5 PagesA-Four support activities: 1- firm infrastructure and finance : -Strong brand, product, marketplace solution, delivery and support. (brand value from 35$ in 1973 to 10.7 billion in 2014 ). -Empowerment of top management –geographic structure. -Low debt, short term debt 2.9 billion, and long term debt 1.1 billion. Cash in hand 2.2 billion.
Essay On Sneaker Culture
920 Words | 4 PagesThe hype grows as a result from the intentionally low supply of each sneaker released by big sneaker companies. Due to the popularity of the sneakers in today’s market, sneaker culture opens an opportunity for the sneaker collectors and comes up with the idea of the resale market that led to the impressive growth of the secondary market for sneakers. The sneaker trend has been around ever since when sneaker companies started associating with recognizable sportsmen as a brands’ ambassadors, and use the concept of celebrity endorsement. “Branding really took off during the post-World War I era when shoe
Nike Business Analysis: Internal Analysis Of Nike
702 Words | 3 PagesInternal Analysis When conducting an internal analysis you must know the firm’s resources and capabilities. Nike’s resources are assets from succeeding in their industry. These resources include financial resources, physical resources, human resources and organizational capabilities. Firms Resources & Capabilities: Human Resources-. The company displays a strong workforce of over 30,000+ employees.
Success And Failure Of Nike
1424 Words | 6 PagesNIKE The Factors that Led to Success and Failure of Nike in its Venture across International Markets Abishek TR* Abstract- Key words: INTRODUCTION The largest American suppliers of athletic shoes, apparel, and sports equipments .At the same point of time ,this company is known worldwide .The Success of this company is the result of the various strategies used in the international market expansion which helped them to enter into new markets and to strengthen its position in the traditional ones .
Nike's Advantage Of Globalization
1063 Words | 5 PagesNike’s first globalization strategy was outsourcing. Nike Inc. realized that manufacturing its products (footwear) in the U.S was expensive and to further export these products to distributors outside the U.S would be a massive challenge. This is because price affordability was a major concern for customers outside the U.S who would not comprehend why sportswear should be that expensive to buy. However, Nike Inc. took advantage of globalization by using the Japanese high-quality, low-priced production strategy by outsourcing all its shoe production to Japanese producers (Locke,
What Is Nike's Competitive Strategy
789 Words | 4 PagesIn the year 2010, it spent almost $800 million on ‘non-traditional’ methods of advertising. • Nike has chosen to target the seventeen year olds more as research has shown that the 17 years olds spend 20% more on shoes than the adults. • It has decided to do away with the dependence on the ‘big budget top-down brand campaigns that usually celebrate just one hit. • Its advertising and marketing campaigns are widely split between advertising agencies that specialize in recent technologies and social media. • It has chosen to focus more on the production of ‘cool stuff’’.
Nike Just Do It Campaign Analysis
1565 Words | 7 PagesNIKE “Just do it” Campaign. Introduction: Nike, Inc. is a top supplier and advertiser of sportswear and supplies. The American maker was established on Jan 25, 1964 as Blue Ribbon Sports. In 1978, the new Nike, Inc. was fabricated under the name of Nike. The world's No. 1 shoemaker outlines and exchanges shoes for a variety of sports.
Strengths And Weaknesses Of Nike
833 Words | 4 PagesPrice Strengths 1. Low Cost Manufacturing Nike has a company who use the low cost manufacturing for production footwear. All of the Nike’s footwear virtually is manufactured outside of the United States by independent contract manufacturers such as Vietnam, China and Indonesia. Nike was operate multiple factories around the worlds. In 2014, Vietnam, China, and Indonesia manufactured roughly about 43%, 28%, and 25% of total Nike branded footwear and it has also operations in other country such as Argentina, Brazil, India, and Mexico.
Porter's Five Forces Model Of Nike
2127 Words | 9 Pages2. Threat of new entrants - High The threat of entry is highest in the apparel market due to the relatively lower costs of manufacturing apparel compared to the footwear market where the biggest threat posed is basically from current rivals already established in the market e.g Adidas, Reebok and Puma. 3. Intense rivalry among existing players -
New Balance Case Study
1064 Words | 5 PagesStarting as just a mail-order business with some retailers, it quickly opened new manufacturing facilities, starting with New England in the early 1980s as well as it signed contracts with other international distributors. While producing at lower costs outside the US, New Balance sold its shoes at a higher price than the average market and started to have huge sales anyways. Moreover, what makes New Balance’s operation strategy unique is that they offer their shoes in multiple widths and always have inventory in case the retailers get out of stock. This supports directly two of New Balance’s main competitive objectives being first that they want their customers to feel uniquely served by offering several widths of their shoes for different kind of feet and letting the customer not wait for the delivery of the shoes but always having inventory to push into the retail stores in case of scarcity. A good customer experience is one of their key competitive
More about Footwear Industry Analysis
The 1980s: The Sporting Goods Industry
317 Words | 2 PagesSneakers Have Always Been Political Shoes Analysis
241 Words | 1 PagesLvmh Porter's Five Forces
885 Words | 4 PagesBrazilian Footwear Case Study
1114 Words | 5 PagesUnder Armour: Competitor Analysis: Nike And Adidas
1158 Words | 5 PagesA Case Study Of Nike's Human Resource Management
1033 Words | 5 PagesEssay On Sneaker Culture
920 Words | 4 PagesNike Business Analysis: Internal Analysis Of Nike
702 Words | 3 PagesSuccess And Failure Of Nike
1424 Words | 6 PagesNike's Advantage Of Globalization
1063 Words | 5 PagesWhat Is Nike's Competitive Strategy
789 Words | 4 PagesNike Just Do It Campaign Analysis
1565 Words | 7 PagesStrengths And Weaknesses Of Nike
833 Words | 4 PagesPorter's Five Forces Model Of Nike
2127 Words | 9 PagesNew Balance Case Study
1064 Words | 5 Pages