NIKE 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 and their Just Do it slogan is one that is very known throughout the world. Nike is a fortune 500 company. Nike is a major company in sporting products and has put a lot of time in developing the company reputation in reliable and good quality. Nike is very smart in marketing their products to the general public. They use all types of methods to get the company to attract consumers.
Internal 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.
Company Description Nike believes diversity and inclusion drives innovation that lead to a competitive advantage. Nike has a broad base of suppliers that actively and significantly support their business requirements. Nike’s Global Procurement team manages the procurement process, including selecting and contracting with the right suppliers for the right goods and services. They have also begun to reduce Nike 's footprint and lessen their impact.
2.0 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.
Probable factors that could affect Nike’s business judgements are a range of demographic, social, economic and political. A few have already started to transpire, though others are purely likelihoods. External factors affecting this mix is one of the most common, technology. Before Nike releases its brand new product line to the market, it’s always prepared to authorize that whether or not there has been any sort of major advances from the other competitors that would tracker its launch. Thus they must time this carefully, as other competition may demand to shadow its release with their marketing
Nike draws in peoples’ attention and gets viewers to agree with them and buy their product with the help of these three factors. Nike is a very successful company because of how they draw in their audience and display their commercials using ethos, pathos, and logos. The company Nike just celebrated their 25th “Just Do It” anniversary. The commercial is filled with
The type of market my paper is concentrating on is known as a monopolistic competition market. The first characteristic that differentiate a monopolistic competition market from the other 3 markets is that in a monopolistic competition, there are many sellers which would lead to competition between the firms to sell their products. The second characteristic is that monopolistic firms are relatively small, which can result in either new firms to enter the industry or firms that are existing to exit the market. The third characteristic is that the firms in the monopolistic market sell products that are similar but are slightly different compared to other firms in the same market. The last characteristic is that the firms in a monopolistic market
Price 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.
Introduction Nike is a company that manufacturing, designing, developing and selling about the footwear, apparel, equipment, accessories and services. The location of where the Nike headquartered is in Beaverton, Oregon which is in the Portland metropolitan area. It is one of the world 's greatest producers of athletic shoes and apparel and manufacturer of sports equipment. The company was founded in January 25, 1964 which was named as Blue Ribbon sport by then changed the name to Nike in 1978 which was taken from the name of the Greek goddess of victory. It repetition has been known world widely.
Nike is one of the most respected brands out there. "Nike is so widespread across so many apparel and footwear categories, that right now I think their biggest competition is themselves," said by Ralph Parks who is the president of the 450-store Footaction chain. He also added that, "The brand is becoming bigger than life itself. " Nike has been around for over 50 years, and according the Nike website, they got their name from the Greek goddess of victory, and it is pronounced "ny'-kee." Nike, like many other companies, uses forms of elements like ethos, pathos and logos to manipulate viewers in there advertisements and commercials.
Micro and Macro Environmental factors that influence Marketing decisions (LO 2.1) Micro Environment: This indicates those elements over which the marketing firm has control or which it can use in order to gain information that will better help it in its marketing operations. Furthermore, these are the factors close to a business that have a direct impact on its business operations and success. It is important to carry out a full analysis of micro environmental factors prior to decide corporate strategy.
The strength of high price product strategy is that Nike can earn more on each single item. Also, it can ensure the quality of the products. The low-priced products policy could widen the customer group and attract more buyers to boost the sales. The weakness of selling premium is that only high-end buyers could afford to buy it.
Nowadays, teenagers and young adults who participate in fitness activities are also targeted largely in sales strategies. Competitors Analysis The popularity of various sport activities and changing design trends affect the demand for products. Nike compete internationally with athletic and leisure footwear companies, sports equipment companies such as adidas, Puma, Li Ning, Under Armour for the direct competitors. There are also indirect competitors such as Bata, VNC, etc.