Both Nike and Adidas are well recognized sportswear companies have become dominant name in the marked throughout many places around the world. Teams, schools and sportswear industries can expect the best quality of products and services from the two brands. Nike is an international United States company manufacturer and it was founded by Bill Bowerman. Adidas is a worldwide firm that was founded in Germany by Adolf Dassler (Difference between Nike and Adidas, 2010). Athletes all around to word that play basketball, football, golf, soccer or any kind have worries about their performance being affected by the type of shoes or equipment they are wearing.
In this paper we have discussed the winning strategy of Nike. Nike a global leader in sporting goods industry has established a strong position for enhancing athletic life style. Its brand strives to capture and deliver ‘authentic athletic performance’ across thousands of sports and fitness products. Founded by Bill Bowerman and Phil Knight in 1970s, it is the number one sports manufacturer in the world that offers a wide range for choice for individuals ranging from sports equipment, athletic shoes to clothes. Selling well-designed and very expensive products, Nike is positioned as a premium brand.
Nike’s SWOT Analysis As everyone knows Nike is a company that for many years has remained as one of the best business selling sports shoes and accessories. Their success and development is due to the great strategies that the company put into practice throughout his career. Their CEO, Phil Knight, made it clear that for the success of his company the constant changes and adventures have been one of the risks that have been taken, but in turn has given the opportunity to make errors that ultimately become lessons. In this project I will be analyzing the structure of this business, evaluating the four elements of SWOT analysis. This will allow me to understand their success and their recently problems.
Nike compete internationally with a significant number of athletic and leisure footwear companies, athletic and leisure apparel companies, sports equipment companies, and large companies having diversified lines of athletic and leisure footwear, apparel, and equipment, including adidas, Puma, Li Ning, and Reebok, among others. The intense competition and the rapid changes in technology and consumer preferences in the markets for athletic and leisure footwear and apparel, and athletic equipment, constitute significant risk factors in Nike operations. Currency Volatility: Since the majority of Nike’s sales are generated outside of the United States, the company is exposed to significant currency fluctuations. The recent strengthening of the U.S. Dollar has hurt reported results, due to the foreign amounts being translated into U.S. dollars for reporting purposes. While Nike does have certain hedges in place, they are designed to lessen the impact of unfavorable exchange rates, not fully eliminate the risk.
One of the main reasons to why it has become a world recognised brand is because of the way it markets itself. Nike markets itself through the use of social media such as twitter, snapchat, Facebook and Instagram. Nike also use advertisement on TV, in papers/ magazines, sponsorship of successful athletes, sponsorship of successful sports teams, media/press releases and creation of new products to market itself. Nike is an American sportswear company and is the largest sportswear company in the world with revenues of $32.2 billion. When Nike was first founded it was named as Blue-Ribbon Sports in 1964 but in 1978 it was renamed Nike which is the Greek word for
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 . In the Present situation IN the present situation the strategy of expansions is very important as world economy tends to globalize and nowadays, multinational companies like Nike which can hardly locate production in one country only but
Supply Chain/Distribution Channel Analysis of Nike 1. Introduction Nike is an American multinational corporation whose main sales includes footwear, apparel, equipment, accessories and services. It is one of the world’s largest suppliers of athletic shoes and apparel. This Supply Chain/ Distribution Channel Analysis will go into detail on Nike’s previous supply chain dynamics, it’s effects on Nike’s brand image and how this led to a dramatic change in Nike’s logistics, which has now put them in a position of market dominance whilst ultimately increasing their profits. It will also elaborate on how Nike’s drive for sustainable innovation, throughout its supply chain, has evidently reduced their costs and increased growth, whilst also benefiting
Nike holds a solid position in this market since it generally is by all accounts ahead in the innovation and style of their shoes when contrasted with contenders. Nike 's costs are focused too. They have the top of the line, innovative shoes that individuals are hoping to pay somewhat more cash for and afterward they have shoes, for example, Converse which begin at $44.99. Nike gives reachable items to individuals on numerous levels of wage so basically anybody can get their hands on a Nike item. This together is the thing that permits Nike to be in the firm and stable position they have in the athletic shoe showcase and will keep on doing so the length of they keep on doing the essence of what they are accomplishing as an organization.so no matter where there location is people will tend to buy their products.people should recognize our brand then our competitors
After the data was collected, it was analyzed and a SWOT analysis was conducted for Nike to reveal strengths, weaknesses, opportunities and threats Nike has as a company. The footwear industry was analyzed using Porter 's Five Forces model. Nike aims to bring inspiration and innovation to every athlete in the world - and it considers everybody to be an athlete! As a high profile, industry-leading sports company, Nike continually strives to keep itself at the forefront of product innovation and design. Through extensive research and development, the Nike Free shoe
Q1) How should New Balance respond to the Adidas/Reebok transaction? In response to the Adidas/Reebok transaction, New Balance should not panic or revamp its business model but continue to focus on their core strengths and rely on the brand image they have build for decades. The “big players” in the market, namely Nike, Adidas and Reebok greatly differ in business model and focus compared to New Balance. While they battle the fight of convincing the fashion-oriented youth with extensive marketing campaigns, sport star endorsements and a great number of shoe models, New Balance was able to avoid attrition and successfully create a loyal following. New Balance Shoes provide great performance while still being comfortable and adaptive.