...Multinational Corporations that maintain high levels of financial transparency and ethical standards realize higher profits in the long run than those that do not. Gap Incorporated adheres to high ethical standards and has enjoyed both financial success and growth globally throughout the last ten years. The company publicly reports numerous financial statements including its annual report, investor advice and guidance, and reports on individual department success. Gap funds over forty non-for profit organizations and sends employees to volunteer at numerous charities. Gap has created a foundation called beyond the seams to make sure the company adheres to environmental, social, and ethical guidelines. Gap Inc. is committed to funding programs that aid women and children in achieving success and helping entrepreneurs to begin stable businesses. Through Gap’s ethical standards, it has developed legitimacy and positive stakeholder relations which attribute to the company’s global success. Gap has realized growth as a company and in many individual areas, with its current stock listed at over twenty six dollars per share (Gap Inc, 1). Levi Strauss has a published code of ethical values available for its share holders as follows “We believe that business can drive profits through principles, and that our values as a company and as individuals give us a competitive advantage. Empathy — walking in other people’s shoes Empathy begins with paying close attention to the world...
Words: 771 - Pages: 4
...maximize their wealth. This paper explores the principle for compensation, makes an attempt to design a new compensation package to the chief executive officer of Nike, Inc., and finally compare the different between the existing pay package and the new one. I. Introduction Nike, which originally named as Blue Ribbon Sports, is the largest manufacturer of the athletic footwear and apparel in the world, and one of the Fortune 500 companies. Figure1 shows that Nike is the leader of the global athletic footwear market, with around 31% market share in 2007. Creating by Bill Bowerman and Philip Knight in 1962, its early products are footwear, but now it has a wide range of product line. Today Nike is engaged in design, development and marketing of footwear, apparel and equipment, including shoes, sock, gloves, bags, and sports balls and so on. Many of its products are design for specific athletic such as football, basketball, running and even walking. According to figure2, Nike branded footwear contributes about 43.6% of Nike’s stock, while Nike branded apparel constitutes around 24.7%. It means that Nike branded footwear and apparel is the most important parts of its product line. Because the importance and popularity of sport, the sportswear market has a huge profit, a great prospect, and a fierce competition. Nike major competitors include Adidas, Puma, and...
Words: 1788 - Pages: 8
...Term Project-Nike Algernon Jones & Maria Lopez MBA 6202/6215 – Strategic Management Dr. David Epstein Nike, originally known as Blue Ribbon Sports (BRS), was founded by University of Oregon track athlete Philip Knight and his coach Bill Bowerman in January 1964. The company initially operated as a distributor for Japanese shoe maker Onitsuka Tiger (now ASICS), making most sales at track meets out of Knight's automobile. In 1966, BRS opened its first retail store, located at 3107 Pico Boulevard in Santa Monica, California. By 1971, the relationship between BRS and Onitsuka Tiger was nearing an end. BRS prepared to launch its own line of footwear, which would bear the Swoosh newly designed by Carolyn Davidson. The Swoosh was first used by Nike on June 18, 1971, and was registered with the U.S. Patent and Trademark Office on January 22, 1974. In 1976, the company hired John Brown and Partners, based in Seattle, as its first advertising agency. The following year, the agency created the first "brand ad" for Nike, called "There is no finish line," in which no Nike product was shown. By 1980, Nike had attained a 50% market share in the U.S. athletic shoe market, and the company went public in December of that year. Together, Nike and Wieden+Kennedy have created many print and television advertisements, and Wieden+Kennedy remains Nike's primary ad agency. It was agency co-founder Dan who coined the now-famous slogan "Just Do It" for a 1988 Nike ad campaign. Throughout the...
Words: 2500 - Pages: 10
...Nike is a successful company that has been in business since 1972. Throughout the decades, Nike has built up its brand to one that is respected and sought after. Nike has grown its brand name through the acquisitions and partnerships of many other brands (Hurley, Umbro, Cole Haan, and Converse) to provide to its customer different products that suit every athletic need. In order for Nike to gain success in its growth, the company follows the four functions of management: planning, organizing, leading, and controlling. External and internal factors play unique roles into how the company carries out each of these functions. In contingency to the functions, factors such as globalization, technology, innovation, diversity, and ethics affect how the company manages the business. This paper identifies how Nike successfully manages their business through the four functions of management and the various factors that affect them The four functions of management at Nike can be affected by various factors such as globalization, technology, innovation, diversity, and ethics. Globalization affects planning because Nike is a global company and needs to set objectives for growth in markets inside many countries. Nike announced on January 9, 2012 that they are building a 600,000 square foot headquarters in Shanghai, China to centralize their employees in China, which would allow them to develop a greater focus and competitive advantage in the China market (Nike, 2012). With such an increasing...
Words: 1283 - Pages: 6
...Under Armour is a leading developer, marketer, and distributor of branded performance apparel, footwear, and accessories. Former University of Maryland football player Kevin Plank founded the company in 1996. The company sells the product worldwide. Athletes at all levels, from youth to professional, from playing fields around the world wear this product. The Under Armour global headquarters is in Baltimore, Massachusetts. There are also European headquarters in Amsterdam’s Olympic Stadium, and additional offices in Denver, Hong Kong, Toronto, and Guangzhou, China. Kevin Plank began the business with savings and credit cards in the basement of his grandmother’s apartment. Now, the Under Armour is a business that has their products flying off the display racks. The defining moment for the novice company came in December 1999, with the release of Oliver Stone’s film Any Given Sunday. The film featured Under Armour throughout its duration, but the pivotal exposure scene was the locker-room scene with Jamie Foxx and Cameron Diaz. Oliver Stone wanted Jamie Foxx to wear a futuristic-looking jockstrap. Kevin made sure that the logo “UA” was front and center. The company only had 19 employees at the time. Now the employee number has reached 2,200 and the sales now exceed $700 million. As the performance apparel market grew, Under Armour diversified their product offerings, developed different types of performance gear, and ventured into women’s apparel, footwear, and other merchandise...
Words: 2215 - Pages: 9
...Running Head: Nike, Inc. Nike, Inc. Case Study Adelaide A. Odoteye FIN 586 – Dr. Cullers Fall 2006 The brand name “Nike” is one of the most readily recognized around the globe. The name is synonymous with high-quality athletic shoes, apparel, and accessories in the minds of many people worldwide. Perhaps it is the ubiquitous Nike “swoosh” and compelling marketing that commands attention. Or maybe it is the association between the brand name and its famous endorsers, such as Tiger Woods and Michael Jordan. Alternatively, it may be Nike’s cutting-edge sporting vision and technology that entrances multitudes of consumers. Quite conceivably, it is a combination of these factors that has propelled Nike to the top of its industry. However, not all of Nike’s story is ideal. In recent years, the company has faced criticism in connection with its use of contract labor in developing nations. The purpose of this case is to provide an understanding of the company’s background, its general business strategy, and its use of contract labor. The Athletic Apparel and Footwear Industry The athletic apparel and footwear industry experienced steady growth for more than two decades, beginning in the early 1980’s. For example, in the U.S.A. alone, consumer spending on athletic footwear increased by 10 percent during the first six months of 2005 (Quinn, 2006). Consumers were not just professional athletes, but ordinary men, women, and...
Words: 6449 - Pages: 26
...Lululemon Athletica, Inc. Ralph Forgeon Caroline Carlson Robert Livingston Hanz Masood Courtney Fields Bus 475: Seminar in Strategy and Policy Dr. Ybarra May 1, 2014 1 Introduction Lululemon Athletica Inc. designs and retails athletic clothing. The Company produces fitness pants, shorts, tops and jackets for yoga, dance, running, and general fitness. Lululemon serves customers globally through its online and 254 retail stores. Mission and Goals Mission Statement: Creating components for people to live longer, healthier, fun lives. Lululemon has developed a distinctive community-based strategy that we believe enhances the brand and reinforces guest loyalty. The key elements of the company’s strategy is to: - Design and develop innovative athletic apparel that combines performance with style and incorporates real-time guest feedback - Locate stores in street locations, lifestyle centers and malls that position each Lululemon Athletica store as an integral part of its community - Create an inviting and educational store environment that encourages product trial and repeat visits; and - Market on a grassroots level in each community, including through social media and influential fitness practitioners who embrace and create excitement around our brand. 2 Growth Strategy Key elements of Lululemon’s growth strategy are to: ● Grow the Store Base in North America. As of February 2, 2014, the company’s products were sold through 225 corporate-owned stores in North America...
Words: 8684 - Pages: 35
...NIKE, INC. ANNUAL REPORT ON FORM 10-K Table of Contents Page PART I ITEM 1. Business . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . General . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Products . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Sales and Marketing . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . United States Market . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . International Markets . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ....
Words: 57555 - Pages: 231
...Apparel Industry Definition Apparel Industry is represented by the companies that create and sell clothing, accessories, and footgear. Nowadays, majority of the Apparel Companies have both types of operations: wholesale and retail through which they reach their consumer. For our group, we chose ANF Inc. (Abercrombie & Fitch), American Apparel Inc. (APP), GES (Guess), GPS Inc. (Gap), NKE Inc. (Nike), and URBN Inc. (Urban Outfitters), which are under the category of Apparel Store and Textile - Apparel Footwear & Accessories. Since apparel companies are mostly under the category of Apparel Store, except for NKE, we calculate the percentage of the industry that our group of companies represent by using the sum of the market capital of the chosen apparel companies plus NKE’s market cap divided by the total market capital of Apparel Store plus NKE’s market cap. The result turned out to be 32.07%, which means apparel companies that we chose represent 32.07% of the apparel industry. Wholesale Business Apparel Companies that have wholesale operations, design and manufacture products, which they then sell to either external retailers such as department stores, discounters, and small shops or through their own stores. Wholesalers often have licenses to produce certain items under a specific brand, for which they do marketing and advertisement. Apparel companies that own many licenses of well-known established brands have a competitive advantage. However, during the economic slowdown...
Words: 2237 - Pages: 9
...………………………………………………………………………………….……………9 Diversity ……………………………………………………………………………..….………….9 Equal Opportunity Employer ……………………………………………………….….……….10 Ethical Standards/code of conduct ………………………………………………….….….……10 Suppliers ……………………………………………………………………………………………11 Strategic Management & Board…………………………………………………………………13 Corporate Governance……………………………………………………………………………15 Board of Directors…………………………………………………………………………………17 Global Footwear Industry ………………………………………………………………………28 Family Clothing Stores …………………………………………………………………………30 Porter’s Five Forces………………………………………………………………………………33 Industry Overview…………………………………………………………………………………40 Organization Structure …………………………………………………………………………48 Financials …………………………………………………………………………………………49 Financial Ratios …………………………………………………………………………………58 Altman’s Z-Score …………………………………………………………………………………71 Tobin’s Q……………………………………………………………………………………………72 DuPont Analysis …………………………………………………………………………………73 SWOT Analysis ……………………………………………………………………………………77 Market Share ………………………………………………………………………………………80 Focal Points for Action …………………………………………………………………………83 TOWS Matrix………………………………………………………………………………………83 Boston Consulting Group Matrix ………………………………………………………………84 Rumelt’s Criteria …………………………………………………………………………………85 Decisions and Recommendations ………………………………………………………………86 Implementation……………………………………………………………………………………89 Bibliography ………………………………………………………………………………………91...
Words: 19508 - Pages: 79
...Nike Business Strategy By singkboy | Studymode.com Nike’s Gameplan for Growth that’s Good for All | Management Innovation eXchange Page 1 of 29 M-Prize winner This story is one of ten winning entries in the Long-Term Capitalism Challenge, the third and final leg of the Harvard Business Review / McKinsey M Prize for Management Innovation. Story: Nike’s Gameplan for Growth that’s Good for All by Lorrie Vogel - General Manager of Considered Design at Nike Inc. Co-Authored by Agata Ramallo Garcia October 17, 2012 at 1:29pm 18 36 0 Comments 2 Ratings: Overall 4 Innovative 4 Detail Summary Innovation is a cornerstone of the Nike brand. Our company was founded by two visionaries, Bill Bowerman and Phil Knight, who set out to reinvent athletic footwear. Over the past decade, our drive to design and produce better, faster, lighter products has evolved into an even more ambitious agenda – to embed long term sustainability into our business. This broader vision calls for new approaches to design, management, partnership and new tools and metrics to support integration and adoption throughout Nike. Many of Nike’s http://www.managementexchange.com/story/nike%E2%80%99s-gameplan-growth-that%E2%80%99s-good-all 21/02/2013 Nike’s Gameplan for Growth that’s Good for All | Management Innovation eXchange Page 2 of 29 management innovations for sustainable growth started internally, with the Corporate Responsibility and Considered Design...
Words: 9015 - Pages: 37
...Chapter 1…………………………………………………………………...….3 Introduction…….………………………………………………………………...4 Nike’s Journey…….……………………………………………………………...5 Financial Overview…….…………………………………………..……………...6 Chapter 2…………………………………………………………………...….7 Internal & External Environment Analysis…………..……………………………….8 SWOT Analysis………………………………………………………….…….….9 Challenges faced by Nike………………………………………………………….11 Strategic Implemented for Rectification………………………………………….….13 Chapter 3…………………………………………………………………..….16 Leadership Hierarchy……………………………………………………..…...….17 Chapter 4…………………………………………………………….…….….21 Nike Core Competencies…………………………………………………..………22 Value Chain Analysis……………………………………………….…………….24 Chapter 5………………………………………………………………….…..26 Cooperate Governance……………………………………………………………27 BIBLIOGRAPHY……………………………..………………………….….30 C C hapter hapter 1 1 Introduction “Everything you need is already inside. Just do it” * Bill Bowerman (Fabrega, n.d.) “NIKE”, one of the most synonymous names with the sporting world, was initially established as Blue Ribbon Shoes in 1964. The brand was started by Bill Bowerman and Phil Knight at the University of Oregon; where the former was the latter’s track and field coach. (10 things you did not know about Nike, 2011) During Phil Knight’s time at Stanford University, he wrote a paper on ending German dominance...
Words: 5966 - Pages: 24
...511-060 Nike Football: World Cup 2010 South Africa Nike Football revenue had grown from $40 million in 1994 to more than $1 billion in 2008. In just under 15 years, it had reached a sales level that took some of its competitors over 50 years to achieve. Although not the end goal, the 2010 World Cup was another unique moment in time for Nike to create separation between the company and its competitors. Edwards knew he had to seize this opportunity and pull his team together to deliver a campaign focused on delivering innovative products and compelling consumer experiences. Creating deep consumer connections during the World Cup would be vital for fueling continued growth for Nike football in the years ahead. Football and the FIFA World Cup Some people believe football is a matter of life and death . . . I assure you, it is much more serious than that. — Bill Shankly, Scottish footballer and legendary Liverpool Manager1 Football was a game played between two teams of 11 players each, 10 field players and a goalkeeper per team. The game lasted 90 minutes, consisting of two 45-minute halves of running time. It was played with a round ball, on a rectangular grass field (often referred to as the “pitch”) with a goal on either end. Excluding the goalkeeper, the ball was controlled only with the feet, legs, torso and head (the use of hands or arms was prohibited) and the team scoring the most goals by the end of the game was the winner. Football was the most popular...
Words: 12785 - Pages: 52
...NIKE INC FORMReport) 10-K (Annual Filed 07/23/13 for the Period Ending 05/31/13 Address Telephone CIK Symbol SIC Code Industry Sector Fiscal Year ONE BOWERMAN DR BEAVERTON, OR 97005-6453 5036713173 0000320187 NKE 3021 - Rubber and Plastics Footwear Footwear Consumer Cyclical 05/31 http://www.edgar-online.com © Copyright 2013, EDGAR Online, Inc. All Rights Reserved. Distribution and use of this document restricted under EDGAR Online, Inc. Terms of Use. Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-K (Mark One) ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 FOR THE FISCAL YEAR ENDED May 31, 2013 OR TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(D) OF THE SECURITIES EXCHANGE ACT OF 1934 FOR THE TRANSITION PERIOD FROM TO . Commission File No. 1-10635 (Exact name of Registrant as specified in its charter) OREGON (State or other jurisdiction of incorporation) One Bowerman Drive Beaverton, Oregon (Address of principal executive offices) (503) 671-6453 93-0584541 (IRS Employer Identification No.) 97005-6453 (Zip Code) (Registrant’s Telephone Number, Including Area Code) SECURITIES REGISTERED PURSUANT TO SECTION 12(B) OF THE ACT: Class B Common Stock (Title of Each Class) New York Stock Exchange (Name of Each Exchange on Which Registered) SECURITIES REGISTERED PURSUANT TO SECTION 12(G) OF THE ACT: NONE Indicate by check mark • • • if the registrant is a well-known...
Words: 108131 - Pages: 433
...Will Lululemon Athletica Become the Next Top Brand? Christopher Boyken MGT 4013 April 24, 2012 Executive Summary Lululemon was founded by Chip Wilson in 1998. The company started out in Canada with several stores where the company eventually grew to 165 stores in Canada, United States, Australia and China. The industry in which Lululemon competes in is fitness apparel, with competitors such as Nike, Adidas, Under Armour, and Champion. The fitness apparel industry is very attractive with an ever growing increase in the amount of individuals choosing to lead a healthier life. Lululemon holds a good position in this industry and have room to grow in the future to gain an advantage over its competitors. The way Lululemon has been executing its strategy is a key factor to how well the company has been performing the past years. Although the company’s performance has been outstanding recently, there is a strategic issue in which Lululemon should try to deal with, and this is advertising. There is a couple of action plans that can be implemented and help fix the strategic issue Lululemon faces. Lululemon is a growing company that has a promising future and will continue to attract numerous investors. Table of Contents Introduction (Needs and Purposes) 4 Strategic Posture 5 Brief History 5 Core Values 5 Mission Statement 9 Vision Statement 9 Business Definition 10 Broad Goals 12 Smart Objectives 14 Key Functional...
Words: 15691 - Pages: 63
