...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...
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...| | |NIKE Inc. | |Transition to Transnationality: A Strategic and Structural Outlook | | | | | | | | | | | | | | | | ...
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...evaluation of the role of the Internet on the fashion industry as well as comparing and contrasting the e-marketing mix strategies of two competing e-businesses Nike Inc and Sass & Bide. Firstly, the report will critically analysis the roles of the Internet on the Fashion Industry. Secondly, the report will highlight ways in which the Internet has significantly changed the way the Fashion industry operates. Thirdly, the report will analysis and compare the product mix strategies of both Nike and Sass & Bide. Fourthly, the report will analysis and compare the price mix strategies of both Nike and Sass & Bide. Fifthly, the report will analysis and compare the promotion mix strategies of both Nike and Sass & Bide. Sixthly, the report will analysis and compare the place mix strategies of both Nike and Sass & Bide. Seventhly, the report will summarise the key findings from the analysis of Nike and Sass & Bide. Lastly, the report will outline whether superior marketing mix strategies are found in either Nike or Sass & Bide. * The report is successful in highlighting the varied roles the Internet has within the Fashion industry and how it has significantly changed the way the industry operates. * The report demonstrates differences between the e-marketing mix strategies of Nike and Sass & Bide that allow each business to have success, profitability and growth * The report allows for an interesting critical analysis to be revealed...
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...Controlling 2 4. Analysis & Conclusion 2 5. Recommendations 3 6. References (at least 5 references) 3 1. Introduction Nike is the world’s leading athletic footwear, equipment, apparel and accessories company. Nike dedicates to inspire every athlete to reach his or her best potential. Nike’s co-founder, Bill Bowerman saw many possibilities that human could achieve through sports. Nike believes in “bringing inspiration and innovation to every athlete in the world”. Nike also believes that as long as as you have a body, you are an athlete. Bill Bowerman and Phil Knight founded the company in January 1964 as Blue Ribbon Sports, and it became Nike, Inc officially in May 1971. “Nike markets its own products under its own brands, as well as Nike Golf, Nike Pro, Nike+, Air Jordan, Air Force 1, Nike Dunk, Foamposite, Nike Skateboarding, and subsidiaries including Brand Jordan, Hurley International and Converse.” (Nike, Inc) As of today, Nike has employed more than 44,000 people worldwide. And in year 2010, the brand alone was worth $10.7 billion, which makes it the most valuable brand among the industry. (Schwartz, 2010) The aim of this management report is to focus and analyze solely on Nike regarding its current attractiveness in the athletic apparel industry and to provide recommendations if Nike should continue its business expansion. 2. SWOT Analysis Strengths | Weaknesses | 1. Global BrandNike is a brand that is known worldwide, and people know...
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...International Business - Assessment One Research Report Executive Summary This report examines the global company Nike and how it progressed from a small American based company to one of the largest sporting footwear and apparel brands in the world. The entry mode into global business chosen by Nike of contract manufacturing has allowed the company to benefit on two particular fronts. Nike outsourced the manufacturing element of the business initially to China and later expanded to over 750 factories mostly across South East Asia to capitalise on the abundance of low cost labour available to manufacture its products. Contracting out the manufacturing function also allowed the company to focus all of its energy and resources on developing innovative products and then marketing these products across the world. A core value of the Nike organisation is innovation which is embedded in its strategic direction. It developed a culture where no idea is a bad one and innovation is highly valued. This relates both to product development and marketing opportunities. Having this strong focus on innovation has allowed the company to continue to be a world leader in the creation and production of sporting good without the need or desire to diversify into different business streams. Nike has also displayed innovation throughout other business decisions to ensure it tackles environmental issues head on. This attitude took the potentially damaging situation of Nikes association with sweatshops...
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...on the advertisement, the product is a Nike Air. The advertisement show that the few young men are jumping very high seems like flying. This is what Nike wants to promote the benefit of the product as shoes is lightweight, versatile, durable, targeted cushioning, and also would enhance ability of jumping. Target group have few form which is: Demographic First, the Nike Air target on both male and female because if Nike Air only target on male that is not enough, Nike Air have to target on both male and female. Based on the advertisement, Nike Air is trying to target on age 15 – 24, especially focus on the student who is passion on basketball (Ukessays.com, 2014). Psychographic Moreover, nowadays the people who love sport also interested in sports fashion and willing to spend money to buy whether the price is expensive. Nike Air also target on the people who like to wear a comfortable shoes walk in the street, as it is a lightweight and targeted cushioning shoe. For example, some of the older people buy shoes depend on the quality of the shoes not only price and fashionable. Furthermore, Nike air not only target on sportsman and sportswoman, they also target on those who are not interested in exercise but they still willing to buy the product because they do care about their looks. For example, some consumer may be is a colorful people and Nike Air supply a lot color to satisfy them (Ukessays.com, 2014). Positioning Strategies In order to become the world’s leading...
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...Nike doing business in Indonesia Firm Profile Indonesia is a difficult entrant country environment for corporations to do business in which have constraints like: child labor, low wages, mandatory overtime, and education. Low wages are beneficial for Nike; on the same token the constraints like child labor, unfair work conditions, and mandatory overtime can harm the world renowned brands repetition. The media has painted negative picture of Nike, because productivity of shoes and other athletic apparel comes with the cost of unethical work conditions and labor practices. Arguments have been made that the effort of Nike outsourcing it’s manufacturing to factories in Indonesia, is the wrong choice. Furthermore, Nike has a social responsibility to maintain a satisfactory standard in the facilities where its products are manufactured. Condoning mandatory overtime is unethical. Importance should be placed on upholding the dignity of its workers. We will determine if doing business in Indonesia is a decision that Nike should maintain, due to the negative back lash that they receive in the United States from the Media. Along with indicating what is the best strategy should be applied for doing business in Indonesia. Operation The name Nike is the Greek goddess of victory (Ballinger, 1997) .Nike Corporation was originated by Phillip Knight an athlete from Beaverton Oregon. Knight in his beginning started importing shoes from Japan in efforts to compete with athletic companies...
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...of marketing. The organisations that I will be focusing on are Nike and Kellogg. MARKETING Marketing is the process of promoting and selling products or services including market research and advertisement. Under marketing, there are two strategies that can help an organisation in being successful when selling products which are growth strategies and survival strategies. Growth strategies In the year 1957, Igor Ansoff developed on of the best know descriptions for growing a business and under this strategy, there are four categories which are: 1. Market penetration: It is the measure of amount of sales or adoption pf a product or service compared to the total theoretical market for that service or product. 2. Market development: Market development is a strategy whereby a company expands the potential market or find a new group of buyers as potential customers for its existing products or service. This happens when the company changes it target on the market. 3. Product development: This is another strategy where a company create a new product and trade it to its existing market. The market might not be familiar with the product. 4. Diversification: This is a strategy where a business enters into a new industry which the business is not currently in. For example, a business produces a new product to a new target market. Survival strategies Huge companies nowadays need a survival strategy to survive due to competition. There are different ways for a...
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...Background to the case • In 1964 Nike Company was started. The company started importing Tiger shoes from Japan • In 1970, the demand for Nike shoes increased and the company decided to develop its own shoe manufacture. • In 1975, Nike shifted its operations from Japan to Korean and Taiwan were production costs were very low • In 1980, the company become profitable and at the same time faced a stiff competition from Reebok. The company’s market share dropped as a result of the competition. • In late 1980s, the Nike invested heavily in research and development to bring back the glory of the company. • In 1990s the company embarked on aggressive advertising, promotion and sponsorship and thus diversified into wide range of products to meet the international demands. • By 2007, Nike was the biggest sports fitness company in the world with a truly global spread of sales. Question 1 What knowledge has Nike acquired over the years? Use the definition of knowledge to move beyond the obvious This section is focused on knowledge acquisition and knowledge development has acquired over the years since its inception. According lynch (2006), knowledge is a fluid of mix of framed experience, values, contextual information and expert insight that provides a framework for evaluating and incorporating new experiences and information. It originates and is applied in the minds of knowers. In organisations like Nike, it often become embedded not only...
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...begin to reduce and limit down their expenditures which will eventually reduce the retailer’s revenue and profit. For example, in an economic recession, fewer consumers will think about buying a pair of new shoes to avoid an extra financial burden. In addition, the increasing price of basic commodities will cause the retailers to face cost pressures which reduce their profit margin. Background of NIKE Company Nike Company is one of the largest retailers that involved in Malaysia’s retail sector. It involves in the athletic footwear retail industry as its primary main focus is on supplying sportswear. It is the leading retail marketer of sport apparel, athletic shoes and a major manufacturer of sporting equipments in the world. Nowadays, besides selling sportswear, Nike also involves in selling of casual and fashion footwear in order to increase its consumer networks coverage. To distributing its products, Nike is operating own outlets which known as Nike Town and distributing the franchises to most of the countries in order to extend the business throughout the world. Nike helps to create a lot of...
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...JUST DO E-BUSINESS Nike’s shift towards the digital world Source: Google images Student ID: 1202654 Module: IB3B00 Word count: 2186 Description of Nike and its market Nike.inc is the world’s leading designer, marketer and distributor of athletic footwear, apparel, equipment and accessories as they claim it themselves. Nike, which was initially Blue Ribbon Sports, started off in Beaverton, Oregon in the USA in 1964 (where their HQ are still located today) and officially became the Nike brand in 1970. (NIKE, Inc. – About NIKE, Inc., 2014) They have been constantly increasing its range of products and services in all types of sports. Nike.inc is the owner of three other brands: Converse.inc, Hurley International LLC and the Jordan Brand. (NIKE, Inc. Reports FY2013 Q4 and Full Year Results, 2013) However in this report we will solely focus on the Nike brand. Nike’s revenues from its operations in 2013 were $25.3 billion. Other financial information can be found at http://investors.nikeinc.com. Nike, Adidas Group (including Reebok) and Puma are positioned as the key players in the global sports apparel market. Nike is believed to be the global leader in the athletic footwear market, where its main focus lays, with an estimated worldwide market share of 20% in 2012 and with most of its sales coming from North America (44% in 2012) and Western Europe. (19% in 2012) (Trevis Team, 2013) 2 Executive Summary This report focuses on the impact of the Internet on Nike’s business...
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...is to learn about strategy and strategic management by comparing the strategies of two companies from the same industry. The strategies of Nike and Adidas have been compared from the textile industry. Nike and Adidas both specialize in footwear, apparel and accessories and their competition is intense as Nike is the market leader and Adidas is the market challenger. The topics in this assignment cover critical incidents of both Nike and Adidas that occurred in the past and the comparison between both their strategies as well their future plans. This assignment shows us the influence the strategy has on the success or failure of companies and how companies craft sustainable strategies that help them to retain their position in the market. Table of Contents Page 1.0 Introduction 1 2.0 Literature review 1 3.0 Backgrounds of Nike and Adidas 2 3.1 Company overview of Nike 2 3.2 Company overview of Adidas 2 4.0 Critical Incidents that occurred in the past 3 4.1 Critical incidents that affected Nike 3 4.2 Critical incidents that affected Adidas 5 5.0 Comparison of the strategies of the companies 8 5.1 Strategies of Nike 8 5.2 Strategies of Adidas 9 5.3 Comparison of the strategies of Nike and Adidas 11 6.0 Future plans of Nike and Adidas ...
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...share in China – Li Ning. It is worth noting that Nike does not have a Chinese online website store to facilitate customers to come online and learn/buy Nike’s products. b. Price sensitivity – Developing markets are generally price sensitive markets. Nike’s premium and high quality brand image doesn’t sync with the expectations of the customer. In other words, the differentiation strategy might not bring as good results as it had brought in the USA. 3. Significant reliance on IT and sophistication in managing supply chains. Nike is heavily dependent on information technology systems across our supply chain, including product design, production, forecasting, ordering, manufacturing, transportation, sales, and distribution. Nike’s ability to effectively manage and maintain our because the product design and innovation forms the backbone of the company. Nike success 1. The key reasons for the success of Nike are associated with its global brand promotion. Due to its extensive advertising campaigns the Nike’s brand is known in almost every household worldwide. 2. Nike (now, called the unofficial sponsor!) has generated the most buzz online in the lead up to the World Cup. Much greater than Adidas, it’s arch-rival and official sponsor. Coca Cola, Sony, Visa and other FIFA partners are lagging far behind. 3. Nike shoes and other accessories have also become the favorite fashion products for teenagers. 4. Nike is known around the world for being one of the iconic...
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...……………………………………………………………...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...
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...Nike Case Analysis Nike is a world's leading supplier of athletic shoes and apparel. The company was founded in 1964, when it was selling shoes to athletes. It grow rapidly through the 1970’s, and expanded its product lines to produce footwear in the categories of running, training, basketball, casual shoes, and kids shoes. As the bloom faded from the domestic athletic footwear market, the company entered active apparel market in 1978. Nike made a series of strategic decisions in 1970’s and early 1980’s, which made it one of the most successful sportswear and equipment suppliers in the world. The Company’s strategic goal was to maximize its profit in a long run. It was successful because it was able to identify, develop and match its resources and its capability by taking the following strategies: Marketing Strategy Branding Strategy: Nike managed to establish its brand name by attracting top athletes for promotional campaigns. Nike viewed the footwear market as a pyramid, with a small peak -serious athletes, and a broad base – the millions of Americans who wore athletic footwear casually, and believed that by maintaining a strong position at the top, it would extend its presence downward. This was very crucial to Nike’s success. So Nike spent 3% of its revenues on promotion including contracts with professional players and coaches, agreements with amateur athletes and teams, sponsorship of numerous prominent sporting events and the underwriting of a world-class...
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