...Compare and Contrast Nike vs. Adidas Sportswear companies like Nike and Adidas, have made many products throughout the world that are very popular and continue to grow in their reputations of being the top two leading companies in the sports industry. With many fans for both sports-related companies, the numbers and popularity continue to rise, and live up to their high admired feedback. According to Global Market Shares, Nike is sitting at 31%, while Adidas is estimating about 16% of footwear status. The purpose I will be showing in this paper is the comparison and contrast which include the terms of quality of product(s), the prices, marketing and advertising. Nike, Inc., an American corporation originally known as Blue Ribbon Sports or BRS was founded by Philip Knight, a track athlete at the University of Oregon, and his coach Bill Bowerman in January 1964. Bowerman, who also attended the University of Oregon in his early days, and also achieved his career by winning two gold medals in the 1960’s Summer Olympics; he wanted to make his own pair of Nike shoes for him, but claimed they were Phil Knight’s, one of his athletes he was very proud of. By 1974, Nike Inc. was officially registered and became the new big thing with the millionaire dollar money slogan of “Just Do it”. Adidas is a multinational corporation based on European designs and manufacturers. It was founded in the year of 1948 by a man named Adolf Dassler, who fought in WW1. After arriving home, he received...
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...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 13 7.0 Conclusion 14 8.0 List...
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...Stock Chart for the last 3 months Performance Evaluation (Feb, 2012 -Jan, 2014) Performance Evaluation (Feb, 2012 -Jan, 2014) Key Statistics (Vs Major Competitor) Key Statistics (Vs Major Competitor) Introduction NIKE, Inc. is an American multinational company that is involved in the athletic industry. The company focuses on the branding, marketing, designing, and development of several athletic equipment, shoes, and apparel. It is one of the world’s largest supplier of athletic shoes and apparel with the Jordan Brand being its biggest name brand. The NIKE swoosh is valued at around $10.7 billion, and is one of the most valuable brand among sports business. Stock Performance Looking at the three measures of risk adjusted performances shows that Nike as a stock has been for the most part successful in its performance. The Jensen’s Alpha of a 1.18 shows that Nike has outperformed the market. On the other hand, the Sharpe Ratio of Nike as a 0.27 illustrates that as an individual stock it has also had a good performance since Nike would earn an annual risk premium of a 0.27 per 1 percent of portfolio total risk. The positive 0.27 ratio is representative of a good performance, but when compared to the S&P 500 Sharpe Ratio the Nike stock appears to have been underperforming against the market. Finally, the Treynor Ratio puts Nike outperforming the...
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...Ömer Dündar Kan Bilgi University ADIDAS vs NIKE The comparison of Adidas & Nike in terms of brand elements is below: 1. Memorability is the recognition and recall of the brand. Adidas: Because the name of the brand has come from the name of the founder “Adi Dassler” who is known as a strong, positive and high quality shoe maker; the brand is also recognized as strong, positive and high quality. The brand is also remembered with its 3 striped-logo. Nike: The brand was launched after the brand “Blue Ribbon Sports.” The meaning of “Nike” is “The Greek goddess of victory” which associated with sports by Nike. In addition, the brand is also recognized with its simple logo which promotes victory and winning. 2. Meaningfulness is awareness, descriptive and recognition of the brand. Adidas: As i mentioned before the brand is recalled as strong, positive and high quality. Besides, its logo is associated with challenges and goals. This is why its products are the tools for these challenges. Nike: In the sports; competition is one of the most important things between the athletes and the brands. That is why a sport company Nike has used meaningful objects as a brand name and brand symbol. The brand name means “the Greek goddess of victory” and the symbol is a wing which promotes victory and pace. 3. Likability is how much the customers find the brand aesthetically. Adidas: The brand’s logo is simple which is 3 stripes, and is using only...
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...ADIDAS AND NIKE Nike and Adidas are two the largest sportswear companies of nowadays. They are the giants in the sportswear industry, which always introduce innovative products, in order to become the ultimate market leaders. Nike is an American multinational corporation, which produces footwear, clothes, equipment and other active sport items (Feifer 2014). The company was founded in 1964 by Phil Knight and Bill Bowerman. Nike uses specific method of advertising, which differentiates it from other sports companies; it creates motivational short videos, which promote sport and inspire people to stay fit. Hence, making an accent on sport, but not sportswear, Nike attracts customers in nonintrusive manner. In 2013, the total revenue of the company was $25.3 billion (Hall 2005). Adidas is a German sportswear company founded in 1924 by Adolf Dassler (Frenkel & Scott 2002). As well as Nike, Adidas focuses mainly on various types of sportswear, such as shoes, clothes, equipment and so on. The feature of Adidas manufacture is providing specific equipment for different kinds of sports, like tennis, baseball, basketball, skateboarding and cricket. The company’s total revenue was €14.49 billion in 2013 (Greeley 2014). Nike and Adidas offer similar services to clients; nevertheless, none of them have received the irrevocable advantage yet. Hence, each company has its own large audience of clients, which find something they like in a chosen sportswear provider. The analysis of...
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...Patrick Hartrich ICM 409: Methods of Integrated Marketing Communications Due: 2/2/15 SWOT Analysis for Nike stores Strengths 1) Wide selection of products: each category has a variety of choices to choose from 2) Targets a number of age groups and genders, along with your fitness enthusiast and “average joe” 3) Perception of stylish workout attire, compared that of Under Armour and Adidas 4) Have store locations/headquarters all around the world 5) Many sports icons are associated with Nike and not their competitors Weaknesses 1) Nike has a diverse range of products, but their main income is dependent on the footwear market 2) Pricing vs that of Under Armour and Adidas 3) A majority of their income/revenue is generated from selling at retail stores instead of Nike stores 4) Very high advertising/endorsement costs; many large sports stars help create the brand they’ve become 5) Bad press for working conditions overseas; something Under Armour and Adidas hasn’t had Opportunities 1) Being a “fashionable” brand, there are many opportunities that Nike is exposed to 2) Nike has grabbed a majority of the younger age, we can reach out and get the elder folks too 3) Nike could build more globally than it already has; many more disposable income markets to hit other than the USA 4) Expansion into sport sunglasses and jewelry lines 5) Nike FuelBand can team up with phone apps so customers can keep track of their calories burned/points earned Threats 1) Sensitivity...
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...BRAND IDENTITY PRISM Brasnd Identity Prism KAPFERER brand identity diagram as a six-sided prism Constructed Source/Sender Constructed Receiver * Physique according to him is the basis of the brand. * E.G. the physique of Philips is “technology and reliability” while for the brand Tata it is “trust” * Personality is same as Aaker, it answers the question “what happens to this brand when it becomes a person?” * Relationship is the handshake between consumer and the organisation. * Eg. the relationship with “safola” is safety. * Reflection is the consumer’s perception for what the brands stands for. * E.g. coke’s image more attract youth. * Self-image is what the consumer think of himself. * E.g. benz Car owner think that since he has bought the car he is treating himself to one of the best car in the world. * Culture symbolizes the organization, its country-of-origin and the values it stands for. * E.g. traditional brands like balsara, dabur and zandu. * Relationship is the handshake between consumer and the organisation. * E.g. the relationship with “safola” is safety. * Reflection is the consumer’s perception for what the brands stands for. * E.g. coke’s image more attract...
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...A Comparative Analysis of Nike and Adidas Commercials * A Multimodal Approach to Building Brand Strategies Mads Nørgaard Hansen Dennis Gade Pedersen BA Marketing and Management Communication Supervisor: Carmen Daniela Maier Department of Language and Business Communication Aarhus School of Business Aarhus University 2010 A Comparative Analysis of Nike and Adidas Commercials * A Multimodal Approach to Building Brand Strategies Mads Nørgaard Hansen and Dennis Gade Pedersen Abstract Heavy competition in the sports industry has caused organisations like Nike and Adidas to focus on more than just selling sportswear- and equipment. Organisations need to differentiate themselves and focus on both product attributes and brand values when creating brand strategies. Therefore, we have found it interesting to see how Nike and Adidas communicate their branding strategy differently and have set up the following hypothesis and questions: In Nike and Adidas commercials the organisations make use of complex multimodal choices in order to communicate their branding strategies. 1. Which multimodal choices do Nike and Adidas employ in order to communicate their branding strategies? 2. Which personality traits are similar and different in Nike and Adidas product and value commercials? Due to the complexity of our hypothesis, we will employ three frameworks: social semiotics, film theory, and branding. These frameworks will help us to analyse and...
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...environment impacts the Nike corporation in a variety of ways. During the 2008 recession many companies laid off employees, stopped hiring, and even shut down businesses entirely. Nike was a company that handled the recession relatively well because they offered a product people like and could trust. Though Nike products can be relatively expensive, they offer quality products, which is a reason why they are the most profitable company in terms of sports clothing and attire. The competitive environment Nike is in is an intense environment featuring Adidas, Under Armour, Reebok, and others. The key to succeeding in the competitive environment is customer satisfaction. Nike is great at getting customers to keep returning. Getting current customers to return is much less expensive than trying to convince “potential customers to try your product for the first time” (Kelly and Williams 9). For example, if someone’s Nike shoes rip or tear, they are allowed to call Nike and explain what happened. Nike then gives them a voucher to get anything off of their website as long as it does not exceed the price of the original shoes. The technological environment is very useful in Nike’s success. Nike has its own very appealing website. It also feeds its products to other companies such as Foot Locker, Finish Line, and Champs. These companies also have their own websites. Nike advertises through the internet as well as television commercials. Online sales are a huge component of Nike because many returning...
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...Business Environmental Audit Critically assess the strategic Direction of the Nike brand William Hanrahan (060953199) ACE1004 Introduction to Management Contents 1.0 Executive Summary 2.0 Introduction 3.0 Nike 3.1 History 3.2 The Market 3.3 Industry Analysis 3.4 Trouble Ahead for Nike? 3.5 Nike Advertising 3.6 Brands of Choice 3.7 Nikes other Brands 3.8 Targeting New Markets 3.9 Financial Performance 4.0 External Market Drivers 4.1 Political Drivers 4.2 Economic Drivers 4.3 Socio-Cultural Drivers 4.4 Technological Drivers 4.5 Environmental Drivers 4.6 Legal Drivers 4.7 Charity Work 5.0 Competitive Environment 5.1 Porter’s Five Forces 5.2 Competitor Analysis 5.3 Nike vs. Fake Goods 5.4 Stakeholders 5.5 Stakeholder Mapping 6.0 The Brand 6.1 Competitive Advantage 6.2 The Swoosh 6.3 Routes to Competitive Advantage 6.4 Ansoff Matrix 7.0 Conclusions 7.1 Swot Analysis 8.0 Recommendations 8.1 Reflection 9.0 Portfolio of Information Sources 9.1 Primary Sources 9.2 Secondary Sources 1.0 Executive Summary Nike was founded in 1972 by Philip Knight and Bill Bowerman. Bowerman is well known in America as the University of Oregon coach. He brought jogging to America, built an unrivalled track and field program at that university, and taught his athletes to seek the competitive advantage everywhere - in their bodies, their gear and their passion. The Marketing men at Nike would like us believe that the brand is more than a product, it is an experience that we are buying into. Wherever...
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...Behavior/Positioning …Page 14 Advertising Objectives: Purchasing Behavior/Positioning Page 15 Advertising (Creative) Strategy: Product concept…….. Page 16 Advertising (Creative) Target Audience (Who the advertising will address) …Page 17 Advertising (Creative) Strategy Media Objectives/Media Plan…Page 18 Advertising (Creative) Strategy Communication Effectiveness/Advertising Message (Art elements, Production elements) …Page 19 Advertising (Creative) Strategy Testing & Evaluation Advertising Research …Page 20 Works Cited Testing & Evaluation Advertising Research ….Page 21 Reference…. Page 22 Executive Summary Nike has been one of the most successful retailers of their time; therefore we would like to capitalize on their success for a new concept about a product launch. The overall concept is to launch a revamped Nike Shox gym shoe that will be the “Marathon runners winner Shoe: Nike Shox.” This shoe will be launched in the metropolitan area of Chicago for a Bank of America sponsored Chicago Marathon. The reasoning behind this is due to the fact that it is a highly populated area with a...
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...Adidas Myrna Biacan October 25, 2013 Adidas In the world of athletics exists a wide span of products; products that are the athletes’ sole support in their sport. Numerous companies worldwide strive to be competitive, innovative, and socially responsible. They are the leaders of the best athletic performance products that are needed. One of these striving leaders is Adidas. Adidas deems to be the leading brand in sports equipment and continues to be successful in delivering the best footwear, clothing, and accessories for all sports, gender, and age. Their passion and mission to provide the best brands for sports and the sporting lifestyle and what sets them apart from the competition is what makes the company successful to this day. In the sporting industry, how do they continue to be the global leaders, as a global organization how do they embrace the responsibility to our environment, and what is their strategy is to support their efforts and continuously satisfy their international consumers. In general, I will give you an idea of how Adidas remains to be an efficacious, sustainable, publicly traded, international company. In a small town in Germany, Adolf Dassler began his mission to provide athletes with the best equipment in 1924. He formed the company name from a combination of his first and last names: 'Adi' is short for 'Adolf,' and 'Das' came from 'Dassler.' Originally, Adolf and his brother Rudolf ran the 'Gebrueder Dassler Schuhfabrik,' which means the 'Dassler...
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...from which I used data, ideas or words, either quoted directly or paraphrased. I also certify that this paper was prepared by me specifically for this course. Student's Signature: Brizaida Ribalta, Jessica Halsey and Shereen Hijazi ***************************************************************** Instructor's Grade on Assignment: Instructor's Comments: Table of Contents Executive Summary 4 Company Description 6 The Origin of Nike, Inc. 6 Today’s Nike 7 Mission and Goals 8 Core competencies 10 Situation Analysis 11 Macro-Level External Environmental Factors 11 Competitive Environmental factors 12 SWOT Analysis 15 Competitors 16 Reebok 16 Adidas 17 Puma 17 Target Market 19 Segmentation 19 Target Marketing 19 Marketing Mix 20 Product Strategy 20 Distribution Strategy 21 Promotion Strategy 21 Pricing Strategy 24 Customer Relationship Management 24 Budget and Monitoring 26 Summary and Conclusions 28 List of References 30 EXECUTIVE SUMMARY Nike is a leader in sportswear providing high quality innovative products. Our mission is to continue pushing boundaries with innovation thinking and product development. We create products for...
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...Nike: A Look Inside | June 22 2010 | By Bobby Bedsole, Matt Currie, & Brady Stoker | [Type the document subtitle] | Table of Contents Executive Summery External Analysis 1) Industry/Competition- Five Forces Current Rivalry opportunities/ Threats Potential Entrant Opportunities/ Threats Bargaining Power of Buyer Opportunities/ Threats Bargaining Power of Supplier Opportunities/ threats Substitute Products Opportunities/ Threats 2) General External Environment General Economic Opportunities/ Threats Demographic Opportunities/ Threats Sociocultural Opportunities/ Threats Political-Legal Opportunities/ Threats Technological Opportunities/ Threats Internal Analysis 1) Capabilities Assessment 2) Assessing the Primary Activities in the Value Chain a) Inbound and outbound Logistics b) Marketing c) Production Support Activities in the Value Chain a) Technological Development b) Human Relations Management c) Firm Infrastructure 3) Internal Audit of Functional Areas a) Management b) Information Systems c) Research and Development Financial Analysis- Conclusion Executive Summary Nikes Mission Statement: Our goal is to carry on his legacy of innovative thinking, whether to develop products that help athletes of every level of ability reach their potential, or to create business opportunities that set Nike apart from the competition and provide value for our shareholders...
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...Nike, Inc: Cost of Capital CASE SUMMARY In this case, Kimi Ford, a portfolio manager at NorthPoint Group, a mutual fund company, manages the NorthPoint Large-Cap Fund. This fund invests mostly in Fortune 500 companies with an emphasis on value investing. Some of the top holdings of the NorthPoint Large-Cap Fund include; ExxonMobil, McDonalds and GM, these stocks are generally old-economy stocks. Over 2000 and the first half of 2001, the NorthPoint Large-Cap Fund performed very well, earning a 20.7% return in 2000; over the same time, the S7P 500 fell 10.1%. The current time is July 2001 and just a year prior, there was an analyst meeting at Nike to review fiscal year 2001 performance. During this meeting, Nike revealed a plan for revitalizing the company. The company was in need of a kick start as sales were stuck at $9 billion and there was a drop in net income from $800 million to $580 million. To re-energize sales, Nike was going to produce more mid-priced athletic shoes, an area where Nike was weak in previous years. Nike also announced that it was going to push its apparel line which has been growing extremely well. With this new information, Kimi Ford is now considering purchasing Nike shares for the NorthPoint Large-Cap Fund. She reviewed numerous analysts’ reports but felt that there was no clear guidance on whether or not to buy the stock. To make a better decision, she decided to perform her own analysis. In this case, we will provide Kimi Ford with a...
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