3. nike by jeevan - copy

7/30/2019 3. Nike by Jeevan - Copy

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Company Profile

American multinational manufacturing Co.

Core products include footwear & apparel

Unwavering commitment to advertising Key Marketing Initiative

Use of high profile athletic endorsements

Nikes brand portfolio

Nike, Cole Haan, Converse, Hurley, Nike Golfand Umbro.

75% of the growth is expected from the Nikebrand.


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History

Nike, originally known as Blue Ribbon Sports (BRS),

was founded by University of Oregon track athlete

Philip Knight and his coach Bill Bowerman in January1964

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

Throughout the 1980s, Nike expanded its product line

to encompass many sports and regions throughoutthe world


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Headquarters

Washington County, Oregon, United States


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Mission Statement

To bring inspiration and innovation to everyathlete in the world.

Vision StatementTo carry 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 Nikeapart from the competition and provide value for

our shareholders.


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Products

Nike Air Max

Nike 6.0

Nike NYX

Nike SB

Air Zoom Yorker

Air Jordan XX3

SPARQ Training

Program

Nike+


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5 force model Threat of new competition

Threat of substitute productsor services

Bargaining power ofcustomers

Bargaining power of suppliers

Intensity of competitive rivalry


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Threat of new entrants (low)Capital Intensive

Strong Brand Following

Economies of scale

High R & D Costs

Industry in consolidation phase


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Substitute products (low)Other types of shoes

Other sport apparel


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Supplier Power (low)Raw Materials are abundantly available

Cheap resources, commodity items


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Buyer Power (high) Everything depends on Customer Preferences

Price sensitivity issues

Brand following

Retail and vendor consolidations

Growing power of retail chains e.g.Walmart


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Internal Rivalry (high) Fierce Competition- Adidas, Reebok, New Balance

Mature Industry

Mostly Non-Price competition

Differentiation strategy

Industry in Consolidation phase


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Competitorso Adidas

o Reebok

o Puma

o New Balanceo ASICS

o Converse

o K-Swiss

o Sketchers

o Others

SWOT l i


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Brand image

Market leader in most of the world

Diverse product portfolio Strong advertising

Experienced Management team

Strengths

Under constant scanner of Human rights companies due to its history of unethical

labor practices Premium player in price sensitive sector

Weakness

Emerging markets

Can be a leader in developing environmentally sustainable business

Opportunity

Mature industry susceptible to recessions

Dependence on contracted suppliers compliance issues

Ever Changing customer preferences

Dependence on endorse athletes

Seasonal business

Threats

SWOT analysis


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AD Strategies

Endorsing Athletes

Sponsoring Sports events

City based advertisements

Banners & Billboards

Themes on bringing inspiration and innovation to

every athlete in world


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Athletic, Influential, Outgoing,

Aggressive, hi tech, futuristic, retro cool

American way of living

Associated with Athletes at top of their

sport

To bring inspiration and innovation toevery athlete in world

Branding message and strategy


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Technology &

InnovationStrategies

Nike fields some of the

best in class

technological practices

and has a few patents to

its credit. Nike

emphasizes on theseand has developed a

lot of new products with

use of high technology

and sophistication


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Manufacturing Strategies

Nike manufactures all of its footwear

from outside United States. Nike has

contract suppliers in China, Vietnam,Indonesia and Thailand

Nike also has manufacturing

agreements with independent factories

in Argentina, Brazil, India, and Mexicoto manufacture footwear for sale

primarily within these countries.

Primary reason for this is that it

is cheaper to manufacture in South

East Asia


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NIKEy Success Factors

Marketing Activities

Extensive Research & Development

Production and Manufacturing Facilities

Extensive Distribution Facilities Wide Range of Relative Products

Capable Workforce

Innovative Activities


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ConclusionWal-Mart must adopt a friendlier corporate attitude

It needs to relax anti-unionization policy

Improve public perception that Wal-Mart can destroy

communities

International expansion should be done with the

help of Local retailers


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Thank you!

3. nike by jeevan - copy

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