Sherzod ArtikovBrian Ross

Clara FischerDaniel Boudreau

Introduction Sherzod

History SWOT Analysis

Brian Global Expansion Domestic & International Operations

Clara Competitors Industry

Daniel Recommendations

History

1948- Dassler Brothers Shoe Factory split up forming Adidas & Puma

April 18, 1949- officially registered as Adidas AG

2006- acquired British rival, Reebok, for $3.8 billion

SWOT Analysis

Strengths First movers in e-

commerce Brand recognition

& reputation Strong foothold in

different industries through mergers with other companies.

Weaknesses E-commerce is

limited to USA & United Kingdom

Online customer service

SWOT Analysis

Opportunities Increasing demand

for online products Expand e-

commerce to global markets

Collaborate with other online retailers to offer Adidas products

Threats Strong competition Global economic

downturn Increase in the

price of providing e-commerce

Price increase in raw materials

Global Expansion Headquarters: Herzogenaurach, Germany January 31, 2006: acquisition of Reebok-

owning two of the three top brands behind Nike

Made a strong & powerful identity throughout the world for athletes & teams

Types of corporate units: baseball, basketball, soccer, golf, & many others

Global Expansion

Opened its first U.S. based store in 2002 in N.Y.C.

One of the largest sportswear manufactures in Europe

Number two behind Nike worldwide Sponsors many teams such as the

New England Rugby team

Domestic & International Operations

Be on the back of TaylorMade-Adidas golf which has a tremendous uprise: 48% from 2008

World’s largest Adidas wholesale store in Beijing, China

Advertising worldwide increases profit & broadens opportunities

Expanding more will solidify a better relationship with countries

Competitors

Nike

Puma

New Balance

Nike Largest supplier of sports footwear &

apparel, with Adidas following as the 2nd largest

Publicly traded company that competes internationally

Headquarters: Beaverton, Oregon Slogan: “Just Do It” Founded: 1972 Went public in December 1980

Nike

Owns four key subsidiaries: Cole Haan, Hurley International, Converse Inc. & Umbro

Reported a decline in sales for the quarter ending February 28, 2009

Future orders for shoes and apparel have declined 10%

Puma

Emerged from the ownership split between two brothers

Headquarters: Herzogenaurach, Germany

Distributes products in more than 80 countries

Current CEO: Jochen Zeitz since 1993

Puma During the final 3 months of 2006,

profits had fallen by 26% Due to increased expansion costs Sales actually rose more than a third

Receives most of its recognition through sponsoring athletics

In the 2008 Beijing Olympics, Puma sponsored a three time gold medalist in track

New Balance Founded: 1906 Headquarters: Boston, Massachusetts Privately held company, also sells

internationally Offer their shoes in a wide variety of

sizes & widths Brands owned by New Balance:

Dunham, PF Flyers, Aravon, Warrior, & Brine.

New Balance Manufacturers its shoes in the United

Kingdom-produce over 28,000 pairs of shoes per week

Also manufacture in the U.S. Marketing strategy: not giving shoes

a name, rather a number Most affordable Does not want celebrity endorsers,

rather everyday people

Market Share for Athletic Footwear Companies

Nike46%

Adidas8%

Reebok15%

New Balance10%

Puma9%

Others12%

Industry 100 manufacturers, 1,500 wholesalers &

30,000 retail outlets Combined annual retail revenue= $25

billion Demand driven by fashion &

demographics Athletic shoes account for 30% of sales in

the retail market Average person in the U.S. purchases

more than four pairs of shoes each year, labeling the U.S. as the world’s largest importer of footwear

Short-term Recommendations

Go Green- Produce more eco-friendly products

Create more sponsorships with professional athletes

Better advertisements in the USA

Long-term Recommendations

Keep building brand equity (buying out companies)

Work together with technology (Reebok is currently making the best hockey equipment)

Sponsor a premier soccer team for the World Cup in 2010

Conclusion Adidas was introduced in 1948 Number 2 sports apparel supplier world

wide next to Nike Revenues of Adidas are approximately 25

billion dollars a year CEO Herbert Hainer has made promises to

take Adidas into the next generation and become the number one sports apparel brand in the world