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 Golf and Umbro. 75% of the growth is expected from the Nike brand.

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 January 1964 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 throughout the world

Headquarters
Washington

County, Oregon, United States

Vision Statement
To 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 Nike apart from the competition and provide value for our shareholders.

Mission Statement
To bring inspiration and innovation to every athlete in the world.

Products

Nike Air Max Nike 6.0 Nike NYX Nike SB Air Zoom Yorker Air Jordan XX3 SPARQ Training Program Nike+

5 force model

Threat of new competition Threat of substitute products or services Bargaining power of customers Bargaining power of suppliers

Intensity of competitive rivalry

Threat of new entrants (low)

Capital

Intensive Strong Brand Following Economies of scale High R & D Costs Industry in consolidation phase

Substitute products (low)

Other

types of shoes Other sport apparel

Supplier Power (low)

Raw

Materials are abundantly available Cheap resources, commodity items

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

Internal Rivalry (high)

Fierce

Competition- Adidas, Reebok, New Balance Mature Industry Mostly Non-Price competition Differentiation strategy Industry in Consolidation phase

Competitors
o o o o o o o o o Adidas Reebok Puma New Balance ASICS Converse K-Swiss Sketchers Others

SWOT analysis
Strengths Brand image Market leader in most of the world Diverse product portfolio Strong advertising Experienced Management team Weakness Under constant scanner of Human rights companies due to its history of unethical labor practices Premium player in price sensitive sector Opportunity Emerging markets Can be a leader in developing environmentally sustainable business Threats Mature industry susceptible to recessions Dependence on contracted suppliers compliance issues Ever Changing customer preferences Dependence on endorse athletes Seasonal business

AD Strategies
Endorsing Athletes Sponsoring Sports events City based advertisements Banners & Billboards Themes on bringing inspiration and innovation to every athlete in world

Branding message and strategy

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 to every athlete in world

Technology & Innovation Strategies

Nike fields some of the best in class technological practices and has a few patents to its credit. Nike emphasizes on these and has developed a lot of new products with use of high technology and sophistication

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 Mexico to manufacture footwear for sale primarily within these countries. Primary reason for this is that it is cheaper to manufacture in South East Asia

NIKEy Success Factors

Marketing Activities Extensive Research & Development Production and Manufacturing Facilities Extensive Distribution Facilities Wide Range of Relative Products Capable Workforce Innovative Activities

Conclusion
Wal-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

Thank you!