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Group Members & Nike Case Study
1.
2. Group Members
Maimoona Azhar 2013-ag-4848
Hina Pervez 2013-ag-4830
Arooj Fatima 2013-ag-4842
Azka Riaz 2013-ag-4878
3.
4. Vision of Nike
BRING INSPIRATION AND INNOVATION TO EVERY ATHLETE IN
THE WORLD
“IF YOU HAVE A BODY, YOU ARE AN ATHLETE.”
_ Bill Bowerman
5. Mission of Nike
Mission of Nike is based on these words “Just Do It”
Nike’s mission is to carry on Bowerman’s legacy of innovative thinking,
develop products that help athletes of every level of ability reach their
full potential, and to create business opportunities that set Nike apart
from the competition and provide value for their shareholders
7. Nike Over View
Nike is the Ancient Greek goddess of
victory “It is one of the most
recognized symbols in the world –
The Swoosh. Simple. Fluid. Fast.”
The Slogan of Nike “Just Do it” was
introduced in 1988.
8. Nike Over View Cont.
Nike, Inc.is an American multinational corporation that is engaged in the design,
development, manufacturing and worldwide marketing and sales of footwear, apparel,
equipment, accessories and services.
The company has revenue in excess of US$30.601 billion in its fiscal year 2015 and has
total 62,600 employees.
The company is headquartered near Beaverton, Oregon, in the Portland metropolitan
area.
The company was founded on January 25, 1964, as Blue Ribbon Sports, by Bill
Bowerman and Phil Knight and opened its first store in Santa Monica, California, in
1966. Officially became Nike, Inc. on May 30, 1971.
Mark Parker is the Chief Executive Officer of Nike, Inc., he was named the third CEO of
the company in 2006.
In addition to manufacturing sportswear and equipment, the company operates retail
stores under the Niketown name.
9. Countries Nike Operate in
Nike operates in 120 countries.
Some of the known countries include
Indonesia, China, Taiwan, India,
Thailand, Vietnam, Pakistan, the
Philippines and Malaysia.
Almost all of NIKE brand apparel is
manufactured outside of the United
States by independent contract
manufacturers located in 34
countries.
Most of this apparel production
occurred in China, Thailand,
Indonesia, Malaysia, Vietnam,
Turkey, Sri Lanka, Cambodia,
Taiwan, El Salvador, Mexico, India
and Israel.
11. FOOTWEARS
(54% of total
reveneue)
FOOTWEARS
(54% of total
reveneue)
APPERALS
(27% of total
reveneue)
APPERALS
(27% of total
reveneue)
EQUIPMENTS
(19% of total
reveneue)
EQUIPMENTS
(19% of total
reveneue)
• Running
• Training
• Basketball
• Soccer
• Urban wear
• Shirts
• Bags
• Accessories
• Running Short
• Baseball Caps
• Socks
• Sports ball
• Eyewear
• Golf clubs
• Baseball bats
• Gloves
12. Nike Brands
Nike markets its products under its
own brand, as well as:
1. Nike Golf,
2. Nike Pro,
3. Nike+,
4. Air Jordan,
5. Nike Blazers,
6. Air Force 1,
7. Nike Dunk,
8. Air Max,
9. Foamposite,
10. Nike Skateboarding
The company wholly-owned
subsidiaries include:
1. Brand Jordan,
2. Hurley International
3. Converse.
Former Subsidiaries: (1995-2008)
1. Bauer Hockey( Nike Bauer )
2. Cole Haan
3. Umbro
13. 15 Best Nike Sneakers
Nike Lunar Epic Flyknit Nike SB Koston
Hyperfeel 3
NikeLab ACG Lupinek
FlyknitLow SFB
Skate Mental x Nike SB
Janoski “Pepperoni Pizza”
NikeLab Air Zoom LWP x
Kim Jones
atmos x Nike Air Max 1 Safari
NikeLab Air Rift Wrap NikeLab Air Force 1 Mid
“Vachetta Tan”
Nike Air Max LD-Zero HSupreme x NikeLabAir
Max 98
Nike Air Presto Ultra Flynit Nike Air More Uptempo Concepts x Nike Free
Trainer 1.0 “Thermal”
NikeLab Air Max 1 Royal
Kobe 11 “Black Mamba”
16. Strategy of Nike
Focus on Sustainable Innovation and emphasis on their research and
development
17. Marketing Strategy of Nike
The marketing strategy of Nike invests a lot in commercials and product promotion.
Nike focused on Consumers (sportspersons & Athletes) by means of agreements
between the Company and sports team, college athletic for product support and
sponsorship etc.
Another marketing strategy of Nike is the styling of product objective or purpose.
Company does this through associating sense of victory with the apparel.
Nike targets the users who are after the quality and utility of the items than the cost.
Every year, Nike reveals a new celebrity/athlete as an ambassador of the brand.
18. Top 10 Brand Embassadors of Nike
1. Michael Jordan
2. Kobe Bryant
3. LeBron James
4. Cristiano Ronaldo
5. Wayne Rooney
6. Rory McIlroy
7. Tiger Woods
8. Maria Sharapova
9. Rafael Nadal
10. Roger Federer
11. Allyson Felix
19. Nike Competitive Advantage
Nike work very hard in their marketing strategies and which one of the primary reasons
behind its success.
Nike is always offering the latest technologies in all their products in order for the
customers to have a much better experience of their products. E.g. Nike + iPod, Nike
Mag, Nike Hyperadapt 1.0 etc.
Manufacturing Skills:
1. Use of low cost contract manufacturers, (based outside USA, outsourcing to Asia).
2. Massive economic of scale.
3. Economic of scope ( more production & less cost ) and customization
22. Nike Air MAG
The Nike Air Mag, complete with
“Adaptive Fit,” to be released in
partnership with The Michael J. Fox
Foundation in effort to speed a cure
for Parkinson’s.
Nike Air Mag was released on October
4th
, 2016 in U.S and Canada.
24. Nike HyperAdapt 1.0
Have the same features of Nike Mag
to facilitate Athletes and Parkinson’s
patients.
But have New Design and colors.
Will be available in the U.S from
November 28.
26. STRENGHTS
A very professionally competitive company.
Very well branded among consumers.
Offers their products worldwide.
Have offices in forty-five different countries.
Employs over SIXTY TWO thousand people across the world.
Has a very strong marketing campaign that increases brand familiarity.
Chains of retail stores such as Niketown.
Has ventured into many different rebranding opportunities with successful results.
Providing lightweight shoes by incorporating lunarlite foam materials.
27. WEAKNESSES
Profits are largely dependent on the footwear products while other branded products
are not as strong.
History of violations of over time laws and minimum wage rates in Vietnam.
Accusations of poor conditions in the work place.
Accusations of exploiting workforces that will work for cheap in overseas countries.
Constant focal point for negative criticism by the anti-globalization groups.
28. OPPORTUNITIES
Innovative Products Creating sportswear items by incorporating the waste from regular
manufacturing.
Stepping into the line of economy boosting projects that will encourage recycling.
Product development that changes as the trends change.
Expansion into sport sunglasses and jewelry lines.
Expansion in the global markets to create larger brand recognition.
Reducing controversy surrounding their trade and production practices.
29. THREATS
Operating business internationally opens them to the possibilities of currency value
fluctuations that can lead to losses.
Competitors are becoming more aggressive and creating high quality products that are
taking from the profits of NIKE.
Sensitivity to price among consumers leads them to purchase the most cost effective
pair of sport shoes.
Maintaining the reputation of being eco-friendly. Managing the financial conditions in
the economy today.