Under Armour Case Study

1299 Words3 Pages

In order to beat its competitors, Under Armour Company can engage in market sensitive fresh product invention. New products are more likely to draw curiosity amongst the populations especially if they commensurate well with the prevailing trends (Hill & Jones 2009, p. 308).

UA concentrated on the outside-in (market responsive) approach to carry out its strategies. It is reported that it sourced unique synthetic materials and employed on field product development. This enabled it to create the performance apparel segment in the athletic apparel market.

Under Amour Company ventured into a market segment that was overcrowded, it had thousands of companies that competed against each other. Out of the many companies involved in the trade, the two most formidable threats seemed to be orchestrated by Nike and Adidas. These are two giant sports apparel and footwear, which pride themselves as having been long term veterans in the industry. Nike in particular was christened as the ultimate shoe and athletic apparel company with revenues of $18.6 billion, net income of $1.9 billion and more than thirty two thousand employees globally in the year 2008. This makes it the largest athletic shoe and apparel seller in the world. This company has seen major expansions in outlets throughout the world over the years. Adidas on its part has managed to build a powerful brand through its technological innovations and aggressive marketing where they spend up to thirteen per cent of their revenue besides offering high quality services. These scenarios seem to present Under Armour with a massive competitive disadvantage.

Through an inside-out perspective, Under Armour has been able to concentrate on the growth mission. Its mission is about building ...

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...d it to establish a brand image characterized by authenticity and quality. Moreover, they came up with a more enduring concept of ‘comfortable, sweet-wicking gear’ which help the perception of the Americans on athletic clothing. UA also managed to convince former team mates like Eddie George to wear its shirts. This strategy worked well, for it enabled the shirts to gain further and wide exposures.

Works Cited

Carpenter, MA & Sanders, WG 2007, Strategic management: concepts: a dynamic perspective, Prentice Hall, New Jersy.

Furrer, O 2010, Corporate level strategy: theory and applications, Taylor & Francis, New York, NY.

Hill, C & Jones, G 2009, Strategic management theory: an integrated approach, Cengage Learning, New York, NY.

Wit, BD & Meyer, R 2010, Strategy: process, content, context : an international perspective, Cengage Learning EMEA, London.

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