Introduction As the retail industry is confronted with extraordinary challenges (Deloitte LLP, 2011), firms are facing increased competition. Porters leading authority on competitive strategy is largely accountable for the increased importance to a firm’s strategy. The retail industry is becoming highly saturated as the world is becoming smaller; this point alone makes strategy a vital component to a firms success. Strategic management is critical to the development and expansion of all organizations. Sports Direct must align its mission and vision with its operations to keep itself accustomed with its surroundings (Joseph & Eshun, 2009). The firm must consider potential strategic issues surrounding the importance of sustaining their competitive position without compromising on cost or value, whilst maintaining superior operating efficiencies. This report will focus primarily on the internal and external macroeconomic analysis coined with a critical analysis of Sports Directs business and corporate level strategy before recommendations are made. This will highlight how the organisation can sustain their competitive position in todays increasingly globalised, hypercometitive market (Hanssen-Bauer & Snow , 1996). 2.0 Sports Direct Overview Founded in 1982, Sports Direct is the UK’s leading sport retailer by revenue and operating profit, overtaking JJB sports in 2006. Operating out of 500 stores and employing in excess of 11,000 individuals, Sports Direct now have an estimated worth of £4.3 billion and provide its consumers with an unrivalled range of sportswear and equipment at an unbeatable value from a wide variety of third-party and Group-owned brands. 3.0 Sports Directs strategy Competitive strategy is about being diff... ... middle of paper ... ...rior staff training is also recommended to ensure that the workforce is equipped with the specialist knowledge about the products they sell and provide a superior customer service. Conclusion Sports Directs current strategy has proven successful during the 2008 global financial crises. Its discount culture has provided them with the ability to develop a low-cost competitive advantage. Through effective decision-making and superior efficiencies, they have emerged as the UK’s leading sports retailer, at the expense of former rival JJB. However, as the economy begins to recover, in order to sustain their competitive position Sports Direct must evolve to cater to an emerging consumer trend. The implementation of the above recommendations in conjunction with a reformed strategy will enable the firm to continue to capitalise on the sportswear market.
In this scenario, the marketing activities of Prince Sports, Inc. will be examined. Prince Sports manufactures a large line of tennis, racquetball, squash, badminton and table tennis products. The company also manufactures clothing, bags and other accessories that would be useful to individuals in those particular sports. The company makes use of multiple different marketing strategies based on the type of equipment, level of expertise of the player and the type of media outlets that are available.
"SBRnet | Sport Business Research Network." SBRnet | Sport Business Research Network. N.p., n.d. Web. 3 Dec. 2013. .
It is found that there was not a common approach utilized in managing company’s lineup of sporting goods prior to restructuring started in 2005. Although Adidas has diversified in the sporting industry, the company still failed to realize resources fit within the business segments. Furthermore, there are integration problems between Adidas athletic footwear business unit with Salomon’s business units. As the business segments are too diverse, different raw materials and labors as well as processes are required to develop products that did not allow company to capitalize on any value chain. In serving different needs throughout the diversification, the three business segments made with different product mix has faced problems to cross promote the merchandise. In addition, through the varied demands of each business segment, there are no economie...
Mihai, Alexandru. “The Strategic Sports Marketing Planning Process.” Manager. Manager Journal, 2013. Web. 6 December 2013.
Arthur, A., Thompson, Margaret, A., Peteraf, John, E. Gamble, A., J., Strickland III. (2014). Crafting & Executing Strategy: The Quest for Competitive Advantage 19e: Concepts & Cases. C6-C25.
Nike’s goal is to remain unique and different from others in terms of the items offered on the market. Arguably, Nike belongs to a monopolistically competitive market as there only a few organizations with the ability to regulate the amount charged for their product which means they cannot make their prices high as this is likely to make customers move on to other available choices (Nike, Inc., 2012). However, Nike can find a balance between the prices to charge for their products and remaining competitive with other companies in the industry. Nike has formed a distinction between the appearance and performance of their footwear and that of their competitors. Although products are differentiated from other companies, they still influence each other because they are items of the same
Desbordes, Michel. "Measuring Fair Play And Planning Long Term." International Journal Of Sports Marketing & Sponsorship 15.2 (2014): 77. SPORTDiscus with Full Text. Web. 17 Feb. 2014.
In the matter of minutes, one click on their app or their website, you can learn about the new running shoe or see the upcoming apparel for the new season. Or maybe you are flipping through a sports magazine and come across a Nike ad. Not to mention all the apps that Nike has, the commercials on television that reminds you to “JUST DO IT”. The strategies that have allowed Nike to be successful in the U.S. as well as their international branches. They have different strategies to cater to specific needs of consumer in the US and other countries as well. The is the reason Nike has remained to be successful in the U.S. and internationally. Their strategy has always been about: putting the consumer first; building a strategy based off what the consumer needs in that region; and having the ability to sell their products through websites, major sports facilities, and smaller sneaker
The class syllabus touched on how "International Management Group is considered the prototype sports marketing and management agency." After reading this book, understanding how Mark McCormack came to be the recipient of such praise was not hard grasp. The business lessons laid out in stories are practical, serving as excellent way to teach the reader and at the same time entertaining, keeping the pages turning. What They Don't Teach You at Harvard Business School touches on a broad spectrum of subjects creating diversity and leaving something for everyone.
The marketing goals are: Increase customer retention, Increase eCommerce Sales, Increase our Community Involvement. The first goal specifically works towards reaching 60% repeat sales through different promotional strategies like emotional marketing and sponsoring different professional athletes. Customer retention is extremely important to maintain Nike’s market leader position. Increasing eCommerce is a major focus for Nike. Last year we were able to increase our eCommerce sales by a profitable 51%. Our second goal is to continue this trend by increasing online sales by 50% every year for the next four years. It is our belief that doing so will solidify Nike as a leader in the online athletic market. Nike truly believes that sport can change
The flip side of any sponsorship deal is the knowledge that the sponsoring organisation's most valuable marketing asset, its brand, is exposed to the risks that are inherent in professional sport. The key issue is the strength of the link between shocks, crises and general bad behaviour of top-profile sports people, and the image and brand equity of sponsors. In short, when the mud flies, does it stick to the brands?
The food and staples retailing is an increasingly competitive industry. The market giants (competitors) are Coles (owned by Wesfarmers) which has 741 stores across Australia and plans to add 70 m...
Sport Obermeyer is a high-end fashion skiwear design and merchandising company headquartered in Aspen, Colorado. Over the years, Sports Obermeyer has developed into a dominant competitor. Sports Obermeyer's estimated sales in 1992 were $32.8 million. The company holds 45% share of children's skiwear and 11% of adult Skiwear market. Sport Obermeyer produces merchandise ranging from: parkas, vests, ski suits, shells, ski pants, turtlenecks, and accessories. These products are sold throughout U.S. department stores in urban areas and ski shops. With increasing demands and rising competition, Sport Obermeyer needs to have an edge on the market. Starting in 1985 with a joint venture in Hong Kong called Obersport, the company began to increase productivity to meet their new demands. Recently, a number of contractual ventures were added and a new complex in Lo Village Guangdong China have enhance production but increase the level of difficulty on the planning and production stages. The Sport Obermeyer case describes the forecasting, planning and production processes of a global skiwear supply channel. The case provides an in-depth description of the planning and production processes Sport Obermeyer and its supply channel partners undergo each year to develop and deliver Obermeyer's product line. The case will emphasis on the nature of the information that flows among the members of the supply chain and the timing of key decisions and events in order to have a successful inventory line.
Strategic management is the way of implementing different business strategies and plans to attain certain specific aims and objectives. It involves collection of decisions and different rules and policies that tend to define the results that are generated in the form of better business performance. For undertaking these activities, management should possess an in depth understanding and be able to assess the general and competitive external and internal business environment to take proper business decisions (Cornelis, 2010). McDonalds is an organization that offers a range of products and services in a very effective manner that makes it a market leader in providing fast food services all over the world. By enforcing suitable strategies, McDonalds can increase its level of sales and will also help in upgrading as well as sustaining the market by acquiring competitive advantage (Schoenberg, Collier and Bowman, 2013).
The commercialization of sports is illustrated by the amount of money that is involved in sport. Stakeholders in the sector are using lots of money to improve their performances with an objective of making profit. Sport has changed its form and dimension and longer only a source of entertainment, but a...