Executive Summary: Under Armour Versus Nike

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Under Armour is a company that is similar to Nike, however the company is much smaller in size. For Example, in 2015, Under Armour computed annual revenues of $3.9 million compared to Nike’s $30. 6 billion. Nonetheless, Under Armour had a growth rate of 28.5% from the previous year in comparison to Nike’s 14%. The rapid sales growth was driven by footwear which increased by 57.3% and license agreements which escalated by 25%. According to Davis (2015), the recent success of the Golden State Warriors All-Star point guard Stephen Curry, has strengthened sales for Under Armour’s basketball shoes and extended the basketball shoe product line. Also in 2015, both companies had an increase in gross profits yet, Nike’s profitability totaled $15. 2

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