Introduction The primary purpose of a mission statement is to describe reasons as to why an organization exists, or rather the purpose of the organization. It’s often designed to help leaders refocus on the plans of the business, as well set priorities, and thus guide strategic planning and implementation (Abraham, 2012). However for a mission statement to be effective, it has to satisfy certain criteria. This paper evaluates the mission statements of the Home Depot, Inc. and Nike, Inc. to establish if they meet the outlined criteria. Home Depot’s Mission Statement The Home Depot, Inc. is the largest home improvement specialty retailer in the world since it has over 2000 retail stores in the US and other countries. It was founded in 1978 …show more content…
by Bernie Marcus and Arthur Blank, and has been touted for its ability to transform the perspectives of consumers with regards to taking good care of their homes, particularly in a manner that improves them. This is reflected in the company’s mission statement. Additionally, the company offers a wide range of excellent consumer products and services, and hence it’s more focused on meeting the needs of the customer instead of the product. However, the mission doesn’t offer any clear information regarding its target customers since it uses the word “people,” and hence it doesn’t point on a particular group of consumers (Anitsal & Girard, 2012). Home Depot’s mission statement isn’t clear on the nature of consumer needs it intends to satisfy, considering the fact that it only claims to offer the broadest selection of products and services at the most competitive prices founded on the organization’s eight core values. Nonetheless, this statement defines how Home Depot will serve its customers, for instance, by delivering excellent products and services that are priced competitively in order to create shareholder value and build strong relationships. A mission statement is considered to be fit for the current market environment if addresses modern day stakeholder expectations (Abraham, 2012). Home Depot’s mission meets this criterion in the sense that the eight values present the company as customer oriented, socially conscious, as well as express the company’s concern when it comes to environmental conservation and the welfare of the community it serves. Some of Home Depot’s core competencies include the provision of good quality products and adaptability. It’s interesting to note that these core competencies are reflected in the company’s mission statement. The mission statement doesn’t state how the company motivates or inspires employee commitment, but it states that it cares about its people and respects entrepreneurial spirit. Based on the outline core values, it’s quite evident that Home Depot’s mission statement is realistic since they emphasize on things that are indispensable for organizational growth. While the company’s mission statement is clear and easily understood, it’s not specific, short, sharply focused, and memorable. Home Depot’s mission statement says how it wants to be remembered, for instance, as the provider of the “highest level of service, the broadest selection of products, and the most competitive price,” (Anitsal & Girard, 2012). Nike’s mission statement As one of the most successful multinational corporations, Nike, Inc.
is still one of the most successful manufacturers of athletic shoes and apparels. The company’s mission is “to bring inspiration and innovation to every athlete in the world,” (Kapferer, 2012). This statement has also been used as Nike’s vision statement since it was established by Bill Bowerman and Phil Knight in 1962 under the name Blue Ribbon Sports. According to this mission statement, it’s quite evident that Nike is focused on satisfying the needs of the customer rather than the product since it states that the company is more concerned with bringing inspiration and innovation to all athletes, who’re the company’s primary consumers. Consequently, the mission statement tells who Nike’s customers …show more content…
are. Nike’s mission statement doesn’t explicate the nature of the consumer needs it is trying to satisfy, but explains how it will serve its customers.
Although Nike is popular for a wide range of athlete apparels like shoes and sports equipment, these products are not described by the company’s mission statement, particularly when it comes to how they’ll satisfy the company’s target consumers. Nike aims to serve create products and services for its consumers founded on innovation in order to solve the problems faced by both the current and the next generation of athletes (Kapferer, 2012). The mission statement is fit the current market environment since there is an increasing demand for high quality sports apparels such as shoes. Essentially, by simply maintaining that it intends to bring inspiration and innovation to everyone with a body, Nike demonstrates its commitment to satisfy the demand of its market. Nike’s core competencies relate to its innovative product design and effective marketing strategies, and are reflected in its mission
statement. It goes without mentioning that the realistic nature of Nike’s mission evidences the company’s commitment to inspire employee commitment as well as motivate them. Unlike Home Depot’s mission statement, Nike’s mission statement is specific, short, sharply focused, and memorable since its clear and easily understood. The statement also suggests that Nike would like to be remembered for revolutionizing the world of sports through innovation of its products. Conclusively, the mission statements of both Home Depot and Nike are important for their success amidst the rapidly evolving market. Corporations can perform exceedingly well if they’ve clear mission statements (David, 2014).
Home Depot is the brainchild of Bernard Marcus and Arthur Blank and came about after both men lost their job in the home improvement industry in 1978 (Parnell, 2014). Home Depot has acquired several smaller home improvement stores in both the U.S. and abroad through the years which enabled it to position itself as the world’s largest home improvement chain (Parnell, 2014). Home Depot focuses on the do-it-yourself segment of the market and sells sells tools, construction products and services. Marketing is a strong point for the company. They are able to maintain a competitive advantage by keeping themselves available to their customers at all times. Home Depot has been using both online and offline marketing efforts. The internet has become a very useful tool for the company and part of the reason that they are leading the market in DIY stores. Home Depot currently provides DIY videos on YouTube and Vine that cover current topics that consumers are likely to be interested in. They also have social media pages on Facebook and Twitter, where they have a huge following. They provide online communities where actual employees answer consumer’s questions and provide assistance on
After researching Home Depots financials I would invest money in Home Depot by purchasing stock. In my research there was a lot of talk about how popular home improvement is and how many people prefer the do-it-yourself aspect. While I am sure Home Depots numbers have been better, before the recession, I do not for see Home Depot going under anytime soon. I think it is a stable company that will be in business for many years to come.
The Home Depot is recognized as being the leader in the home improvement retail industry by combining the economies of scale inherent in a warehouse format with a level of customer service unparalleled among warehouse-style retailers. ("Home Depot to", 1999)
Home Depot is currently the largest home improvement retailer in the world. Co-Founded by Bernie Marcus and Arthur blank in 1978 and later went public in 1981. (Exibit* - Stock Performance). Home Depot currently sells products in more than 2,200 stores in North America reaching out to customers both through brick and motor stores as well as its online stores.
|Business |The Home Depot, Inc. is the world's largest home improvement retailer. The company incorporated in 1978 in |
Since its creation, Nike has proven itself as a popular brand and it has created niches by selling products such as footwear, apparels and various types of sports equipment. This paper will attempt to trace the product development of Nike shoes from its origins in conception and design to the manufacturing and production process located in contract factories in developing countries to advertising and marketing of Nike as a cultural commodity and finally, the retailing of the footwear around the world.
Nike is a worldwide known business that many people around the globe are attracted to purchase. They make a variety of products ranging from shoes and clothes to sports gear, sports products, and many different accessories. Nike is designed for everyone ranging from infants to elderly. Because of their range of age for products, this makes them a huge competitor. Being able to appeal to all ages and styles of people.
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
Nike is one of the biggest footwear and apparel manufacturing companies in the word. The company came into existence in 1964 by Bill Boweman and Phil Knight and named it as the Blue Ribbon Sports. The company changed the name to Nike, which is Greek word meaning victory, in 1972 after producing a good brand of shoes that became popular among the athletes (NIKE, Inc., 2001). Since then, the company has been successful, dominating the world market of athletic shoes. The company’s products are sold in more than 170 countries across the world. The company also sponsors various sports events at national and international levels. The company slogan “just do it” is catchy and attract many people tom buying its products. This makes the company to grow continuously due to wide and stable customer base.
Many global companies like Nike, Inc. are seen as role models both in the market place as well as in society in large. That is why they are expected to act responsibly in their dealings with humanity and the natural world. Nike benefits from the global sourcing opportunities, therefore areas such as production and logistics have been outsourced to partner companies in low-wage countries like China, Vietnam, Indonesia and Thailand. As a result the company is limited nowadays to its core competencies of Design and Marketing.
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
From their marketing strategies to their selling philosophies, Nike has developed one of the most recognizable and demanded name and logo tandems ever created.
Nike Inc. was founded in 1962 by Bill Bowerman and Phil Knight as a partnership under the name, Blue Ribbon Sports. Our modest goal then was to distribute low-cost, high-quality Japanese athletic shoes to American consumers in an attempt to break Germany's domination of the domestic industry. In 2000 Nike Inc. not only manufactured and distributed athletic shoes at every marketable price point to a global market, but over 40% of our sales came from athletic apparel, sports equipment, and subsidiary ventures. Nike maintains traditional and non-traditional distribution channels in more than 100 countries targeting its primary market regions: United States, Europe, Asia Pacific, and the Americas (not including the United States).
Nike is the number one innovator in the world in athletic footwear, apparel, equipment, and accessories. This worldwide company operates in an extremely different organizational structure than other companies, such as Reebok and Adidas. Nike operates tremendous marketing strategies and develops inventive designs to inspire athletes around the world. This company is one of the largest suppliers in the world in athletic footwear and apparel, main producer of sports equipment, and making Nike the most valuable brand among sports companies. The task for Nike is to join diversity and inclusion to encourage ideas and innovation. Around the world, this company is a popular brand.
This project concentrates on the Nike Sports shoe; Nike is one of most significant shoe manufacturing company worldwide. Sportswear manufactured by Nike is known for quality and is most liked brand of athletes. (Daniel, 2011)