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Nike case study global
Nike Sustainability Strategy
Nike case study global
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1.0 Introduction
In early 1990, Nike Inc. – an American multinational sports equipment manufacturer, began considering different methods to minimize its environmental impact, reduce the amount of shoes discarded in landfills and create an overall closed loop system of sustainability. Through this objective, they created the Nike Reuse-A-Shoe Campaign under their Nike Better World division (Gabriel, 2012).
The program involved the collection of old, non-metal-containing, damaged athletic shoes of any brand for recycling. At their recycling plants, the old shoes are transformed into Nike Grind which is a material used to create high quality sports and playground surfaces as well as various Nike apparel, footwear and equipment products (Ogpl.gov.in, 2013).
Nike Reuse-A-Shoe and Nike Grind are both a part of Nike Better World which is a company philosophy focused on creating the best products while using the most sustainable techniques wherever possible (Nikegrind.com, 2014).
Since its inception, the program has collected over 28 million pairs of sport shoes and created 36,000 tons of scrap material which was turned into Nike Grind for use in over 450,000 locations worldwide (Nike.com, 2013). Majority of the collections came from the U.S. as Nike’s main processing plant is located in Memphis, Tennessee. They have only one other Nike Grind processing plant which is located in Meerhout, Belgium (Gabriel, 2012).
The American facility uses a "slice and grind" method, which involves cutting each shoe into three parts that are then ground and filtered to become the different types of surfacing material. The Belgian facility grinds the entire shoe, and then passes the resulting material through a series of filters to derive the same three ...
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...tting to say that this campaign did in fact reach its goals and objective that were set out. According to Nike official website, Nike has collected 28 million pair of shoes since the year 1990 and surface that were made with Nike Grind cover about 632,000,000 square feet – nearly enough to cover Manhattan. In 2011, Converse Sneaker decided to partner with Nike Reuse a Shoes program and has seen large-scale success in turning worn out shoes into sports surfaces and playgrounds (Bratcher, 2004). From this point, Nike Reuse a Shoe program has reached its goal which was to set a trend for recycling in footwear industry and increase their sustainability. However, the campaign is still on going and in the upcoming years, as they develop their campaign strategy and possibly expand worldwide, they can make a much greater effect that will create a positive global impact.
"Nike." Columbia Electronic Encyclopedia, 6th Edition 1. Academic Search Premier, EBSCOhost (accessed November 6, 2009).
The purpose of a campaign is to deliver a prospective consumer to the point of sale. Nike uses what is classified as a product oriented advertising campaign. Nike’s entire campaign is centered on convincing the consumer to purchase their product. The goal of most product campaigns is to educate and prepare the consumer to exhibit purchasing behavior, so that their company may become the leader in its market. Since Nike is already the leading athletic apparel company, their goal is probably to stay on top. Some of the major strategies used to achieve this goal are the use of television, magazine, and Internet advertisements.
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.
One thing I like about Nike is how accessible it is. You can find Nike products just about anywhere such as Nike outlets, Dicks Sporting Goods, Khols, Macy and other big department stores, as well as online. Some companies don’t make it as easy to find and buy their products which can be a struggle. I hate when I’m in need of a certain product but companies limit their access, and I can’t get what I need when I need it. Nike makes it easy to find and buy their products at any
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
In addition, Nike is a worldwide known company and it is among the top empires just as Adidas and Puma. It has more than 900 factories which are located in an estimated 50 countries, they also have more than 660 000 workers which most of them are women. However, although they have a lot of factories around the world, their main manufacture factories are located in China, Indonesia, and Vietnam which are basically countries with the most minimum salaries rate given to the workers. Nike chooses these locations for their production of their merchandise because of the cheap ...
Materialistic things consume today’s society, whether it is cars, clothing, or jewelry, in a sense we rely on these objects for our happiness. Companies such as Nike, Gap, and Toms, have all had major success do to their loyal customers, who seek the name brand logo of their company. These companies have continued to grow tremendously, making billions of dollars; the companies strive to find ways to outsourcing its manufacturing, in hopes of making more and more profit. Profit is not the only thing that rises, many questions and investigations have occurred, exposing the poor ethical choices these businesses have made. Nike, one of the most well- known and profitable companies have experienced this heavy scrutiny first hand. Throughout this essay the reader will gain a better understanding of Nike’s poor ethical business decisions and what actions they took in order to repair their image.
Nike Incorporated is the number one leading sportswear and equipment provider in the world. They manufacture anything from casual clothes to sports equipment, shoes to socks, and basketballs to golf balls. As a result of its massive success, Nike employs nearly 30,000 people worldwide while manufacturing in 700 shops around the globe and has 45 offices outside the United States. Its extensive reach into the global market has Nike producing more exclusive products than any other manufacturer in the world. Nike’s headquarters is located in the metropolitan area of Portland, Oregon.
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.
Manufacturing in foreign countries typically means cheaper production costs resulting in higher profit margins. Nike operates manufacturing plants worldwide, with most of their clothes and shoe...
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.
Nike’s source is America. It is a multinational company which is engaged for design, development and manufacturing of footwear, equipment, apparel, accessories and services. Nike is also famous for the worldwide marketing and selling of the same products.
international markets. The company wants to generate more than half of its revenue from overseas. In my opinion, Nike’s strategies and tactics are to seek on the opportunity to do the marketing on its radical, rebellious and anti-establishment images to the international markets and to benefit from its use of overseas factories to outsource manufacturing processes. For example,