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Nike business analysis
Nike business analysis
Introduction of nike
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Nike is a multinational company that is occupied in the design, development, and manufacturing of worldwide and sales of footwear, apparel, accessories and service. Nike was originally founded as Blue Ribbon Sports in May 30, 1971 The name was converted over to Nike by Bill Bowerman and Phil Knight. This is a brand that has been around for a very long time. As the years progress, Nike has expanded their business in other countries. Nike has 858 retail store locations worldwide. With most of those locations being in other countries, Nike had to develop a way to advertise to different countries in other languages. If they never took the time to analyze how to reach the different audience, they would have missed out on new consumers and profit. …show more content…
Nike has given the consumer, the Nike app, Nike digital launch, Nike fuel band, Nike Sport watches, and that is not to mention the actual shoes and apparel that Nike sells. Due to the fact they have so many branches they have to have a strong strategy to sell their products. Nike advertises in the U.S. is by print publications, television, and a large range of social media. Their website is not the only medium that utilized to sell their products. An interesting fact: there is not a mass of television advertisements of Nike commercial shown outside of respected sports one might see on television, such as football, basketball, soccer, and baseball. Nike’s spending of advertisement on television and print in the U.S. has dropped about forty percent in the past three years. Nike feels that they can do without the mega advertisement for television. Nike is connecting with their customers with other strategies. The strategies being utilized domestically to make sure their products continue to be productive and flowing in other …show more content…
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
Nike's marketing strategy is in many ways the reason for the company success. Nike is now positioned as a premium-brand. Nike advertising is one of the most effective emotional branding examples in the advertising marketing in today’s world. Their customer loyalty is off the charts. All credit goes to the Nike brand strategy and masterful application of the emotional branding. That's exactly the kind of shrewd marketing attitude that drove Nike's past success. After perfecting in the art of big branding, Nike has now moved into a world in which its consumers want to be told less and just do more. Which is in a way, is such a big change after all.
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.
Know Nike is doing well in the United States. The minute the market accepted their products they started looking for alternative to minimize their cost and to increase their profit. A lot of reason caused that to happen, one of them the labor cost over here in the U.S, is higher than it is in the other countries like (China, Indonesia, Vietnam…etc).
But what makes people buy the name brand Nike? They have great advertisement. I love to watch Nike commercials; they appeal to me as an athlete. The commercials show the inner fight in people, breaking records, becoming a stronger person, being the best you, and being the best athlete; you can be overcoming anything. I find their advertisement to be very inspiring and motivational. The Nike slogan ‘Just Do It’ plastered on so many products inspire others to get out and ‘Just Do It,' no hesitation. Nike tries to appeal to you to buy their products by placing their apparel on professional athletic. Everyone knows Lebron James he has many young athletes that look up to him and want to be just like him. What do they see Lebron James wearing? Nike apparel, for the kids that want to be just like him, they want what he has. So they want the Nike look. For me personally, I see Nike products and logos at just about all sporting events, which is a great strategy for the business.
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 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.
Nike is a multinational corporation with a brand that is recognizable worldwide. For the following paper I will conduct be conducting a social media audit, and evaluating the social media strategies currently being used by Nike. Nike is American multinational corporation that is engaged in the design, development and worldwide marketing and selling of footwear, apparel, equipment, accessories and services. It is one of the world's largest suppliers of athletic shoes and apparel and a major manufacturer of sports equipment. As of 2012, it employed more than 44,000 people worldwide. The brand alone is valued at $10.7 billion, making it the most valuable brand among sports businesses. The company was founded on January 25, 1964 as Blue Ribbon Sports by Bill Bowerman and Phil Knight, and officially became Nike, Inc. on May 30, 1978. (Wikipedia, 2013)
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
Nike’s Asian operations had previously continued to soar generating US$300 million in 1994 in revenues to a whopping US$1.2 billion in 1997. However based on the Asian economic crisis, this had adversely affected revenues, while regional layoffs were inevitable. Nike also performed well in the European market generating about US$2 billion in sales and a good growth momentum was expected, however, some parts of Europe were only slowly recovering from an economic downturn. In the Americas (Canada and the U.S.A.), Nike experienced a growth rate for several quarters. The U.S. alone generated approximately US$5 billion in sales. The Latin American market at this point was exposed to economic volatility; however Nike still saw them as a market with “great potential for the future”.
Nike is a multinational corporation that makes footwear, apparel, equipment and many other thing. They are well known across the world, so they have credibility as a speaker. It is one of the world’s largest suppliers of athletic footwear. Nike prides themselves on being a worldwide producer of athletic footwear, apparel, and equipment. The ad is sophisticated and get...
...fected by print advertising even if they don’t realize it. Nike uses all different forms of advertising to appeal to all audiences.
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.
In the case of Nike footwear they have segmented into the following groups: Running shoes, Soccer, Basketball, Football, Hockey, Golf, Tennis, Skateboarding, men’s training and women’s training. Nike footwear has a lot of target markets but their main target market is athletes and fitness professionals. The second target market are people who train, work out and play sports as hobbies or who are semi-professional. Nike also targets the fashionable people. Nike footwear is has further segmented their market according to the people that endorse the products. For example: Jordan, Kobe, Lebron and Durant to name a few. The footwear segment has also been segmented on the bases of brands like Jordan and Converse. (Nike website). According to Svezia Nike will continue to use “premium channels of distribution to family and value channels, it will continue to segment and take market share wherever it presents itself.” (Canadian
This is the best way by which Nike has used to convey its significance, because the target audience appreciates and relates to their idols. Nike uses inspirational stories that are related to sports and fitness to build its communication. They use pictures or verbally transmitted to deliver their story. Nike main aim is to broadcast as excitement and affection. For this sometimes Nike provides advertisements that are related to emotion that will reach the target audience. Nike use to print advertisement which performs the individualism of women, which helps them to convey