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Problems that organizations face when implementing total quality management
Nike market segment
Problems that organizations face when implementing total quality management
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NIKE
1.)Description of Nike.
2.)Definition of Total Quality Management and how Nike implements it.
3.)Definition of the Five Elements of Task Environment and how Nike. implements it.
The company: 1-A brief history of the organization
2- Nike’s goals
3- Nike’s objectives
4-Markets
5-Size
Compare theory with what we found
Conclusion
Ø DESCRIPTION
Basketball players want to be like Mike, but shoe companies want to be like NIKE. NIKE is the world's number one shoe company and controls more than 40% of the athletic shoe market. The company designs and sells shoes for just about every sport, including baseball, volleyball, cheerleading, and wrestling. Nike doesn't only sell athletic shoes, but a wide variety of sporting goods and clothing; they design, develop, and market high quality active sports apparel, equipment, and accessory products. Their huge lines of products are designed for just about every sport in existence. Their products are made for men, women, and children of all ages. In addition, it operates NIKETOWN shoe and sportswear stores and is opening JORDAN in-store outlets in urban markets. NIKE sells its products to about 19,000 US accounts, in about 140 other countries, and online. Chairman, CEO, and co-founder Phil Knight owns about 36% of the firm.
Ø TOTAL QUALITY MANAGEMENT
Total quality management represents both a social revolution in the work place and a rigorously effective approach to professionalism and success. Total quality management is a management system that is an integral part of an organization's strategy and is aimed at continually improving products and service quality so as to achieve high levels of customer satisfaction and build strong customer loyalty .In other words, the true Total Quality organization will eliminate all competition other than from other Total Quality giants. Many companies have benefited from an emphasis on TQM; however, it does require a considerable amount of company wide commitment to be successful . The customer doesn't know what is technically or organizationally feasible. So the key, challenge to a competitive organization, is to raise the expectations of the market place by providing goods and services at quality levels higher than those offered by the competition.
We can now see that there are two principal elements to Total Quality: a business strategic element base o...
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...V ads during professional and college sports events, prime-time programs, and late-night TV programs.
The advertising and innovative marketing in the industry should still leave it extremely competitive. The only problem that Nike worries about is customers becoming less brand-loyal and buying cheaper athletic shoe brands. Nike is trying to make the point that it is worth spending more money on better quality made shoe, than buying a cheap shoe that will only last a little while. One major area that brings unlimited opportunities to Nike is the international market. In the United Sates, there are 4 people for every pair of Nikes, France has 11, Japan has 50, China has 11,821, and Lebanon has 40 (reference from manager). Nike distributes to more than 40 branches in Lebanon and they have their own main branch situated in Mid-Beirut.
Nike is by far the biggest organization in the shoe industry and far surpases its competetors in profits gained. Nike sells throught the world in more than 110 countries throught a span of six continents. It is known by most consumers as the dominant power in the sports industry and is usually the athelets’ top choice when it comes to sports apparel.
Contained within the following paper is the evaluation of the author’s organization’s mission, vision goals, and objectives .The author will discuss the pre-determined questions as set forth by Jeffrey Trapp, a certified University of Phoenix instructor. This paper will discuss the differences that a rise between a company that has implemented TQM (Total Quality Management) with that of the authors own organization’s management style.
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.
Some people don’t see Nike as a sportswear company, but as a marketing company. This multimedia integrated marketing giant stirred the market again by the project that used 7 advertising platforms to sell sport shoes, transformed a young player into a shining star, and even made people shop via mobile phones while walking.
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 the matter of minutes of a click of a button you are learning about a new running shoe being advertised. 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. Have also allowed their international branches to be just as successful. With different strategies to cater to those consumer’s specific needs at that time. And to base the strategy off the need of the consumer. And because of those things they have been able to reach consumers in the U.S. as well as consumers in other countries. That is why Nike have remained to be successful in the U.S. and Internationally because their strategy has always been about putting the consumer first and building a strategy based off what the consumer needs in that region. In the United States, Nike is able to sale their products through websites, major sports facilities, and smaller sneaker establishments. For an example, China may sell the actually product but they may not have the additional outlets as Nike may have in the United States. So, China sales may not exceed like they would exceed elsewhere. Global campaign is a great thing. But if the campaign doesn’t reach the international market it was intended to reach. That means there are other countries left out of knowing about the
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.
The Positioning statement of Nike is “For serious athletes, Nike gives confidence that provides the perfect shoe for every sport”. In today’s competitive environment, Nike, one of the global leaders in sporting goods industry, has established a strong position for enhancing athletic life style. It’s the number one sports manufacturer in the world design by Nolan Breitbarth in the 1970s with Phil knight founder of Nike Inc. It is the leading sporting goods Company in the United States and hundred and ten countries. However, it has become the passion for everyone to use its brand products that create the
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.
However, the CEO of Nike has a great vision which is” Nike is more than sport and more than sport shoes” In addition, there are pros and cons of the Nike’s brand. The pros of Nike brand are that Nike has the ability to fight the other competitors such as Adidas. Also, Nike has the ability to maintain the brand’s image that helps Nike to create the price. Another pro is that Nike is more than sport and shoes as the CEO of Nike
Nike’s positioning in the market has more of a mass appeal compared to their main competitor Adidas who strive to make products for elite athletes. The positioning strategy for Nike is currently working at a satisfactory level as Nikes global annual sales between 2013-2014 was reported as 27.8 billion (Statista, 2014) compared to Adidas’ 19.95 billion (Statista, 2014). The global market for sports apparel is expected to grow at a compound annual growth rate of 4% between 2012-2019, Nikes compound annual growth rate during 2010-2012 was 12.3% which is an excellent result as the brand’s growth was larger than the market as well as outgrowing Nike’s closest competitors Adidas, Puma and Asics (Forbes,
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.
The Nike Company is a manufacturing as well as retailer type company. There are 800 worldwide factories for Nike brand and products. It is true that most of the Nike brand apparel is manufactured out of the United States. It’s all happen due to independent contract manufactures those are situated in different 34 countries. Nike is the one of the largest seller of athlete footwear and athlete apparel in the modern world.
Nike is the largest seller of athletic footwear and apparel in the United States. Nike Company sell their products to retail accounts, through NIKE owned on line and factory retail stores and NIKE owned internet websites which they refer to collectively to as their direct consumer operations. However, through a mix of independent distributors, licensees and sales representatives in virtually all countries around the world, Nike goal is to deliver value to their shareholders by building a profitable global portfolio of branded footwear, apparel, equipment and accessories. Nike strategy is to achieve long-term revenue growth by creating innovative to their products (Nike,
Nike’s research facility processes focus on athletic desire and performance, but when it comes to fashion; the designs change rapidly as do the trends. Therefore if Nike cannot meet the fashion trends consumers will follow the next designer. Nike researches material and processes to ensure their products are in line with their corporate strategy and goals, but the increased cost of products could leave many consumers unable to purchase products. Nike expanding into global markets will increase their marketing strategy, but the exchange rate will affect their cost and may price them out of the local market. A marketspace is referred to as a place where a consumer can purchase goods on the internet (Kotler and Keller, 2012). Nike may do better in global markets by establishing a local marketspace in order to offset exchange rates and reduce costs for emerging
Nike American Sportswear generated revenue of 7495 million US dollars in 2014, which was almost double of 2009 revenue of Nike Sportswear (Statista, 2015).The sales of (Athletic) Sportswear of Nike 90 million US dollars, however, the sale of Adidas Sportswear (Competitor of Nike) was 25 million US dollars, which was not even one third of Nike Sportswear sales (Statista, 2015).Nonetheless, the return on assets and equity are 13.41% and 26.43% respectively (Yahoo Finanace, 2015).