Brand Imitation
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Transcript of Brand Imitation
Presentation On Brand Imitation
Nike Vs Adidas
Presented By:-Bhanwar SinghMBA 4th Sem
Krupanidhi Business School
2
Corporate Brand In which brand and corporate name is sameIBM, Nike, Sony, Mitsubishi
Product Brand Separate brand identities for different productsSprite, Mr Pibb under coca-cola, Lux and Dove from Unilever
What is Brand and explain types of brand ?
“A brand is a intangible but critical component of what an organization stands for…” Scott Davis
What is Brand ?
Types of Brand
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Brand architectures There are four basic “brand architectures” available to firms:(1) corporate (2) product(3) corporate-and-product (4) product-and-corporate
Brand architectures
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NIKE
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History of NIKE Inc.
Its name is derived from a winged Greek goddess. “Swoosh” logo designed by Caroline Davidson. Is now one of the world’s top shoemaker that captures
more than 20% of US athletic market.Original name of Nike given by Phil was “Blue Ribbon
Sports”.With an agreement and handshake in 1964, they began
importing Japanese brand Onitsuka Tiger running shoes. By late 70’s, Nike had moved from $10million to
$270million in sales.In 1996, revenue increased to $6.74billion. Sales
reached $12billion in 2000.
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Footwear
RunningBasketballSoccerSport-inspired urban shoesChildren’s Shoes
Also SellsApparels and AccessoriesAthletic BagsOffers Apparels for Licensed Sports Team
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Advertising Strategy
Designed to make a connection to the consumer
Seldom pitch the product directly or talk about product attributes
Sometimes don’t even mention the company’s name, featuring instead only the swoosh logo
Seek to portray the core values of sport
Collaboration ads with another strong branded product, such as Apple iPod
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Adidas Introduction
Type : Public (AG, FWB: ADS) Founded : 1924 (registered in 1949) Founder(s) :Adolf Dassler Headquarters :Herzogenaurach, Germany Key peopl :Herbert Hainer (CEO),Erich Stamminger (CEO, Adidas
Brand), Igor Landau (Chairman of supervisory board) (2009-) Industry : Designing and Manufacturing Products :Footwear, Sportswear
Sports equipment
Toiletries Revenue : €10.799 billion ($15.6 billion) (2008) Operating income : €1.070 billion ($1.5 billion) (2008) Profit : €642 million ($933 million) (2008) Employees :38,980 (2008) Website http://www.adidas-group.com/
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Products of Adidas
Adidas Footwear, apparel, and hardware such as bags and balls Reebok Footwear, apparel and hardware
Rockport Footwear
TaylorMade-adidas Golf Golf Equipment: metalwoods, irons putters, golf balls,
footwear, apparel and accessories
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Official Sportswear Partner of the Beijing Olympics in 2008
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Nike and Adidas are sportswear companies whose products are popular around the world, while Nike has the upper hand in sales and sponsorships , Adidas is growing rapidly. Adidas ownes Reebok, Taylor Made golf company and Rockport. Nike ownes Umbro , Hurley, Converse and Cole Haan .
Adidas The name adidas stems from the name of the founder
Adolf "Adi" Dassler. Nike Came from the Greek name for the Goddess of Victory
Originally named "Blue Ribbon Sports" Motto Adidas' motto is "Impossible is nothing." Nike's motto is
"Just do it."
Nike Vs Adidas
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SWOT Analysis of
StrengthsSponsoring of sports athletes and gain of valuable coverage.Development of high quality products at reasonable price.Re-location of products.Brand LoyaltyHigh prestige i.e. Famous
WeaknessPressured to charge low prices.Due to diversified products, values fall as market shares fall.
Opportunities - redoHas established global brand recognition due to sporting events.Treated as a fashion brand by youths and thus stays in demand.Due to high quality products, it brings in more profit.
ThreatsFake products.New brands of the same quality with lower price margin leaving a competitive advantage.
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SWOT Analysis of Adidas
Strengths .Good financial position •Effective Marketing Strategy•Market Leadership •Strong online presence•Strong brand •Strong international operations•Strong distribution chain
Weaknesses .High cost structure•Over pricing •Low quality products/services•Limited product line
Opportunities .Change in consumer lifestyles•Available technological innovations •Entering new markets•Expand customer base (Geographically or through new products) •Expand product/service lines•Market Diversification•Merger or takeover
Threats .Competition from foreign markets•Competitor's actions •Change in consumer lifestyles•Changing consumer patterns •Financial slowdown•Increase in taxation •New competitors entering the market•Price war between competitors
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0
2000
4000
6000
8000
10000
12000
1038110799
1029910084
6635.63
5860.016266.8
6523.42Sales
EBIT
Depreci-ation
Total Net Income
EPS
Tax Rate(%)
12/1
2/02
12/1
2/03
12/1
2/04
12/1
2/05
12/1
2/06
12/1
2/07
12/1
2/08
12/1
2/09
Rupees(In
Mill.)
Years
Income Statement - 08 Years Summary (in Millions) of Adidas
0
5000
10000
15000
20000
25000
19176.118627
16325.9
14954.913739.7
12253.1
106969893
Sales
EBIT
Depreciation
Total Net Income
EPS
Tax Rate(%)
05/0
9
05/0
8
05/0
7
05/0
6
05/0
5
05/0
4
05/0
3
05/0
2
Years
Income Statement - 08 Years Summary (in Millions) of Nike
Comparison of Nike and Adidas With Their Balance Sheet and Income Statement
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Balance Sheet - 08 Years Summary (in Millions) of Adidas
0
2000
4000
6000
8000
10000
12000
8875
9533
83258379
5750.24
4433.884187.81
4260.815104
6147
53025551
3066.412889.992832.02
3179.45
1571177819602325
1035.12933.95
1225.391574.05
Current as-sests
Current liabil-ities
Long Term Debt
Share Outstand-ing
12/1
2/09
12/1
2/08
12/1
2/07
12/1
2/06
12/1
2/05
12/1
2/04
12/1
2/03
12/1
2/02
Rupees(In
Mill.)
Years
Balance Sheet - 08 Years Summary (in Millions) of Nike
Years
0
2000
4000
6000
8000
10000
12000
1400013249.6
12442.7
10688.3
9869.6
8793.6
7908.7
6821.16440
4556.24617.1
3662.63584.1
3149.13126.7
2830.1
2600.7
Current as-sests
Current liabil-ities
Long Term Debt
Share Outstand-ing
05/0
9
05/0
8
05/0
7
05/0
6
05/0
505
/04
05/0
3
05/0
2
Years
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Branding strategy in the international context is a crucial issue for firms from developed countries aspiring to succeed in emerging markets.
However, the choice and adoption of a certain branding strategy is not a static process.
There is no single branding strategy that works for all firms or organizations (Gulati and Garino,2000).
As firms gradually establish their presence in the emerging markets, accumulate marketing experiences and expand capacity, their target consumers or segments may evolve as well as their market position.
Conclusion: