Helly FINAL..

8/3/2019 Helly FINAL..

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PREPARED BY:

Jadav Nidhi 09bba018 Jepal Vinod 09bba019 Joshi Helly 09bba020


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OVERVIEWOFTHE PROJECT

InternalHistory,

Nike overview

Key FactorsVision and Mission

Analysis

SWOT analysis

Graphical presentation

ExternalResearch & development

Advertisement

Other external practices

Evaluation & findingsSuggestions

Conclusion

References


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HISTORY

19621962:: PhillipPhillip Knight,Knight, a Stanford University business graduateand former member of the track team, arranges to importathletic shoes from Japan and sell them in the U.S.. Knightcreated Blue Ribbon Sports as a cover name for his small-scaleshoe-selling operations.

1964: WilliamWilliam BowermanBowerman becomes a partner by matchingKnight's investment of $500.

1965: Hires a full time employee, and annual sales reach$2,000.

1978: The company changes its name to Nike.

2001: Nike opens its first Nike Goddess store, a unit targeting

women, in Newport Beach, CA.


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ORIGINOFTHENAME AND THE

SWOOSH

Nike is the Ancient Greek goddess of victory.

Itis one of the most recognizedsymbolsin the

world The Swoosh, Simple, Fluid, Fast.(Quote from Nikes website)


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EVOLUTIONOFTHESWOOSH LOGO


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BRAN

D AN

DLOGO

The Swoosh only cost $35.

Memorable, simple in form, workable in all sizes,

invokes a strong signal.


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NIKEOVERVIEW

Headquarter: Beaverton, OR,Washington Country.

Type:Public Ltd.

Industry:Textile Apparel,Footwear & Accessories.

Market Cap:21.738 billion (F.Y.

2010)

Ranked173 in the Annual ranking ofAmerica's largest corporations

(Fortune 500 magazine)


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CONTuNikesprincipal business activity is the

design, development and worldwidemarketing of high quality footwear,apparel, equipment, and accessoryproduct

Distributed in over 160 countries aroundthe world: (Asia, Australia, Canada,Europe, Latin America, and the UnitedStates)

Nike is the largest seller of athleticfootwear and athletic apparel in theworld.

Employees: 26,000 worldwide.

6,50,000 in Nike contracted factoriesaround the globe.


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CONTu

Headquarters of Nike Key people:

Philip Knight (Chairman)

Mark Parker (President &CEO)


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BUSINESSSTRUCTURE

Operating Segments:

Footwear

Apparel

Equipment

Operating Regions:

U.S.A.

Europe, Middle East

and Africa (EMEA)Asia Pacific

America


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VISIONSTATEMENT

To bring inspiration and innovation

to every athlete* in the world

(*If you have a body, you

are an athlete

Bill Bowerman, co-founder)


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PROPOSED VISIONSTATEMENT

Continue to bring inspiration to present and

future athletes, while maintaining the

company's standard of quality for its products.


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MISSIONSTATEMENT

The company aims to " lead in corporatecitizenship through proactive programs thatreflect caring for the world family of Nike, our

teammates, our consumers, and those whoprovide services to Nike."


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PROPOSED MISSIONSTATEMENT

To continue to offer quality products with increasinggrowth in the industry and expanding globally.

Our mission has always been to provide a

competitive edge by developing the mosttechnological products.

We also believe our employees are one of our mostimportant assets.

To increase the responsibility towards theenvironment by evaluating the impact of day to dayoperation and attempts to change operations thathave a negative impact.


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PRINCIPLE PRODUCTS

Began with long

distance running

shoes in 1963.

Past 17 years: Air

Jordan basketball

shoes & carry bags.

Wide range of shoes,apparel and

equipment.


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OTHER BRANDS

ColeHaan sells dress and casualfootwear and accessories for men and

women under the brand names of Cole

Haan, g Series, and Bragano

Nike BauerH

ockey, manufactures anddistributes hockey ice skates, apparel and

equipment.

HurleyInternational, based in

California, designs and distributes a line of

action sports apparel for surfing,

skateboarding and snowboarding, and

youth lifestyle apparel and footwear.

Converse, based in Massachusetts,

designs and distributes athletic and casual

footwear, apparel, and accessories.


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|BRAND AMBASSADORS}OF

NIKE

Michael Jordan

Tiger Woods

Mia Hamm

Michael JhonsonJohnson

Maria Sharapova

Rafael Nadal


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ATHLETIC SHOE MARKETSHARE

(2008)


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NIKE DOMINANCE

Comparison of Annual Revenue

0

1

2

3

4

5

6

7

8

9

10

Nike Fila Reebok New Balance Adidas

Corporation

2001AnnualSales(InBillions)


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MARKETINGSTRATEGIESOFNIKE

Create fact sheets outlining minimum wage

discrepancies among countries.

Circulate Letters to the Editorhighlightingpositive aspects of Nikes labor practices.

Bring a visible Nike representative to college

campuses.

Focus on finding the most promisingcustomers (kids and women) and introduce

more products or improve current ones to

satisfy potential increase in demand.


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CONTuAggressively target budget consumers

through sales promotions and discounts on

mid-priced shoes.

Build a stronger relationship withmoderately priced retailers through salesassociates.

Increase number of Nike outlet storesoffering discounted merchandise.

Create advertisements that showcase Nikes

female shoes by featuring professional athletesand non-celebrity females who use Nikeproducts.

Develop a shoe named for a celebrity female

athlete, such as Mia Hamm, comparable to AirJordans.


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WHY THISSTRATEGY?

U.S. Women: Prefer fashion, not footwear, they

prefer clothing, we must create a shopping style

based in athletic shopping.

U.S. Kids: E-commerce, influenced by innovation anddesign, not only comfort or sports.

We need to consolidate U.S sales compared to

international sales and international competitors.

Difficult to expand towards other sports or

population segments.


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SWOT ANALYSIS


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INTERNALSTRENGTHS AND WEAKNESSES

STRENGTHS:

Strong brand recognition

Internet sales

Growing internationalpresence

Superior research and

development departmentStrong sense of culture in theworking environmentSuccessful experience beingcompetitiveSuccessful marketingcampaigns

WEAKNESSES:

Lack of stores catering to

the active femalesPoor employment practices

at their international

manufacturing sites giving a

bad reputation

Heavy dependency on

footwear sales

Issues with Footlocker


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EXTERNALOPPORTUNITIES AND

THREATSOPPORTUNITIES:

Customer use of companysproducts change from athleticpurpose to a fashion item.

General demand forclothing/footwear for leisure

activities continues toincrease.

Growing e-commercespositive effect since one ofcompanys competitive

advantages is Internet sales.Women demand for athleticfootwear and clothing isincreasing significantly.

THREATS:

Competitors which copycompany's business model(high value branded productmanufactured at a low cost)

Adidas-Salomon AG, top

European competitor.The impact of foreign

currency fluctuation andinterest rates, and politicalinstability.

Labor and political unrest inthe suppliers countries.

Cost orientated customersvs. companys higher-endmarket.


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THEGRAND STRATEGY MATRIX


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EVALUATION

Repeat surveys at sixmonth intervals to gauge

public perception.

Revisit with focusgroups to record their

opinions of

improvements.

Measure growth of

domestic shoe sales at six

month intervals.

Separately record sales

mid-priced shoes and

womens shoes.


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CONCLUSION

Nike is a very strong brand which covers maximumshare of its industry, there are also some important

points which are lacking in the industry.

Nike company facing very tough competition with

other popular brands so its very necessary for nike to

promote & advertise their product very well.


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REFERENCES

www.nikebiz.com

www.marketing strategies of nike.com

Nike Annual Reports (2008)


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Questions?

Comments?


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Helly FINAL..

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