Jogging Forward In Chins Essay

733 words - 3 pages

Jogging forward in China
The only problems in the quarter for Nike were Western Europe and Greater China. Weakness in Europe is expected due to the economic situation in that region. China, however, is a concern for Nike. Inventories in China have increased and the company was forced to discount its products. Nike expects sales in China to be down in the next quarter.
The good thing about Nike is that it's quick to make adjustments in the marketplace. The company has been working to reduce its inventory in China and reworking its product line to meet the tastes of the Chinese consumer. In May, the company replaced its executive in charge of Greater China. Nike realizes changes need to be ...view middle of the document...

Adidas is the largest sportswear manufacturer in Europe and the second-largest in the world after Nike. The company's brands include Adidas, Reebok, and TaylorMade.
Going forward, Adidas has a lot to gain from the upcoming World Cup. The company sponsors top teams such as Germany, Spain, and Argentina. Adidas is expecting a significant boost that will push soccer-related sales to $2.7 billion.
In terms of China, Adidas is second to Nike in the country with an 11.2% market share. While Nike sales have slowed in the country, Adidas is actually growing revenue in China. Sales were up 6% in the first quarter of 2013.
An up and coming competitor to both companies is Skechers USA (NYSE: SKX). CEO Robert Greenberg was also the founder of shoe company LA Gear. Skechers is best-known for its celebrity advertising.
Things are really starting to look up for Skechers. In the first quarter, sales increased 28.6% from the same quarter last year. The company returned to profitability and the outlook for this year is positive. Growth was seen across the board in domestic...

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