This website uses cookies to ensure you have the best experience. Learn more

Nike Strategy Change Essay

1012 words - 5 pages

The article that I found representing a business which recently underwent a change in its strategy was about Nike. The article was pulled out of the New York Times from 2005. The article was focused on how Nike decided to work on transforming its strategy from shoes to clothing and not only clothing, but fashionable and practical women’s clothing. Previously, Nike focused mostly on shoes and clothing catered to men’s preferences and fits. For example, the article states that until this change in 2005, women’s shoes were designed to fit a small man’s foot rather than the size and contour of a woman’s foot which is really much different than that of a mans. So, they decided to ...view middle of the document...

Management justified these changes because they wanted to cater to what women want since the sales of clothes surpassed that of shoes. When they saw that the clothing line was as profitable, if not more, than their shoes, they knew that to keep interest of the consumer they were going to have to cater to fashion in demand before their competitors surpassed and trumped their potential. Nike’s strategy proved to be an attempt to create a valuable resource because it meets all of the guidelines for making resources valuable listed on page 173. The first guideline is that the resources are critical to being able to meet a customers need better than other alternatives. When Nike created their new strategy the point was to create a product which catered to women and their needs as far as something fashionable, yet practical also to work out in. The second guideline is for the resource to be scarce. Though, eventually other organizations will imitate their efforts if they prove successful, they were creating a product which was new and in demand of the consumer (the women in this case). So, at the time they did create something that was scarce because it was new. The third guideline is for it to drive a key portion of overall profits, which was the goal since Nike started to see that the profits from the clothing lines they had were greater than that of their shoes in 2004. And lastly, the resource must be durable or sustainable over time. Nike was already known for its durability and sustainability so they already had that reputation working for them.
Nike succeeded in meeting new trends in mission components of strategic planning, being customers, quality, and vision. Nike continually focuses on its customers and their needs and desires, which is one of the reasons it stays on top of the fitness fashion industry in shoes and clothing. Customer satisfaction is the ultimate goal of...

Other Essays Like Nike Strategy Change

International Business Report

2290 words - 10 pages is a firm’s vulnerability to its competition and to changes in the external environment. (Griffin, 2013) However, as Nike contract out the manufacturing element of their business and focus its energy on product development and marketing, the risks associated with the single business strategy are greatly reduced. It is highly unlikely that Nike is vulnerable to its competition or environmental change due to its focus on innovative product

How Nike Is Building Brand Equity

3650 words - 15 pages leisure footwear, apparel, or sports equipment could be considered а contestant too. Competition within the footwear industry can be very strong and change quickly due to rapidly changing customer preferences and technology. With an active industry such as Nike, it can be challenging to sustain a competitive advantage. Nike positioned itself in an industry where are virtually no substitute products. Runners, walkers, basketball players, football

Nike Csr Analysis and Opertional Impact

1690 words - 7 pages FY06, Nike had more than 50 percent of footwear models containing some of the improved more sustainable rubber. Across the Nike brand, this change has allowed for the elimination of at least 3,000 metric tons of toxic materials every year. Nike discloses that an estimated 20 gallons of water are used for every pound of textile produced. Use of this water and its discharge is the largest environmental impact of textile production. For these reasons

Unit 3 Introduction to Marketing P1

1199 words - 5 pages . 1. Branding: Branding is one of the survival strategy that most business use in order to be noticed. Without branding, it is difficult to achieve marketing objectives and the customers. Branding help in the fast performance of product being sold. 2. Relationship marketing: This is when market activities are aimed at developing, managing trusting and long term relationships with larger customers. NIKE Nike, Inc. formerly known

Marketing of Nike Case

848 words - 4 pages Discuss the key marketing strategy of Nike In recent decades, we have witnessed a high performance marketing of Nike which make its brand name is well-known all around the world. My belief is that Nike not only is a marketing-oriented company but also has used 3Ps out of 4Ps marketing mix model effectively, including product, place and promotion. Firstly, when it comes to product, Nike considers its wide range of products as its one of most

Nike And Google

2018 words - 9 pages NIKE Q1. What are the pros , cons & risks associated with Nike’s core marketing strategy? Ans - Nike is a major sportswear, footwear and equipment supplier based in the US which was founded in 1962 originally known as Blue Ribbon Sports. Nike produces a wide range of sports equipments such as running shoes, sportswear, football, basketball, tennis, golf, etc. PROS OF NIKE'S CORE MARKETING STRATEGY * Distribution Nike had an

Nike, Inc Cost of Capital

2756 words - 12 pages such long time, according to the revitalizing strategy proposed by the management and the long-term debt issued. Next is to determine the beta. The historic betas has been generally decreasing, and we assume it is the market condition and management`s purpose that make NIKE to be a defensive company. Furthermore, we find that the competitors such as K-Swiss and Lacrosse also have beta less than one. So rather than the average, we use the YTD

The Aim of Marketing Is to Know and Understand the Customer so Well the Product or Service Fits Him and Sells Itself (Ducker). Though a Simple Statement, as the World Economy Grow and Consumers Change...

1990 words - 8 pages The aim of marketing is to know and understand the customer so well the product or service fits him and sells itself (Ducker). Though a simple statement, as the world economy grow and consumers change this gets increasingly difficult. Globalization has caused marketers to research different countries, creeds, and cultures to make unique marketing strategies. Globalization isn’t the future of our economy, it’s the now. Advances in technology

Nike Market Segment Analysis

3103 words - 13 pages wearers, they seek comfortableness and quality of the footwear as well as the design and colors. To meet consumers’ needs for more styles and colors, Nike provides a service of customized footwear named “NIKEiD” which allows customers to design their own shoes online and in stores. Customers can change colors, patterns and materials of the shoes with NIKEiD studios (Team, How NIKEiD Is Helping Nike's Push For Greater Profits, 2015). In addition

Unit 1 Btec Business P1

1556 words - 7 pages ). The business purpose of Nike is to create breakthroughs and Sustainability that improve our world and are also better for our athletes and our investors. Their aims and targets are Aims show what we aspire to do, even if we can’t measure progress against these today. In this space we define our desire to find a solution and share our strategy and approach. Targets specify our focus and determination to relentlessly improve our performance

Ethics Task 1 Wgu

3993 words - 16 pages sometimes thought of as charisma, charm, admiration, or appeal. Referent power comes from one person liking and respecting another, and strongly identifying with that person in some way” (Referent Power, 2014). Implementation of referent power will take time in that development of trust in management from employees will not be an easy task. Likely a change in management or significant leadership training would be most helpful to implement this

Related Papers

Nike Report

1328 words - 6 pages of them. They communicate with the industry, consumers, and shareholders through networks and organizations. Nike also uses the Business of Social Responsibility to help develop a list of stakeholders and organize meetings with them. In corporate citizenship Nike uses an approach that has three main areas of focus. The first area of focus is the Nike foundation which is an organization design to help change the course of poverty through young

Nike Case Study

894 words - 4 pages price issue. This make Nike a well dominated brand as once the consumer has tried and tested the product it tends to buy it again and becomes a loyal consumer for that brand. Nike has a clear segmentation when targeting its consumer. It mainly targets athletes or people who are active. Keeping this strategy in mind the endorsements and advertisements also have athletes and players that people can very well relate Nike to and hence buy Nike

Nike Case Study

1111 words - 5 pages Nike Promotion Strategy The Nike Corporation has become one of the most successful and recognizable brands in the world. Nike specializes in manufacturing and selling a wide variety of athletic apparel, footwear, and sports equipment. Nike offers their merchandise through retail and outlet stores, internet sales, partnerships with retailers, and other independent distributers. Created in 1972, the company continues to follow their mission

Just Do It Essay

1751 words - 8 pages Just Do It – Nike Background This campaign is from the late 80s and the reason for that Nike made this campaign was because of the fact that earlier Reebok had sold far more products regarding sport gears and now Nike wanted to change that fact. Nike had earlier mostly been well known for running shoes but now when the market started to grow rapidly, Nike wanted a piece. People at this time were buying exercise equipment at high levels and