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Bs - Nike

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Business Strategy Case Study on Nike Inc.

Strategic Capability – Resources & Capabilities – Understanding The Concept Of Core Competence
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Introduction & Mission
MISSION: TO BRING INSPIRATION AND INNOVATION TO EVERY ATHLETE* IN THE WORLD * “IF YOU HAVE A BODY, YOU ARE AN ATHLETE”

• •

NIKE, Inc., based in USA, is the world’s leading innovator in athletic footwear, apparel, Originally known as Blue Ribbon Sports (BRS), it started with an idea to make the footwear

equipment and accessories. lighter to give competitive advantage to athletes by track athlete Philip Knight and his coach Bill Bowerman in January 1964. • • • One of the major goals of NIKE is product innovation and product improvement. Business strategy to target most of the sports around the world and to produce distinct and Nike promotes its products by sponsorship agreements with celebrity athletes, professional

comfortable footwear and apparels. teams and major sporting events.

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Business Strategic Capabilities
Deliver Results: Nike’s success is dependent on people who can get results which requires proactive, accountable, goal oriented employees.

Create The Future: Successful Nike employees think creatively, recognize new business opportunities & communicate their ideas to imagine a different and better future.

Make Good Decisions: Employees seek information, isolate issues, hear all points of view, analyze data, act decisively and take calculated risks.

Consumer Commitment: Have a deep connection with consumers – understand the increasingly diverse customers, the realities of the marketplace and what sets them apart from the competition.

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Human Resource Capabilities
Develop Talent, Teamwork and Diversity: Nike’s global scope requires team players to embrace diversity of people, ideas & culture.

Embrace Change: Employees who welcome change allow Nike to evolve and expand into new markets and create new products.

Communicate Effectively: Clear communication leads to clear understanding. Using active listening skills is essential.

Lead and Influence Others: The ability to motivate others to higher levels of achievement is a quality which is expected from all Nike employees.

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Core Competence
What makes Nike unique from its competitors? Its unique business model in which its brand name dominates its marketing strategy and signifies high quality and stylish sports footwear and apparel. (The “Swoosh” symbol ) Research & Development - The company has heavily invested in staffing itself with specialists such as bio mechanics, industrial designers, and exercise physiologist among others. Internal & External Linkages Nike is a lean organization with no factories of its own. In 2000, Nike contracted with over 500 different footwear and apparel factories across the world. The company’s primary focus is therefore centered on vast and complex global network which involve extensive market research and design. This has enhanced the company’s competitive advantage over its rivals since it is able to concentrate more on improving consumer products through designing and constant improvement.

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THANK YOU.

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