...to learn about strategy and strategic management by comparing the strategies of two companies from the same industry. The strategies of Nike and Adidas have been compared from the textile industry. Nike and Adidas both specialize in footwear, apparel and accessories and their competition is intense as Nike is the market leader and Adidas is the market challenger. The topics in this assignment cover critical incidents of both Nike and Adidas that occurred in the past and the comparison between both their strategies as well their future plans. This assignment shows us the influence the strategy has on the success or failure of companies and how companies craft sustainable strategies that help them to retain their position in the market. Table of Contents Page 1.0 Introduction 1 2.0 Literature review 1 3.0 Backgrounds of Nike and Adidas 2 3.1 Company overview of Nike 2 3.2 Company overview of Adidas 2 4.0 Critical Incidents that occurred in the past 3 4.1 Critical incidents that affected Nike 3 4.2 Critical incidents that affected Adidas 5 5.0 Comparison of the strategies of the companies 8 5.1 Strategies of Nike 8 5.2 Strategies of Adidas 9 5.3 Comparison of the strategies of Nike and Adidas 11 6.0 Future plans of Nike and Adidas ...
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...BRAND IDENTITY PRISM Brasnd Identity Prism KAPFERER brand identity diagram as a six-sided prism Constructed Source/Sender Constructed Receiver * Physique according to him is the basis of the brand. * E.G. the physique of Philips is “technology and reliability” while for the brand Tata it is “trust” * Personality is same as Aaker, it answers the question “what happens to this brand when it becomes a person?” * Relationship is the handshake between consumer and the organisation. * Eg. the relationship with “safola” is safety. * Reflection is the consumer’s perception for what the brands stands for. * E.g. coke’s image more attract youth. * Self-image is what the consumer think of himself. * E.g. benz Car owner think that since he has bought the car he is treating himself to one of the best car in the world. * Culture symbolizes the organization, its country-of-origin and the values it stands for. * E.g. traditional brands like balsara, dabur and zandu. * Relationship is the handshake between consumer and the organisation. * E.g. the relationship with “safola” is safety. * Reflection is the consumer’s perception for what the brands stands for. * E.g. coke’s image more attract...
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...Advertising Strategy of Adidas: A comparative Study ADVERTISING STRATEGY OF ADIDAS A COMPARATIVE STUDY Prepared As a course Requirement of (Advertising and Public Relation-mkt 424) M. Atiqur Rahman Patuakhali science and Technology University Bangladesh atik.bdpalo@yahoo.com www.pstu.ac.bd Copyright : group-1©bba®pstu Term Paper (8th Semester) Page-1 Advertising Strategy of Adidas: A comparative Study EXECUTIVE SUMMARY Adidas Inc. is a marketer of sports apparel and athletic shoes. The German manufacturer, through its marketing strategy which rests on a favorable brand image, has evolved into a large multinational enterprise. In keeping with the brand image is its association with the distinctive logo and its advertising slogan, "Impossible is Nothing." In order to maintain and sustain this image, the company makes huge investments in advertising and brand promotion. At the critical time of global economic crisis, Adidas will react to the consumers’ pessimistic attitude and stressful emotion during this period. It may become a good chance for Adidas because it can take advantage of its previous advertising way of “Impossible is Nothing” campaign by sponsoring sports stars to express the corporate philosophy of grit, determination, passion and humor, giving people more courage and psychological comfort in face of economic crisis. But besides that, we also focus more about family function especially in Asian countries which emphasize a lot on family, which can provide...
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...Nike Case Analysis 1 Nike Case Analysis Contents I. Introduction............................................................................................................................................................3 II. Conclusions of Nike Core Marketing Strategy .......................................................................................................3 2.1. Pros: ............................................................................................................................................................3 2.2. Cons: ...........................................................................................................................................................3 2.3. Risks: ...........................................................................................................................................................3 III. Nike Core Marketing Strategy ...........................................................................................................................4 3.1. IV. Core marketing strategies .........................................................................................................................4 SWOT analysis .................................................................................................................................................6 4.1. 4.2. Weakness ..................................................................
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...Study - NIKE Samantha Eubanks Columbia Southern University Abstract The following case study will focus on the global brand of Nike. First, we will take a look at how Nike was created, and the foundation they have based their brand. The study will then delve into how Nike’s marketing strategy has proven successful, had a negative impact, and may have proven risky for the company. Lastly, the study will delve into how Adidas may improve their competitive value against Nike. Unit 1 Case Study - NIKE Over the years, there have been many companies that have ventured into the business of dealing in sporting equipment to include athletic shoes, athletic clothing, and athletic equipment. Nike has emerged as one of the leading brands of athletic products since the creation of the brand in 1962. At the time of its inception, Nike was first known as Blue Ribbon Sports and the main focus was “on providing high-quality running shoes designed for athletes by athletes” (Keller & Kotler, 2012, p. 29). A product that began with the creation of “lighter and better” running shoes has transformed into an international brand that is known by the simple image of a “swoosh” (Sanusi et al, 2014). The following sections will answer a series of questions in regards to the brand, and how a rival company may be able to better compete with the marketing campaign of this globally renowned name. What are the pros, cons, and risks associated with Nike’s core marketing strategy? From...
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...ADIDAS AND NIKE Nike and Adidas are two the largest sportswear companies of nowadays. They are the giants in the sportswear industry, which always introduce innovative products, in order to become the ultimate market leaders. Nike is an American multinational corporation, which produces footwear, clothes, equipment and other active sport items (Feifer 2014). The company was founded in 1964 by Phil Knight and Bill Bowerman. Nike uses specific method of advertising, which differentiates it from other sports companies; it creates motivational short videos, which promote sport and inspire people to stay fit. Hence, making an accent on sport, but not sportswear, Nike attracts customers in nonintrusive manner. In 2013, the total revenue of the company was $25.3 billion (Hall 2005). Adidas is a German sportswear company founded in 1924 by Adolf Dassler (Frenkel & Scott 2002). As well as Nike, Adidas focuses mainly on various types of sportswear, such as shoes, clothes, equipment and so on. The feature of Adidas manufacture is providing specific equipment for different kinds of sports, like tennis, baseball, basketball, skateboarding and cricket. The company’s total revenue was €14.49 billion in 2013 (Greeley 2014). Nike and Adidas offer similar services to clients; nevertheless, none of them have received the irrevocable advantage yet. Hence, each company has its own large audience of clients, which find something they like in a chosen sportswear provider. The analysis of...
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...Advertising Strategy of Adidas: A comparative Study ADVERTISING STRATEGY OF ADIDAS A COMPARATIVE STUDY Prepared As a course Requirement of (Advertising and Public Relation-mkt 424) M. Atiqur Rahman Patuakhali science and Technology University Bangladesh atik.bdpalo@yahoo.com www.pstu.ac.bd Copyright : group-1©bba®pstu Term Paper (8th Semester) Page-1 Advertising Strategy of Adidas: A comparative Study EXECUTIVE SUMMARY Adidas Inc. is a marketer of sports apparel and athletic shoes. The German manufacturer, through its marketing strategy which rests on a favorable brand image, has evolved into a large multinational enterprise. In keeping with the brand image is its association with the distinctive logo and its advertising slogan, "Impossible is Nothing." In order to maintain and sustain this image, the company makes huge investments in advertising and brand promotion. At the critical time of global economic crisis, Adidas will react to the consumers’ pessimistic attitude and stressful emotion during this period. It may become a good chance for Adidas because it can take advantage of its previous advertising way of “Impossible is Nothing” campaign by sponsoring sports stars to express the corporate philosophy of grit, determination, passion and humor, giving people more courage and psychological comfort in face of economic crisis. But besides that, we also focus more about family function especially in Asian countries which emphasize a lot on family, which can provide...
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...The two companies of Nike and Adidas want to be able to reach a goal in increasing revenues and take on a direction that will lead them to success. First of all, I will be explaining about Nike’s vision and what they plan on doing to reach their goal. Second, I will be talking about what Adidas plans on doing in reaching their goal. The goals of the two companies are really important because it will help us determine their business planning and strategies which will help them become a successful company in reducing competition. Nike Nike is planning on increasing its sales and will increase their sales by apparel investment, locations, and focusing more on the consumer. Nike plans to quadruple its apparel investment on the innovation side over the next five years (Ryan, 2010, p. 12). Nike wants to be able to overall boost sales and continue growing. The first step in increasing sales will be by the overall investment on apparel. From a strategy perspective, Nike has centralized its apparel team around the world and is reducing the number of styles, vendors and materials used to focus on top-selling items which include t-shirts, track jackets, etc (Ryan, 2010, p. 12). Apparel investment is one of the main goals for Nike; however, there are still many other growth opportunities that will help Nike with increasing sales. Furthermore, the company plans to grow the Nike brand through expanding it to more locations. Nike’s retail strategy in the U.S. is to run a small number...
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...Adidas nike case study - Document Transcript 1. VS1 2. A COMPARITIVE ANALYSIS OF MARKETINGSTRATERGIES FOLLOWED BY NIKE AND ADIDAS TEAM MEMBERSANUPAMA VENU 09014CLAES JOTORP 09126DEEPAK TUSHIR 09032GUSTAV TENERZ 09128SAIRAM KRISHNAN 09088SANJAY SHARMA 09090SUNANDA SURESH 09112 2 3. INDEX1. INTRODUCTION 1.1. BRIEF ANALYSIS OF INDUSTRY 1.2. BRIEF DEFINITON OF INDUSTRY 1.2.1.TRENDS IN THE INDUSTRY 1.2.2.MARKET ANALYSIS 1.2.3.MAJOR PLAYERS AND MARKET SHARES 1.3. MAJOR FORCES SHAPING THE INDUSTRY 1.3.1.PORTER S FIVE FORCES 1.4. PREDICTION FOR 2009-2010 1.5. THE COMPANY AND MAJOR PRODUCT LINES 1.5.1.BRIEF HISTORY OF COMPANY 1.6. FLAGSHIP PRODUCTS, MAJOR PRODUCT LINES, RECENT FORAYS 1.7. HISTORY OF THE BRANDS2. MARKETING STRATERGY 2.1. CUSTOMERS 2.2. COMPETITORS 2.3. COLLABORATORS 2.4. COMPANY 2.5. CONTEXT 2.5.1.TECHNOLOGY 2.5.2.SOCIO CULTURAL 2.5.3.ECONOMIC3. SEGMENTATION, TARGETING, POSITIONING 3.1. MARKET SEGMENTATION 3.2. SEGMENTS TARGETED 3.3. POD S AND POP S 3.4. VALUE PROPOSITION 3.5. POSITIOING 3.6. EVOLUTION AS A BRAND4. MARKETING MIX 4.1. PRODUCT 4.2. PLACE 4.3. PRICING 4.4. PROMOTION5. ANALYSIS REPORT 5.1. CUSTOMER SURVEY 5.2. MARKETING STRATERGIES 5.3. PORTER S GENERIC STRATERGIES 5.4. CREATING VALUE 5.5. CAPTURING VALUE 5.6. SUSTAINING VALUE6. REFERENCES 3 4. INTRODUCTIONBrief Analysis of IndustrySport is an integral part of modern contemporary society. Sport has always been associatedwith discipline, dedication and perfection and hence sportsmen have always...
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...Nike Question 1 In my word, the secret of Nike's success in marketing strategy is that producing the best shoes for these superstars and let them at the forefront of fashion, and then the masses would follow their idol. According to this case, we know Nike believed in a "pyramid of influence". In the 80's, athletes were regard as hero. Nike began to sign famous sport star as its spokesperson for its products. Nike thought the preference of a percentage of top athletes influenced the product and brand choice of others. Nike's marketing department focus on the influence and spirit of individual's image. The first pro of type marketing strategy is the distinct personality, which is able to spread the enterprise concept of positioning strategy so that its products are very attractive to objective group, especially the young generation because young generation's emotion is easier to be encouraged by these superstars. On the other side, when these famous sport stars who win in some important events and races wear Nike's shoes, most normal customers would thought their equipments must be the best and the brand of the equipment is also the best professional. It is very useful to promote Nike's professional image. Another pro of its marketing strategy is to put an end to the stiff lectures in advertising, let these sports stars to show organization culture. At the same time, it enhanced the emotion connection between customers and brand. In my opinion, the only con of Nike's...
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...One strategic growth strategy that Nike implemented was the company’s heavy investment into the 2008 Beijing Olympics. The strategic consideration that drove the decision was to customize offerings in each country market to match the tastes and preferences of local buyers. The primary purpose was to gain more access to new customers. Nike is a 50 year old company and this wasn’t the first time they set foot in China as a retailer, but they wanted to make further progress in their penetration of the Chinese market. Their short-term goal is to have annual revenues from China reach $4 billion in sales. Their investment in marketing and endorsements related to the 2008 Beijing Olympics was $150 million. Part of this cost included sponsoring the Chinese teams. There were 28 different sports in the Olympics, and Nike sponsored the Chinese teams in 22 of them. That is a significant percentage. The global strategy it applied was to form partners with Chinese manufacturing companies to manufacture the goods. All of Nike’s production comes from the 785 contract factories it has all over the world, including China. The modes of market entry it used would be a “Transnational Strategy” because with the games, Nike also opened up Nike Stores that offered products in athletic areas most popular with the local population. They also opened up “Super Stores” with similar product listing of that of the U.S. market. Prices were also scaled down to local currency rates to match the competitors pricing...
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...Ömer Dündar Kan Bilgi University ADIDAS vs NIKE The comparison of Adidas & Nike in terms of brand elements is below: 1. Memorability is the recognition and recall of the brand. Adidas: Because the name of the brand has come from the name of the founder “Adi Dassler” who is known as a strong, positive and high quality shoe maker; the brand is also recognized as strong, positive and high quality. The brand is also remembered with its 3 striped-logo. Nike: The brand was launched after the brand “Blue Ribbon Sports.” The meaning of “Nike” is “The Greek goddess of victory” which associated with sports by Nike. In addition, the brand is also recognized with its simple logo which promotes victory and winning. 2. Meaningfulness is awareness, descriptive and recognition of the brand. Adidas: As i mentioned before the brand is recalled as strong, positive and high quality. Besides, its logo is associated with challenges and goals. This is why its products are the tools for these challenges. Nike: In the sports; competition is one of the most important things between the athletes and the brands. That is why a sport company Nike has used meaningful objects as a brand name and brand symbol. The brand name means “the Greek goddess of victory” and the symbol is a wing which promotes victory and pace. 3. Likability is how much the customers find the brand aesthetically. Adidas: The brand’s logo is simple which is 3 stripes, and is using only...
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...isearchscholars.com 63 Abstract Brand image is an important consideration for any of the firm or company operating inhyper competitive business environment. In this study, brands chosen for comparison areNike, Adidas and Puma with respect to the actions and strategies adopted by them inorder to enhance and strengthen their brand image. These are the top 3 sporting brands of the world. Nike is at 26 th position; Adidas is at 62 nd while Puma has just entered at 97 th position in top 100 brands ranking list published in Year 2009 as best global brands byinter brand dot com. Nike and Adidas are in the world's top 100 brands list for last somany years. All of these three brands are growing brands and consistently movingupward in that list. As per the year 2009 figures published by interbrand.com and otherbrand rating agencies/bodies, the brand values of Nike, Adidas and Puma are $13,179millions, $5,397 millions and $3,154 millions respectively. This study has identified thekey steps and strategies adopted by the decision makers of these brands which resulted inthe strong brand image for them. Moreover, those areas were also identified whichrequire the improvement particularly by comparing Puma with Nike and Adidas. Keyword s: International brands; Nike; Adidas; Puma; Marketing. 1. Introduction Brand Image for any brand is built by many different factors which includes brandawareness, brand associations, brand loyalty, perceived quality and so on. All of thesefactors...
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...generally refer to as the strategies that are followed in purchasing, selling or merging different companies by means of finance, strategies or management of the work force. The main theme of the mergers and acquisitions is to save the fainted companies and provide them with the financial aid or to capture the new business areas with the merging of companies in a same type of industry under the name of a single business entity. With the mergers and acquisitions, the combined companies' operations, work force, financial dealings, research & development facilities and the human resources will work as a single entity. In this document, I have taken the example of Adidas and Reebok merger. Adidas was a German sports goods maker and was the world's second largest after its nearest rival Nike. Reebok was the second biggest sports goods maker in the United States and was the toughest competitors to Nike before the merger. Adidas had a merger with Reebok and the merger was friendly and the deal was around US $ 3.8 billion. Adidas and Reebok before merger Adidas was a premium branded sports equipment maker in the world where as Reebok is a medium segmented sports equipment maker. Adidas has its strong presence around the globe and its distinguished premium branded products are sports shoes, footwear, sport equipment etc. Reebok has captured the diversified products like women apparel, sports apparel and sports equipment at very cheaper prices when compared to Adidas. Mostly, Reebok has captured...
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...Introduction: STP strategy used by Adidas: Segmentation: All successful organizations have outstanding marketing strategies which they segment strategically. The market you sell to is very important to you organization. Companies such as Adidas market to athletes of all ages over the world. Adidas markets to professionals and amateur athletes. The market segmentation plays a key role in the marketing strategy. Each market is unique so the organization has to be careful upon choosing the right one(s). The purpose of market segmentation is to enable the marketer to adjust marketing mixes (product, price, promotion, place) to meet the needs of one or more specific segments. Basically marketers use the market segmentation process to divide big markets into smaller segments according to characteristics of individuals, different groups and locations. Adidas the largest sportswear manufacturer in Europe and the second biggest sportswear manufacturer in the world markets by looking at buying attitudes and buying practices of different people. The sellers design a separate market program for each buyer. Adidas mainly focuses on demographic and psychographic segmentation's. So Adidas develops their brand in 3 different styles of segmentation. Demographic segmentation refers to dividing the market into groups based on demographic variables, such as sex and age. This method has long been used in clothing market. Adidas brands products into range of male, female and kids, according...
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