Adidas Case

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Adidas Case

1. To evaluate the competitive environment in which adidas launched the “mi adidas” pilot I will use the five competitive forces model.

|Competitive Force |IT Influence on Competitive Force |
|Threat of New Entrants |LOW - The main brands in the market (Nike, New Balance, and Adidas) have already |
| |launched their respective MC programs with Reebok just offering customization for|
| |running shoes. Additionally, two other brands that adopted a MC initiative have |
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• Consumer turnout varied according to retail store commitment.

• Individual preferences varied across different European countries creating the need of further research.

• IT challenges like systems synchronization, sales system capable of processing individually customized shoes, systems for distribution organization, or CRM capturing data.

• Sample rooms at factories had limited space, format was not designed for volume scale effects, and workers lacked training and language capabilities to handle production according to detailed written product specifications.

• Provisioning material was time consuming and special material provisioning resulted in higher inventory costs.

• There was no marketing budget designated for the program.

• Personnel was granted on a goodwill basis, a team needed to be set apart for the program.

4. Rolf Reinshmidt had to decide if he wanted to withdraw, maintain, or expand.

a) Withdraw - The company would keep the current business strategy; however, IT would have to aid with the withdrawal. To start, it would have to find a way to store the information from the customers that have used the MC solution. This data is valuable and may be used for future programs. Additionally, IT should have to reclaim the Footscan Units from retailers. Finally, they would have

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