Advertising and Reebok

This paper introduces the basic situation and feathers of current athletic and casual footwear industry and raises that active management of

Athletic footwear cannot be designed to cater to a large group as in general. It has to produceits products with a distinct difference keeping in mind the age groups or usage groups it isintending to target.

Footwear International is a multinational manufacturer and marketer of footwear that has 83 companies in 70 different countries. One of these locations is

Nike is one of the biggest footwear and apparel manufacturing companies in the word. The company came into existence in 1964 by Bill Boweman and Phil Knight and named it as the Blue Ribbon Sports. The company changed the name to Nike, which is Greek word meaning victory, in 1972 after producing a good brand of shoes that became popular among the athletes (NIKE, Inc., 2001). Since then, the company has been successful, dominating the world market of athletic shoes. The company’s products are sold in more than 170 countries across the world. The company also sponsors various sports events at national and international levels. The company slogan “just do it” is catchy and attract many people tom

The concept of market structures and competitive strategies are important when attempting to compete in any market. Understanding what market structure your product falls under can help companies develop better competitive strategies and identify potential for loss and gains. The athletic footwear industry in the United States is highly profitable and continuously growing. In this paper I will identify market structure of the athletic footwear industry, the major retailers, and competitive strategies that can be used to maximize profits.

Customers make purchasing decisions based on the information they have among products and the values of goods a company offers. For that reason, companies have to promote their products to increase products awareness. In order to achieve organizational goals, companies must understand the market’s needs to ensure the success of their businesses. Such information can be gained through research. The industry that will form the basis of this paper is Western Canadian Shoe Association. The three brands under study are Reebok, Adidas, and Nike.

There are other footwear’s that provide the same level of comfort and satisfaction such as the shoes designed by Nike, Adidas, Bata etc. as well as sell at a competitive price.

Since the NFL has developed a strategic alliance with Reebok, they have released nothing but good quality jerseys and products over the years. Because of the great quality jerseys the NFL has now, it makes it hard for counterfeiters to duplicate them exactly like the official jerseys and with the more technology increases it will make it harder for them to come close to the original jerseys. There are NFL players that have shoe deals with Nike and Under Armour, how do you they able to wear other brands if Reebok is responsible for their shoes?

As the brand name of Nike continue to soar, other companies in the industry; learning from the success Nike has experienced, start focusing more on brand development to keep up with the increasing levels of competition. These companies resort to brand maintenance, which has become the main target in this industry due to product differentiation made by Nike. Nike, being market-advantaged, produces an extensive range of products, through which it gains a balanced level of profits. This has influenced rival companies to initiate a new range of products in their businesses too. Previously these companies had high risks of failing in business, if their single products did not appeal to the market. Due to the impact of Nike’s business strategy, the other companies are also enlarging their product range,

By the use of Porter’s Five Forces model to analysis the athletic footwear market around the world; our strategy is to cut the price of footwear in the Year 11 and 12, and to increase budget of advertisement and to bid celebrity endorsements in order to boost the sales volume in a competitive industry .

Nike subcontracts the production process of its footwear to 900 contract factories located worldwide with Asian developing countries such as China, Indonesia and Vietnam accounting for the bulk of total world production. Production of the footwear is based on a vertically integrated model. In the primary stage, raw materials such as rubber, leather and plastic are extracted from places located in close proximity from the factories. In the secondary stage, the extracted resources are sent to the factories or “Sweatshops” for manufacturing. It should be noted that the whole production process of Nike footwear are being carried out by independent private contractors.

Sports footwear and apparel expected will growth in future as customers cannot substitute these products. However, ASICS have to implement or produce with more high technology product to enhance

The athletic shoe industry will be first analyzed by the Porter’s Five Forces framework. The well-known Porter’s Five Forces is a model that analyzes an industry and helps firms develop a business strategy. The five forces model focuses on six forces that will determine the attractiveness of this industry: (1) the risk of entry by potential competitors, (2) the intensity of rivalry among established companies within an industry, (3) the bargaining power of buyers, (4) the bargaining power of suppliers, (5) the closeness of substitutes to an industry 's products, and (6) the power of complement providers (Hill, Jones, & Schilling, 2015).

The athletic footwear industry includes all producers of shoes designed in an athletic style or for an athletic use. We define the active footwear industry as an industry that manufactures shoes for active lifestyles. The primary focus of this analysis is on the United States market as it represents roughly 32% of the overall footwear market (PRWeb,

The athletic footwear industry consists of shoes for a variety of uses. Running, walking, aerobic, hiking, biking, gym, and shoes for various sports are considered athletic footwear. The athletic footwear forecasted to grow at a CAGR of 2.1% between 2016 and 2022. The demand for athletic footwear will continue to increase over the next seven years. This demand is fueled by the change in populations around the world. The increase in urbanization will continue to increase the demand for athletic footwear.