CASEA11 robinsonderrick Essay

Under Armour, Nike and Adidas are the top three brands known worldwide. These three companies were able to gain a strong brand to make a name for themselves in the sports apparel market today. On the other hand, Under Armour has become one of the top leading distributing companies to offer athletic apparel, footwear amongst many other things. “In 2013, Under Armour had a 14.7 percent share of the U.S market, compared quite favorably with Nike’s 27 percent market share and Adidas’s 7.4 percent market share.” (C-50) However, the company’s path of success can come crashing down as you take a look

Under Armour’s business strategy towards market segmentation is broken down into three different basis; Age, Gender, Uses. The first major market segmentation is by age, different age groups demand different products and Under Armour has produced certain merchandise to appeal to each generation. The second is Gender, both male and female respectively make up roughly 50% of the market equally.To appeal to females UA produces apparel in brighter colo, as a fashion forward athletic wear. While for males they they cater toward masculine vibe of tight fitting and resistant to wear and tear. Lastly, UA segments by the range of uses for their products.

The also place a big emphasizes on the Under Armour logo and pushed for brand recognition. Under Armour became the official uniform sponsor for many colleges and sport teams. Under Armour’s strategy was to design and make varies styles of sports apparel with their moisture-wicking fabrics to satisfy the needs of athletes of all levels and all sports. Their growth strategy was to continue to expand on the products they offered their consumers. They wanted to create more products that encompassed several sports and activities. By doing this they would be targeting additional consumers with their new performance products. Part of the growth strategy was to expand sales in foreign countries, become a global competitor in sports apparel and strengthening the appeal of their products and brand

There is a high threat of substitutes in the athletic gear industry especially when competing with companies such as Nike and Adidas who have been around much longer, have the funds to continuously innovate their products and already hold a large market share. Under Armour has used “authenticity” as it’s guiding principle to grow the company and advertise their products, but if they wish to be the number one brand of athletic gear they will have to appeal to people who are also concerned with the look of the product and not just performance. According to research done by NPD Group, almost 80 percent of activewear is used for non-sports activities. “Under Armour will need to find a

Under Armour’s (UA) current CEO Kevin Kant founded the company in 1996, which has witnessed the company grow in recent years to become a key player in the sporting gear and apparel industry. UA focuses its products and marketing efforts towards the youth, men, and women. The amount of resources that are allocated to each group of customers differs in that initially, UA primary source of revenue was from men even if youth and women products were also produced and sold. The specificity of UA’s products and their sporting activities selectivity can be attributed to UA’s limited global market share in the sporting gear and apparel industry. The company’s mission statement is inspiring, but in order to gain competitive advantages against larger

Under Armour faces intense competition such as Nike and Adidas. They play an important role in sportswear products, and have a strong market outside North America where Under Armour has a limited presence in international market (Trefis

Under Armour’s continuous focus on innovation to develop products based on the growing needs and preferences of consumers has helped it to become a fully integrated athletic brand servicing all the needs of athletes. For instance, in 2011, the company introduced Charged Cotton products, which are made from natural cotton but perform like synthetic products and dry faster. Strom Fleece product line with a water-resistant that repels water, without stifling airflow was one of the innovation of Under Armour. In 2012, the company launched coldblack

Describe a firm you think has been highly innovative. Which of the four types of innovation—radical, incremental, disruptive, or architectural—did it use? Did the firm use different types over time?

Under Armour is in the Textile- Apparel Clothing industry, in the consumer goods sector. The market has been driven by economic recovery, new product offerings and a

As the word of mouth for the growing product line of Under Armour started to stretch past the locker room, the message was soon received by friends of friends and then their friends and so on. Under Armour's brand visibility started to spread as more and more collegiate athletic trainers and athletes started actively seeking out the product. Soon demand flourished (Mullman, 2009). This word of mouth buzz was perfectly aligned with the marketing strategy put in place by Plank and his staff.

Q1. How has 3M’s innovation process evolved since the company was founded? Why, if at all, does 3M, known as the “hothouse” of innovation, need to regain historic closeness to the customer?

Under Armour is currently one of the leading companies in the sports apparel industry whose mission is to “Make all athletes better through passion, science, and the relentless pursuit of innovation”.1 When Under Armour first broke into the sports apparel industry it was a disruptive pioneer that initially made the two giants, Nike and Adidas, a little weary. Under Armour revolutionized the sports apparel industry by creating apparel that used synthetic materials as an alternative to natural fibers, such as cotton, or other materials, such as polyester. This all-important switch to these materials resulted in a 2“shirt that provided compression and wicked perspiration off your skin rather than absorb it. A

Under Armour 's mission is to have all athletes better with passion, design and innovation.

With Under Armour being a relatively large corporation, the implementation of this strategy will require a substantial amount of workers and highly collaborative effort between the different departments. In our $71 million expansion of the

Under Armour, Inc. is a sports company globally headquartered in Baltimore, Maryland (Terry, 2005). First started in 1st July 1996, the company aims to create its own brand of performance clothing, footgear and accessories, advertise it in the market, and distribute it throughout the world. Under Armour targets men, women and youth, and creates products in many forms and patterns to cater to the preferences of their varied audience. With a goal to internationalize, its products are also designed to function in varied weather conditions and have a clear focus on performance, unlike classic products. Under Armour operates across four geographical sections namely North America, comprising the United States and Canada; Europe, the Middle East and Africa (EMEA); Asia and Latin America, with each section focusing mainly on one industry. With its famous motto “Protect This House”, the Under Armour brand is an encouragement to all who don their products to not give up and aim for a win. This essay will analyze Under Armour’s business operating environment using PESTEL and Porter’s Five Forces to forecast the challenges that the firm might face in the near future and provide recommendations to overcome these challenges.