Company Analysis Of Under Armour

Competitors in the industry can wreak havoc on the bottom line for a company. With rivals, a price competition usually ensues, which benefits the customers but hurts the competing businesses that share a common strategy. In reviewing rival sellers, many competitors exist within the sports apparel and footwear industry, but most of them are unable to compete with the industry giants, Nike and Adidas. They are well seated in the industry and their sales reveal this ultimate strength, however, Under Armour is putting pressure on these mammoths. In 2015, global sales of sports clothing and footwear equated to $250 billion, of which Nike grabbed $30.6 billion, Adidas held in its grasp $18.8 billion and Under Armour had a much smaller piece of the pie, at $3.9 billion globally. In reviewing these numbers, it looks like Under Armour is really subpar to the industry giants, but this is not exactly the case. Under Armour in the past couple of

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

Despite Nike playing on the large stage of sport apparel and shoes, another company is rising to the occasion, Under Armour. With growing interest and production, Under Armour is taking the fast track to becoming a big rival to the other sports companies. This group has chosen to research and analyze the stock for Under Armour. Under Armour was chosen as this group’s investment because it had high PE ratio compared to the other companies researched. Research began on October 5th 2015, with a closing price of $101.86. This group invested $10,000 at $101.86 per share, which are approximately 98 shares.

Under Armour’s mission for the past few years has been to provide the world with technologically advanced products engineered with their superior fabric construction, exclusive moisture management and proven innovation. Its products are without doubt the company’s most effective part of the marketing mix. The enterprise, which commenced only with a superior type of t-shirt to take away transpiration and enhance performance, today has a much

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

Under Armour, Inc. is an American company that manufactures footwear, sports gear, and casual apparel for people all around the world. However, the company began offering footwear during the year of 2006. Under Armour was founded by Kevin Plank in the year of 1995, during that time Kevin Plank was a 23-year-old former special teams captain of the University of Maryland football team. Plank had initially started his business from the contents of his grandmother's basement in Washington D.C. He spent his time traveling along the East Coast with nothing but apparel in the trunk of his car. His first official team sale came during the end of 1996 with a $17,000 sale.

Founded in 1996 by University of Maryland graduate Kevin Plank, Under Armour has become the leading supplier of the athletic performance apparel industry. Under Armour began with simple idea to create a t-shirt that would enhance athletic performance by regulating body temperature and removing perspiration

Under Armour is a sports apparel company founded in 1996 by Kevin Plank, a former football player in University of Maryland. The company specializes in sports clothing that compresses and wicks perspiration off the wearer’s skin rather than absorb it. The company uses a mechanistic organizational structure which involves a clear, well-defined, and vertical hierarchies of control. Under Armour’s organization structure is centralized and follows a vertical hierarchy of control and authority.

The company Under Armour(UA), was founded in 1966 by a former University of Maryland football player that goes by the name of Kevin Plank. We know that Under Armour is known for their advanced sportswear, casual apparel company and being the original inventor of performance apparel. The primary focus for Under Armour primary goal is to promote the fitness and nutrition aspects in our society. For example, people use fitness applications to help them track there exercise and nutrition such as Under Armour Record, Mapmyfitness, Endomondo and Myfitnesspal. These fitness applications are directed towards the general health community or individuals with a healthy lifestyle.

An enemies weak spots are natural targets and the flank attack focuses on attacking those natural weak spots through geographic dimensions and segmental dimensions. In this case, Under Armour uses the segmental dimension. The segmental dimension serves the market’s uncovered needs. As a matter of fact, according to the Flank strategy, the purpose of marketing is to discover needs and satisfy them. This is exactly what Under Armour has done and what it continues to do. It has been the fuel that steers this ship to success. Under Armour is deliberately planning its future according to its consumer base. For example, Under Armour is has recently entered the cross-training footwear market by releasing a very specific product which I will explain later in the paper. When CEO Kevin Plank was asked as to why he was pursuing the cross-training category, his answer was simple: “It’s the same reason we went after football cleats, because our customer asked us for it.” (Olson 2008) This marketing concept has not only helped Under Armour grow exponentially, but it has helped Under Armour separate itself from other sportswear giants like Nike. Nike’s philosophy which believes in telling the athlete what’s best for them portrays them as being the loud, stubborn, know-it-all type whereas Under Armour portrays themselves as the player-friendly coach, who listens to its player’s feedback and adjusts its game-plan accordingly.

In the documentary we watched in class "The Naked Brand", Under Armor was one of the company's mentioned. Under Armour came out with a new Green Line of clothes centered around helping the environment. This new line of athletic clothes is made from recycled materials such as plastic water bottles. One important part of Under Amour's company is their sustainability. According to their Mission statement, "At Under Armour, we see environmental and social sustainability as a journey". Another example of an imitative Under Armour took to help the Environment was join the Sustainable Apparel Coalition. In which helps "apparel, footwear, and textiles industry that produces no unnecessary environmental harm and has a positive impact on the people and communities associated with its activities". Companies like Under Armour produce large quantities of apparel so going green and helping the environment is a very proactive way to reach consumers, because who doesn’t want to help the environment?

The rapid success of Under Armour is not a mistake. The company dominates the performance apparel category. According to Founder Kevin Plank, “The mission of Under Armour is to make technically advanced products that are engineered with superior fabric construction, to provide proven innovation available to the masses-aimed at making athletes perform better” (UnderArmour.com). Under Armour uses many marketing initiatives including athlete endorsement, product placement, and popular culture which illustrates the success of Under Armour.

It is a newer company to a highly competitive industry like Nike and Adidas. Under Armour was founded in 1996 and started to offer footwear in 2006. Therefore, the company only has a limited market share in the market According to Trefis Team (2015), “In U.S., from where the company earns nearly 90% of its revenues, the Under Armour brand only has a 2.5% share of the market. Compared to this, Nike has nearly 25% of the global sports footwear market and 60% of the U.S. sports footwear market including the Jordan and Converse brands”. From the rate, we can know that the market share for Under Armour is very little compare to Nike. Some consumer might don’t even know this brand. However, there is high brand recognition for their competitors such as Adidas and Nike. Market share is crucial factor that impact to the business profitability. With a large portion of market share, the company can lead to greater business

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 Inc. is an American sports apparel and accessories company. The company supplies innovative sportswear, footwear and casual apparel to consumers. The company is headquarters is located in Baltimore, Maryland. The company was founded in 1996 by 23-year old Kevin Plank, who was captain on the University of Maryland football team. Kevin saw a need for a more innovative training T-shit because he would have to change out of sweat-soaked ones during practice. So he decided to design a T-Shirt using a micro fiber that would regulate the amount of moisture in the shirt and keep the athlete cool, dry and light. Major competing brands such as Nike and Adidas followed in Kevin’s footsteps and began to manufacture their own version on Under Armour’s microfiber shirts. The company began to receiving public attention when Oakland Raider quarter back Jeff George wearing an Under Armour turtle neck appeared on the front page of UUSA Today. Under Armour then began aligning its self with Universities such as Arizona State University, North Carolina State and other Division I football teams. That same year, Under Armour launched with several new apparel lines including ColdGear, TurfGear, AllseasonGear, and StreetGear. The company received its big break in 1999 when its apparel made an appearance in the Warner Brothers movie Any Given Day. In that same year a brilliant marketing campaign generated close to $750,000 in sales revenue.