Company History And How Under Armour Entered Market Based On Its Overall Business Strategy

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I. Introduction For my individual case analysis paper, I choose to research more about Under Armour. Throughout this paper I will touch on the company history and how Under Armour entered the market based on its overall business strategy. My analysis starts by looking at the company’s strengths, weaknesses, threats and opportunities. Secondly my analysis will focus on Porter’s five forces model in relation to the company. I will conclude my analysis with a proposal that I believe will help Under Armour strive to become the market share leader in the athletic industry worldwide. II. Company History Under Armour is one of the top athletic wear companies in the world next to Nike. The company was created by a University of Maryland football…show more content…
Elite athletes, such as Tom Brady, Michael Phelps, and Lindsey Vonn, proudly support and wear Under Armour products. III. Company Strategy As we learned in Chapter 1, a company’s strategy is the action plan for outperforming its competitors and achieving superior profitability through actions to gain sale and market share via better features, superior designs, and higher quality products (Gamble 2). There are several key factors that impact Under Armour’s business strategy. They continue to increase their distribution, use professional athletes as their spokespersons and stay relevant in the market by investing heavily in R&D to produce new products. Under Armour competes with their competitors utilizing a differentiation strategy to gain sales and market share. We learned in chapter 5 of our text book, that a differentiation strategy is a strategy that seeks to produce a competitive edge by incorporating attributes and features that set a company’s product or service offering apart from rivals in ways that buyers consider valuable and worth paying for (Gamble 112). Under Amour gained first movers advantage when they were the first to produce a shirt material that kept athletes cool and dry while still being lightweight. When entering the market their product differentiation proved to the market that they were a top competitor in the sports apparel industry, and not the perceived underdog that the market expected. The Under Armour brand is perceived by

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