Corporate Strategy of Adidas

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Corporate Strategy Of Adidas SCOPE OF THE FIRM VERTICAL INTEGRATION STRATEGIES (EXISTING MARKET/ DIFFERENT STAGE OF PRODUCTION) A vertical integration strategy describes “The degree to which a firm owns its upstream suppliers and its downstream buyers” (Blackwell Reference Online, Vertical Integration Strategy). The purpose of vertical integration is to increase the control of the stages of development. In the early beginnings Adidas produced all the shoes and apparel on its own. Through the huge expansion in the last decades Adidas does not produce all their apparel on its own. Today Adidas owns 9 own factories where it produces some of its products. Further, it has around 615 main suppliers from all over the world. Production is…show more content…
Employee& Public Opinion: There can be negative perceptions with outsourcing and the sympathy of lost jobs. GEOGRAPHICAL SCOPE Adidas AG is a German sports apparel manufacturer and parent company of the Adidas Group selling its products in more than 150 countries around the world. Adidas is a multinational company because aside from its main parent headquarters Herzogenaurach, Germany, it has set up regional headquarters in other countries, such as United States of America, China, Indonesia, Great Britain, Middle East and so on. Such a globalized company has profound effects on the company itself and the host countries. Adidas Inc. is a marketer of sports apparel and athletic shoes. The German manufacturer, through its marketing strategy which rests on a favorable brand image, has evolved into a large multinational enterprise. “For over 80 years, Adidas has been part of the world of sports on every level, delivering state of-the-art sports footwear, apparel and accessories. Today, Adidas is a global leader not only in the shoe industry, but also in the sporting goods industry. Shoes from the Adidas are available in virtually every country of the world. A strong advertising and public relation events makes Adidas as a worldwide recognized brand and it would be more sustainable in the world market. The company is the largest sportswear manufacturer in Europe and the second biggest sportswear manufacturer in the world, to its US rival Nike. But it still has the
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