Nike Business Analysis Essay

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IV. Marketing strategy
As a leading athletic brand in the world, much of Nike’s success can be attributed to its shrewd marketing strategy. As reported in its 2009-2010 Annual report, because NIKE is a consumer products company, “the relative popularity of various sports and fitness activities and changing design trends affect the demand for our products”. Therefore, Nike must “respond to trends and shifts in consumer preferences by adjusting the mix of existing product offerings, developing new products, styles and categories, and influencing sports and fitness preferences through aggressive marketing”. In fiscal year of 2009, Nike’s demand creation expense, which consists of advertising and promotion expenses, including costs of
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Nike, as shown in FY 07-09 CR report, is well aware of its environmental responsibility. Highly committed itself to creating extraordinary performance products for athletes while managing our business within nature’s limits, Nike developed its own North Star to define what sustainable products and a sustainable company would look like: * Healthy chemistry: Minimize the impact of product ingredients throughout the life cycle * Climate stability: Provide leadership toward climate stability * Water stewardship: Borrow water responsibly and return it clean to communities * Closing the Loop: Product creation to allow for material recovery or safe return to nature * Thriving communities: Enable all our stakeholders along our value chain to meet their needs and lead fulfilling lives * Game changers: Educate, challenge and empower athletes to join the sustainability journey
To achieve its goal, Nike has broken it into a number of smaller attainable steps. For example: * Product design: Internally, Nike mobilizes its human resources to influence the development of short-, mid-, and long rang projects that make progress towards closed-loop product. Externally, Nike actively posts
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