Nike Case Study

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This paper is a case study of Nike Inc. I will give a brief overview of the history, products, company goals, company challenges, financial report and sourcing strategies. My main sources of information are internet databases, company annual reports, and financial articles.

Company Overview: Nike

Nike incorporated, the world's leading designer and marketer of authentic athletic footwear, apparel, equipment, and accessories for a wide variety of sports and fitness activities, was formed in Oregon in 1968 as the successor to a partnership organized in 1964. This partnership was formed when Philip Knight, who had just graduated for Stanford with a degree in business, contacted Bill Bowerman, his track coach at the
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Nike now has a direct hand in how a product is marketed and displayed. Image is extremely important to Nike and by producing a wholesome image throughout the world, it believe sales will increase.
With the increase of European players in the National Basketball Association, Nike is targeting Europeans aged twenty-two to thirty five. Nike feels its "Just Do It" campaign will be successful all over the world. However, for success in Europe, a different strategy was developed. Europeans are not as driven by physical excellence as are Americans. Therefore, Nike created a new image analogous with the idea that "there is a natural marriage between intellectual and physically pursuits."
In December 1998, Nike announced the formation of a stand alone category business unit for its line of licensed sports products by combining its existing Organized Team Sports (OTS) operation with Sports Specialties Corporation (SSC). The new unit will be named Nike Team Sports (NTS), and will service the retail licensed products marketplace and establish a leadership position in the category. According to Mark Duggan, the director of United States sales, "Relationships with Nike retailers are a key component of" started early in 1999. It also partnered with UPS worldwide Logistics to provide overnight, second-day, and ground delivery services. Nike's outsourcing of logistics services ensured the best, most secure delivery and fulfillment

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