Nike Case Study Essay

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Nike Case Study

1.) List the various macro-environmental factors that influence Nike’s strategy. Which seem most pertinent?

The macro-environmental factors that influence Nike’s strategy include culture, demographics, social issues, technological advances, economic situation, and political and regulatory environment. Culture is the shared meanings, beliefs, morals, values and customs of a group of people. In America, Nike has become an industry leader that influences our cultural practices. It is widely accepted as the premier retail brand by all age groups. Nike has done a great job of advertising to various generational cohorts and expanding its brand. Nike’s distinguishable products have become a household name on the …show more content…

Technological advances have improved the value of products for Nike. This factor has advanced Nike greatly in the past few decades and continues to grow. Nike has been able to use technological advancements to improve and market its product, and improve conditions in the production along the way. Nike is able to use the new “3-D” sewing machines to avoid increased amounts of toxic adhesive glues that were once used. By using the new methods, Nike is able to appeal to the “green” consumers that want to wear their shoes and not worry about the harmful production of it. Nike also offers consumers the option to customize their own shoes through the use of the Internet and NikeiD software. Users can select their color and style options and Nike will manufacture the shoe to their specifications. This technological advancement allows consumers to feel like they are part of the design process, which creates value for the consumer.
The current economic situation affects the way consumers spend money. Consumers may not spend as much money during tough economic times. Nike shoes are often viewed as a luxury. Because of this, consumers may be more willing to purchase discounted or generic brands.

Political and regulatory environmental factors are comprised of political parties, government organizations, legislation, and laws. In this case legislation requires Nike to

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