Nike - Recent Enviromental Changes, Internal Strengths And Weakness

Nike, Inc. is an American multinational corporation that is engaged in the design, development and worldwide marketing and selling of footwear, apparel, equipment, accessories and services. The company is headquartered near Beaverton, Oregon, in the Portland metropolitan area. It is the world 's leading supplier of athletic shoes and apparel and a major manufacturer of sports equipment, with revenue in excess of US$24.1 billion in its fiscal year 2012 (ending May 31, 2012). As of 2012, it employed more than 44,000 people worldwide. The brand alone is valued at $10.7 Billion making it the most valuable brand among sports businesses. Nike and Precision Castparts are the only Fortune

NIKE, Inc., is a company that was founded in by William Jay Bowerman and Philip H. Knight in 1964, and was originally called Blue Ribbon Sports, Inc. It’s name was changed to Nike, Inc. in 1971. It’s base of operation is located in Beaverton, Oregon. NIKE, Inc., is the world’s leading designer, marketer and distributor of authentic athletic footwear, apparel, equipment and accessories for a wide variety of sports and fitness activities worldwide. Entirely owned Nike subsidiaries include Converse Inc., a brand that develops, advertises, and sells athletic apparel and accessories; and also Hurley International LLC, which designs, markets and sells surf and youth lifestyle clothing and many different accessories. Its athletic footwear products are designed primarily for specific athletic use, although a large percentage of the products are worn for casual or leisure purposes. Nike offers products in many different categories such as men’s/women’s training, running, basketball, golf, and more. The company also sells products designed for children and youth athletic activities such as baseball, cricket, lacrosse, outdoor activities, football, tennis, volleyball, walking, and wrestling. Also, Nike sells sports apparel and accessories; and markets apparel with licensed college and professional team and league logos. Further, it sells a line of performance equipment and accessories, including sports bags, balls, eyewear, digital devices, bats, gloves, protective equipment, golf

In this project, I have chosen to provide a microeconomic-based analysis on NIKE Inc. The study will include the analytic overview of the general market of Nike brand, as well as the information about the goods, service, and areas of operation. Throughout the research of this paper, I will discuss the cost of production, as well as the supply and demand in relation to microeconomics. Moreover, we will look at how supply and demand of this market regulates the equilibrium of quantity and price, as well as the economical efficiencies where the surplus for consumer and producer is maximized. Information will be explored to understand why businesses and people make decisions and how those actions we can be used for strategy. To conclude this research paper, I will take a deeper look and make recommendations for the future profitability, future growth and sustainability of NIKE Inc. (Hubbard & Obrien, 2015).

Today Nike Inc is the largest manufacturer of sports footwear, apparel and equipment with worldwide revenue in excess of $25 billion in 2012 under various labels including Nike, Nike Golf, Converse and Hurley. Seventy percent of the company’s value is derived from footwear and apparel sold under the main brand Nike with Nike footwear commanding a market share

To conduct this study on Nike I used a mix of primary sources, books, and websites that are all dedicated to Nike Brand’s past and present history. All of the sources I used have proven to be credible in the sneakerhead world and are sources that Nike will leak information to so they can publish it and make it known to everyone it may interest. Additionally, I used a connection I have with the District Loss Prevention Manager at Nike, Inc for the greater New York City Area to obtain an interview in order to gain insight into why Nike conducts limited releases the way they do. To protect his identity, for this paper I will be referring to him as “Bill Harris” as he provided me with insider information that is classified and

“Today, Nike continues to seek new and innovative ways to develop superior athletic products, and creative methods to communicate directly with our consumers. The company has continued to expand in new ways, including strong growth in China and a deal to become the official sponsor of the National Football League (NFL) beginning in 2012" (Nike, 2013). “The company recorded revenues of $24,128 million during the financial year ended May 2012(FY2012), an increase of 15.7% over FY2011.The net profit was $2,223 million in FY2012, an increase of 4.2% over FY2011” (NIKE Inc., 2013). Nike continues to lead the competition, with many changes and ever-evolving products, ethical issues, and struggles within its organization along the way. In the words of Mark Parker, Nike's President and CEO, “At NIKE, Inc. we run a complete offense, and it’s based on a core commitment to innovation. That’s how we stay opportunistic, serve the athlete, reward our

Nike has made great strides in increasing its local community impact both in the US and in foreign communities

Nike, Inc. which is based in Beaverton, Oregon is the biggest and most successful brand in retail and sports. (History of Nike – KicksOnFire.com).The brand is so successful that it holds over 60% market share in the industry. Nike was first known as Blue Ribbon Sports and was established in 1964. It was originally deal by a Japanese shoe maker Onitsuka Tiger (now known as ASICS). It only formally become Nike Inc. in 1971. It was started by a track and field coach, Bill Bowerman and Phil Knight, a runner from Portland who was enrolled in the University of Oregon. (Business Insider, 2014) Till date, The Nike Global team has employees in six continents and around 53 countries. They have more than 750 stores around the globe (Company Profile –

Nike, Inc. (IPA: / 'naɪki/) (NYSE: NKE) is a major publicly traded sportswear and equipment supplier based in the United States. The company is headquartered in Beaverton, near the Portland metropolitan area of Oregon. It is the world 's leading supplier of athletic shoes and apparel and a major manufacturer of sports equipment with revenue in excess of $18.6 billion USD in its fiscal year 2008 (ending May 31, 2008). As of 2008, it employed more than 30,000 people worldwide. Nike and Precision Castparts are the only Fortune 500 companies headquartered in the state of Oregon, according to The Oregonian. HISTORY OF NIKE The company 's clothing and shoe designs typically feature three parallel bars, and the same motif is incorporated into

In the second stage of product life cycle it was seen that in the latest 1980s the market for fashionable and casual shoes was higher than the market for high priced performance shoes. For that reason Nike’s target market should have been focused not only to athletes but also to teenagers who are the most important one. By observing the market demand from teenagers Nike began to develop its target market to younger consumers because of the stiff competition that it faced from Reebok and Adidas. Therefore, for this company it was the shift from a brand of sneakers to a product useful to the sports culture. This was the stage that Nike brand positioned themselves powerful in the race of biggest names like Coca- Cola, Procter & Gamble and Gillette. It was obvious that consumers were willing to pay more for the image that brand created rather than the quality, reliability and style than the product offered to them. By these terms they were entering strong in the market by expanding more with higher prices and generating more revenue than their competitors did until

Thus, Nike began to persuade its suppliers to relocate their operations to other, lower-cost countries. The company suppliers opened new manufacturing plants in Indonesia, China and Vietnam. By guaranteeing a significant number of orders and by placing Nike employees at these new factories to help monitor product quality and production processes, Nike could help its lead vendors establish an extensive network of footwear factories throughout Southeast Asia. Today, Nike’s products are manufactured in more than 700 factories, employing over 500,000 workers in 51 countries. Nike has only 22,658 direct employees, the clear majority working in the United States. Over the years, Nike has broadened its product range. Whereas in 1980, Nike sold 175 different styles of shoes, it offered 772 different styles in its Spring 1990 collection and almost 1200 different styles in its Spring 2000 collection.11 Nike has also moved into other sectors (apparel and sports equipment) and expanded its sales beyond the United States into Europe, Latin America and

To achieve the growth of Nike, they have to create business models that can more than the usual ones. They have to create them in such a way that the natural word also grows on its limitations. Nike has to make the branch standard. To reach better working conditions Nike has a collaboration with the company ‘Fair Labor Association’. This interaction will help Nike to make some things better such as the quality, consistency and the efficiency of Nikes efforts. Manufacturing and materials are important things to achieve the goals. Nike also has to make partnerships to achieve its goals.

Nike, Inc. is an American multinational corporation that is in design, development, manufacturing, and worldwide marketing and sales of footwear, apparel, equipment, accessories, and services. The company is headquartered near Beaverton, Oregon, in the Portland metropolitan area. The company was founded on January 25, 1964, as Blue Ribbon Sports, by Bill Bowerman and Phil Knight, and officially became Nike, Inc. on May 30, 1971.Nike has been present in India since 1996. It has around 200 stores at present in India, which currently operates through a network of local distributors and retail partners.

The final pillar of advantage involves the responsiveness of Nike to societal problems. Nike has several initiatives which are a big part of the company’s corporate social responsibility policy outlined in the community investment report at located at Nikeresponsibility.com. The creation of Nikeresponsibility.com provides the company a leadership role on social issues related to workers, contract factories, code of conduct of employees and sponsorships, standards for fair labor practices and environmental quality (Nikeresponsibility.com, 2017). The company has committed $40 million to physical activities for children, $10 million for community grants and four million for human rights and cross-cultural issues (Nikeresponsibility.com, 2017). The commitment to excellence is evident in Nike twitter communication.

Many global companies like Nike, Inc. are seen as role models both in the market place as well as in society in large. That is why they are expected to act responsibly in their dealings with humanity and the natural world. Nike benefits from the global sourcing opportunities, therefore areas such as production and logistics have been outsourced to partner companies in low-wage countries like China, Vietnam, Indonesia and Thailand. As a result the company is limited nowadays to its core competencies of Design and Marketing.