Nike 's Aggressive Marketing And Pricing Approach

Innovation: In such a mature and competitive industry, continuous innovation is crucial to the success of the company as it gives a unique selling point that rivals do not have. Both product and process innovation are Nike’s

Nike is the leading and yet renowned supplier of athletic apparel and shoes. The company controls close to 33% of the global athletic shoe market (Dogiamis & Vijayashanker,2009).Nike was founded by Bill Power and Phil Knight in 1962 as a Blue Ribbon Support and then was later on renamed to Nike in the year 1968 (Patrow,2003).The company supplies very high quality product in close to 100 countries with major markets being located in the U.S,U,K, Asia Pacific as well as in the Americas. The company has managed to attain its lead and legendary position via the application of innovative and yet attractive product design which is backed by quality production as well as well crafted marketing strategies.

The aim of this paper is to use the “Nike - The art of selling air.” case study and concepts from strategic marketing theory to identify marketing challenges and how those challenges could be best addressed using marketing principles. The paper will:

As the brand name of Nike continue to soar, other companies in the industry; learning from the success Nike has experienced, start focusing more on brand development to keep up with the increasing levels of competition. These companies resort to brand maintenance, which has become the main target in this industry due to product differentiation made by Nike. Nike, being market-advantaged, produces an extensive range of products, through which it gains a balanced level of profits. This has influenced rival companies to initiate a new range of products in their businesses too. Previously these companies had high risks of failing in business, if their single products did not appeal to the market. Due to the impact of Nike’s business strategy, the other companies are also enlarging their product range,

Nike is one of the largest athletic retailers in the world and the most important lessons learned when studying the successful brand include focusing on building a strong brand and the implementation of innovations. What is the first thing that comes to mind when you say or hear the word Nike? Just Do It! Swoosh! Kobe Bryant. Air Jordan’s, maybe? Well those are just a few of the many ways in which Nike has successfully managed to grow its brand. The prevalence of the Just Do It! tagline, along with the Nike swoosh, has allowed its customers to identify the brand without Nike having to say it continuously. Nike has managed to create strong emotional ties through the constant use of imagery and messages.

Nike as one of the most popular brand among sports always has gone a step forward in the pursuit of meeting the needs of its athletes. The high technology used in its products is something that can be seen in the performance of these products. Nike strives to take chances in innovation so that they can exceed limitations and do what was previously

This Capstone paper will explore the challenges inside the business arena of superpower, Nike, Inc. (Nike). Statements and references within this paper are supported with information gained through extensive research of business journals, financial reports, and various other news sources. The author will describe business and marketing challenges inherent in the world of sportswear and sporting goods manufacturing and more specifically, some that Nike has directly faced and overcome. From a very humble beginning in 1964, Nike has grown into a worldwide multi-billion-dollar company that sets the bar as leader of the sportswear and athletic shoe industry (Forbes, 2016). This paper will examine how Nike has become the industry leader and most

The company I am presenting is Nike which was founded in 1965 by the athlete Phil Knight. Nike is a well known brand which is selling its products worldwide and has 36% of the market share.

Nike is known as one of the most consistently innovative companies for its technologically advanced products. As Nike stated, Innovation is the company’s heart in its business growth strategy because it helps them to become more sustainable company and to keep up with the competition and customer demands (nikeandunderarmour.com, 2015). Therefore, Nike vision innovation is a key business success of the company. It invests

After 2006, Nike caught up with the Adidas in global market share. It’s all thanks to Nike’s ability to find new alternative ways of brand management such as digital distribution with YouTube or individual partnerships with players that lead to Nike catching up when it did not have the rights to market extensively on the worlds biggest stage.

Since being founded in 1962, Nike has grown from a small fledgling shoe retailer into a world-wide corporate giant. During its first year, sales for Nike were $8000, but as of November 30th, annual sales for Nike were over 12 billion dollars. (hoover) Although Nike already dominates the sporting world, there are many opportunities for growth. According to our research, key strategic challenges facing Nike are increased competition from Adidas with their technological shoe, the Adidas One, and a potentially fatal inability to enter a new growth market such as the extreme sports market. Our recommendations to help Nike confront these challenges consist of developing a product to remain competitive with Adidas, and also an aggressive

Nike has seldom manufactured products own premises, except their air bladders. The shoes are manufactured through outsourcing and alliances with other companies. A successful company like Nike formed its organization on the customer values that have the MOST impact on the consumers mind – Design/R&D, Marketing and Distribution. Even though manufacturing is a vital function to perform, Nike realized that there were other ways to go about this function and thereby save both cost and maintain its focus on the critical customer value areas.

Competition is very fierce due to the number of companies competing for sales. Lots of money goes to marketing and promotions using various channels to reach the young demographic group of consumers who spend the most money on Nike’s products. Growth is slowing down in the athletic footwear industry. But new markets are emerging with high growth rates. These markets include extreme sports market and the corporate merchandise market.

One of Nike’s main opportunities is product development. Developing their product range makes them more competitive and because products tend to go out of fashion quickly, Nike must introduce new products relatively fast because consumer demand the newest and latest products. Increase in internet shopping will no doubt reduce the cost and improve prices making them even more competitive.

Nike’s recent decline in market share and stock can be attributed to changing trends in consumer spending habits and apparel tastes. Nike can re-establish a competitive advantage in the short-run by implementing an innovative design team and brand ambassador. Long-run competitive advantage can be achieved by fully committing to a sustainable innovative business model or by incorporating innovative technology trends into their retail structure.