The Economic Developments Of Nike And Adidas

There are always two sides two a story, Nike’s is really just one large argument. The argument against is that Nike exploits it’s workers and can set the price of their products as high as they want and the argument for Nike is that it brings billions of dollars into these struggling countries, employs thousands of people, gives these people security, accommodation and food. In our countries Nike’s actions would be illegal but this is the exact reasons that they have shifted manufacturing overseas because of the fact that it is so much cheaper and efficient to produce their goods.

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.

Nike has totally changed the sports footwear and sportswear market. Nike's huge selection of merchandise consists of specialized workout equipment, footwear, clothing, accessories and sports components. Nike is among the world's biggest brands and a leader in the sportswear industry because of their advertising, innovative products and sponsorship of top teams and

Around the world, people of all cultures are increasing their participation in fitness activities. All are motivated by the common desire for athletic and personal excellence. Nike, a simple sneaker company to many newspaper readers is transforming into an international consumer products company. The payoff from overcoming all these challenges can be seen in our 1991 international growth of 80 percent to $862 million in revenues. Nike is the famous franchises in the world that sells sportwear for all ages.nike is also one of the major manufacturers of sport equipment but it is the most famous for their athletic shoes and apparel.

Nike’s mission statement is “To bring inspiration and innovation to every athlete in the world. If you have a body, you are an athlete” (Nike, n.d.). In order to be successful in this, Nike’s business strategy will rely on the sustainable economy and the ability to challenge. The core strengths of Nike are to bring systemic changes in the footwear, apparel and sport equipment industry; create sustainable products and business models; and release potential energy through sports. Nike’s vision is clear: “to help all the customers thrive in a sustainable economy where people, profit and planet are in balance” (Nike).

The biggest competitors for Adidas is Nike. Nike is the worlds-leading brand in athletic footwear and holds 16% of the market share in the industry (Hitesh, 2016). Nike’s scope of operations spans through America, Europe, the Middle East, Africa, and Asia Pacific. They have wide product lines with strong marketing and strong innovation. Nike has in the past come under scrutiny about how their products are made in other countries. They have had acquisitions of using sweatshops to produce their products, which has slightly affected their brand image (Bells et al, and UK

Nike is a major publicly traded sportswear and equipment supplier based in the United States. It is the world 's leading supplier of shoes and apparel and a major

The Nike brand operations are based on internal geographic organization. Each of the Nike Brand geography operates predominantly in one industry: the design, development, marketing and selling of athletic footwear, apparel, and equipment. Effective June 1, 2009, Nike began operating under a new organizational structure for the Nike brand, which consists of the following six geographies: North America, Western Europe, Central & Eastern Europe, Greater China, Japan, and Emerging Markets. In fiscal 2011, non-U.S. sales (including non-U.S. sales of our Other Businesses) accounted for 57% of total revenues, compared to 58% in fiscal 2010 and 2009 [ (Nike , Inc., 2011) ].

However during the last reported years the company kept a stable reserve of cash and increased its short term investments especially in the last year from 5.16 to 8.78 of total assets. While Nike had decreased gross receivable over the years and from 23.1 in FY 08 to 22.6 in FY 09 of total assets, it considerably increased its provisions for doubtful accounts. This might be a precautionary measure on part of the company in the face of the financial crisis the occurred in the last reported year, which eventually resulted in decreasing the company’s net receivables from 22.4 to 21.7 of total assets in FY 09. Nike’s inventory has been slightly fluctuating over the reported years. The clear decrease in the company’s inventory in FY 09 cannot be explained by more sales as sales grew by only 2% as seen from the income statement. Therefore, the less inventory in the last year might be caused by the Company’s slowing down of its manufacturing process for fear of not being to sell its finished goods due to the

The purpose and intent of this paper is to describe the legal, cultural, and ethical challenges that face the Nike Corporation in their global business ventures. This paper will also touch on the roles of the host government and countries where Nike manufactures their products and the author will summarize the strategic and operational challenges that Nike managers face in globalization of the Nike product.

For this final assignment I decided to choose Nike as my company to research. I chose to do Nike because it has always been a place I’ve dreamed of working at. In this project I will discuss and critique things such company and job information, recruiting strategies, interviews, orientation programs and performance management.

Nike is number one athletic shoe of the United States and creates goods for a wide range of sports; they have competition from every sports and sports fashion brand. Initially, Nike had no direct competitors because there was no single brand which could compete directly with Nike 's range of sports until Rebook came along in the 1980s.Now they have competitors like Adidas, Puma and Rebook. The top U.S. made Nike is known as high tech sports shoes.

We decided to choose Nike as our company for this global business project. Nike is ranked 135 in the fortune 500-company list. Nike is the number one sports shoe company in the United States. In the US Nike dominates 35 percent of the sports shoe market, it also holds one of the most recognizable logos in the world, the Nike Swoosh. The majority of Nikes customers, over 50% purchase their merchandise for things other than sporting activities. The mission statement is, “To bring inspiration and innovation to every athlete in the world.” The three countries we looked into for expanding our company internationally were The United Kingdom, Brazil, and Germany. These

When it comes to athletic shoes, the advantage has always been with Nike, Nike have had the larger share of the critical US Market making them a much more dominant force worldwide. 
However in the last year Adidas have added some marketing muscle with the acquisition of Reebok International Ltd, boosting the combined U.S share of No2 Adidas and No3 Reebok to 21 percent, which seems enough to contend with Nike on a larger scale.

In the recent years, it has become almost impossible to obtain certain sneakers (particularly certain styles from Nike and Adidas) due to very high demand with a very limited supply. Because of this, a resale market has been established where these certain styles are sold by people able to obtain them with profit margins ranging from $100-$1000. As a reseller, negotiating the buying and selling price of shoes is something that I deal with on an almost daily basis. Over the past few weeks however, I have been able to apply the tactics learned throughout the course of this class to become a more effective negotiator than I ever was in the past. After a recent shoe release, I was able to actually put my negotiating skills to the test (in hopes of receiving the best possible selling price). The quest for a negotiation began with the acquisition of the Adidas NMD_R1. This particular pair of shoes (with a retail price of $170), like many others, were extremely limited and sold out almost instantly.