Under Armor Case Study

1090 Words5 Pages
Despite multiple potential points of contention within the plan itself, Under Armor should attempt to build the new complex at Port Covington. With steady growth and revenue generation, now is the perfect chance to rise up and truly compete with Nike for the number one sports apparel brand. The creation of this facility is the personification of that effort. This is a huge investment on the part of Under Armor, and should not be taken lightly, but it will pay dividends for Under Armor and Baltimore at large. One of Under Armor’s biggest monikers is its commitment to its home, Baltimore. The strengths of building the new facility at Port Covington reflect that philosophy. First and foremost, the facility does not displace any existing residents…show more content…
Recently, Baltimore approved a $660 million loan to Under Armor, specifically to pay for public infrastructure to and from Port Covington. This includes a potential plan to build a light rail to the area. This shows the commitment to Baltimore is a two-way street. Baltimore wants to keep Under Armor's base in the city, and is willing to work with Under Armor to accomplish that goal, including the aforementioned loan it just approved. This is a mutually beneficial arrangement, especially with Baltimore's proximity to Washington D.C, a relatively close metropolitan hub that will bring more people to Baltimore. The highway I-95 runs right from Washington straight through Baltimore, right near Covington Port, which only makes it easier for those from out of town to come to the Under Armor facility. And, if potential customers are coming to the Port Covington facility for Under Armor, they may spread out across Baltimore and spend more money throughout the city. There are numerous opportunities that the Port Covington facility provides to both Baltimore and Under Armor, but it is not all smooth…show more content…
Firstly, while Baltimore did approve the loan to create infrastructure, none exists at the moment. If the facility is built before the infrastructure finishes, it could create massive traffic flow problems for the city. This will not only bottle up the flow of traffic across southern Baltimore, but it will also decrease access for most of the residents of Baltimore, dissuading them from coming to the facility. This is especially true, if there is limited parking in the area. Limited parking and no public transport does not make a very great transportation scenario. The significant investment from Baltimore is also being protested by many in Baltimore. They argue the resources being invested in the area will not be fairly redistributed to the rest of Baltimore, similarly to an Inner Harbor 2.0. The money will not "trickle down", and the poor of Baltimore will be in the same situation, if not worse. They argue that the only beneficiaries of the new facility are those who live more than comfortable lifestyles already, not the people in Baltimore that are truly suffering. This is only perpetuated by the racial tensions recently thrust into the national spotlight by the Freddie Grey case and the Baltimore riots. However, these racial tensions seemed to have eased over the past year, and while not perfect, are
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