PepsiCo - 2009

Nike, Inc. - 2009

Case Notes Prepared by: Dr. Mernoush Banton

Case Author: Randy HarrisA.

Case Abstract

Nike, Inc. (www.nike.com) is a comprehensive strategic management case that includes the companys fiscal May 31st, 2009 financial statements, competitor information and more. The case time setting is the year 2009. Sufficient internal and external data are provided to enable students to evaluate current strategies and recommend a three-year strategic plan for the company. Headquartered in Beaverton, Oregon, Nike is traded on the New York Stock Exchange under ticker symbol NKE. B. Vision Statement (Actual)

Bring inspiration and innovation to every athlete in the world.

C. Mission Statement (Actual)

To be the leading sports brand in the world.

Mission Statement (Proposed)

As the largest seller of athletic footwear and athletic apparel in the world (2, 3), we create products for consumers and athletics (1) who enjoy having quality products that are high performance and reliable such as shoes, apparel, and technologically advanced equipment) (4). Our dedicated employees (9) continuously work on developing new products, price, and product identity through marketing and promotion (7). The company aims to lead in corporate citizenship (8) through proactive programs that reflect caring for the world family of Nike (6) and by ensuring continuous growth and profitability to our investors and stakeholders (5).1. Customer

2. Products or services

3. Markets

4. Technology

5. Concern for survival, profitability, growth

6. Philosophy

7. Self-concept

8. Concern for public image

9. Concern for employees

D.External Audit

CPM Competitive Profile MatrixNikeAdidasPuma

Critical Success FactorsWeightRatingWeighted ScoreRatingWeighted ScoreRatingWeighted Score

Price competitiveness0.1030.3020.2010.10

Global Expansion0.0740.2830.2120.14

Organizational Structure0.0430.1210.0410.04

Technology0.0930.2710.0920.18

Product Safety0.1520.3030.4540.60

Customer Loyalty0.0940.3630.2720.18

Market Share0.0940.3630.2720.18

Advertising0.1240.4830.3620.24

Product Quality0.1230.3620.2410.12

Product Image0.0740.2830.2120.14

Financial Position0.0640.2430.1820.12

Total1.003.352.522.04

Opportunities

1. Younger consumers are less price sensitive and generally spend more on casual and athletic footwear than older consumers2. Most footwear companies have outsourced their production abroad in order to maintain lower cost and R&D expenses3. US footwear imports totaled 2.36 billion pairs in 2007, or roughly 7.9 pairs per capita which is was up 0.4 percent from 2006

4. North American Free Trade Agreement (NAFTA) and the World Trade Organization (WTO), both helped eliminate quotas and tariff barriers for foreign footwear manufacturers to ship their goods5. The Internet allows footwear companies to pursue a direct to consumer sales channel

6. Sales of apparel, accessories, and footwear on the Internet has been growing at a double digit pace, considerably faster than more traditional sales models such as retail stores

7. Internet sales of apparel, accessories, and footwear could reach 18 percent of category sales by 2012

8. Companies that added a Web-based sales strategy are able to customize footwear and other merchandise directly to the customers needs and taste, are enable to achieve considerably better pricing as well as deepening the emotional bond consumers have with the brandThreats

1. After the age of 40, the typical consumer is not willing to pay more than $35 to $40 per pair for athletic footwear

2. Competition is strong among athletic footwear and apparel from off brand companies3. Fluctuation of foreign currency impacts the cost of importing goods to the U.S.

4. Increase in unemployment has impacted the household income which may result in spending less on brand name5. Barrier to entry is low6. Level of inventory is increasing in many retail stores due weak economy

External Factor Evaluation (EFE) Matrix

Key External FactorsWeightRatingWeighted Score

Opportunities

1. Younger consumers are less price sensitive and generally spend more on casual and athletic footwear than older consumers0.0830.24

2. Most footwear companies have outsourced their production abroad in order to maintain lower cost and R&D expenses0.0740.28

3. US footwear imports totaled 2.36 billion pairs in 2007, or roughly 7.9 pairs per capita which is was up 0.4 percent from 20060.0730.21

4. North American Free Trade Agreement (NAFTA) and the World Trade Organization (WTO), both helped eliminate quotas and tariff barriers for foreign footwear manufacturers to ship their goods0.0640.24

5. The Internet allows footwear companies to pursue a direct to consumer sales channel 0.0740.28

6. Sales of apparel, accessories, and footwear on the Internet has been growing at a double digit pace, considerably faster than more traditional sales models such as retail stores 0.0830.24

7. Internet sales of apparel, accessories, and footwear could reach 18 percent of category sales by 20120.0740.28

8. Companies that added a Web-based sales strategy are able to customize footwear and other merchandise directly to the customer's needs and taste, are enable to achieve considerably better pricing as well as "deepening" the emotional bond consumers have with the brand0.0630.18

Threats

1. After the age of 40, the typical consumer is not willing to pay more than $35 to $40 per pair for athletic footwear 0.0730.21

2. Competition is strong among athletic footwear and apparel from off brand companies0.0820.16

3. Fluctuation of foreign currency impacts the cost of importing goods to the U.S.0.0620.12

4. Increase in unemployment has impacted the household income which may result in spending less on brand name0.0930.27

5. Barrier to entry is low0.0620.12

6. Level of inventory is increasing in many retail stores due weak economy0.0820.16

Total1.002.99

Positioning Map

E.Internal Audit

Strengths

1. Nike is the dominant competitor for athletic footwear priced above $60 per pair, holding better than a 50 percent market share for athletic footwear priced $85 per pair or higher

2. Nike characterizes its organization as a collaborative matrix organization3. The Jordan brand has a 10.8 percent share of the overall U.S. shoe market, which makes it the second biggest brand in the country and more than twice the size of Adidas share

4. Three out of every four pairs of basketball shoes sold in this country are Jordan, while 86.5 percent of all basketball shoes sold over $100 are Jordan

5. Nikes 2009 revenues increased 2.9 percent to $19.1 billion

6. Inside the United States, Nike has three significant distribution and customer service facilities7. Nike estimates that they sell products to more than 25,000 retail accounts in the United States and more than 27,000 retail accounts, including Nike-owned stores and a mix of independent distributors and licensees outside the United States8. The companys Internet Web site, www.nikebiz.com, allows customers to design and purchase Nike products directly from the company9. Nike has five wholly owned subsidiaries: Cole Haan, Converse, Hurley International, NIKE Golf, and Umbro LtdWeaknesses

1. Nikes 2009 net income decreased 21 percent to $1.48 billion2. Almost all of Nikes footwear is manufactured outside the United States by independent contractors

3. In fiscal 2008, contract manufacturers in China, Vietnam, Indonesia, and Thailand manufactured 99 percent of Nikes footwear worldwide

4. Because Nike competes primarily in athletic footwear, apparel and related sporting equipment, its sales are heavily concentrated in the youth and young adult market5. Accounts payable has increased by almost $1.0 billion in 2009

6. Negative publicity and boycotting of the Nike products due to outsourcing jobs overseas and the use of child labor in such factories

Financial Ratio Analysis (December 2009)

Growth Rates %NikeIndustryS&P 500

Sales (Qtr vs year ago qtr)-4.00-2.10-4.80

Net Income (YTD vs YTD)-1.50-2.00-6.00

Net Income (Qtr vs year ago qtr)-4.00-1.6026.80

Sales (5-Year Annual Avg.)9.3714.5312.99

Net Income (5-Year Annual Avg.)9.4711.7812.69

Dividends (5-Year Annual Avg.)21.5114.7211.83

Price RatiosNikeIndustryS&P 500

Current P/E Ratio22.025.726.7

P/E Ratio 5-Year High23.50.916.6

P/E Ratio 5-Year Low10.70.22.6

Price/Sales Ratio1.752.102.25

Price/Book Value3.493.963.48

Price/Cash Flow Ratio17.5017.7013.70

Profit Margins %NikeIndustryS&P 500

Gross Margin44.549.238.9

Pre-Tax Margin10.314.410.3

Net Profit Margin8.010.17.1

5Yr Gross Margin (5-Year Avg.)44.551.738.6

5Yr PreTax Margin (5-Year Avg.)12.918.216.6

5Yr Net Profit Margin (5-Year Avg.)9.012.111.5

Financial ConditionNikeIndustryS&P 500

Debt/Equity Ratio0.060.061.09

Current Ratio3.53.51.5

Quick Ratio2.72.61.3

Interest Coverage223.8139.023.7

Leverage Ratio1.41.43.4

Book Value/Share18.9415.2121.63

Adapted from www.moneycentral.msn.comAvg P/EPrice/ SalesPrice/ BookNet Profit Margin (%)

05/0917.801.463.197.8

05/0816.401.854.2910.1

05/0716.101.774.059.1

05/0616.001.423.279.3

05/0518.001.623.808.8

05/0418.401.573.917.7

05/0317.201.403.706.9

05/0221.301.483.736.8

05/0120.101.183.166.2

05/0023.001.333.696.4

Book Value/ ShareDebt/ EquityReturn on Equity (%)Return on Assets (%)Interest Coverage

05/09$17.910.0917.111.2NA

05/08$15.930.0824.115.1NA

05/07$14.000.0821.214.0NA

05/06$12.280.1122.114.1NA

05/05$10.810.1421.513.8NA

05/04$9.090.1719.812.036.6

05/03$7.570.2118.510.926.8

05/02$7.210.2917.410.422.1

05/01$6.510.3716.910.115.7

05/00$5.820.4618.59.920.4

Adapted from www.moneycentral.msn.comInternal Factor Evaluation (IFE) Matrix

Key Internal FactorsWeightRatingWeighted Score

Strengths

1. Nike is the dominant competitor for athletic footwear priced above $60 per pair, holding better than a 50 percent market share for athletic footwear priced $85 per pair or higher0.0840.32

2. Nike characterizes its organization as a collaborative matrix organization0.0230.06

3. The Jordan brand has a 10.8 percent share of the overall U.S. shoe market, which makes it the second biggest brand in the country and more than twice the size of Adidas' share0.0640.24

4. Three out of every four pairs of basketball shoes sold in this country are Jordan, while 86.5 percent of all basketball shoes sold over $100 are Jordan0.0840.32

5. Nike's 2009 revenues increased 2.9 percent to $19.1 billion0.0940.36

6. Inside the United States, Nike has three significant distribution and customer service facilities0.0530.15

7. Nike estimates that they sell products to more than 25,000 retail accounts in the United States and more than 27,000 retail accounts, including Nike-owned stores and a mix of independent distributors and licensees outside the United States0.0430.12

8. The company's Internet Web site, www.nikebiz.com, allows customers to design and purchase Nike products directly from the company0.0740.28

9. Nike has five wholly owned subsidiaries: Cole Haan, Converse, Hurley International, NIKE Golf, and Umbro Ltd0.0730.21

Weaknesses

1. Nike's 2009 net income decreased 21 percent to $1.48 billion0.0720.14

2. Almost all of Nike's footwear is manufactured outside the United States by independent contractors0.0810.08

3. In fiscal 2008, contract manufacturers in China, Vietnam, Indonesia, and Thailand manufactured 99 percent of Nike's footwear worldwide0.0610.06

4. Because Nike competes primarily in athletic footwear, apparel and related sporting equipment, its sales are heavily concentrated in the youth and young adult market.0.0810.08

5. Accounts payable has increased by almost $1.0 billion in 20090.0820.16

6. Negative publicity and boycotting of the Nike products due to outsourcing jobs overseas and the use of child labor in such factories0.0710.07

Total1.002.65

F. SWOT Strategies

StrengthsWeaknesses

1. Nike is the dominant competitor for athletic footwear priced above $60 per pair, holding better than a 50 percent market share for athletic footwear priced $85 per pair or higher

2. Nike characterizes its organization as a collaborative matrix organization

3. The Jordan brand has a 10.8 percent share of the overall U.S. shoe market, which makes it the second biggest brand in the country and more than twice the size of Adidas share

4. Three out of every four pairs of basketball shoes sold in this country are Jordan, while 86.5 percent of all basketball shoes sold over $100 are Jordan

5. Nikes 2009 revenues increased 2.9 percent to $19.1 billion

6. Inside the United States, Nike has three significant distribution and customer service facilities

7. Nike estimates that they sell products to more than 25,000 retail accounts in the United States and more than 27,000 retail accounts, including Nike-owned stores and a mix of independent distributors and licensees outside the United States

8. The companys Internet Web site, www.nikebiz.com, allows customers to design and purchase Nike products directly from the company

9. Nike has five wholly owned subsidiaries: Cole Haan, Converse, Hurley International, NIKE Golf, and Umbro Ltd

1. Nikes 2009 net income decreased 21 percent to $1.48 billion

2. Almost all of Nikes footwear is manufactured outside the United States by independent contractors

3. In fiscal 2008, contract manufacturers in China, Vietnam, Indonesia, and Thailand manufactured 99 percent of Nikes footwear worldwide

4. Because Nike competes primarily in athletic footwear, apparel and related sporting equipment, its sales are heavily concentrated in the youth and young adult market

5. Accounts payable has increased by almost $1.0 billion in 2009

6. Negative publicity and boycotting of the Nike products due to outsourcing jobs overseas and the use of child labor in such factories

OpportunitiesS-O StrategiesW-O Strategies

1. Younger consumers are less price sensitive and generally spend more on casual and athletic footwear than older consumers

2. Most footwear companies have outsourced their production abroad in order to maintain lower cost and R&D expenses

3. US footwear imports totaled 2.36 billion pairs in 2007, or roughly 7.9 pairs per capita which is was up 0.4 percent from 2006

4. North American Free Trade Agreement (NAFTA) and the World Trade Organization (WTO), both helped eliminate quotas and tariff barriers for foreign footwear manufacturers to ship their goods5. The Internet allows footwear companies to pursue a direct to consumer sales channel

6. Sales of apparel, accessories, and footwear on the Internet has been growing at a double digit pace, considerably faster than more traditional sales models such as retail stores

7. Internet sales of apparel, accessories, and footwear could reach 18 percent of category sales by 2012

8. Companies that added a Web-based sales strategy are able to customize footwear and other merchandise directly to the customers needs and taste, are enable to achieve considerably better pricing as well as deepening the emotional bond consumers have with the brand1. Expand into international market more where the economy is stronger (S1, S3, S4, S7, O1)2. Increase advertising and promotion through social networking such as Twitter and Facebook (S8, O1, O5, O7)

1. Develop new products for small kids based on cartoon characters (W4, O1, O3)2. Sponsor more athletics programs, mostly for young generation (W1, W4, W6, O1, O2, O3)

ThreatsS-T StrategiesW-T Strategies

1. After the age of 40, the typical consumer is not willing to pay more than $35 to $40 per pair for athletic footwear

2. Competition is strong among athletic footwear and apparel from off brand companies

3. Fluctuation of foreign currency impacts the cost of importing goods to the U.S.

4. Increase in unemployment has impacted the household income which may result in spending less on brand name

5. Barrier to entry is low

6. Level of inventory is increasing in many retail stores due weak economy1. Develop a new moderately priced product line (S1, S2, S3, S4, T2, T4, T6)2. Expand distribution by selling to stores other than their own retailers (S7, T2)

1. Make low priced footwear made in the US and promote it as Made in America (W2, W6, T2, T3, T4, T6)2. Acquire a less expensive brand of accessories and sportswear and promote them as an off brand of Nike (W4, W6, T1, T4, T6)

G.SPACE Matrix

Financial Stability (FS)Environmental Stability (ES)

Return on Investment4Unemployment-4

Leverage5Technological Changes-4

Liquidity3Price Elasticity of Demand-5

Working Capital3Competitive Pressure-5

Cash Flow4Barriers to Entry-5

Financial Stability (FS) Average

3.8Environmental Stability (ES) Average-4.6

Competitive Stability (CS)Industry Stability (IS)

Market Share-1Growth Potential5

Product Quality-2Financial Stability4

Customer Loyalty-3Ease of Market Entry1

Competitions Capacity Utilization-1Resource Utilization3

Technological Know-How-4Profit Potential4

Competitive Stability (CS) Average

-2.2Industry Stability (IS) Average

3.4

Y-axis: FS + ES = 3.8 + (-4.6) = - 0.8X-axis: CS + IS = (-2.2) + (3.4) = 1.2H.Grand Strategy Matrix

1. Market development

2. Market penetration

3. Product development

4. Forward integration

5. Backward integration

6. Horizontal integration

7. Related diversification

I.The Internal-External (IE) Matrix The IFE Total Weighted Score

Strong3.0 to 4.0Average2.0 to 2.99Weak1.0 to 1.99

High3.0 to 3.99I

II

III

Medium2.0 to 2.99IV

IV

Nike, Inc.VI

Low1.0 to 1.99VIIVIIIIX

J. QSPM

Increase advertising and promotion through social networking such as Twitter and FacebookAcquire a less expensive brand of accessories and sportswear and promote them as an off brand of Nike

Key FactorsWeightASTASASTAS

Opportunities

1. Younger consumers are less price sensitive and generally spend more on casual and athletic footwear than older consumers0.0810.0840.32

2. Most footwear companies have outsourced their production abroad in order to maintain lower cost and R&D expenses0.07------------

3. US footwear imports totaled 2.36 billion pairs in 2007, or roughly 7.9 pairs per capita which is was up 0.4 percent from 20060.07------------

4. North American Free Trade Agreement (NAFTA) and the World Trade Organization (WTO), both helped eliminate quotas and tariff barriers for foreign footwear manufacturers to ship their goods0.0620.1230.18

5. The Internet allows footwear companies to pursue a direct to consumer sales channel 0.07------------

6. Sales of apparel, accessories, and footwear on the Internet has been growing at a double digit pace, considerably faster than more traditional sales models such as retail stores 0.0820.1640.32

7. Internet sales of apparel, accessories, and footwear could reach 18 percent of category sales by 20120.0740.2810.07

8. Companies that added a Web-based sales strategy are able to customize footwear and other merchandise directly to the customer's needs and taste, are enable to achieve considerably better pricing as well as "deepening" the emotional bond consumers have with the brand0.0640.2410.06

Threats

1. After the age of 40, the typical consumer is not willing to pay more than $35 to $40 per pair for athletic footwear 0.0710.0740.28

2. Competition is strong among athletic footwear and apparel from off brand companies0.08------------

3. Fluctuation of foreign currency impacts the cost of importing goods to the U.S.0.06------------

4. Increase in unemployment has impacted the household income which may result in spending less on brand name0.0910.0930.27

5. Barrier to entry is low0.06------------

6. Level of inventory is increasing in many retail stores due weak economy0.0840.3220.16

TOTAL1.001.361.66

Strengths

1. Nike is the dominant competitor for athletic footwear priced above $60 per pair, holding better than a 50 percent market share for athletic footwear priced $85 per pair or higher0.08------------

2. Nike characterizes its organization as a collaborative matrix organization0.02------------

3. The Jordan brand has a 10.8 percent share of the overall U.S. shoe market, which makes it the second biggest brand in the country and more than twice the size of Adidas' share0.0630.1810.06

4. Three out of every four pairs of basketball shoes sold in this country are Jordan, while 86.5 percent of all basketball shoes sold over $100 are Jordan0.0830.2410.08

5. Nike's 2009 revenues increased 2.9 percent to $19.1 billion0.09------------

6. Inside the United States, Nike has three significant distribution and customer service facilities0.05------------

7. Nike estimates that they sell products to more than 25,000 retail accounts in the United States and more than 27,000 retail accounts, including Nike-owned stores and a mix of independent distributors and licensees outside the United States0.0430.1240.16

8. The company's Internet Web site, www.nikebiz.com, allows customers to design and purchase Nike products directly from the company0.0740.2810.07

9. Nike has five wholly owned subsidiaries: Cole Haan, Converse, Hurley International, NIKE Golf, and Umbro Ltd0.0710.0730.21

Weaknesses

1. Nike's 2009 net income decreased 21 percent to $1.48 billion0.0710.0730.21

2. Almost all of Nike's footwear is manufactured outside the United States by independent contractors0.08------------

3. In fiscal 2008, contract manufacturers in China, Vietnam, Indonesia, and Thailand manufactured 99 percent of Nike's footwear worldwide0.06------------

4. Because Nike competes primarily in athletic footwear, apparel and related sporting equipment, its sales are heavily concentrated in the youth and young adult market0.0810.0830.24

5. Accounts payable has increased by almost $1.0 billion in 20090.08------------

6. Negative publicity and boycotting of the Nike products due to outsourcing jobs overseas and the use of child labor in such factories0.07------------

SUBTOTAL1.001.041.03

SUM TOTAL ATTRACTIVENESS SCORE2.42.69

K. Recommendations

Acquire a company who manufactures and sells less expensive products than Nike. The company should have established distribution and retail shelf space with non-competing product lines. It would be ideal if the company is a U.S. based corporation with domestic manufacturing facilities.L. EPS/EBIT Analysis

$ Amount Needed: $350 million

Stock Price: $65.65

Tax Rate: 24%

Interest Rate: 4.75% (Estimated)

# Shares Outstanding: 487 Million

Common Stock FinancingDebt Financing

RecessionNormalBoomRecessionNormalBoom

EBIT$1,800,000,000$2,500,000,000$3,500,000,000$1,800,000,000$2,500,000,000$3,500,000,000

Interest 00016,625,00016,625,00016,625,000

EBT1,800,000,0002,500,000,0003,500,000,0001,783,375,0002,483,375,0003,483,375,000

Taxes432,000,000600,000,000840,000,000428,010,000596,010,000836,010,000

EAT1,368,000,0001,900,000,0002,660,000,0001,355,365,0001,887,365,0002,647,365,000

# Shares492,331,302492,331,302492,331,302487,000,000487,000,000487,000,000

EPS2.783.865.402.783.885.44

70 Percent Stock - 30 Percent Debt70 Percent Debt - 30 Percent Stock

RecessionNormalBoomRecessionNormalBoom

EBIT$1,800,000,000$2,500,000,000$3,500,000,000$1,800,000,000$2,500,000,000$3,500,000,000

Interest 13,300,00013,300,00013,300,0003,325,0003,325,0003,325,000

EBT1,786,700,0002,486,700,0003,486,700,0001,796,675,0002,496,675,0003,496,675,000

Taxes428,808,000596,808,000836,808,000431,202,000599,202,000839,202,000

EAT1,357,892,0001,889,892,0002,649,892,0001,365,473,0001,897,473,0002,657,473,000

# Shares490,731,912490,731,912490,731,912488,599,391488,599,391488,599,391

EPS2.773.855.402.793.885.44

M. EpilogueAnalysts expect that Nike will be able to boast of its strong earnings, growing gross margins, lean inventories and all-important futures orders. The company has booming international business, especially its China expansion plans, as well as next months World Cup, where Nike is sponsoring nine teams. And investors may find out what management has planned for that $7 a share in net cash on the balance sheets. (CNBC.com)Nike unveiled its supercharged Nike Elite Series football boots providing new levels of performance. Nikes Mercurial Vapor SuperFly II, CTR360 Maestri, Total90 Laser III and Tiempo Legend III all feature new performance upper to improve on-field visibility and a reengineered outsole to deliver lightweight performance for every style of player. Nike designers have reduced the weight of each boot so players can perform at their best. Lightweight construction, intricate engineering, carbon-enforced strength and high contrast colors distinguish the boots. The high contrast colors (Metallic Mach Purple and Total Orange) are engineered together for enhanced visibility. For a footballer this unique combination is designed to increase visual performance enabling them to quickly spot their teammates and execute a game-changing pass. At Nike, we have a relentless focus on product innovation to give athletes a real competitive edge and deliver the best products in the world, said Andrew Caine, Nike Design Director for Football Footwear. The Nike Elite Series delivers lightweight and highly engineered boots for the leading players in the world to perform on the biggest stage this summer. (finance.yahoo.com)

Jordan Brand, a division of NIKE, Inc., announced that the top 10 ranked ESPNU 100 players No. 1 Harrison Barnes (Ames, IA/North Carolina), No. 2 Jared Sullinger (Columbus, OH/Ohio State), No. 3 Brandon Knight (Coral Springs, FL/Undecided), No. 4 Kyrie Irving (West Orange, NJ/Duke), No. 5 Tobias Harris (Dix Hills, NY/Tennessee), No. 6 Will Barton (Baltimore, MD/Memphis), No. 7 Josh Selby (Baltimore, MD/Undecided), No. 8 C.J. Leslie (Holly Springs, NC/Undecided), No. 9 Perry Jones (Duncanville, TX/Baylor) and No. 10 Tristan Thompson (Brampton, ONT/Texas) will headline the nations best high school senior basketball players at the 2010 Jordan Brand Classic, presented by Foot Locker, at Madison Square Garden in New York City on Saturday, April 17 at 8:00 p.m. EST. This years event will once again be televised nationally live on ESPN2. The Jordan Brand Classic will also continue to include a Regional Game, showcasing the top prep players from the New York City metropolitan area in a City vs. Suburbs showdown. In its third year of the event, an International Game will feature 16 of the top 17-and-under players from around the world.Price (High)

Price (low)

Customer Loyalty (High)

Customer Loyalty (Low)

Nike

Adidas

Puma

-1

-2

-3

-4

-5

-6

-7

7

-6

-1

-7

-5

-4

-3

-2

7

6

5

4

3

2

1

Defensive

Competitive

Aggressive

Conservative

1

2

3

4

5

6

IS

ES

CS

FS

Slow Market Growth

Rapid Market Growth

StrongCompetitivePosition

Quadrant III

Quadrant IV

Quadrant I

Quadrant II

Weak Competitive Position

The EFE Total

Weighted Score

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