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NIKE’S STORY • • • •
Begin in 1964 as Blue Ribbon Sports Renamed Nike in 1978,after the Greek goddess of victory Key people of Nike : Bill Bowerman & Phil Knight Headquarters in Beaverton, Oregon , USA World’s most competitive sports and fitness company Nike employees over 26,000 people Current CEO : Mark Parker
Nike is the U.S-based manufacturer of athletic shoes, apparel and sports equipment. Stock symbol: NKE (NYSE) Annual revenue (2008): more than $18billion Founders: Bill Bowerman, Philip Knight Year established: 1964 (as Blue Ribbon Sports) Industry: Sportswear/equipment HQ: Beaverton, Oregon President/CEO: Mark Parker Staff: 30,200 Products: shoes, apparel and sports equipment, accessories Slogan: Just Do It!
NIKE’S BRAND IDENTITY
• SLOGAN: “Just Do It”
• LOGO: NIKE SWOOSH
• BRAND PERSONALITY: Exciting, spirited, cool, innovative,
athletic and aggressive
• EMOTIONAL BENEFITS: Feeling stylish, athletic, healthy and
trendy
Nike Sells:-
Footwear: Running Basketball Soccer Sport-inspired urban
shoes Children’s Shoes
Performance Equipments:• Bags• Socks• Sport Balls• Eyewear• Timepieces• Electronic Devices• Bats• Gloves• Protective Equipments
Nike Also Sells:
Apparels and Accessories Athletic Bags Offers Apparels for Licensed Sports Team
Provides Licenses to Produce and Sell:
Swimwear Cycling Apparel Children’s Clothing School Supplies
• Electronic Devices• Eyewear• Golf Accessories• Belts
Nike Also Sells:-
The company sells its products to retail accounts, through its owned retail stores, and through a mix of independent distributors and licensees, as well as through Internet Web site ‘nikestore.com’.
NIKE inc. has major four subsidiaries which are: Converse Cole Haan Holdings Nike Bauer Hockey Hurley International
Sales Technique
Marketing strategies
Brand image
Web site of the Nike
Customer preferences
Update itself timely
Product diffrentiation
4Ps of Marketing
Product
Price
Place
Promotion
Advertisement strategies
Customer’s feedback
very light to walk
I feel comfortable
Hug my feet
Nike “ JUST DO IT ’’
Competitive Advantage – something which gives the organisation some advantage over its rivals.
Brand Positioning and Brand Architecture
Establish the structure of features, functional and emotional benefits and align them to what are perceived by consumers as cost-of-entry (required), motivating (differentiated), or crucial (inspired).
Competitive Strategy
Athletic Shoe Market Share 2005
Nike39.2%
Adidas15.1%
Reebok10.9%
New Balance9.4%
K-Swiss3.6%
Timberland2.9% Asics
2.1%
Saucony1.4%
Athletic Shoe Market Share, 20002005
Product Market:-
In 2008 sales revenue of Nike was 14% more than that in the previous year.
Key financial data:-
Chart 1: Revenue performance (fiscal year 2004-2008, 5-year CAGR 11%)
12,25313,740 14,955
16,32618,627
-
5,000
10,000
15,000
20,000
2004 2005 2006 2007 2008
Source: Nike,Inc. 2008
Key financial data:-
o As we see from chart 2 the earning per share of Nike in 2008 is 28% more in comparison to the previous year.
Chart 2: Nike,Inc. EPS performance (fiscal year 2004-2008, 5-year CAGR 22%)
$1.75$2.24
$2.64$2.93
$3.74
$0.00
$1.00
$2.00
$3.00
$4.00
2004 2005 2006 2007 2008
Source: Nike,Inc. 2008
International marketing
Chart 3: Revenue distribution (Fiscal Year 2008 vs 2004)
We can conclude that revenue increased by 6% at international markets.
Other
businesses, 14%
Internation
al, 52%
US, 34%
20084
Other
businesses, 12%
Internation
al, 49%
US, 39%
20044
Strategic Planning:
Business Definition
Target Consumer
What do we want them to THINK
What do we want them to FEEL
How do we want them to ACT
Brand DESTINATION
Nike
Competitive strategies
adopted by NIKE
Holistic Marketing
Innovative and Niche products
Increased Value Chain
Breakthrough Marketing
Selective Distribution
Participating in events and shows
Endorsing sports personalities
Labor Practices
• Poor Labor Practices in Asian Countries
• Child Labor in Cambodia and Pakistan
• Vigorous overtime
• Paid below low wages
• Verbal abuse and sexual harassment
• Poor Health and Safety conditions
• Poor medical facility
• Restrictions on drinking water
Company should follow Corporate Social Responsibily
Nike should hier 3rd party for audits Nike should work with General Federation Of Labor
and Labor Union Nike should work with other shoe manufacturers,
provides fair wages to the workers
Recommendations
Thank you for attention. !!!
Presented By:-
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