Nike competitive analysis

Social Responsibility - Strength In response to accusations by consumer groups over unfair labor practices, Nike has developed a Corporate Responsibility Policy that discusses how we will improve working conditions for our international employees. This presents a weakness. While the prices are realistic given the nature of the products we Nike competitive analysis to our consumers, at times our consumers may not agree.

Company management stated, "We put a considerable amount of effort into improving product buying power patterns and as a result the composition and levels of inventory resulted in improved gross margins relative to a year ago. We see much potential in the lower price points and plan to meet the needs of those markets.

Management of Debt - Weakness Despite the lower Nike competitive analysis of assets that are borrowed to finance Nike, our times interest earned ratio is weaker than the industry average. The following are the external factors that maintain the moderate threat of substitution against Nike Inc.: Many new, innovative ideas come into existence as a result of basic, unspecific research.

This can be interpreted as a strength as we do not rely as heavily as our competitors on debt financing. At times, we need to adjust our posture in relation to a particular product line or area of products.

The moderate availability of substitutes also enables customers to buy other products instead of always buying from Nike. As Nike continues to expand in the global economy and increase its market throughout the world, these dispersed facilities will prove to be beneficial.

Research and Development Focus - Strength Although Nike conducts continuous, basic research that benefits numerous facets of the sports and fitness industry, our primary focus is directed towards applied research. This condition creates a strong force, as Nike and other companies compete for a market that grows slowly.

The quick ratio of 1.

Nike Inc. Five Forces Analysis (Porter’s Model)

Nike prides Nike competitive analysis on being a premiere provider of high quality sports footwear and apparel. This element of the Five Forces Analysis identifies the force of substitution on the business and the industry environment.

The production facilities are located close to raw materials and cheap labor sources. However, the small size of individual customers minimizes their individual forces on the company. We may also choose a catch-up strategy and mimic what is working well for other companies in the industry.

Applied research focuses on short-term initiatives such as successfully developing new product lines. Our collection procedures have been lax compared to others in the industry resulting in slow payers and defaulting customers. Our ratio of Management of Debt - Strength Our debt-to-total-assets ratio is We received much bad publicity as well as experienced a decrease in sales as a result of poor labor policies and lack of policies established abroad.

Increasing the minimum age of footwear factory workers to 18, and minimum age for all other light-manufacturing workers apparel, accessories, equipment to 16; Expanding education programs, including junior and high school equivalency courses, for workers in all Nike footwear factories; Increasing support of its current micro-enterprise loan program to 1, families each in Vietnam, Indonesia, Pakistan, and Thailand.

Focus — Weakness Focusing on applied research can be a weakness as well. Our return on equity of Nike Versus Adidas Case Study and Competitive Analysis - Download as Text File .txt), PDF File .pdf) or read online.5/5(1). Nike Inc's competitive profile, comparisons of quarterly results to its competitors, by sales, income, profitability, market share by products and services - CSIMarket.

Transcript of Nike Competitive Analysis. About Nike Market leader in athletic footwear, apparel and equipment Works to drive product innovation for athletes and improve performance Mission statement is “To bring inspiration and innovation to every athlete in the world.

If you have a body, you are an athlete”. Nike, with there marketing, innovation, technological advancements, and equitable manufacturing departments, has created an al around dominant strategic plan Nike has built there competitive advantage to the highest form possible. Top 10 Nike competitors June 14, By Hitesh Bhasin Tagged With: Brand competition Nike is the leading sports footwear brands in the world and is known as one of the top 3 amongst the trio leading the sports footwear market across the world – Adidas, Reebok and Nike.

The competitive strategy that Nike introduced at the end of the 's concentrates on honing the focus of our marketing strategies and product offerings through product differentiation.

We realize that the team-mentality that captured the spirit of athletics in the late 's and early 's has been replaced by a sense of individualism.

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Nike competitive analysis
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