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 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 N ike “ 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 2005
Product Market :-
In 2008 sales revenue of Nike was 14% more than that in the previous year . Key financial data :-
Key financial data :- As we see from chart 2 the earning per share of Nike in 2008 is 28% more in comparison to the previous year.
International marketing Chart 3: Revenue distribution (Fiscal Year 2008 vs 2004) We can conclude that revenue increased by 6% at international markets. Other businesse s, 1 4 % Internation al, 52 % US, 3 4 % 20 08 4 Other businesse s, 12% Internation al, 49% US, 39% 200 4 4
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 3 rd 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
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