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    NIKE COMPANY LIMITED

    SUBJECT- MARKET STRATEGIC & PLANS 

    A PROJECT SUBMITTED

    TO THE UNIVERSITY OF MUMBAI

    FOR THE DEGREE OF

    MASTERS IN COMMERCE

    SEMESTER - 1

    IN THE PARTIAL FULFILLMENT REQUIREMENT

    OF THE COURSE

    (ACADEMIC YEAR 2015-16)

    BY

    PRAFUL ! VEGDA

    ROLL NUMBER"-

    UNDER THE SUPERVISION OF

    PROF"- ANJU YADAV

    DEPARTMENT OF MCOM

    BHARTIYA VIDYA BHAVANS

    HA#ARIMAL SOMANI COLLEGE OF ARTS AND

    SCIENCE

    PLACE - MUMBAI

    DATE-

    INTERNAL SIGN OF

    SUPERVISION

    SIGN OF E$TERNAL SUPERVISOR 

      NAME

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      CERTIFICATE

     This is to certif th!t this "ro#ect re"ort e$tit%e

    MARKET STRATEGIC & PLANS S'()itte (PRA*UL K+ ,EGDA i$ "!rti!% f'%%%)e$t of the

    re.'ire)e$t for the e/ree M!ster of Co))erce

    0M+Co)1 P!rt 2 0Se)ester 21 is ! (o$!e

    rese!rch 3or4 co)"%ete '$er ) /'i!$ce !$

    s'"er5isio$ + No "!rt of this "ro#ect h!s e5er

    (ee$ s'()itte for other e/ree +the !ssist!$tre$ere 'ri$/ the co'rse of the st' h!s (ee$

    '% !c4$o3%e/e+

    E6ter$!% E6!)i$er I$ter$!%

    E6!)i$er

      Professor

    N!)e - ANJU YADA,

    D!te-

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      DECLARATION

    C%&'%* '+,' I PRAFUL ! VEGDA M,.'%& C//%&%

    (M!/) P,&' 1 (S%/%.'%& 1) +,% 3&%3,&%* ''4%* MARET

    STRATEGIC PLANS '+% 7*,8% P&! ANJU YADAV!D%3,&'/%8' C//%&% B+,,89. H,:,&/,4 S/,8 C44%%!

    C+;3,'', 8 3,&',4 7444/%8' '+% &%?7&%/%8' & '+%

    *%&%% M,.'%& C//%&% (M!/) ! T+%& >< 8 3,&' '+.

     3&@%' +,. %%& >%%8 .7>/''%* ,8< '+%& *%&%%!

     

    PRAFUL ! VEGDA

      R44 N!

      M!/ (3,&'-1)

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      INDEX

    Sr+$

    o+

      Co$te$ts

    2 I$tro'ctio$ of Br!$7 I$tro'ctio$ of Co)"!$8 9istor of Co)"!$: Pro%e of Co)"!$; O(#ecti5e of St'

    < Rese!rch Methoo%o/= Co%%ectio$ of D!t!-

    Seco$!r D!t!2> Ch!%%e$/es f!ce ( !

    co)"!$

    22 Di?ere$t Pro'cts ofCo)"!$Co$c%'sio$Bi(%io/r!"h

     

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      Introduction of Brand

     A brand (or marquee for car model) is a name, term, design, symbol orother feature that distinguishes one seller's product from those of others.[2] Brands are used in business, marketing, and adertising.!nitially, liestock branding "as adopted to differentiate one person'scattle from another's by means of a distinctie symbol burned into theanimal's skin "ith a hot branding iron.

    !n accounting, a brand defined as an intangible asset is often the mostaluable asset on a corporation's balance sheet. Brand o"ners manage

    their brands carefully to create shareholder alue, and brand aluation isan important management techni#ue that ascribes a money alue to abrand, and allo"s marketing inestment to be managed (e.g.$ prioriti%edacross a portfolio of brands) to ma&imi%e shareholder alue. Althoughonly ac#uired brands appear on a company's balance sheet, the notionof putting a alue on a brand forces marketing leaders to be focused onlong term ste"ardship of the brand and managing for alue.

    he "ord brand is often used as a metonym referring to the company

    that is strongly identified "ith a brand.ar#ue or make are often used to denote a brand of motor ehicle,"hich may be distinguished from a car model. A concept brand is abrand that is associated "ith an abstract concept, like breast cancera"areness or enironmentalism, rather than a specific product, serice,or business. A commodity brand  is a brand associated "itha commodity.

     A logo often represents a specific brand, as do many trade names.

     

    https://en.wikipedia.org/wiki/Brand#cite_note-2https://en.wikipedia.org/wiki/Businesshttps://en.wikipedia.org/wiki/Marketinghttps://en.wikipedia.org/wiki/Advertisinghttps://en.wikipedia.org/wiki/Livestock_brandinghttps://en.wikipedia.org/wiki/Branding_ironhttps://en.wikipedia.org/wiki/Intangible_assethttps://en.wikipedia.org/wiki/Brand_valuationhttps://en.wikipedia.org/wiki/Metonymhttps://en.wiktionary.org/wiki/marquehttps://en.wiktionary.org/wiki/makehttps://en.wikipedia.org/wiki/Motor_vehiclehttps://en.wikipedia.org/wiki/Car_modelhttps://en.wikipedia.org/wiki/Breast_cancer_awarenesshttps://en.wikipedia.org/wiki/Breast_cancer_awarenesshttps://en.wikipedia.org/wiki/Environmentalismhttps://en.wikipedia.org/wiki/Commodityhttps://en.wikipedia.org/wiki/Logohttps://en.wikipedia.org/wiki/Trade_namehttps://en.wikipedia.org/wiki/Businesshttps://en.wikipedia.org/wiki/Marketinghttps://en.wikipedia.org/wiki/Advertisinghttps://en.wikipedia.org/wiki/Livestock_brandinghttps://en.wikipedia.org/wiki/Branding_ironhttps://en.wikipedia.org/wiki/Intangible_assethttps://en.wikipedia.org/wiki/Brand_valuationhttps://en.wikipedia.org/wiki/Metonymhttps://en.wiktionary.org/wiki/marquehttps://en.wiktionary.org/wiki/makehttps://en.wikipedia.org/wiki/Motor_vehiclehttps://en.wikipedia.org/wiki/Car_modelhttps://en.wikipedia.org/wiki/Breast_cancer_awarenesshttps://en.wikipedia.org/wiki/Breast_cancer_awarenesshttps://en.wikipedia.org/wiki/Environmentalismhttps://en.wikipedia.org/wiki/Commodityhttps://en.wikipedia.org/wiki/Logohttps://en.wikipedia.org/wiki/Trade_namehttps://en.wikipedia.org/wiki/Brand#cite_note-2

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      Denition of Branding

    The process involved in creating a unique name and image for

    a product in the consumers' mind, mainly through advertising

    campaigns with a consistent theme. Branding

    aims to establish a significant and differentiated presence in

    the market that attracts and retains loyal customers+

    he "ord brand deries from the *ld +orse brandr meaning

    to burn recalling the practice of producers burning their mark

    (or brand) onto their products. 

    http://www.businessdictionary.com/definition/process.htmlhttp://www.businessdictionary.com/definition/image.htmlhttp://www.businessdictionary.com/definition/product.htmlhttp://www.businessdictionary.com/definition/consumer.htmlhttp://www.businessdictionary.com/definition/advertising-campaign.htmlhttp://www.businessdictionary.com/definition/advertising-campaign.htmlhttp://www.businessdictionary.com/definition/consistent.htmlhttp://www.businessdictionary.com/definition/aim.htmlhttp://www.businessdictionary.com/definition/establish.htmlhttp://www.businessdictionary.com/definition/significant.htmlhttp://www.businessdictionary.com/definition/market.htmlhttp://www.businessdictionary.com/definition/customer.htmlhttps://en.wikipedia.org/wiki/Old_Norsehttp://www.businessdictionary.com/definition/process.htmlhttp://www.businessdictionary.com/definition/image.htmlhttp://www.businessdictionary.com/definition/product.htmlhttp://www.businessdictionary.com/definition/consumer.htmlhttp://www.businessdictionary.com/definition/advertising-campaign.htmlhttp://www.businessdictionary.com/definition/advertising-campaign.htmlhttp://www.businessdictionary.com/definition/consistent.htmlhttp://www.businessdictionary.com/definition/aim.htmlhttp://www.businessdictionary.com/definition/establish.htmlhttp://www.businessdictionary.com/definition/significant.htmlhttp://www.businessdictionary.com/definition/market.htmlhttp://www.businessdictionary.com/definition/customer.htmlhttps://en.wikipedia.org/wiki/Old_Norse

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      Profile of Company

    Nike, Inc.  !s an American multinational corporation that is engaged inthe design, deelopment, manufacturing and "orld"ide marketing andsales of foot"ear, apparel, e#uipment, accessories and serices. hecompany is head#uartered near Beaerton, *regon, in the -ortlandmetropolitan area. !t is one of the "orld's largest suppliers ofathletic and apparel[] and a ma/or manufacturer of sports e#uipment,"ith reenue in e&cess of 0123.4 billion in its fiscal year 2542 (endingay 64, 2542). As of 2542, it employed more than 33,555 people

    "orld"ide. !n 2543 the brand alone "as alued at 47 billion, making itthe most aluable brand among sports businesses.[8]

    he company "as founded on 9anuary 2:, 473, as Blue RibbonSports, by Bill Bo"er man and -hil ;night,[4] and officially became +ike,!nc. on ay 65, 4784. he company takes its name from +ike, the oamposite, +ike 1kateboarding, and

    subsidiaries including Brand 9ordan, @urley !nternational and onerse.+ike also o"ned Bauer @ockey (later renamed +ike Bauer ) bet"een477: and 255, and preiously o"ned ole @aan and 0mbro. !naddition to manufacturing sports"ear and e#uipment, the companyoperates retail stores under the +iketo"n name. +ike sponsors manyhighprofile athletes and sports teams around the "orld, "ith the highlyrecogni%ed trademarks of 9ust ?o !t and the 1"oosh logo.

    https://en.wikipedia.org/wiki/Multinational_corporationhttps://en.wikipedia.org/wiki/Beaverton,_Oregonhttps://en.wikipedia.org/wiki/Oregonhttps://en.wikipedia.org/wiki/Portland_metropolitan_areahttps://en.wikipedia.org/wiki/Portland_metropolitan_areahttps://en.wikipedia.org/wiki/Clothinghttps://en.wikipedia.org/wiki/Clothinghttps://en.wikipedia.org/wiki/Nike,_Inc.#cite_note-7https://en.wikipedia.org/wiki/Sports_equipmenthttps://en.wikipedia.org/wiki/Nike,_Inc.#cite_note-8https://en.wikipedia.org/wiki/Bill_Bowermanhttps://en.wikipedia.org/wiki/Phil_Knighthttps://en.wikipedia.org/wiki/Nike,_Inc.#cite_note-BRS-1https://en.wikipedia.org/wiki/Nike_(mythology)https://en.wikipedia.org/wiki/Nike%2BiPodhttps://en.wikipedia.org/wiki/Air_Jordanhttps://en.wikipedia.org/wiki/Nike_Blazershttps://en.wikipedia.org/wiki/Air_Force_1_(shoe)https://en.wikipedia.org/wiki/Air_Force_1_(shoe)https://en.wikipedia.org/wiki/Nike_Dunkhttps://en.wikipedia.org/wiki/Air_Maxhttps://en.wikipedia.org/wiki/Foampositehttps://en.wikipedia.org/wiki/Nike_Skateboardinghttps://en.wikipedia.org/wiki/Hurley_Internationalhttps://en.wikipedia.org/wiki/Converse_(shoe_company)https://en.wikipedia.org/wiki/Bauer_Hockeyhttps://en.wikipedia.org/wiki/Cole_Haanhttps://en.wikipedia.org/wiki/Umbrohttps://en.wikipedia.org/wiki/Just_Do_Ithttps://en.wikipedia.org/wiki/Swooshhttps://en.wikipedia.org/wiki/Multinational_corporationhttps://en.wikipedia.org/wiki/Beaverton,_Oregonhttps://en.wikipedia.org/wiki/Oregonhttps://en.wikipedia.org/wiki/Portland_metropolitan_areahttps://en.wikipedia.org/wiki/Portland_metropolitan_areahttps://en.wikipedia.org/wiki/Clothinghttps://en.wikipedia.org/wiki/Nike,_Inc.#cite_note-7https://en.wikipedia.org/wiki/Sports_equipmenthttps://en.wikipedia.org/wiki/Nike,_Inc.#cite_note-8https://en.wikipedia.org/wiki/Bill_Bowermanhttps://en.wikipedia.org/wiki/Phil_Knighthttps://en.wikipedia.org/wiki/Nike,_Inc.#cite_note-BRS-1https://en.wikipedia.org/wiki/Nike_(mythology)https://en.wikipedia.org/wiki/Nike%2BiPodhttps://en.wikipedia.org/wiki/Air_Jordanhttps://en.wikipedia.org/wiki/Nike_Blazershttps://en.wikipedia.org/wiki/Air_Force_1_(shoe)https://en.wikipedia.org/wiki/Air_Force_1_(shoe)https://en.wikipedia.org/wiki/Nike_Dunkhttps://en.wikipedia.org/wiki/Air_Maxhttps://en.wikipedia.org/wiki/Foampositehttps://en.wikipedia.org/wiki/Nike_Skateboardinghttps://en.wikipedia.org/wiki/Hurley_Internationalhttps://en.wikipedia.org/wiki/Converse_(shoe_company)https://en.wikipedia.org/wiki/Bauer_Hockeyhttps://en.wikipedia.org/wiki/Cole_Haanhttps://en.wikipedia.org/wiki/Umbrohttps://en.wikipedia.org/wiki/Just_Do_Ithttps://en.wikipedia.org/wiki/Swoosh

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      Headquarters

    +ike's "orld head#uarters are surrounded by the city of Beaerton, butare "ithin unincorporated Cashington ounty. he city attempted to

    forcibly anne& +ike's head#uarters, "hich led to a la"suit by +ike,and lobbying by the company that ultimately ended in *regon 1enateBill 8 of 255:. 0nder that bill's terms, Beaerton is specifically barredfrom forcibly anne&ing the land that +ike and olumbia1ports"ear  occupy in Cashington ounty for 6: years, "hile Dlectro1cientific !ndustries and ektroni& receie the same protection for 65years.

    Nike, Inc.

    Type -ublic

    Traded as +E1D$ +;D

    ?o" 9ones !ndustrial Aerage omponent

    1F- :55 omponent

    Industry  Apparel, accessories

    Founded 473 (as Blue Gibbon 1ports)[4]

    4784 (as +ike, !nc.)

    Founder  Bill Bo"erman

    -hil ;night

    eadquarters Cashington ounty, *regon, 0nited 1tates

    (+ear  Beaerton, *regon)

    !rea ser"ed Corld"ide

    #ey people ark -arker 

    (-resident and D*)

    Products  Athletic foot"ear  and apparel,sport

    https://en.wikipedia.org/wiki/Unincorporated_areahttps://en.wikipedia.org/wiki/Washington_County,_Oregonhttps://en.wikipedia.org/wiki/Lobbyinghttps://en.wikipedia.org/wiki/Columbia_Sportswearhttps://en.wikipedia.org/wiki/Columbia_Sportswearhttps://en.wikipedia.org/wiki/Electro_Scientific_Industrieshttps://en.wikipedia.org/wiki/Electro_Scientific_Industrieshttps://en.wikipedia.org/wiki/Tektronixhttps://en.wikipedia.org/wiki/Types_of_business_entityhttps://en.wikipedia.org/wiki/Public_companyhttps://en.wikipedia.org/wiki/Ticker_symbolhttps://en.wikipedia.org/wiki/New_York_Stock_Exchangehttps://www.nyse.com/quote/XNYS:NKEhttps://en.wikipedia.org/wiki/Dow_Jones_Industrial_Averagehttps://en.wikipedia.org/wiki/S%26P_500https://en.wikipedia.org/wiki/Apparelhttps://en.wikipedia.org/wiki/Apparelhttps://en.wikipedia.org/wiki/Fashion_accessoryhttps://en.wikipedia.org/wiki/Fashion_accessoryhttps://en.wikipedia.org/wiki/Nike,_Inc.#cite_note-BRS-1https://en.wikipedia.org/wiki/Nike,_Inc.#cite_note-BRS-1https://en.wikipedia.org/wiki/Bill_Bowermanhttps://en.wikipedia.org/wiki/Phil_Knighthttps://en.wikipedia.org/wiki/Washington_County,_Oregonhttps://en.wikipedia.org/wiki/Beaverton,_Oregonhttps://en.wikipedia.org/wiki/Beaverton,_Oregonhttps://en.wikipedia.org/wiki/Mark_Parkerhttps://en.wikipedia.org/wiki/Footwearhttps://en.wikipedia.org/wiki/Footwearhttps://en.wikipedia.org/wiki/Sport_equipmenthttps://en.wikipedia.org/wiki/Sport_equipmenthttps://en.wikipedia.org/wiki/Unincorporated_areahttps://en.wikipedia.org/wiki/Washington_County,_Oregonhttps://en.wikipedia.org/wiki/Lobbyinghttps://en.wikipedia.org/wiki/Columbia_Sportswearhttps://en.wikipedia.org/wiki/Columbia_Sportswearhttps://en.wikipedia.org/wiki/Electro_Scientific_Industrieshttps://en.wikipedia.org/wiki/Electro_Scientific_Industrieshttps://en.wikipedia.org/wiki/Tektronixhttps://en.wikipedia.org/wiki/Types_of_business_entityhttps://en.wikipedia.org/wiki/Public_companyhttps://en.wikipedia.org/wiki/Ticker_symbolhttps://en.wikipedia.org/wiki/New_York_Stock_Exchangehttps://www.nyse.com/quote/XNYS:NKEhttps://en.wikipedia.org/wiki/Dow_Jones_Industrial_Averagehttps://en.wikipedia.org/wiki/S%26P_500https://en.wikipedia.org/wiki/Apparelhttps://en.wikipedia.org/wiki/Fashion_accessoryhttps://en.wikipedia.org/wiki/Nike,_Inc.#cite_note-BRS-1https://en.wikipedia.org/wiki/Bill_Bowermanhttps://en.wikipedia.org/wiki/Phil_Knighthttps://en.wikipedia.org/wiki/Washington_County,_Oregonhttps://en.wikipedia.org/wiki/Beaverton,_Oregonhttps://en.wikipedia.org/wiki/Mark_Parkerhttps://en.wikipedia.org/wiki/Footwearhttps://en.wikipedia.org/wiki/Sport_equipment

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    e#uipments and other athletic and

    recreational products

    Re"enue  012:.6 billion (>E 2546)[2]

    $peratin%

    income

     016.535 billion (>E 2542)[6]

    Net income  012.226 billion (>E 2542)[6]

      $ri%ins and istory of Nike

    *ld logo of +ike, !nc., still used on some retro products "ith red bo&es

     A +ike >actory 1tore

    https://en.wikipedia.org/wiki/Sport_equipmenthttps://en.wikipedia.org/wiki/Nike,_Inc.#cite_note-2https://en.wikipedia.org/wiki/Nike,_Inc.#cite_note-2https://en.wikipedia.org/wiki/Earnings_before_interest_and_taxeshttps://en.wikipedia.org/wiki/Earnings_before_interest_and_taxeshttps://en.wikipedia.org/wiki/Nike,_Inc.#cite_note-10K-3https://en.wikipedia.org/wiki/Nike,_Inc.#cite_note-10K-3https://en.wikipedia.org/wiki/Net_incomehttps://en.wikipedia.org/wiki/Nike,_Inc.#cite_note-10K-3https://en.wikipedia.org/wiki/Nike,_Inc.#cite_note-10K-3https://en.wikipedia.org/wiki/Sport_equipmenthttps://en.wikipedia.org/wiki/Sport_equipmenthttps://en.wikipedia.org/wiki/Nike,_Inc.#cite_note-2https://en.wikipedia.org/wiki/Earnings_before_interest_and_taxeshttps://en.wikipedia.org/wiki/Earnings_before_interest_and_taxeshttps://en.wikipedia.org/wiki/Nike,_Inc.#cite_note-10K-3https://en.wikipedia.org/wiki/Net_incomehttps://en.wikipedia.org/wiki/Nike,_Inc.#cite_note-10K-3

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    +ike, originally kno"n as Blue Gibbon 1ports (BG1), "as foundedby 0niersity of *regon track athlete -hilip ;night and his coach BillBo"er man in 9anuary 473. he company initially operated as adistributor for 9apanese shoe maker *nitsuka iger  (no" A1!1),

    making most sales at track meets out of ;night's automobile. According to *tis ?ais, a student athlete "hom Bo"er man coached atthe 0niersity of *regon, "ho later "ent on to "in t"o gold medals atthe 475 1ummer *lympics, Bo"er man made the first pair of +ikeshoes for him, contradicting a claim that they "ere made for -hil ;night.1ays ?ais, H! told om Broka" that ! "as the first. ! don't care "hat allthe billionaires say. Bill Bo"er man made the first pair of shoes for me.-eople don't beliee me. !n fact, ! didn't like the "ay they felt on my feet.here "as no support and they "ere too tight. But ! sa" Bo"er manmake them from the "affle iron, and they "ere mine.

    !n 473, in its first year in business, BG1 sold 4,655 pairs of 9apaneserunning shoes grossing ,555. By 47: the fledgling company hadac#uired a fulltime employee, and sales had reached 25,555. !n 47,BG1 opened its first retail store, located at 6458 -ico Bouleard in 1antaonica, alifornia ne&t to a beauty salon, so its employees no longerneeded to sell inentory from the back of their cars. !n 478, due torapidly increasing sales, BG1 e&panded retail and distribution operations

    on the Dast oast, in Cellesley, assachusetts.By 4784, the relationship bet"een BG1 and *nitsuka iger "as nearingan end. BG1 prepared to launch its o"n line of foot"ear, "hich "ouldbear the 1"oosh ne"ly designed by arolyn ?aidson.[42] he 1"oosh"as first used by +ike on 9une 4, 4784, and "as registered "iththe 0.1. -atent and rademark *ffice on 9anuary 22, 4783.

    !n 478, the company hired 9ohn Bro"n and -artners, based in 1eattle,as its first adertising agency. he follo"ing year, the agency created the

    first brand ad for +ike, called here is no finish line, in "hich no +ikeproduct "as sho"n. By 475, +ike had attained a :5I market share inthe 0.1. athletic shoe market, and the company "ent public in?ecember of that year.

    ogether, +ike and Cieden= ;ennedy hae created many print andteleision adertisements, and Cieden= ;ennedy remains +ike'sprimary ad agency. !t "as agency cofounder ?an Cieden "ho coinedthe no"famous slogan 9ust ?o !t for a 47 +ike ad campaign, "hich"as chosen by Advertising Age as one of the top fie ad slogans of the25th century and enshrined in the 1mithsonian !nstitution.[4:]  Calt

    https://en.wikipedia.org/wiki/University_of_Oregonhttps://en.wikipedia.org/wiki/Philip_Knighthttps://en.wikipedia.org/wiki/Bill_Bowermanhttps://en.wikipedia.org/wiki/Bill_Bowermanhttps://en.wikipedia.org/wiki/ASICShttps://en.wikipedia.org/wiki/ASICShttps://en.wikipedia.org/wiki/Otis_Davishttps://en.wikipedia.org/wiki/1960_Summer_Olympicshttps://en.wikipedia.org/wiki/Waffle_ironhttps://en.wikipedia.org/wiki/Santa_Monica,_Californiahttps://en.wikipedia.org/wiki/Santa_Monica,_Californiahttps://en.wikipedia.org/wiki/Swooshhttps://en.wikipedia.org/wiki/Carolyn_Davidsonhttps://en.wikipedia.org/wiki/Nike,_Inc.#cite_note-13https://en.wikipedia.org/wiki/U.S._Patent_and_Trademark_Officehttps://en.wikipedia.org/wiki/Dan_Wiedenhttps://en.wikipedia.org/wiki/Just_Do_Ithttps://en.wikipedia.org/wiki/Smithsonian_Institutionhttps://en.wikipedia.org/wiki/Nike,_Inc.#cite_note-nikebiz.com-16https://en.wikipedia.org/wiki/Nike,_Inc.#cite_note-nikebiz.com-16https://en.wikipedia.org/wiki/Walt_Stackhttps://en.wikipedia.org/wiki/University_of_Oregonhttps://en.wikipedia.org/wiki/Philip_Knighthttps://en.wikipedia.org/wiki/Bill_Bowermanhttps://en.wikipedia.org/wiki/Bill_Bowermanhttps://en.wikipedia.org/wiki/ASICShttps://en.wikipedia.org/wiki/ASICShttps://en.wikipedia.org/wiki/Otis_Davishttps://en.wikipedia.org/wiki/1960_Summer_Olympicshttps://en.wikipedia.org/wiki/Waffle_ironhttps://en.wikipedia.org/wiki/Santa_Monica,_Californiahttps://en.wikipedia.org/wiki/Santa_Monica,_Californiahttps://en.wikipedia.org/wiki/Swooshhttps://en.wikipedia.org/wiki/Carolyn_Davidsonhttps://en.wikipedia.org/wiki/Nike,_Inc.#cite_note-13https://en.wikipedia.org/wiki/U.S._Patent_and_Trademark_Officehttps://en.wikipedia.org/wiki/Dan_Wiedenhttps://en.wikipedia.org/wiki/Just_Do_Ithttps://en.wikipedia.org/wiki/Smithsonian_Institutionhttps://en.wikipedia.org/wiki/Nike,_Inc.#cite_note-nikebiz.com-16https://en.wikipedia.org/wiki/Walt_Stack

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    1tack "as featured in +ike's first 9ust ?o !t adertisement, "hichdebuted on 9uly 4, 47. Cieden credits the inspiration for the slogan toJet's do it, the last "ords spoken by

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    Re!earc" #et"odo$og  %&

    Secondar Data ' Seco$!r !t! is !t! co%%ecte (

    so)eo$e other th!$ the 'sers co))o$ so'rce of

    seco$!r !t! for soci!% scie$ce i$c%'e ce$s'ses

    or/!$i!tio$!% recors !$ !t! co%%ecte thro'/h

    .'!%it!ti5e )ethoo%o/ies or .'!%it!ti5e rese!rch+

    Source! of Secondar data%

    21 E6ter$!% !t! is !t! th!t is co%%ecte ( other

    "eo"%e or or/!$i!tio$ fro) o'r or/!$i!tio$s

    e6ter$!% e$5iro$)e$t+

    71 I$ter$et so'rces+ E+/+ Goo/%e chro)e i4i"ei!+

     

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      Nike's China Problems

    Trefs Team, CONTRIBUTOR

    The share price of Ni4e was up 1.5% following the announcement of

    quarterly results by the U.S. sportswear and footwear retailer, Footoc!er. " strong performance by Foot oc!er o#er the quarterdemonstrates $i!es strength, as nearly two&thirds of the shoes sold atthe retailer are $i!es. The latters stoc! price has gone up by nearly 2>Fo5er the "!st )o$th, as it continues to record strong growth despiteproblems in emerging mar!ets. 'owe#er, the sportswear giant is still

    struggling in one of the worlds most important apparel mar!ets ( )hina.

    Sportswear has been increasingly popular in )hina, ri5e$ by a

     booming economy and rising disposable incomes. *#er the last se#en years, the mar!et has grown at a compounded annual rate of nearly+%. -et $i!es sales in reater )hina /i.e., including 'ong 0ong, acauand Taiwan2 fell for fi#e consecuti#e quarters, before recording a paltrygrowth of 3% in the second quarter of Fiscal 413. *#er this period,re#enues for $i!e brand products rose e#erywhere ecept )hina and

    6apan.

    S(ecia$ O)er Ge$er!te i$co)e se%%i$/ o"tio$s o$ stoc4s %i4eAET AUY BP NTES & )ore+ C%ic4 here to tr Forbes PremiumIncome Report +

    7oor performance in 6apan, an economy riddled with an agingpopulation, slumping economy and wea! currency&is not surprising, butfailure to capture the growth in the )hinese athletic apparel and

    footwear mar!et is a sign of worry for the company. 8n this article, wediscuss the reasons behind $i!es poor performance in )hina.

    http://www.forbes.com/sites/greatspeculations/people/trefis/http://finapps.forbes.com/finapps/jsp/finance/compinfo/CIAtAGlance.jsp?tkr=nke&tab=searchtabquotesdarkhttp://www.bidnessetc.com/21212-nike-inc-nke-nke-stock-price-rises-on-foot-locker-fl-earnings/http://www.bidnessetc.com/21212-nike-inc-nke-nke-stock-price-rises-on-foot-locker-fl-earnings/http://www.pr-inside.com/china-athletic-apparel-and-footwear-industry-r3613594.htm?_ga=1.210970961.556198289.1394534137https://e-subscriptions.forbes.com/store/es_764/Content/pbPage.Options_2014_LP2&pgmname=ForbesPrem_Edithttps://e-subscriptions.forbes.com/store/es_764/Content/pbPage.Options_2014_LP2&pgmname=ForbesPrem_Edithttps://e-subscriptions.forbes.com/store/es_764/Content/pbPage.Options_2014_LP2&pgmname=ForbesPrem_Edithttps://e-subscriptions.forbes.com/store/es_764/Content/pbPage.Options_2014_LP2&pgmname=ForbesPrem_Edithttps://e-subscriptions.forbes.com/store/es_764/Content/pbPage.Options_2014_LP2&pgmname=ForbesPrem_Edithttps://e-subscriptions.forbes.com/store/es_764/Content/pbPage.Options_2014_LP2&pgmname=ForbesPrem_Edithttp://www.forbes.com/sites/greatspeculations/people/trefis/http://finapps.forbes.com/finapps/jsp/finance/compinfo/CIAtAGlance.jsp?tkr=nke&tab=searchtabquotesdarkhttp://www.bidnessetc.com/21212-nike-inc-nke-nke-stock-price-rises-on-foot-locker-fl-earnings/http://www.bidnessetc.com/21212-nike-inc-nke-nke-stock-price-rises-on-foot-locker-fl-earnings/http://www.pr-inside.com/china-athletic-apparel-and-footwear-industry-r3613594.htm?_ga=1.210970961.556198289.1394534137https://e-subscriptions.forbes.com/store/es_764/Content/pbPage.Options_2014_LP2&pgmname=ForbesPrem_Edithttps://e-subscriptions.forbes.com/store/es_764/Content/pbPage.Options_2014_LP2&pgmname=ForbesPrem_Edithttps://e-subscriptions.forbes.com/store/es_764/Content/pbPage.Options_2014_LP2&pgmname=ForbesPrem_Edit

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    Cultural Barriers

    8n 414, $i!e was so confident about )hina that it predicted sales woulddouble to 93 billion in four years. The companys epectations of acompounded re#enue growth of 1:% in )hina ha#e pro#en to be wildlyo#er&optimistic. Sales in )hina fell for fi#e straight quarters before thisslump was arrested in the ;4 F-13, in which $i!e posted a 3% growth.

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    $i!es in#entory le#els at stores were well beyond the demand for itsproducts. This necessitated hea#y discounts in order to clear thein#entory, which affected the companys top line. e belie#e that $i!es strategy for the region was wrong for the reasons

    listed below?

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    • Ni4e is ! r'$$i$/ !$ (!s4et(!%% shoe co)"!$ fro) the

    U+S+ + Its e6"!$sio$ i$to E'ro"e 3!s (!se o$ the str!te/of t!r/eti$/ 4e "%!ers for s"o$sorshi"s !$ %e5er!/i$/those s"o$sorshi"s to for/e re%!tio$shi"s 3ith %!r/e-sc!%e

    co))erci!%% or/!$ie %e!/'es %i4e the B!rc%!s Pre)ierLe!/'e i$ E$/%!$ !$ L! Li/! i$ S"!i$+ A si)i%!r str!te/is$t "ossi(%e i$ Chi$! for t3o re!so$s $o o""ort'$itiessi)i%!r i$ sc!%e to those i$ E'ro"e e6ist !$ the )ore"o"'%!r s"orts i$ Chi$! i+e+ *oot(!%% !$ (!se(!%% h!5e%i)ite !""e!% i$ 'r(!$ !re!s+

    • Ni4es tr!i$i$/ !$ r'$$i$/ c!te/ories h!5e$t recei5e

    )'ch tr!ctio$ i$ Chi$! (ec!'se he!%th c%'(s !re

    tr!itio$!%% see$ !s !cti5ities for rich "eo"%e i$ the re/io$+O$ the other h!$ ! c'%t're of (i4i$/ to 3or4 e6ists i$Chi$! ('t "eo"%e o so )ost% i$ street c%othes i$ste! ofs"!$e6+

    • Ni4es (r!$i$/ is (!se o$ e$co'r!/i$/ stro$/

    ie$tic!tio$ 3ith ico$ic s"orts-st!rs it 'ses to e$orse its"ro'cts+ I$ ! c'%t're 3here "!re$ts !re e6cessi5e% foc'seo$ !c!e)ic !chie5e)e$t s'ch ! str!te/ h!s %i)ite

    !""e!%+

    $i!e has tried other means of increasing its #isibility in )hina. 8t openeda store in Shanghai to sell s!ateboarding and snowboarding equipment.The company also organi@ed e#ents to populari@e the store. $i!e also hasplans to increase partnerships with go#ernment to de#elop schoolathletic programs and epand rubbing clubs at uni#ersities beyond therunning clubs it helped open at 11 uni#ersities in A cities in 4B. Toattract women, $i!e holds s"eci!% tr!i$i$/ c%!sses targeting female

    consumers in gyms in se#en cities. 'owe#er, these strategies ha#ent been entirely successful. $i!es epansion into second and third tiercities in )hina will help boost its sales in the long run, but the companystill remains short of arri#ing at a strategy that can springboard it into aposition similar to the one it has in the U.S. and

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    Strong Co*(etition

    'istorically, $i!e has led the )hinese sportswear mar!et with a 14.1%mar!et share, according to the research firm

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