Adidas Group 89
Historical Background
Back in 1924 Dassler Brothers established the Gebruder Dassler shuhfabrik which was the predecessor company of Adidas. After the World War II the two brothers had a rival, the company dissolved and Rudi Dassler established PUMA and Adi Dassler, renamed the Gebtuder Dassler Shuhfabrik to Adidas (combination of his first and last name). Adidas continued to be the most innovative company with many patents such as the track shoes with screw in-spikes. The most of the athletes in Olympic Games wear Adidas shoes. The company started to lose its market share rapidly by Nike from 1978 and then. Death of Horst Dassler, son of Adi, fell the company even more and in 1990 had only 2% of the share market in U.S.A. After that point Adidas began to increase its volume of sales with new models, reducing of costs and by signing new endorsement contracts with very popular athletes like Kobe Bryant. In 1998, Adidas announced the acquisition of Salomon SA and its major brand TaylorMade, a French sports equipment manufacturer for € 1.5 billion and in 2005 Adidas finalized the acquisition of Reebok International Ltd for € 3.1 billion that increased the company’s revenues from € 5.8 billion to € 10.1 billion.
The Group
Adidas Group after the acquisition of Reebok became the second largest sports company in the world with $13,78 billion revenues and $ 325 million net income in 2009 and has more than 39.000 employees globally. Its global market share for 2009 is 22%. Adidas Group organizes its business segments by brand. Adidas brand has 72% of the total group sales in 2009. The wholesale segment of the Adidas Group represents the 70% of the total sales; the retail the 18% of the total sales and other businesses represents the 12% of the total sales. The brand employs premium-price strategy has 1332 own-retail stores worldwide, included 329 new stores opened in 2008.
Reebok covers the 19.5% of the total sales of the Group worldwide. The Adidas Group after
Back in 1924 Dassler Brothers established the Gebruder Dassler shuhfabrik which was the predecessor company of Adidas. After the World War II the two brothers had a rival, the company dissolved and Rudi Dassler established PUMA and Adi Dassler, renamed the Gebtuder Dassler Shuhfabrik to Adidas (combination of his first and last name). Adidas continued to be the most innovative company with many patents such as the track shoes with screw in-spikes. The most of the athletes in Olympic Games wear Adidas shoes. The company started to lose its market share rapidly by Nike from 1978 and then. Death of Horst Dassler, son of Adi, fell the company even more and in 1990 had only 2% of the share market in U.S.A. After that point Adidas began to increase its volume of sales with new models, reducing of costs and by signing new endorsement contracts with very popular athletes like Kobe Bryant. In 1998, Adidas announced the acquisition of Salomon SA and its major brand TaylorMade, a French sports equipment manufacturer for € 1.5 billion and in 2005 Adidas finalized the acquisition of Reebok International Ltd for € 3.1 billion that increased the company’s revenues from € 5.8 billion to € 10.1 billion.
The Group
Adidas Group after the acquisition of Reebok became the second largest sports company in the world with $13,78 billion revenues and $ 325 million net income in 2009 and has more than 39.000 employees globally. Its global market share for 2009 is 22%. Adidas Group organizes its business segments by brand. Adidas brand has 72% of the total group sales in 2009. The wholesale segment of the Adidas Group represents the 70% of the total sales; the retail the 18% of the total sales and other businesses represents the 12% of the total sales. The brand employs premium-price strategy has 1332 own-retail stores worldwide, included 329 new stores opened in 2008.
Reebok covers the 19.5% of the total sales of the Group worldwide. The Adidas Group after