Nike and Adidas
Nike vs. Adidas: Constant Competition for Industry Dominance
Every generation of man has seen sport as an integral part of the social order. From the ancient civilizations to contemporary society, humankind has recognized both the importance of the improvement and maintenance of physical fitness as well as the entertainment inherent in competition. A symbol of physical prowess, skill, determination, and discipline, the athlete has always held a revered place in society. Athletes, depending on the sport in which they engage, require apparel and accessories to compete as best they can. This fundamental necessity for the sportsman has created a massive market for sportswear, apparel and athletic accessories. Two companies that have taken the most advantage of the potential for growth in this industry are Nike and Adidas. These corporations sit atop the industry for many reasons, but on the whole they can attribute their success to their intensive research and intimate knowledge of the athlete and his or her specific, nuanced needs. As sports constantly evolve and technology rapidly advances, so, too do the needs of athletes. Nike and Adidas, in their innovation, design, and marketing, have paid the closest attention to these ever-changing needs and thus have established themselves as the most financially successful and well-known brands in the industry.
This intent of this paper is to analyze Nike and Adidas in the context of one another as competitors, in the context of athletic apparel industry as a whole, and in the context of the global economy, which has become dominated by multinational corporations. I will begin by providing a brief background of each company and establishing commonality between them to elucidate the relevance and importance of a comparison. I will then highlight their financial differences, discussing trends in growth and each firm’s market share in the industry. Next, I will examine the broad trends and intricacies involved in each
Every generation of man has seen sport as an integral part of the social order. From the ancient civilizations to contemporary society, humankind has recognized both the importance of the improvement and maintenance of physical fitness as well as the entertainment inherent in competition. A symbol of physical prowess, skill, determination, and discipline, the athlete has always held a revered place in society. Athletes, depending on the sport in which they engage, require apparel and accessories to compete as best they can. This fundamental necessity for the sportsman has created a massive market for sportswear, apparel and athletic accessories. Two companies that have taken the most advantage of the potential for growth in this industry are Nike and Adidas. These corporations sit atop the industry for many reasons, but on the whole they can attribute their success to their intensive research and intimate knowledge of the athlete and his or her specific, nuanced needs. As sports constantly evolve and technology rapidly advances, so, too do the needs of athletes. Nike and Adidas, in their innovation, design, and marketing, have paid the closest attention to these ever-changing needs and thus have established themselves as the most financially successful and well-known brands in the industry.
This intent of this paper is to analyze Nike and Adidas in the context of one another as competitors, in the context of athletic apparel industry as a whole, and in the context of the global economy, which has become dominated by multinational corporations. I will begin by providing a brief background of each company and establishing commonality between them to elucidate the relevance and importance of a comparison. I will then highlight their financial differences, discussing trends in growth and each firm’s market share in the industry. Next, I will examine the broad trends and intricacies involved in each