Nike case study
Nike case study
Jamaludin Husein Alcaf
Background
• Nike is based in Oregon, USA. It operates in 120 countries and has over 20,000 employees. Fiscal year
2001 saw sales grow in each of its product segments in all four global markets. Total sales topped $US 9 billion.
• In Japan, Nike allied itself with Nissho Iwai, the sixth largest Japanese trading company, to form Nike-Japan
Corporation. Because Nike al ready held a part of the low-priced athletic shoe market, the company set its sights on the high-priced end of the scale in Japan.
Nike and MNC
• Nike, the athletic footwear and clothing manufacturer, is a good example of a multinational corporation that has incorporated corporate social responsibility into its overall business strategy. In fact, Nike might argue that the move was necessary for its survival.
Case in Japan
• Nike is on fre. Shares in the athletic footwear company hit record highs in post-market trading on Thursday after posting a solid frst quarter earnings beat. Nike saw growth across all products and every geography, with the exception of China and Japan, helping gross margins expand even further.
• Revenue grew a more moderate 8% to $7 billion, which was in line with analysts’ forecasts, as Nike’s products sold well across Western,
Central, and Eastern Europe. Nike had a good performance in
North America, its largest unit, and managed to squeeze out 1% growth in emerging markets. The big losers were Japan and China, where Nike has been focusing on a renewal of its products and a changing strategy, the two geographies where sales declined.
Opportunities Identifcation
• Raising of the Internet environment
Nike could allow their customers to order products online, and pick them up at a retail store. This process not only allows Nike could promote online with deeply and efective strategy, but also can build a database which collect customer information and follow up the original customers.
Opportunities Identifcation
• Product
Jamaludin Husein Alcaf
Background
• Nike is based in Oregon, USA. It operates in 120 countries and has over 20,000 employees. Fiscal year
2001 saw sales grow in each of its product segments in all four global markets. Total sales topped $US 9 billion.
• In Japan, Nike allied itself with Nissho Iwai, the sixth largest Japanese trading company, to form Nike-Japan
Corporation. Because Nike al ready held a part of the low-priced athletic shoe market, the company set its sights on the high-priced end of the scale in Japan.
Nike and MNC
• Nike, the athletic footwear and clothing manufacturer, is a good example of a multinational corporation that has incorporated corporate social responsibility into its overall business strategy. In fact, Nike might argue that the move was necessary for its survival.
Case in Japan
• Nike is on fre. Shares in the athletic footwear company hit record highs in post-market trading on Thursday after posting a solid frst quarter earnings beat. Nike saw growth across all products and every geography, with the exception of China and Japan, helping gross margins expand even further.
• Revenue grew a more moderate 8% to $7 billion, which was in line with analysts’ forecasts, as Nike’s products sold well across Western,
Central, and Eastern Europe. Nike had a good performance in
North America, its largest unit, and managed to squeeze out 1% growth in emerging markets. The big losers were Japan and China, where Nike has been focusing on a renewal of its products and a changing strategy, the two geographies where sales declined.
Opportunities Identifcation
• Raising of the Internet environment
Nike could allow their customers to order products online, and pick them up at a retail store. This process not only allows Nike could promote online with deeply and efective strategy, but also can build a database which collect customer information and follow up the original customers.
Opportunities Identifcation
• Product