CASE QUESTIONS: “PHIL KNIGHT: CEO AT NIKE (1983)”
Why has NIKE been successful?
NIKE has succeeded because it succeeded to differentiate itself with athletic runner market segment and made its product to be more about life style rather than professional use. The shoe market was dominated by Adidas with sophisticated special sports shoes like soccer and tennis which not belong to specific lifestyle and 2)
What role has Phil Knight played in this success?
The role is the emphasis to create multi category athletic, lifestyle shoe that reach as much as possible customers using the following activities
Shoes were offered in a standard array of sizes
Suggested retail price from $15 to $90
Footwear market viewed as a pyramid small peak(serious athletic),board base (the millions of Americans who wore athletic footwear in a casual or street wat” 3)
How serious are the problems facing NIKE in 1983?
It was serious to the point that NIKE success can’t be continued. That because
The company grow larger and its operation became more complex.
Growth led to make it hard define jobs
Slow processing orders
Why did Knight appoint Woodell? What other alternatives were available? Woodell was
In close relation with Knight
One of the guys that knight count on in run business
The administrative guy
Has close relation with the employees
How should he redefine the job?
He should redefine the job t make to serve the formalizing structures. The situation was that people in the organization make decision on their own and the decision of redefine the job should not make it worse instead the decision should help to make decision more formal and organized.
As Woodell, how do you see the opportunities and risks of your new job? What plan of action would you develop? The new job is the key power of change, but the risk part is the responsibility is how to organize the decision making as the company grow....
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