Swot - so Analysis Nike

Topics: Developing country, Brazil, Brand Pages: 4 (1366 words) Published: July 4, 2012
Nike SWOT Analysis (Strengths, Weaknesses, Opportunities and Threats)

Strengths - Nike is one of the main shoemaker in the world. It designs and sells shoes for a big variety of sports including basketball, baseball, golf, soccer, volleyball, tennis, football and running. - Nike is strong at research and development, as is evidenced by its evolving and innovative product range. Its products go through a rigorous quality control before they go to market. Despite the cost to keep a high-level research and quality control departments, Nike always try to offer its goods to customers at the lowest possible price. - Nike does not have its own factories. Its production is outsourced by factories located in cheap labor countries; therefore, there are no costs with buildings, equipment maintenance or manufacturing workers. If prices rise, and products can be made more cheaply elsewhere, Nike will move its production. These actions keep the company operating its production in a low cost way. - The company by itself operates the Nike Town Shoe, Nike factory outlets and sports goods stores. Nike sells its products throughout all North America and its goods can be found in more than 180 countries. | Weaknesses - Labor violations, bad repercussion with sweat factory issues and unethical business practice can be faced as one of the major problems related with the brand deterioration. All of Nike's production occurs outside the USA, where costs of production are reduced to the maximum. This kind of stance it is becoming badly perceived while the number of human rights and environmental groups is rising around the world. - In spite of the company has a diversified range of sports products. Its income is still heavily related to its share of the footwear market. If Nike footwear faces a market downturn, the company might collapse. - In the 1990s, Nike was reported by a human right group to apply child labor in Pakistan and Cambodia to produce soccer balls...
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