Preview

Week Four Case Studies: Blockbuster And Under Armour

Better Essays
Open Document
Open Document
1564 Words
Grammar
Grammar
Plagiarism
Plagiarism
Writing
Writing
Score
Score
Week Four Case Studies: Blockbuster And Under Armour
Case Studies: Blockbuster and Under Armour
Week Four, Assignment Two
SUO MGT 4070
Linda Taylor
10 September 2013

Abstract This paper includes two case studies. The first part is about Blockbuster’s growth strategy by acquiring Movielink is or is not improved, and the second part is a discussion on some solutions to the most pressing competitive and strategic issues facing Under Armour, a sports clothing manufacturer.

Introduction Blockbuster is a leading global provider to customers of in-home movie and game rentals (Hitt, 2010, p. 71). This industry has undergone changes with new technology that has been developed. Blockbuster’s ability to change its strategies in order to take advantage of these new technologies has been
…show more content…
In the different growth stages of a company, different competencies would be required. For example, a leader who might be a great turnaround leader may not be effective as a great start-up CEO. In Blockbuster’s case, the latest CEO, Mr. Keyes, and the board of directors became fragmented and lost the vision they were both required to maintain-the best interest of the shareholders. Internal conflict that was experienced with Blockbuster’s leaders caused the company to lose its market position (“Lack of leadership, …show more content…
Also the company should integrate its current marketing plan to ensure all sponsorships and endorsements contribute to the value of their offerings. Continued technology development in the apparel industry can help Under Armour stay as a main competitor in the sportswear market.
Conclusion
Overall sales have increased annually since the inception of Under Armour. By using it core competencies in innovation and its brand equity, Under Armour will continue to increase customer value and stay in the market to compete against larger companies.

References
Antioco, John. (2011, April). How I Did It: Blockbuster 's Former CEO on Sparring With An Activist Shareholder. Harvard Business Review.
Hitt, M.A. (2010). Strategic management: competitiveness and globalization. [Vital Source Digital version]. Mason, OH: South-Western Cengage Learning.
“Lack of leadership”, (2011, Sept). Retrieved from http://www.vision-alignment.com/Blog-

You May Also Find These Documents Helpful

  • Better Essays

    Some of the current strategies of this company are the expansion of product lines, increasing marketing for footwear and to distribute to more locations, especially internationally. These basic strategies are very important for the growth of the company. With these improvements, Under Armour has the potential to become an even stronger competitor in the athletic wear industry.…

    • 806 Words
    • 4 Pages
    Better Essays
  • Good Essays

    Michael Porter’s five forces model is a useful tool for industry and competitive analysis. It holds that an industry’s profit potential is largely determined by the intensity of the competitive rivalry within that industry, and that rivalry, in turn is explained in terms of five forces: 1) the threat of new entrants, 2) the bargaining power of customers, 3) the bargaining power of suppliers, 4) the threat of substitute products or services, and 5) the jockeying among current rivals. Under Armour is specialize in sports apparel. The sports apparel industry have very high demands are very competitive. The increase in rivalry is led by number of firm that are in sport apparel industry such as Nike, Adidas, Reebok etc. All these sports apparel…

    • 306 Words
    • 2 Pages
    Good Essays
  • Good Essays

    Under Armour

    • 996 Words
    • 4 Pages

    Brands like: Under Armour, Nike and Adidas/Reebok are in a highly competitive industry where the dominant competitors have significant range of market coverage that makes it difficult to find an entry point. A newcomer is going to face two classes of factors: the expected reaction of incumbent firms to new entry and the barriers to entry. The newcomers are going to have to deal with the cost advantages enjoyed by the industry incumbents because when first entering a market newcomers are going to have to “buy” their way in. Also the stronger the attachment of buyers to…

    • 996 Words
    • 4 Pages
    Good Essays
  • Good Essays

    Block Buster

    • 4592 Words
    • 19 Pages

    The case covers Blockbuster’s emergence in the video rentals market. After detailing the intricacies of the video rental market, the case takes a deeper dive into Blockbuster’s business model, based on brick-and-mortar locations throughout the US. This costly infrastructure has slowed the entertainment giant’s growth in an industry that has rapidly transitioned from the traditional store-based model, to mail rental and video-on-demand alternatives. The rapid transition of customer demand and the emergence of Netflix (Blockbuster’s main competitor) has incited Blockbuster’s rapid entrance into the video-on-demand market through the acquisition of Movielink.…

    • 4592 Words
    • 19 Pages
    Good Essays
  • Good Essays

    Under Amour’s strength is innovative and unique technology of their products. “For example, in 2013, the company released a shirt that tracks athlete’s heart. Sensors in the brand’s shirt are able to pick up electrical signals from the heart. Additionally, Under Armour developed the tape replacing clear that gives ultimate support, and pivot freedom for athletes.” (Horovitz 2012) These Innovations give Under Armour a competitive edge against other sporting retail brands. As the company continues to keep up with society’s technology advances, it can remain a hot topic in its industry in the eyes of many consumers. Also with the invention of the compression undershirt, Under Armour was founded on innovation within the athletic industry. From the company’s humble beginning to now, Under Armour has kept a continuous focus on meeting the changing needs of athletic industry with new, innovation technology. The company has a natural fast-dying cotton.(Jackson and Day P12-18)…

    • 296 Words
    • 2 Pages
    Good Essays
  • Good Essays

    Kevin Plank Under Armour

    • 436 Words
    • 2 Pages

    Under Armour has several strengths, weaknesses, opportunities and threats. One of their greatest strengths is the technology. For instance, they released a shirt that tracks an athlete’s heart and picks up electrical signals. They get recognition from other professional athletes and schools. The product is diverse and uses eco-friendly procedures. Their weakness is they provide a limited amount of footwear. 80.2% of their brand contains apparel, 12% is footwear and 7.8% other. Their material is limited and also have opposition from other well-known brands such as Nike and Adidas.…

    • 436 Words
    • 2 Pages
    Good Essays
  • Good Essays

    Case Study Under Armour

    • 877 Words
    • 4 Pages

    In this case, I will provide my recommendations, analyze, and share my interpretation of this case. Under Armour( UA) is a distributor of athletic apparel, accessories and shoe wear. There strategic issued is to be able to compete in the sports apparel industry against big names such as Nike and Adidas. In order for them to be successful, they have to be able to meet their market share. UA needs to open up its industry to include more women apparel and shoe wear as well as reach other people globally. In order for them to target a large number of consumers and to compete against Nike or Adidas, they need to be able to reach the same genre of people in the United States and other countries. One strategic issue the company is facing is in the…

    • 877 Words
    • 4 Pages
    Good Essays
  • Good Essays

    Big-name athletes continue to sign with Under Armour, which therefore increases the demand for its products. Under Armour has recently began to manufacture a few of their accessories here in the United States, which is an important factor to mention when the public begins to focus more and more on globalization. Under Armour has recently become the official supplier of athletic gear to the United States military. With all the factors mentioned above, I see Under Armour becoming the top athletic brand in the United States in the near…

    • 1030 Words
    • 5 Pages
    Good Essays
  • Better Essays

    Under Armour started by marketing products at lower prices pushing their merchandises for college youths. However in recent times, UA have been undergoing massive expansions and have undertaken new objectives to engage with top athletes from many different sporting leagues of the world to endorse their products. Due to their new business ventures, UA have widened their market positioning to the higher end of the scale as well…

    • 1552 Words
    • 7 Pages
    Better Essays
  • Powerful Essays

    In today’s world of business there are many competitive challenges that are faced while attempting to stay relevant and successful in the business industry. Throughout this paper two companies will be discussed. The first for failing to stay relevant is Circuit City, whose attempt at remaining successful as a retail business was short lived. The second company to be discussed is Johnson & Johnson, who remained successful throughout the many years they have been in business. There are many reasons why a business may fail and many reasons why a business can become and remain…

    • 2103 Words
    • 9 Pages
    Powerful Essays
  • Good Essays

    Nike Ethics Case Study

    • 735 Words
    • 3 Pages

    The competitor gaining the most ground is Under Armour, though “Nike continues to have a more attractive valuation than Under Armour (Keulen, 2014).” Similar to Nike, the Under Armour Company is aggressively pursuing profitable sponsorship deals, giving them a rising portion of market revenue. Nike makes more than 10 times the revenue of Under Armour, but the brand frequently find themselves squabbling over endorsement deals and sponsorship (Goodkind, 2014). “Under Armour has also grabbed Adidas’ spot as the second-largest sporting brand in the United States with Nike being ranked number one (Goodkind, 2014).” But despite this new rank and a predicted revenue growth of 20% each of the next five years, Under Armour finds its total annual revenue to be the equivalent of Nike’s advertising budget (Goodkind,…

    • 735 Words
    • 3 Pages
    Good Essays
  • Better Essays

    This research paper will explore and analyze the leadership and strategic failures that occurred within Blockbuster Incorporated. The paper will look at leadership and strategic theories that could have assisted Blockbuster. In addition the paper will discuss the importance of leadership within an organization, and its necessity for the company to survive.…

    • 2057 Words
    • 9 Pages
    Better Essays
  • Best Essays

    Athlete Endorsements

    • 4178 Words
    • 17 Pages

    Baker, A. (2008, July 11). Tiger woods is set to make financial history, thanks to his sporting prowess and attraction to sport. The Daily Telegraph, 11.…

    • 4178 Words
    • 17 Pages
    Best Essays
  • Powerful Essays

    During the 1990s, both companies experienced major challenges to their historic competitive positions and organizational models and at the end of the decade; both companies were struggling to reestablish their competitiveness. At the start of the new millennium, new CEOs at both companies were implementing yet another round of strategic initiatives and organizational restructurings. Observers wondered how the changes would affect their long running competitive battle.…

    • 7249 Words
    • 29 Pages
    Powerful Essays
  • Good Essays

    Nike Case Study

    • 947 Words
    • 4 Pages

    While there are some companies such as Blackberry, that have struggled to keep up with the growing technology changes and advances, there are also companies like Nike, which has continually innovated and increased marketing to survive over time. Nike is an excellent corporation to study which has had continuous success over a lengthy period of time. Nike has outlasted rivals and maintained its position as the top athletic wear producer in the world.…

    • 947 Words
    • 4 Pages
    Good Essays