Nike World Cup 2010 Case
Kenneth Sikora
February 20, 2013
MKTG 430
Nike Case Analysis In 1962, Nike started as a US distributor for the Japanese shoe manufacturer Onitsuka under the name of Blue Ribbon Sports selling merchandise out of the back of cars at track meets. It wasn’t long before they realized they wanted to start designing and manufacturing their own brand of athletic footwear. In 1972, they changed their name to Nike and developed their iconic swoosh logo. Their first innovative shoe featured a waffle outsole that was lightweight and provided superior traction. Through quality, innovation, endorsements and strategic decisions the company had captured 50 percent of the US running shoe market by 1979.
Since their primary focus had been the running market, by the early 90s Football had only grown to a 40 million dollar business for Nike. The big powerhouse, Adidas, dominated the Football market worldwide. Nike saw the potential in this market, as Football was the most watched and played sport across the globe. Not long after the ‘94 world cup, then CEO Phil Knight made the decision to open a brand new department dedicated solely to Football. Nike had built their company around the idea of innovation and offering athletes the best tools to improve their performance and they wanted to make that the driving force behind the new department. They recognized that the design of boots, balls and jerseys had not changed in many years and they saw this as their opportunity and competitive advantage. They also saw the popularity and individuality of the Brazilian team and their style of play and leveraged them into an endorsement deal to become the face of Nike football.
By the 1998 World Cup Nike developed the lightest and most innovative Football Boot ever with the guidance of Brazilian star Ronaldo. They released the “Airport” ad, which featured the Brazil national team in the airport showing off their skills. This ad was immensely effective at combining pop culture
February 20, 2013
MKTG 430
Nike Case Analysis In 1962, Nike started as a US distributor for the Japanese shoe manufacturer Onitsuka under the name of Blue Ribbon Sports selling merchandise out of the back of cars at track meets. It wasn’t long before they realized they wanted to start designing and manufacturing their own brand of athletic footwear. In 1972, they changed their name to Nike and developed their iconic swoosh logo. Their first innovative shoe featured a waffle outsole that was lightweight and provided superior traction. Through quality, innovation, endorsements and strategic decisions the company had captured 50 percent of the US running shoe market by 1979.
Since their primary focus had been the running market, by the early 90s Football had only grown to a 40 million dollar business for Nike. The big powerhouse, Adidas, dominated the Football market worldwide. Nike saw the potential in this market, as Football was the most watched and played sport across the globe. Not long after the ‘94 world cup, then CEO Phil Knight made the decision to open a brand new department dedicated solely to Football. Nike had built their company around the idea of innovation and offering athletes the best tools to improve their performance and they wanted to make that the driving force behind the new department. They recognized that the design of boots, balls and jerseys had not changed in many years and they saw this as their opportunity and competitive advantage. They also saw the popularity and individuality of the Brazilian team and their style of play and leveraged them into an endorsement deal to become the face of Nike football.
By the 1998 World Cup Nike developed the lightest and most innovative Football Boot ever with the guidance of Brazilian star Ronaldo. They released the “Airport” ad, which featured the Brazil national team in the airport showing off their skills. This ad was immensely effective at combining pop culture