PUMA’s AG Case
Adalbert and Rudolf Dassler founded puma in 1924 in Germany. The company was called Gebrüder Dassler OHG, and was internationally well known. However, the two brothers separated creating Adidas and Puma, respectively.
Puma had sponsored some of the worlds most famous soccer players, positioning itself as one of the most important company in soccer shoes and accessories. In spite of that, the son of the founder, Armin Dassler, take Puma to a point where all product were sold “dirt-cheap”, ruining the brand image. The high society was not willing to wear the brand.
In 1993, Jochen Zeitz, became the CEO of the company, and together with Martin Gaensler, the supply chain management chief, applied 3 significant phases into the Comeback of Puma:
* Aimed at making Puma profitable in order to build a strong financial foundation. * Restructuring the whole company
* Focusing in core competencies: marketing, brand management, and product management. * Transform Puma into an attractive sports brand. (High- value brand in sport and lifestyle sales categories). * Sponsoring and advertisement.
Puma’s major competitors
1. Adidas –Salomon AG
* Headquarters in Bavaria, Germany.
* Production was in every continent, except in Australia, with administration, design, and marketing in Germany and France. * Production outsourced in Asia.
* Only supplier covered all sports.
* Main strength soccer line, sky and tennis market.
* Known as a brand for the family, satisfying customer’s needs. * Sponsoring activities on huge sports events, famous teams, and athletes like FIFA World Cup and UEFA Champions League.
* American company founded by Bill Bowerman and Phil Knight in 1964. * Outsourced part of the production to China and concentrated its skills on product design, marketing, and distribution. * Located in Oregon.
* Administrative activities concentrated in United States....
Bibliography: Kaufmann, Lutz. “Puma AG”. The WHU Otto Beisheim Graduate School of Management.
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