Under Armour Industry Analysis
Competition in the industry
• The industry that Under Armour deals with it is a extremely competitive one. Furthermore, with the large number of brands in the industry and a few of them having a significant market share makes it immensely difficult for brands like Under Armour to establish their dominance in the marketplace. • Competitors, such as Adidas and Nike are recognized worldwide and they have remarkably more resources than that of Under Armour. They have been successful in developing good relations with retailers and it has resulted in strong sales of their products.
• But, if the retailers are offered higher margins by competitors, it could result in Under Armour's product being taken off the shelf. • It is due to their brand image and recognition, the quality and performance of their products that …show more content…
Customer also has the option to choose the cheapest product through the means of online shopping. This makes it tremendously important for Under Armour to innovate new ideas for their products, for which the consumers are ready to pay a higher price as compared to the conventional, price-competitive products. • According to research, brand recognition and association are important factors that affect the customer's purchase of various products. Hence, like Nike and Adidas, Under Armour starting signing enormous contracts with a few of the best athletes in the world including Stephen Curry, Jordan Spieth and Tom Brady. Threat of substitute products
• Products such as clothing and shoes is always in demand, and is expected to continue to grow. There is always going to be the threat of a substitute i.e. a more innovative product. However in UA's industry, it is intensely challenging for companies developing substitutes, being involved in a large number of
• The industry that Under Armour deals with it is a extremely competitive one. Furthermore, with the large number of brands in the industry and a few of them having a significant market share makes it immensely difficult for brands like Under Armour to establish their dominance in the marketplace. • Competitors, such as Adidas and Nike are recognized worldwide and they have remarkably more resources than that of Under Armour. They have been successful in developing good relations with retailers and it has resulted in strong sales of their products.
• But, if the retailers are offered higher margins by competitors, it could result in Under Armour's product being taken off the shelf. • It is due to their brand image and recognition, the quality and performance of their products that …show more content…
Customer also has the option to choose the cheapest product through the means of online shopping. This makes it tremendously important for Under Armour to innovate new ideas for their products, for which the consumers are ready to pay a higher price as compared to the conventional, price-competitive products. • According to research, brand recognition and association are important factors that affect the customer's purchase of various products. Hence, like Nike and Adidas, Under Armour starting signing enormous contracts with a few of the best athletes in the world including Stephen Curry, Jordan Spieth and Tom Brady. Threat of substitute products
• Products such as clothing and shoes is always in demand, and is expected to continue to grow. There is always going to be the threat of a substitute i.e. a more innovative product. However in UA's industry, it is intensely challenging for companies developing substitutes, being involved in a large number of