1)The question "Should Nike switch from a focus on celebrities to a focus on its products in its advertising" is a classic example of a management decision problem where a particular problem confronting the management of a company (Nike in this case) and they are then required to make a decision of what course of action to pursue. Clearly in this case it is a very important decision and it may determine the continued future success of the company and so it would be folly to make it based on an opinion
Premium Marketing Marketing research
High Prices: Nike has the upper hand when it comes to the product it is selling; a strong brand allows Nike to be very profitable. However‚ Nike sets prices at higher rates than its competitors who make their products out of reach for many customers in emerging markets. There is also the risk of declining demand when an economy falls into recession‚ as consumers have lower tolerance on spending on items that are not a necessity. Opportunities Emerging Markets: While Nike already has a presence in
Premium Marketing Strategic management Economics
Nike Case: An Investment Paper Time Context Nike generated $ 2.45 billion in operating income on revenues of $ 19 billion in the fiscal year ended in May 2009. However‚ its stock price has stagnated or became inactive for the last two years and its future sales and earnings are likely to be adversely affected by increased competition from both established firms (like Reebok and Adidas) and upstarts (such as Underarmour). This business problem made Nike to consider an expansion into the fashion
Premium Net present value Rate of return Investment
Nike: A Multinational Company in China Nike is one of the largest athletic shoe brands in the world and sells millions of shoes and clothing each year. The company was founded on January 25‚ 1964 by a University of Oregon track athlete Philip Knight and his coach Bill Bowermanas. It was first named Blue Ribbon Sports and it officially became Nike‚ Inc. on May 30‚ 1978 (Nike). As a multinational company‚ it operates retail stores domestically and overseas and all of the products it sells are manufactured
Premium Athletic shoe Nike, Inc. People's Republic of China
days‚ advertising‚ especially online‚ is about going viral‚ having people share the ads with their friends getting as much exposure as possible physically. In an image representative all world‚ ‘Nike’ is the world’s most recognizable landmark. It became a cultural icon. Nike’s new advertisement‚ called "Nike Write the Future" is no doubt a success. With advertising the sports brand has surely been another huge success. It has adverted things as a big picture that explain the consequences of winning
Premium 2006 FIFA World Cup Advertising FIFA World Player of the Year
know what the answer is. The product that is being advertised in the picture above is all Christiano Ronaldo products sponsored by NIKE. Ever since Ronaldo came into the league in 2003 he has been an iconic figure for soccer around the world. Ronaldo products such as jerseys‚ cleats‚ and even socks have been the hottest thing in the market since he won Balon d’Or (world’s best player) in 2008 all of his products have sky rocketed and has yet to be surpassed. This NIKE ad persuasively uses the mirror
Premium Association football FIFA World Cup Football
Adidas & the other company in the same sector was Nike. The Mission statement of Adidas is : “The Adidas Group strives to be the global leader in the sporting goods industry with sports brands built on a passion for sports and a sporting lifestyle. We are dedicated to consistently delivering outstanding financial results. We are innovation and design leaders who seek to help athletes of all skill levels achieve peak performance with every product we bring to market. We are consumer focused and
Premium Management Organization Strategic planning
Leadership is a process of social influence‚ which maximizes the efforts of others‚ towards the achievement of a goal. Phil Knight‚ co-founder and chairman of Nike‚ Inc. is the epitome of an innovative leader who revolutionized the sports industry. In the past‚ he has also served as the company’s chief executive officer. Nike‚ Inc. is one of the largest if not the largest suppliers of athletic shoes and apparel around the world. Although Phil Knight has never been a professional athlete‚ owner of
Premium Marketing Brand Athletic shoe
and its financial importance for the company and future investors. The management of Nike Inc. addresses issues both on top-line growth and operating performance. The company’s cost of capital is a critical element in such decisions and it is important to estimate precisely the weighted average cost of capital (WACC). In our analysis‚ we examine why WACC is important in decision making and we show how WACC for Nike Inc. is calculated correctly. Also‚ we calculate the company’s cost of equity using
Premium Weighted average cost of capital Arithmetic mean Mathematics
Strategic Planning Department Revision for Higer Profits NIKE‚ Inc. One Bowerman Drive Beaverton‚ OR 97005 December 8‚ 2011 Submitted By: Bevilacqua‚ Nicholas Cometa‚ Nicholas Delgado‚ Ryan Jameson‚ Shaun Table of Contents Preface……………………………………………………………………………………………1 Nike Shareholder Information…………………………………………………………..………2 Background on 7 S Strategy………………………………………………………………………………….5 Structure…………………………………………………………………………………6 Shared Values……………………………………………………………………………8 Skills……………………………………………………………………………………
Premium Nike, Inc.