International Business
Dr. Harry Bowen
By Ali Al Yousef
Table of Contents The Company……………………………………………………………………………………3 GLOBAL BUSINESS STRATEGY OF ADIDAS 4 INITIAL LOCATION STRATEGY 6 ECONOMIC PROFILE OF BANGLADESH 7 Political risk 8 Legal issues 9 Cultural profile 9 HRM/labor relations 11 Mode of entry 11 ECONOMIC PROFILE OF AUSTRALIA 12 Political risk 13 Legal issues 13 Cultural profile 13 HRM/labor relations 14 Mode of entry 15 RECOMMENDATION 15 Bibliography 16
The company
Adidas is a holding company for the Adidas Group (AG), which specialized in sports footwear, apparel and accessories. As of today, the Company diversifies its activities into three operating segments: 1. Wholesale Business; 2. Retail Business, and 3. Other Businesses.
The Wholesale Business segment comprises the Adidas and Reebok business activities with retailers. Furthermore, it diversifies its activities by geographical regions into Western Europe, European Emerging Markets, North America, Greater China, other Asian markets and Latin America. (Reuters)
Adidas’ main goal is to have high consumer brand loyalty. A recent study showed that many sports’ goods consumers have a high brand loyalty towards Adidas, Nike, Inc., Puma AG and several other sportswear brands. In addition, the study found consumers did not exhibit unduly high loyalty towards newly established brands.
During the mid to late 1990s, Adidas divided the brand into two main categories and each has separate focus: 1. Adidas Performance was designed to maintain AG’s devotion to athletes. 2. Adidas Original was designed to focus on fashion and healthy life-style. (Reuters)
GLOBAL BUSINESS STRATEGY OF ADIDAS
Adidas’ objective is to be the leading sports brand on the globe. Major boost up to achieve this is the brand’s broad and unique product portfolio spanning from apparel and footwear for professional athletes to premium fashion. It
Bibliography: Adidas Group. (2012, November 23). Adidas Strategy. Retrieved from Adidas-Group: http://www.adidas-group.com/en/investorrelations/strategy/adidas/default.aspx Adidas Group eHow. (2012, November 23). What Countries Manufacture Adidas. Retrieved from wHow: http://www.ehow.com/info_8187202_countries-manufacture-adidas.html Geert Hofstede QuickMBA. (2012, November 23). Strategic Management. Retrieved from Quick MBA: http://www.quickmba.com/strategy/global/marketentry/ The guardian The World Bank. (2012, December 6). Data. Retrieved from the World Bank: http://data.worldbank.org/ Vlasich, S. S. (2012, November 23). A Global Sports Strategy. Retrieved from We are Development: http://wearedevelopment.net/2012/01/11/adidas-a-global-sports-strategy/ Vlasich, S