Case Study Nike
Amanda Merkatz
Management 301-02
Case Study 11
11252895
1. How does Nike’s decision to retain an in-house arm of ad agency Wieden & Kennedy exemplify the concept of organizational design?
The decision to retain an in-house arm of ad agency exemplify the concept of organizational design, makes you look at how both companies interpret organizational design. Organizational design is the process of creating structures that accomplish the company’s missions and objectives. First looking at the text, you interpret the Nike’s mission is to design products that will have an outcome of a positive image and that positive image will encourage consumers to purchase Nike products.
This shows you that Nike’s image is one of the most viable and important aspects for their company’s success. Which would leave to the following aspects of customer satisfaction, because without that I could potentially ruin Nike’s positive image that they strive so much for. Another factor that plays into this positive image would be advertising. Advertising is an important factor because helps the company showcase their “consumer-aimed” designs to the public. “Nike recently spent nearly $2.5 billion annually on advertising.” This textbook reference perfectly displays Nike’s commitment to their positive brand image. Nike’s current advertising agency, Wieden & Kennedy has portrayed this image successfully in the past and currently. This success was show by Nike providing them with “in-house arms” at the Nike headquarters. By Nike displaying this affection of placing a core contributor to their mission of having a positive image and taking placing them into their headquarters, embodies the concept of organizational design. Not only does is embody the concept is gives the advertising agency the opportunity to have access to Nike’s executive officers, all other employee’s that fall under the top-down and bottom-up structures of change. Which will stimulate Weiden & Kennedy form to better and
Management 301-02
Case Study 11
11252895
1. How does Nike’s decision to retain an in-house arm of ad agency Wieden & Kennedy exemplify the concept of organizational design?
The decision to retain an in-house arm of ad agency exemplify the concept of organizational design, makes you look at how both companies interpret organizational design. Organizational design is the process of creating structures that accomplish the company’s missions and objectives. First looking at the text, you interpret the Nike’s mission is to design products that will have an outcome of a positive image and that positive image will encourage consumers to purchase Nike products.
This shows you that Nike’s image is one of the most viable and important aspects for their company’s success. Which would leave to the following aspects of customer satisfaction, because without that I could potentially ruin Nike’s positive image that they strive so much for. Another factor that plays into this positive image would be advertising. Advertising is an important factor because helps the company showcase their “consumer-aimed” designs to the public. “Nike recently spent nearly $2.5 billion annually on advertising.” This textbook reference perfectly displays Nike’s commitment to their positive brand image. Nike’s current advertising agency, Wieden & Kennedy has portrayed this image successfully in the past and currently. This success was show by Nike providing them with “in-house arms” at the Nike headquarters. By Nike displaying this affection of placing a core contributor to their mission of having a positive image and taking placing them into their headquarters, embodies the concept of organizational design. Not only does is embody the concept is gives the advertising agency the opportunity to have access to Nike’s executive officers, all other employee’s that fall under the top-down and bottom-up structures of change. Which will stimulate Weiden & Kennedy form to better and