Nike
Nike Case Analysis
Prepared for Consumer Behavior
Introduction
Nike is the largest seller of athletic footwear and athletic apparel in the world with subsidiaries in over 200 countries across the world. It is a company that was founded by Phil Knight in the 1960’s, who was a talented middle-distance runner from Portland. He approached the Onitsuka Co. in Kobe, Japan, and persuaded the manufacturer of Tiger shoes to make Knight a distributor of Tiger running shoes in the United States. He partnered up with Bill Bowerman , a nationally respected track and field coach at the University of Oregon who had been researching ways to give his athletes a competitive advantage. In 1971 the name Nike was used on the new line of sneakers (History 7 Heritage). 25 years ago started providing better shoes for competitive athletes with the motto of “All it will take is a passion for sports, a few good ideas and the will to make it happen” (2010, Peter & Olson, p. 97). Discussion Questions
There are two market segments of consumers; one that uses the sneakers for athletic activity and the other for casual wear. Consumers with strong goals to achieve athletic excellence would rely on their knowledge of the footwear as well as recall athletes that wear the footwear in both advertisements as well as in actual sporting events. Also, what is the goal sought after in purchasing the particular brand and style of footwear. One segment might be in search of a better running shoe to enhance their performance and the other might look at style and fashion and all around comfort of the footwear under normal wearing conditions. The challenge for marketers is to reach both segments of the market and put into people’s minds that the company sells footwear to meet the needs of both segments. With the means-end chain it is important that Nike remains number one in the
Prepared for Consumer Behavior
Introduction
Nike is the largest seller of athletic footwear and athletic apparel in the world with subsidiaries in over 200 countries across the world. It is a company that was founded by Phil Knight in the 1960’s, who was a talented middle-distance runner from Portland. He approached the Onitsuka Co. in Kobe, Japan, and persuaded the manufacturer of Tiger shoes to make Knight a distributor of Tiger running shoes in the United States. He partnered up with Bill Bowerman , a nationally respected track and field coach at the University of Oregon who had been researching ways to give his athletes a competitive advantage. In 1971 the name Nike was used on the new line of sneakers (History 7 Heritage). 25 years ago started providing better shoes for competitive athletes with the motto of “All it will take is a passion for sports, a few good ideas and the will to make it happen” (2010, Peter & Olson, p. 97). Discussion Questions
There are two market segments of consumers; one that uses the sneakers for athletic activity and the other for casual wear. Consumers with strong goals to achieve athletic excellence would rely on their knowledge of the footwear as well as recall athletes that wear the footwear in both advertisements as well as in actual sporting events. Also, what is the goal sought after in purchasing the particular brand and style of footwear. One segment might be in search of a better running shoe to enhance their performance and the other might look at style and fashion and all around comfort of the footwear under normal wearing conditions. The challenge for marketers is to reach both segments of the market and put into people’s minds that the company sells footwear to meet the needs of both segments. With the means-end chain it is important that Nike remains number one in the
Cited: 1. History & Heritage retrieved from http://www.nikebiz.com/company_overview/history/1960s.html 2. (2006) Nike Goes For The Green. Bloomberg Business Week. retrieved from http://www.businessweek.com/magazine/content/06_39/b4002108.htm . 3. (November 30, 2010) Lowering the Carbon Footprint of Nike Shoes. Guide to Minig & Energy Retrieved from http://www.djpu.com/lowering-the-carbon-footprint-of-nike-shoes.htm# 4. Peter, J. , Olson,J. (2010) Consumer Behavior & Marketing Strategy ( 9th Ed.). New York:McGraw-Hill. 5.