swot
1. What is adidas corporate strategy? Was there...
1. What is adidas corporate strategy? Was there a common strategic approach utilied in managing the company's lineup of sporting goods businesses prior to its 2005-2006 restructuring?
2. Did the restructuring undertaken in 2005 and 2006 make sense? Does it appear that the acquisition of Reebok International will produce higher returns for shareholder? What strategic actions should adidas's top management initiate ti improve the company's financial and market performance now that restructuring is complete?
Expert
Answer
Thanks for the question.
Adidas' corporate strategy now focuses on basketball, football, running, and training and keeps their product line to style and performance.
Prior to restructuring in 2005-2006, Adidas had branched out into too many areas and gave less focus on product specialization. Competitors such as Nike gained market on Adidas as a result.
The restructuring in 2005 did make sense because it enabled Adidas to sell certain business divisions that were not profitable. This coupled with Adidas' acquisition of Reebok and the return to it's core focuses has allowed shareholders to see positive results as well as Adidas gaing market share back from Nike.
The strategic actions that Adidas' top management should emplement now are to continue the core competencies approach and focus on what works for them as opposed to branching out into other areas.
Regards.
Strengths:
What advantages does your company have?
What do you do better than anyone else?
What unique or lowest-cost resources do you have access to?
What do people in your market see as your strengths?
What factors mean that you "get the sale"?
Consider this from an internal perspective, and from the point of view of your customers and people in your market. Be realistic: It's far too easy to fall prey to "not invented here syndrome". (If you are having any
1. What is adidas corporate strategy? Was there a common strategic approach utilied in managing the company's lineup of sporting goods businesses prior to its 2005-2006 restructuring?
2. Did the restructuring undertaken in 2005 and 2006 make sense? Does it appear that the acquisition of Reebok International will produce higher returns for shareholder? What strategic actions should adidas's top management initiate ti improve the company's financial and market performance now that restructuring is complete?
Expert
Answer
Thanks for the question.
Adidas' corporate strategy now focuses on basketball, football, running, and training and keeps their product line to style and performance.
Prior to restructuring in 2005-2006, Adidas had branched out into too many areas and gave less focus on product specialization. Competitors such as Nike gained market on Adidas as a result.
The restructuring in 2005 did make sense because it enabled Adidas to sell certain business divisions that were not profitable. This coupled with Adidas' acquisition of Reebok and the return to it's core focuses has allowed shareholders to see positive results as well as Adidas gaing market share back from Nike.
The strategic actions that Adidas' top management should emplement now are to continue the core competencies approach and focus on what works for them as opposed to branching out into other areas.
Regards.
Strengths:
What advantages does your company have?
What do you do better than anyone else?
What unique or lowest-cost resources do you have access to?
What do people in your market see as your strengths?
What factors mean that you "get the sale"?
Consider this from an internal perspective, and from the point of view of your customers and people in your market. Be realistic: It's far too easy to fall prey to "not invented here syndrome". (If you are having any