The Analysis of Nike in Athletic Footwear Market Based on Porter’s Five Forces Model
The analysis of Nike in athletic footwear market based on porter’s Five forces model by Duke
Introduction
Given the demands of today's competitive and dynamic environment, it is quite challenging to understand strategic issues facing organizations and develop the capability for long term organizational success. Introduction in today's dynamic and competitive business environment, survival, growth and profitability are the essence goals of all industries. Nowadays, Porter's Five Forces is currently being adopted as the powerful management tool of choice by many organizations. The essence of Porter's Five Forces is that it can help senior managers to make right decision and build and sustain competitive advantages in the organization level. This report aim to present an analysis of Nike by applying Porter's five forces model .
Porter's five forces model
Porters five forces, as a powerful analysis tool, enables managers in corporations to analyze the current situation of their industry in a structured, easy-to-understand way. From a strategic management perspective it is useful for managers in any organization in the same industry or sectors to understand the five competitive forces acting on and between organizations in the same industry and or sector since this will determine the attractiveness of that industry and the way in which individual organizations might choose to compete (Johnson and Scholes, P.116).
Claimed benefits First of all, Porter's five forces framework provides one simple approach to analyze industry structure. The five forces analysis helps in identifying and determining the attractiveness of an industry, the source of competition. And because Porter's five forces reveal insights on profitability, it can inform important decision decisions about whether to leave or enter industries or sectors. Moreover, the model can be used to compare the impact of competitive forces on the own organization with their impact on competitors.
Introduction
Given the demands of today's competitive and dynamic environment, it is quite challenging to understand strategic issues facing organizations and develop the capability for long term organizational success. Introduction in today's dynamic and competitive business environment, survival, growth and profitability are the essence goals of all industries. Nowadays, Porter's Five Forces is currently being adopted as the powerful management tool of choice by many organizations. The essence of Porter's Five Forces is that it can help senior managers to make right decision and build and sustain competitive advantages in the organization level. This report aim to present an analysis of Nike by applying Porter's five forces model .
Porter's five forces model
Porters five forces, as a powerful analysis tool, enables managers in corporations to analyze the current situation of their industry in a structured, easy-to-understand way. From a strategic management perspective it is useful for managers in any organization in the same industry or sectors to understand the five competitive forces acting on and between organizations in the same industry and or sector since this will determine the attractiveness of that industry and the way in which individual organizations might choose to compete (Johnson and Scholes, P.116).
Claimed benefits First of all, Porter's five forces framework provides one simple approach to analyze industry structure. The five forces analysis helps in identifying and determining the attractiveness of an industry, the source of competition. And because Porter's five forces reveal insights on profitability, it can inform important decision decisions about whether to leave or enter industries or sectors. Moreover, the model can be used to compare the impact of competitive forces on the own organization with their impact on competitors.
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