the beginning of a big brand name; Adidas has expanded its product line and absorbed other sports-gear makers. It closed a $3.8 billion acquisition of competitor Reebok International Ltd. Adidas planned maintain the Reebok line and promote it globally along side with the Adidas brand. Adidas during 2006 made a decision to purchase Reebok and though they purchase another shoe company business did not flourish. Adidas had to deal with the fact that the company they acquired was not doing well in the
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Case Writeup/Marketing Plan 30 COURSE OUTLINE DATE SUBJECT Aug 30 Case 1: Bajaj Auto Ltd. Sep 6 Labor Day Holiday‚ Make-up Class to be scheduled Sep 13 Case 2: Mary Kay Cosmetics Sep 20 Case 3: Airmiles Sep 27 Case 4: Planet Reebok Oct 04 Case 5: Exam Case (TBA) Oct 11 Case 6: DHL Oct 18 Case 7: EMDICO A&B Oct 25 Case 8: Gilette Indonesia Nov 1 Case 9: Bausch and Lomb‚ Case 10: Weissberg; Nov 8 Case 11: Astra; Case 12: Exam Case (TBA) Nov 15 PLAN PRESENTATIONS
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1. Concept 1) What is global sourcing? Global sourcing is defined as the process of identifying‚ developing‚ and utilizing the source of supply for the enterprise through expanding purchasing activities internationally. It is a part of post reengineering activities which is an useful measure of cutting cost. Global sourcing is a typical example of foreign construction outsourcing firms which process construction by distributing each process of construction work to vendors instead of running on
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Shoes Industry – PEST Analysis Political • Recent merger between Adidas and Reebok • Use of leather to make shoes by Bata‚ Red tape • India is not a sporting Country and hence lesser demand for sports shoes. • home market lobbying/pressure groups • Very few sporting events apart from cricket fixtures to attract customers Economic • Marginal share of 2.44 percent in global trade worth US$ 97.606 billion
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They have responded to these issues through the Andrew Young report‚ the Dartmouth Study‚ and Ernst & Young’s continual monitoring‚ but are still approximately two years away from completely addressing these problems throughout the globe. Reebok Reebok‚ as the second leading manufacturer of footwear‚ has domestic revenues of $1.28 billion and a market share of 16%. Similar to Nike‚ they also utilize a 100% outsourcing strategy and manufacture their products throughout Asia. They have created
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compete against each other in the CrossFit Games. The goal of the CrossFit Games “is to find the fittest athletes‚ not to produce an easily replicable workout program.” The CrossFit Games are divided into three sections: the Open‚ Regionals‚ and the Reebok CrossFit Games. The first section‚ the Open‚ athletes as young as fourteen years old can participate in the five-week winter experience where athletes complete five given workouts. Athletes from all over the world complete these workouts in CrossFit
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separately own their logos and trade marks and Reebok should not be able to receive exclusive rights to the headwear for each team‚ rather let each team be able to have whichever manufacturer they please to make their equipment. The major parties in this case include the plaintiff‚ American Needle Inc.‚ which is a headwear manufacturer located in Illinois. The defendants of the case are the National Football League and their teams and owners and Reebok International‚ a marketer of sports apparel and
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acquisition of Salomon SA and its major brand TaylorMade‚ a French sports equipment manufacturer for € 1.5 billion and in 2005 Adidas finalized the acquisition of Reebok International Ltd for € 3.1 billion that increased the company’s revenues from € 5.8 billion to € 10.1 billion. The Group Adidas Group after the acquisition of Reebok became the second largest sports company in the world with $13‚78 billion revenues and $ 325 million net income in 2009 and has more than 39.000 employees globally
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of sports clothing and sports and game equipment. Adidas is the world’s second largest producer of Sporting apparel. At the moment it lacks only behind Nike. This is mainly due to Nike’s overwhelming market share of the US; But Adidas’ takeover of Reebok has allowed the group to increase its share of the US market. However Adidas leads in Europe‚ being the largest producer in France‚ Germany and Japan‚ the leading markets outside of the US. Headquarters are located in Germany. Adidas holds the title
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industry in China on the basis of Michael Porter’s five force model and the company Adidas by its competitive strategies. The demographic profile and segmentation of the Chinese consumers has been described in the case. The decision of Adidas to acquire Reebok will catapult its market share but will still fall short of the market share held by Nike. The challenges lying ahead of Adidas will be to first achieve synergies resulting by the acquisition and then set its best foot forward to directly confront
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