case 7 • Case Assignment Questions

Under Armour’s Turnaround Strategy

in 2018

Assignment Questions
1. What is your assessment of the Under Armour’s performance downturn in North America that first appeared
in the fourth quarter of 2016? Causes? Reasons?

2. What financial performance issues do you see at Under Armour based on the data in case Exhibits 1, 2, and
3?

3. What is your assessment of the strength of the competitive rivalry among the leading participants in the
North American market for performance sports apparel headed into 2018?

4. How strong are the other four competitive forces confronting Under Armour, Nike, and The adidas Group as
of 2018? Do a five-forces analysis to support your answer.

5. Does Under Armour have any core competencies and, if so, what are they?

6. Does Under Armour have any resource strengths or competitive capabilities that qualify as a distinctive
competence?

7. What does a SWOT analysis reveal about the overall attractiveness of Under Armour’s situation headed into
2018?

8. What are the key elements of Under Armour’s strategy?

9. Which one of the five generic competitive strategies discussed in Chapter 5 most closely approximates the
competitive approach that Under Armour is employing?

10. As of 2018, how does Under Armour’s competitive strength in the global market for sports apparel and
athletic footwear compare against that of Nike and The adidas Group? Do a weighted competitive strength
assessment using the methodology presented in Table 4.4 in Chapter 4 to support your answer. Based on
your assessment and calculations, does Under Armour have a net competitive advantage or disadvantage in
competing globally against Nike and The adidas Group?

11. What financial performance issues do you see at Under Armour based on the data in case Exhibits 1, 2, and
3?

12. What are the key issues confronting Under Armour’s top management team as of mid- 2018?

13. What recommendations and suggestions for improvement would you make to Kevin Plank regarding the
turnaround strategy put in place at Under Armour?