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HIGHER EDUCATION
RESEARCH REPORT
ON
The successful completion of this research was a unique experience for me because by visiting
many places and interacting various person, I gained better knowledge about the shoe market
especially of Adidas, Nike, Puma & Reebok. The experience which I gained by doing this
research was essential for my subject studies and practical knowledge. This report is submitted
The research provides an opportunity to the student to devote his/her skills knowledge and
STUDENT DECLARATION
This is to declare that I, Shobhit Kapoor have carried out this research report myself in
fulfillment of the BBA program of Lal Bahadur Shastri College of Higher Education.
The work is original, has not been copied from anywhere else and has been submitted to any
Date: 7-05-2018
Signature
Place: Bareilly
ACKNOWLEDGEMENT
I am sincerely thankful to all, who have contributed their time, knowledge and skills for the
preparation of this research report.
I am really thankful to my Research Guide, College Principal and the institute “Lal Bahadur
Shastri College of Higher Education” to give me the opportunity to conduct this research and
learn the best from it. I am thankful to my research guide, my batch mates & relatives for
providing me all the assistance, support and cooperation needed during the preparation of
research report.
Shobhit Kapoor
EXECUTIVE SUMMARY
The term 'athletic shoes' is typically used for shoes utilized for running in a marathon or half
marathon, basketball, and tennis (among others), but tends to exclude shoes for sports played on
grass such as association football and rugby football, which are generally known as 'studs' or in
North America as 'cleats'.
Attributes of an athletic shoe include a flexible sole, appropriate tread for the function, and
ability to absorb impact. As the industry and designs have expanded, the term "athletic shoes" is
based more on the design of the bottom of the shoe than the aesthetics of the top of the shoe.
Today's designs include sandals, Mary Janes, and even elevated styles suitable for running,
dancing, and jumping.
PUMA
Puma AG is a multinational company that is based in German and manufactures high athletic
and sportswear shoes both for women and men, It was founded by Rudolf Dassler after a dispute
with his brother Adi Dassler with whom they had founded the Dassler Schuhfabrik in 1924.
Puma had a very poor brand image that show a decline in its market share and prompted puma to
change it strategic decisions to improve on its image, this process of change was led by Jochen
Zeitz Puma CEO based on phases one to four of strategic plan to change puma’s image so that it
can compete favorable in the marketplace and within a couple of years Jochen Zeitz had change
puma’s brand image into one of the most desirable and sought after brand of sportswear and
footwear worn both buy celebrities and fashion followers all over the word.
ADDIDAS
Adidas was the dominating manufacturer of sporting goods. It achieved this success by
developing cleated shoes for the soccer and track and field sports. The landscape of the sporting
goods industry has changes, but Adidas has not changed with it. Sporting good textiles and
footwear have become popular with younger individuals as a substitute for casual wear. Soccer
and track and field sports are no longer the mainstream sports. These sports have been replaced
in market share by sports such as baseball, basketball, football, and fitness activities like
aerobics. Adidas has not developed the marketing mix to compete in these sports and fitness
activities.
NIKE
Nike Shoes has been chosen as the product of this project. In our decision of choosing Nike
Shoes, its being the world’s leading innovator in athletic footwear had the most important
impact. Nike Inc.’s confident mission desires to bring inspiration and innovation to every
athlete* in the world; by the means of athlete* it accepts everybody who has a body. Nike’s this
self-confident mission and innovative vision has already made us inspired and wishes to become
a part of it.
REEBOK
Reebok International feels comfortable stepping out onto any surface. The company, a subsidiary
of Germany's adidas AG, has long been at home in sporting arenas as a top US maker of athletic
shoes. In addition to its namesake sportswear and accessories, Reebok caters to hockey
aficionados through its Canadian Reebok-CCM Hockey division, and it’s Sports Licensed
Division
TABLE OF CONTENT
CHAPTER- 1: INTRODUCTION
1.1 About Organization/ Industry Profile………………………………
1.2 SWOT Analysis
CHAPTER – 2: Literature Review
2.1 Literature Review ………………………………………………………………
CHAPTER – 3: RESEARCH METHODOLOGY
3.1 Purpose of the study…………………………………………………..………...…
3.2 Research Objectives of the study…………………………………………………..
3.3 Research Methodology of the study………………………………………….
3. 3.1 Research Design……………………………… …………………………......
3.3.2 Data Collection Techniques …………………………………
3.3.3 Sample design………………………………………………………………...
3.3.3.1 Population……………………………………………………………..
3.3.3.2 Sample size……………………………………………………………
3.3.3.3 Sampling method……………………………………………………...
3.3.4 Method of data collection……………………………………………………..
3.3.4.1 Instrument for data collection………………………………………………………
3.3.4.2 Drafting of a questionnaire…………………………………………….
3.3.5 Limitations……………………………………………………………………
CHAPTER – 4: ANALYSIS& INTERPRETATION
CHAPTER- 5: FINDINGS & SUGGESTIONS
5.1 Findings …………………………………………………………………………..
5.2 Suggestions…………………..…………………..…………………..………………
CHAPTER- 6: CONCLUSION
BIBLIOGRAPHY
Bibliography……..………………..…………………..…………………..…………
ANNEXURES
CHAPTER - 1
INTRODUCTION
INDUSTRY PROFILE
PUMA starts in Sport and ends in Fashion. It’s Sport Performance and Lifestyle labels include
categories such as Football, Running, Motorsports, Golf and Sailing. Sport Fashion features
collaborations with renowned designer labels such as Alexander McQueen, Mihara Yasuhiro and
Sergio Rossi.
The PUMA Group owns the brands PUMA, Cobra Golf and Tretorn. The company, which was
founded in 1948, distributes its products in more than 120 countries, employs more than 11,000
people worldwide and has headquarters in Herzogenaurach/Germany, Boston, London and Hong
Kong.
BACKGROUND
Christoph von Wilhelm Dassler was a worker in a shoe factory, while his wife Pauline ran a
small laundry in the Bavarian town of Herzogenaurach, 20 km (12.4 mi) from the city
of Nuremberg. After leaving school, their son, Rudolf Dassler, joined his father at the shoe
factory. When he returned from fighting in World War I, Rudolf received a management position
at a porcelain factory, and later in a leather wholesale business in Nuremberg.
Rudolf returned to Herzogenaurach in 1924 to join his younger brother, Adolf, nicknamed "Adi",
who had founded his own shoe factory. They named the new business "Gebrüder Dassler
Schuhfabrik" (Dassler Brothers Shoe Factory). The pair started their venture in their mother's
laundry. At the time, electricity supplies in the town were unreliable, and the brothers sometimes
had to use pedal power from a stationary bicycle to run their equipment. Adi drove from Bavaria
to the 1936 Summer Olympics in Berlin with a suitcase full of spikes and persuaded United
States sprinter Jesse Owens to use them, the first sponsorship for an African American. Owens
won four gold medals. Business boomed; the Dasslers were selling 200,000 pairs of shoes
annually before World War II.
For over 80 years the adidas Group has been part of the world of sports on every level, delivering
state-of-the-art sports footwear, apparel and accessories. Today, the adidas Group is a global
leader in the sporting goods industry and offers a broad portfolio of products. Products from the
adidas Group are available in virtually every country of the world. Company’s strategy is simple:
continuously strengthen our brands and products to improve the competitive position and
financial performance.
Activities of the company and its around 170 subsidiaries are directed from the Group's
headquarters in Herzogenaurach, Germany. It is also home to the adidas brand. Reebok
Headquarters are located in Canton, Massachusetts. Tailor-made-adidas Golf is based in
California. The company also operates creation centres and development departments at other
locations around the world, corresponding to the related business activity. Adidas Sourcing Ltd.,
a fully-owned subsidiary headquartered in Hong Kong, is the worldwide sourcing agent for the
adidas Group.
COMPANY SPLIT
Both brothers joined the Nazi Party, but Rudolf was slightly closer to the party than Adolf.
During the war, a growing rift between the pair reached a breaking point after an Allied bomb
attack in 1943, when Adi and his wife climbed into a bomb shelter that Rudolf and his family
were already in: "The dirty bastards are back again", Adi said, referring to the Allied war planes,
but Rudolf was convinced his brother meant him and his family. After Rudolf was later picked
up by American soldiers and accused of being a member of the Waffen SS, he was convinced
that his brother had turned him in.
The brothers split up in 1947 with:
Rudi forming a new firm that he called Ruda – from Rudolf Dassler, later rebranded Puma,
and
Adi forming a company formally registered as Adidas AG from Adi Dassler on 18 August
1949. Although it is popularly claimed that the name is an acronym for All Day I Dream about
Sport, that phrase is a backronym; the name is actually a portmanteau formed from "Adi" (a
nickname for Adolf) and "Das" (from "Dassler").
POST—TAPIE ERA
In 1994, combined with FIFA Youth Group, SOS Children's Villages became the main
beneficiary.
In 1997, Adidas AG acquired the Salomon Group who specialized in ski wear, and its official
corporate name was changed to Adidas-Salomon AG because with this acquisition Adidas also
acquired the Taylor made Golf Company and Maxfli, which allowed them to compete with Nike
Golf.
In 1998, Adidas sued the NCAA over their rules limiting the size and number of commercial
logos on team uniforms and clothing. Adidas withdrew the suit, and the two groups established
guidelines as to what three-stripe designs would be considered uses of the Adidas trademark.
In 2003, Adidas filed a lawsuit in a British court challenging Fitness World Trading's use of a
two-stripe motif similar to Adidas's three stripes. The court ruled that despite the simplicity of
the mark, Fitness World’s use was infringing because the public could establish a link between
that use and Adidas's mark. In September 2004, top English fashion designer Stella
McCartney launched a joint-venture line with Adidas, establishing a long-term partnership with
the corporation. This line is a sports performance collection for women called "Adidas by Stella
McCartney", and it has been critically acclaimed. Also in 2005, on 3 May, Adidas told the public
that they sold their partner company Salomon Group for €485m to Amer Sports of Finland. In
August 2005, Adidas declared its intention to buy British rival Reebok for $3.8 billion (US$).
This takeover was completed with partnership in January 2006 and meant that the company
would have business sales closer to those of Nike in North America. The acquisition of Reebok
would also allow Adidas to compete with Nike worldwide as the number two athletic shoemaker
in the world. Adidas has global corporate headquarters in Germany and many other business
locations around the world such as Portland OR, Hong Kong, Toronto, Taiwan, England, Japan,
Australia, and Spain. Mainly sold in the U.S., Adidas makes lots of assets from these countries
and is expanding to more overseas countries.
In 2005, Adidas introduced the Adidas 1, the first ever production shoe to use a microprocessor.
Dubbed by the company "The World's First Intelligent Shoe", it features a microprocessor
capable of performing 5 million calculations per second that automatically adjusts the shoe's
level of cushioning to suit its environment. The shoe requires a small, user-replaceable battery
that lasts for approximately 100 hours of running. On 25 November 2005, Adidas released a new
version of the Adidas 1 with an increased range of cushioning, allowing the shoe to become
softer or firmer, and a new motor with 153 per cent more torque. On 11 April 2006, Adidas
announced an 11-year deal to become the official NBA clothing provider. They will make
NBA, NBDL, and WNBA jerseys and products as well as team-coloured versions of the
"Superstar" basketball shoe. This deal (worth over $400 million) takes the place of the previous
10-year Reebok deal that was put in place in 2001.
Type Public Company
Traded As Nyse:Nike
Industry Apparels, Accessories And Clothing
Founded 1964
Founder(S) Bill Bowerman
Phil Knight(Chairman)
Key People
Mark Parker(President And CEO)
Founded 1895
Parent Adidas
Website Reebok.Com
Reebok International Limited, a subsidiary of the German sportswear company Adidas since
2005, is a producer of athletic shoes, apparel, and accessories. The name comes from
the Afrikaans spelling of Reebok, a type of African antelope or gazelle. In 1890 in Holcombe
Brook, a small village 6 miles north east of Bolton, United Kingdom, Joseph William Foster was
making a living producing regular running shoes when he came up with the idea to create a
novelty spiked running shoe. After his ideas progressed he joined with his sons, and founded a
shoe company named J.W. Foster and Sons in 1895.
In 1958, two of the founder's grandsons Joe and Jeff Foster renamed the company Reebok in
United Kingdom, having found the name in a dictionary won in a race by Joe Foster as a boy; the
dictionary was South African edition hence the spelling. The company lived up to the J.W.
Foster legacy, manufacturing first-class footwear for customers throughout the UK. In 1979,
Paul Fireman, a US sporting goods distributor, saw a pair of Reeboks at an international trade
show and negotiated to sell them in North America.
ABOUT US
Reebok is an American-inspired, global brand that creates and markets sports and lifestyle
products built upon a strong heritage and authenticity in sports, fitness and women’s categories.
The brand is committed to designing products and marketing programs that reflect creativity and
the desire to constantly challenge the status quo.
REEBOK'S VISION
Fulfilling Potential
Reebok is dedicated to providing each and every athlete - from professional athletes to
recreational runners to kids on the playground - with the opportunity, the products, and the
inspiration to achieve what they are capable of. We all have the potential to do great things. As a
brand, Reebok has the unique opportunity to help consumers, athletes and artists, partners and
employees fulfil their true potential and reach heights they may have thought un-reachable.
REEBOK'S MISSION
Always Challenge and Lead through Creativity
At Reebok, we see the world a little differently and throughout our history have made our mark
when we’ve had the courage to challenge convention. Reebok creates products and marketing
programs that reflect the brand’s unlimited creative potential.
REEBOK'S POSITIONING
Celebrate Individuality in Sport and Life Reebok understands that people are, above all, unique.
Reebok’s positioning reflects this; celebrating the distinct qualities that make people who they
are - their unique points of view, their individual style and their remarkable talents and
accomplishments. Reebok celebrates their individuality, their authenticity and the courage it
takes to forge their own path to greatness. While some may call them crazy or eccentric, Reebok
calls them visionary and original.
REEBOK'S PURPOSE
To Empower Global Youth to Fulfil their Potential Commitment to Corporate Responsibility is
an important legacy and hallmark of the Reebok brand. For two decades, Human Rights, through
the Reebok Human Rights program, were the primary focus of this effort. Reebok has expanded
on what had been built and created a Global Corporate Citizenship platform with a purpose for
the brand that will help underprivileged, underserved youth around the world fulfil their potential
and live healthy, active lives.
REEBOK'S BRAND TERRITORY
Having Fun Staying in Shape.
Having Fun Staying in Shape comes to life through a fun, bold, provocative manner expressed
through fresh, eye catching imagery signed off with a unique 'Reeword.' The tone and manner
allows the consumer to look at sport and lifestyle through our lens of 'Ree.'
SWOT ANALYSIS OF COMPANIES
STRENGHTS
• Global brand
• Puma’s top management is highly marketing oriented, and most of the key personnel
come from marketing background. This is strength in this business because industry is market
driven instead of product driven.
WEAKNESSES
• They have a diversified range of sports products but income is heavily depended on
footwear.
OPPORTUNITIES
• Acquisitions.
• Non-PUMA brands.
• Market Diversification
THREATS
• Competitor’s actions.
• Financial slowdown
• Increase in taxation
STRENGTHS
• Poor Ad agency.
OPPORTUNITIES
• Positive and increasing market trends increase through effective advertising (technology
driven products.)
• Market Diversification
THREATS
• Competitor’s actions.
• Financial slowdown
• Sponsored athletes (Kobe Byrant) reflecting negative image with illegal activities.
STRENGTHS
• Nike is a very competitive organization. Phil Knight (Founder and CEO) is often quoted
as saying that 'Business is war without bullets.' Nike has a healthy dislike of is competitors. At
the Atlanta Olympics, Reebok went to the expense of sponsoring the games. Nike did not.
However Nike sponsored the top athletes and gained valuable coverage.
• Nike has no factories. It does not tie up cash in buildings and manufacturing workers.
This makes a very lean organization. Nike is strong at research and development, as is evidenced
by its evolving and innovative product range. They then manufacture wherever they can produce
high quality product at the lowest possible price. If prices rise, and products can be made more
cheaply elsewhere (to the same or better specification), Nike will move production.
• Nike is a global brand. It is the number one sports brand in the World. Its famous
'Swoosh' is instantly recognisable, and Phil Knight even has it tattooed on his ankle.
WEAKNESSES
• The organization does have a diversified range of sports products. However, the income
of the business is still heavily dependent upon its share of the footwear market. This may leave it
vulnerable if for any reason its market share erodes.
• The retail sector is very price sensitive. Nike does have its own retailer in Nike Town.
However, most of its income is derived from selling into retailers. Retailers tend to offer a very
similar experience to the consumer. Can you tell one sports retailer from another? So margins
tend to get squeezed as retailers try to pass some of the low price competition pressure onto
Nike.
OPPORTUNITIES
• Product development offers Nike many opportunities. The brand is fiercely defended by
its owners whom truly believe that Nike is not a fashion brand. However, like it or not,
consumers that wear Nike product do not always buy it to participate in sport. Some would argue
that in youth culture especially, Nike is a fashion brand. This creates its own opportunities, since
product could become unfashionable before it wears out i.e. consumers need to replace shoes.
• There is also the opportunity to develop products such as sport wear, sunglasses and
jewellery. Such high value items do tend to have associated with them, high profits.
• The business could also be developed internationally, building upon its strong global
brand recognition. There are many markets that have the disposable income to spend on high
value sports goods. For example, emerging markets such as China and India have a new richer
generation of consumers. There are also global marketing events that can be utilised to support
the brand such as the World Cup (soccer) and The Olympics.
THREATS
• Nike is exposed to the international nature of trade. It buys and sells in different
currencies and so costs and margins are not stable over long periods of time. Such an exposure
could mean that Nike may be manufacturing and/or selling at a loss. This is an issue that faces all
global brands.
• The market for sports shoes and garments is very competitive. The model developed by
Phil Knight in his Stamford Business School days (high value branded product manufactured at a
low cost) is now commonly used and to an extent is no longer a basis for sustainable competitive
advantage. Competitors are developing alternative brands to take away Nike's market share.
• As discussed above in weaknesses, the retail sector is becoming price competitive. This
ultimately means that consumers are shopping around for a better deal. So if one store charges a
price for a pair of sports shoes, the consumer could go to the store along the street to compare
prices for the exactly the same item, and buy the cheaper of the two. Such consumer price
sensitivity is a potential external threat to Nike.
CHAPTER 2
LITERATURE
REVIEW
LITERATURE REVIEW
PUMA
In July 2011 the company completed a conversion from an Aktiengesellschaft (German public
limited company) to a Societas Europaea, the European Union-wide equivalent, changing its
name from PUMA AG Rudolf Dassler Sport to PUMA SE.[17] At the same time, Franz Koch
replaced the long-serving Jochen Zeitz as the firm's CEO, with Zeitz becoming chairman.
The company has been led by former football professional Bjørn Gulden (CEO) since July 1,
2013.
PUMA is the main producer of enthusiast driving shoes and race suits. They are the primary
producer for Formula One and NASCAR clothing. They won the rights to sponsor the 2006
FIFA World Cup champions, the Italian national football team, making and sponsoring the
clothing worn by the team. They entered a partnership with Ferrari, Ducati and BMW to make
PUMA-Ferrari, PUMA-Ducati and PUMA-BMW shoes. On 15 March 2007 PUMA launched its
2007/2008 line of uniforms for a club, and Brazilian football club Grêmio will be the first to use
the laser-sewn technology, similar to that worn by Italy at the 2006 World Cup, because their
season starts six months earlier than European clubs.
Rihanna was named Creative Director of PUMA overseeing direction of the womenswear line in
December 2014.[5]
As of 2014, PUMA SE employs more than 10,000 people worldwide and distributes its products
in more than 120 countries.
ADDIDAS
In 2005, Adidas introduced the Adidas 1, the first ever production shoe to use a microprocessor.
Dubbed by the company "The World's First Intelligent Shoe", it features a microprocessor
capable of performing 5 million calculations per second that automatically adjusts the shoe's
level of cushioning to suit its environment. The shoe requires a small, user-replaceable battery
that lasts for approximately 100 hours of running. On 25 November 2005, Adidas released a new
version of the Adidas 1 with an increased range of cushioning, allowing the shoe to become
softer or firmer, and a new motor with 153 per cent more torque. On 11 April 2006, Adidas
announced an 11-year deal to become the official NBA clothing provider. They will make NBA,
NBDL, and WNBA jerseys and products as well as team-coloured versions of the "Superstar"
basketball shoe. This deal (worth over $400 million) takes the place of the previous 10-year
Reebok deal that was put in place in 2001.
NIKE
Nike has acquired several apparel and footwear companies over the course of its history, some of
which have since been sold. Its first acquisition was the upscale footwear company Cole Haan in
1988,[20] followed by the purchase of Bauer Hockey in 1994. In 2002, Nike bought surf apparel
company Hurley International from founder Bob Hurley.[21] In 2003, Nike paid US$309 million
to acquire Converse, makers of the Chuck Taylor All-Stars line of sneakers.[22] The company
acquired Starter in 2004[23] and Umbro, known as the manufacturers of the England national
football team's kit, in 2008.[24]
In order to refocus on its core business lines, Nike began divesting of some of its subsidiaries in
the 2000s.[25] It sold Starter in 2007[23] and Bauer Hockey in 2008.[26] The company sold
Umbro in 2012 [27] and Cole Haan in 2013.[28] As of 2013, Nike owns two key subsidiaries:
Converse Inc. and Hurley International.[29][30]
REEBOK
In February 2009, Reebok launched the Jukari Fit to Fly workout, the first in a series of
initiatives to come out of a new, long-term partnership with Cirque du Soleil. Jukari Fit to Fly
makes fitness fun again by introducing a new way to move. The workout has been created on a
specially-designed piece of equipment called the FlySet. The result is a workout that gives the
sensation of flying while strengthening and lengthening the body through cardio, strength,
balance and core training.
Also in 2009, Reebok launched EasyTone footwear. Featuring first-of-its-kind balance pod
technology, the shoe’s proprietary technology was invented by a former NASA engineer.
In 2010, Reebok launched ZigTech, designed to conserve and return energy to the athlete for a
soft and springy ride. The one-of-a-kind ZigTech bottom unit features innovative, lightweight
foam that is engineered into a dramatic, geometric, zig-zag shape. The unique zig-shaped sole
absorbs the impact of heel strike and sends a wave of energy along the length of the shoe to help
propel the athlete forward with each step.
The brand also announced its long-term partnership with NBA standout John Wall. The point
guard for the Washington Wizards debuted the ZigSlash during the 2011-2012 NBA season.
In 2011, Reebok formed a long-term alliance with one of the biggest fitness movements of our
time, CrossFit. This movement is an experience that eliminates the anonymity of the big gym;
involves a Fun and motivating community and the program delivers incredible results.
Reebok also announced its long-term partnership with producer, artist and designer Swizz Beatz.
Swizz brings his innovation, fashion design, music and artistic talents to help launch the 2011
Reethym of Lite campaign. Additionally, Reebok also launched RealFlex, a first-of-its-kind
running and training shoe designed to promote natural movement. RealFlex features 76
independent sensors on the bottom of the shoe strategically positioned to twist, bend, expand and
support to help athletes’ feet move naturally.
CHAPTER 3
RESERCH
METHODOLOGY
Purpose of the study
The purpose behind the study is to know the different variables involved with your business
ventures and how it will be accepted on the market along with who will be the target audience.
In a project life cycle , the project study is the second document that is created following the
business case. The purpose of the study is to determine the factor that will make the business
opportunities that was presented in the business case a success.
The study included the exploration of the main focus of the business opportunity along with the
alternative paths it could follow. By collecting this data , management can then make an
informed decision on which path should be persuaded in order to create the most profitable
revenue stream for the company.
The project study will explore the different markets where a target audience might be located.
There should also be alternative target audience and there location explore along with the target
audience, other factor that need to be investigates is how acceptable the deliverable is to the
purpose target audience. There should be several different variations that can include size and
colour difference. This permits the best possible response so that right product can be produce
for the right customers.
The project study also has to explore the price the target audience is willing to pay for the
deliverable. If it is a great product that is need, but overprice , it will not be acceptable by the
market and could fail.
The research study tends to follow and achieve specific objectives. These objectives are as
follows:
1. To know the personal views of people in Delhi regarding their choices among various
brands of sports shoes.
2. To study which brands of sport shoes is mostly preferred by people as per their choices.
3. Comparison between various brands of sport shoes.
4. To find out the factors influencing the people at the time of purchasing sport shoes such
as QUALITY, DURABILITY, VARIETY, PRICE, USE IN SPORTS OR ANY OTHER.
RESEARCH METHOLOGY
PRIMARY DATA is the first hand data, new data gathered to help solve the problem at hand.
Data is collected personally for the specific project through research. Questionnaire was prepared
to gather information on the company marketing and services.
For the study the sample method used is “Random Sampling” for a sample size of “100 units”.
The data is collected though “Questionnaire” and “Interview”.
SECONDARY DATA is the second hand data collected by someone else with is gathered
through:-
Internet
Publications
Articles
Company
Books
DATA COLLECTION
The data collection method used was none other than survey method which is usually
incorporated for collection of raw information. The survey method is advantageous because it
helps to collect a great deal of information about an individual respondent.
SURVEY:
The type of survey undertaken was that of sample type keeping in consideration the time
constraint and paraphemalic, besides the viability of census survey. The sample survey thus
being taken to the right path to reach the desired destination was carefully planned to convert of
the operation by using selected samples.
STATISTICAL TOOL:
The tool for obtaining the information was questionnaire. A structured questionnaire was
administered. The questionnaire was designed in the view both major and minor objective of
study.
SAMPLING:
With the customer being unknown and given the time and resource constraints random sample
was obtained from different people.
DATA COMPLETION AND ANALYSIS:
After the data was collected, it was tabulated and findings of the project were presented followed
by analysis and interpretation to reach certain conclusions.
RESEARCH DESIGN
The research design is exploratory till identification of customer services parameters. Later it
becomes descriptive when it comes to evaluating customer perception of customer services of
the shoe industry. The research design is the “blue print” of the study. The design of the study
defines the study type (descriptive, core-relation, semi-experimental, review) and sub-type
(example descriptive-longitudinal case study), research question, hypotheses, independent and
dependent variables, experimental design, and, if applicable, data collection methods and a
statistical analysis plan. Research design is the framework that has been created to seek answers
to research questions.
Descriptive research, also known as stastical research, descibes data and chacterstics about the
population or phenomeon being studied. Descritive research answers the questions who, what,
where, when, how.
Although the data description is factual, accurate and systematic, the research cannot described
what a situation. Thus, descriptive research cannot be used to create a casual relationship, where
one variable affects another. In other words, descriptive research can be said to have a low
requirement for internal validity.
The desperation is used for frequencies, averages and other stastical calculation.often the best
approach, prior to writing descriptive research, is to conduct a survey investigation. Qualitative
research often has the aim of description and researchers may follow-up with examination of
why the observations exsists and what the implications of the findings there are many ways to
classify research designs, but sometimes the distinction is artificial and other times different
designs are combined.
Primary source- primary data is the data collected by the research themselves. The primary data
was collected by means of a survey. Questionnaire was prepared and customers of lakme brand
at two branches with approached to fill up the questionnaire. The questionnaire contains 10
questions which reflect on the type, quality and services provided by lakme to the customers.
The response of the customer is recorded on the grade scale of strongly disagree, disagree,
uncertain, agree and strongly agree for some questions. The fill up information was later
analysed to obtain the required interpretation and the findings.
Types:-
1. Interview
2. Observation
3. Case studies
4. Life histories
5. Questionnaires
Secondary source- secondary sources are data that already exists. In order to have a proper
understanding of the customer service of alkme a depth study was done from the varios sources
such as books, a lot of data is also collected from the official website of lakme brand and the
articles from various search engines like google, yahoo search and answer.com
Types:-
1. Previous research
2. Official statistics
3. Mass media product
4. Magazines
5. Company broachers
6. Government reports
7. Web information
.
Sampling design
A sample is a representative part of the population. In sampling technique, information is
collected only from a representative part of the universe and the conclusion are drawn on that
basis for the entire universe. A random sampling technique was used to collect data from the
respondents. A random sample is a sample selected from a population in such a way that every
member of the population has equal chance of being selected and the selection of any individual
does not influence the selection of any other. The selection is purely depends on chance. So
while conducting the survey a, 50 respondents were selected at random.
Sample size
Sample size denotes the number of elements selected for the study. For the present study, 50
respondents were selected at random. All the 50 respondents were the customers of one or
another shoe Industry.
LIMITATIONS
The sample was collected using sampling techniques. As such result may not give an exact
representation of the population.
Most of the data being secondary can be biased towards the company.
Shortage of time is also a reason for incomprehensiveness.
Many of the respondents were not willing to fill the questionnaire.
CHAPTER - 4
ANALYSIS
AND
INTERPRETATION
ANALYSIS AND INTERPRETATION
QUESTION: - Which factors affect your preference to wear sports shoes over others?
Comfort 68 102
bn
Price 4 6
Durability 16 25
Use in sports 10 15
Any other 2 2
comfort
PRICE
DURABILITY
USE IN SPORTS
ANY OTHER
COMMENT: THE MAIN GROUND ON WHICH SHOEs BEING PURCHASED IS THE
QUALITY OF THE SHOE. THIS INDICATES THE QUALITY PREFERENCE AMONG
CONSUMERS, RATHER THAN PRICE, DURABILITY ETC
Reebok 28 42
Adidas 34 51
Puma 9 13
Nike 26 39
Others 3 5
35
30
25
20
15
10
0
REEBOK ADIDAS PUMA NIKE OTHER
COMMENT: ADIDAS IS THE MOST PREFERRED BRAND AMONG ALL.
80
70
60
50
40
30
20
10
0
QUALITY PRICE DURABILITY VARIETY ANY OTHER
COMMENT: QUALITY OF THE SHOES HOLDS THE PRIME IMPORTANCE IN ITS
SELECTION.
YES
NO
COMMENT: - ABOUT 98.4% PERCENTAGE OF THE POPULATION IS SATISFIED
WITH THEIR CHOICE OF BRAND AND IS HAPPY TO STICK WITH IT.
QUESTION: - Are you satisfied with the price range of the brand you prefer?
Yes 64 96
No 19 29
No comment 17 25
PERCENTAGE(%)
17%
Yes
No
19%
64% NO COMMENT
COMMENT: PRICE DOES NOT SEEM TO BE AN OBSTACLE IN THE WAY OF
CONSUMERS. MOST OF THE PEOPLE WERE SATISFIED WITH THE PRICE RANGE.
QUESTION: - If the price of your preferred brand increases, will you purchase the ?
SAME BRAND 58 87
CHEAPER BRAND 16 23
100
90
80
70
60
50
40
30
20
10
0
SAME BRAND CHEAPER BRAND ANY OTHER BRAND
PERCENTAGE
FREQUENCY
COMMENT: INCREMENT IN PRICE AFFECTS THE TREND AND MARKET OF THE
“BRANDED SPORTS SHOES”.
YES 44 66
NO 56 84
YES NO
COMMENT: MOST OF THE PEOPLE WERE NOT READY TO SWITCH OVER FROM
THEIR BRAND.
QUESTION: - Are you willing to buy the preferred brand at lower price with lower quality?
YES 23 34
NO 77 116
140
120
100
80
PERCENTAGE
60 FREQUENCY
40
20
0
YES NO
COMMENT: PEOPLE GIVE MORE IMPORTANCE TO QUALITY THAN PRICE AND
ARE NOT READY TO SACRIFICE IN TERMS OF QUALITY FOR PRICE.
YES 60 90
NO 40 60
90
80
70
60
50
PERCENTAGE
40
FREQUENCY
30
20
10
0
YES NO
COMMENT: ADVERTISEMENT DOES PLAY A ROLE IN CONSUMER CHOICE.
QUESTION: - Will you purchase another brand of same quality with lower prices?
YES 62 93
NO 38 57
100
90
80
70
60
PERCENTAGE
50
40 FREQUENCY
30
20
10
0
YES NO
COMMENT: CONSUMERS LOOK MORE BRAND LOYAL AS THEY ARE NOT READY
TO LEAVE THEIR BRAND FOR OTHER BRAND OF SAME WEIGHTAGE.
CHAPTER – 5
FINDINGS
AND
SUGGESTIONS
SUGGESTIONS
• Adidas needs to maintain its market share and thus can enjoy the cash cow position in the
market matrix.
• Reebok is losing its market share and is at the question mark stage.
Reebok needs to invest the right amount of funds at the right place to be the market leader.
• Nike needs strong investment in the marketing sector. It has all the resources of that of its
competitors but lacks in marketing and promotional tools.
• Puma needs to work on its pricing strategy. Being very expensive, it is not affordable for
majority of consumers.
• Puma also needs to establish its manufacturing units in India to put a barrier on
imitations.
• Beside spending a lot on Research and Development of shoes the company should also
spend on guerrilla marketing, internet marketing, etc. to increase their market share
CHAPTER – 6
CONCLUSION
CONCLUSIONS
After assessing the overall market scenario what came in picture was as follows:
Consumer reactions suggest that ADIDAS is the market leader among all its close
counterparts in the sports shoes and apparel segments.
34% market share is still under its kitty.
After its sponsorship to major sports events and teams like soccer in Europe and cricket in
India give it an extra edge.
Adidas is chasing its position most aggressively so now it requires maintaining its position
with new stuff.
28% customers are still pro Reebok believer.
The new stuff of the Reebok is attracting the consumers more which might led NIKE at the
top spot in the pack in coming financial year.
Consumers are not showing that kind of craze in Nike for past few years.
Probably it could be because of the aggressive attention snatched by brands like “Reebok”
and “Adidas” especially in India.
Only 9% market has been covered by Puma in recent past.
That is miserable as per its standard. Reasons being its restrictive manufacturing in India, and
the cost of the products are not affordable as compared to European and U.S market.
The bottom line of the market research speaks that preference for branded shoes in India has
been increasing on day to day basis and the consumers are quite loyal to their brands.
BIBLIOGRAPHY
WEBSITES
www.Reebok.com
www.Nike.inc.com
www.Puma.com
www.Adidas-group.com
www.diamondleague-newyork.com/Media/Media-Information/
www.investing.businessweek.com
www.wikipedia.com
ANNEXURE
QUESTIONNAIRE
PERSONAL INFORMATIONS:
Name : Age: Gender:
Q.6 Are you satisfied with the price range of the brand?
(a) Yes (b) No
(c) No comment
Q.8 If the price of your preferred brand increases, will you purchase the?
(a) Same brand (b) Cheaper brand
(c) Any other brand
Q.10 Are you willing to buy the preferred brand at lower price with lower quality?
(a) Yes (b) No