You are on page 1of 1

Q1. What are Nike's core competencies?

What are its key resources and


capabilities? Is its competitive advantage sustainable?
(HINT: To answer this question, please use the approach outlined in the article
“Competing on Resources” and apply the VRIO Framework to Nike’s competencies,
resources, and capabilities)
Please limit your answer to 3-4 sentences (50-100 words or less).
Nike’s core competencies include superior product design and engineering expertise in
designing footwear and establishing brand partnerships (ie. “creating heroes”) with athletes /
celebrities as a marketing tactic. Their key resources and capabilities are brand image, athletic
industry knowledge, successful marketing abilities, global recognition, and innovative
engineering. Nike’s propensity to innovate, successful marketing partnerships with athletes, and
engagement with younger generations create a sustainable competitive advantage.

Q2. Why has Dollar Shave's business model been so successful? Do you think it
would have been as successful without a dominant competitor like Gillette in the
marketplace? What do you recommend that Dollar Shave do going forward to
counteract imitators (like Harry's)?
Please limit your answer to 3-4 sentences (50-100 words or less).
Dollar Shave Club’s model has been so successful because they offered cheaper and more
convenient ways to purchase razors than Gillette. Their subscription model helped to achieve
both of these by bringing their products direct-to-consumer as opposed to the hassle of physical
retail. Their marketing strategy also allowed them to keep costs low by using social media.
Gillete’s presence as a dominant competitor helped make DSC so successful as they were the
only one to compete with in terms of price. More players would have resulted in more price
competition which would differentiate DSC as much with low price being one of DSC’s main
pillars of their business model.

This study source was downloaded by 100000837832307 from CourseHero.com on 07-26-2022 15:45:27 GMT -05:00

https://www.coursehero.com/file/116860505/DQ-03docx/
Powered by TCPDF (www.tcpdf.org)

You might also like