Abstract

Under Armour (UA) is a fast-growing sportswear company that was formed in

1996. A case study provided allows for an investigation of Under Armour, which is
critical to the process of turning around a stagnant corporation that has failed to
compete in recent years. Under Armour is a multinational firm that supplies
sporting apparel worldwide and develops products such as sneakers, shirts, and
other sporting accessories. They are now ranked third in their industry. In this
assignment, I was perform a assessment of Under Armour by creating and using an
Internal Factor Evaluator (IFE) and External Factor Evaluator (EFE) matrices, a
Competitive Profile Matrix (CPM), a SWOT Matrix, and a BCG Matrix; in order to
examine the company's strategic issues and determine how they may effect it in the
future.

Chapter 1: Introduction

1. General information

Kevin Plank, a former University of Maryland football player, founded Under

Armour, a branded sports gear, footwear, and accessories company, in 1996. UA
has 80 stall stores throughout 34 states and serves four geographical areas: North
America, Europe, the Middle East and Africa, Asia, and Latin America. Plank was
fed up with frequently changing his sweat-soaked cotton shirts while working out
on the field, so he devised a solution. Plank created his first Under Armour
HeatGear T-shirt after doing extensive study (Under Armour, 2018c). UA also
sponsors camps and clinics for young athletes in order to raise consumer awareness
about fitness.The company, which is now over 20 years old, is still based in
Baltimore, Maryland, and has grown to be a multibillion-dollar enterprise. Under
Armour's vision is "to empower athletes everywhere" (Under Armour, 2018d), and
its mission is "Under Armour makes you better" (Under Armour, 2018b). The firm
reinforces its vision and goal via long-term growth targets, but with strong rivals
like as Nike and Adidas, the corporation needs constantly examine its plans to
maintain a strong competitive market and industry position. Under Armour
announced a 35% increase in Q3 2022 over the previous year, owing to its plan of
improving its internet presence and growing its distribution network. Under
Armour, a major firm in the sports clothing market, has changed the industry with
revolutionary products and technology that assist athletes of all levels. The
company's product range is constantly expanding, and it now includes linked fitness
items and applications. Readers might investigate Under Armour's mission
statement, vision, and fundamental principles to better comprehend the company's
success.
• Mission Statement: To make athletes better.
• Vision: To inspire you with performance solutions you never knew you needed
and can't imagine living without.
• Core Values: Innovation, Inspiration, Reliability, Integrity, and Teamwork.
Under Armour has created a strong brand presence in the sports market as a result
of these ideals and continues to produce innovative goods and technology that
motivate athletes to push themselves to new boundaries.
 2. Vision statement

The vision statement of Under Armour company is "We believe that we are on the
face of the earth to make great products and that's not changing."

 Innovation:

One of the main components of Under Armour's vision statement is innovation. The
company aims to 'continuously drive performance solutions that inspire athletes
everywhere.' To achieve this, UAA invests heavily in research and development to
create new, cutting-edge products that meet the ever-changing needs of athletes. In
2023, the company plans to launch several new product lines that incorporate
advanced materials and technologies, such as intelligent fabrics and wearable
sensors. By doing so, UAA hopes to maintain its position as a leader in the sports
apparel industry.

 Global Expansion:

Another key component of Under Armour's vision statement is global expansion.

The company aims to 'establish Under Armour as a global brand that is universally
recognized as the go-to source for performance gear.' To achieve this, UAA plans
to increase its presence in countries outside of North America, such as China and
Brazil. In 2023, the company aims to have a significant market share in these
regions and become a household name for athletic gear.

 Brand Loyalty:

The final component of Under Armour's vision statement is brand loyalty. The
company aims to create lifetime customers by providing premium gear that is built
to last.' To achieve this, UAA focuses on creating products that are not only high-
quality but also comfortable, stylish, and innovative. Additionally, the company
fosters strong relationships with customers through various loyalty programs and
social media engagement. In 2023, UAA aims to have a 90% customer retention
rate, demonstrating the effectiveness of its loyalty-building strategies.

• Overall, Under Armour's vision statement as of 2023 reflects its commitment to

innovation, expansion, and brand loyalty. By continuously investing in research and
development, expanding globally, and building strong relationships with customers,
the company hopes to achieve its long-term goals and maintain its position as a
leader in the sports apparel industry.

3. Mission statement

The mission statement of Under Armour company is "To make all athletes better
through passion, design, and the relentless pursuit of innovation.

 “ To create all athletes,” Under Armour, in its mission statement, emphasizes how,
without any discrimination by gender, demographic, or even sport, it intends to
provide the best solution in the market to its audience. In this case, the company
clearly identifies the target market they intend to serve: athletes.
 “Better Through Passion”, passion is a key ingredient in Under Armor as a brand as
it always tries and succeeds to be a genuine brand that is trying to offer the best
solution. If Under Armor were a person, it would be your typical football player or
member of your college basketball team.
 “Design” is an important component of Under Armor because it represents a
distinct difference in the design of athletic apparel and equipment. It stands out and
 aims to help athletes feel comfortable and confident in their own skin, skills and
performance.
 “Relentlessly pursuing innovation,” innovation has been the most important aspect
of Under Armor since its founding in 1996. The company strives to bring the best
choice to its customers with the goal of achieving maximum performance without
forgetting comfort. Under Armor has clearly been successful with this intention for
decades.

4. Strategic Objectives

Chapter 2: Strategy Formulation Analysis

1. External analysis (EFE matrix)

Weighted
Opportunities Weight Rating
Score
1 Low cost import in China 0,03 3 0.09
2 Better import regulation in Mexico 0,07 4 0.28
3 Market share apparel up to 5.2B 0,07 2 0.14
4 Top sales from apparel up 5.9% 0,09 4 0.36
5 Sponsorship to mega sport stars 0,04 3 0.12
6 Sales at 55% from women segment 0,03 2 0.06
7 Computer technology help manage odors 0,05 1 0.05
8 UA’s product produce by weather 0,04 2 0.08
9 License for custom made product in Japan 0,04 2 0.08
10 Variations of UA product line 0,04 2 0.08
Tota
0.50 1.34
l

Weighted
Threats Weight Rating
Score
1 Higher wage legislation in China 0,04 4 0,16
2 Higher market capital of UA’s competitor 0,09 2 0,18
3 Inflation of raw materials 0,07 3 0,21
4 Competitor brand star be a spokesperson 0,03 3 0,09
5 Compertitors employ athlete to market product 0,03 3 0,09
6 Compertitors use better technology to produce
0,05 4 0,20
apparel and foodwear
7 Dry technology use by Adidas 0,04 3 0,12
8 Competitors use internet site 0,05 2 0,10
9 Compertitor has large presence in Europe 0,04 2 0,08
10 Lack of patents laws UA’s products 0,06 1 0,06
Tota
0.50 1.29
l
Total EFE Score 1.00 2.63

UA performs above average in resolving external difficulties in their firm. Since 2.63
exceeds 2.50 (average midpoint), it indicates that UA business is performing well,
capitalizing on external opportunities more than external challenges.
 2. Internal analysis (IFE matrix)

Weighted
Strengths Weight Rating
Score
1 Clear objective 0,03 3 0,09
2 Increase consumer awareness 0,06 4 0,24
3 Direct selling 29% of revenue 0,05 3 0,15
4 Real state 25,000 retail stores in 34 different
0,08 3 0,24
states
5 Annual growth rate 34% 0,06 3 0,18
6 Strong free cash flow 0,05 3 0,15
7 Revenue increase 24% 0,04 3 0,12
8 Style cover environment condition 0,05 4 0,20
9 Whisk water away 0,07 3 0,21
10 Design new product 0,05 4 0,20
Total 0.54 1.78

Weighted
Weaknesses Weight Rating
Score
1 Divisionally by product 0,04 1 0,04
2 Relish underdog image 0,04 2 0,08
3 Easy to be copy 0,07 2 0,14
4 High price for niche customers 0,06 2 0,12
5 Direct sales lower than expected 0,04 1 0,04
6 Growth depend on another stall 0,05 1 0,05
7 Complex reporting segment 0,05 2 0,10
8 EPS Ratio is 0.95 0,03 1 0,03
9 Investment in R&D is lower 0,03 2 0,06
10 Depend on athletics performance 0,05 2 0,10
Total 0.46 0.76
Total IFE Score 1,00 2.54

In terms of dealing with internal concerns, UA ranks above average. Since 2.54 exceeds
2.50, UA has a strong internal position. The company can enhance its score of 2.54 by
increasing its profits per share ratio and conducting research and development.

3. Competitive analysis (CPM matrix)

Under Armour Nike Adidas

Critical Success Ratin Ratin Ratin
Weight Score Score Score
Factors g g g
Market Penetration 0,12 3 0,36 4 0,48 4 0,48
Product Quality 0,09 3 0,27 4 0,36 4 0,36
Product
0,09 2 0,18 4 0,36 4 0,36
Competitiveness
Customer Loyalty 0,07 3 0,21 4 0,28 4 0,28
Innovation 0,08 2 0,16 4 0,32 3 0,24
International Expansion 0,06 2 0,12 4 0,24 4 0,24
Customer Demand 0,09 2 0,18 4 0,36 4 0,36
Financial Position 0,09 2 0,18 4 0,36 3 0,27
Brand Recognition 0,09 2 0,18 4 0,36 3 0,27
Market Shares 0,07 2 0,14 4 0,28 3 0,21
Product Diversification 0,07 2 0,14 4 0,28 3 0,21
Resources 0,08 2 0,16 4 0,32 3 0,24
Totals 1,00 2,28 4,00 3,52

The Competitive Profile Matrix (CPM) identifies a firm’s major competitors and its
particular strengths and weaknesses in relation to a sample firm’s strategic
position”((David & David, 2015, p.79). In this CPM I compared the critical success factors
of Under Armour to Nike and Adidas. As shown above, both Nike and Adidas both have
much stronger overall scores over Under Armour. This is not an inferior representation of
Under Armour, but rather illustrates what the company should be strategizing on to
become more competitive. The factors used in this matrix are derived from the external
and internal environment of Under Armour, and hold the most crucial success rate of the
company among competitors and within the industry.

4. SWOT analysis

Opportunities Threats

1.) In 2016 International 1.) Competition from rival

business grew 63% and
represented 15% of global
revenue (Under Armour,
2016b, p.5).
2.) Push towards global
expansion in growing
economies
companies and product
substitution.
2.) Decrease of women’s,
children, and footwear sales.
3.) Lack of lifestyle/
athleisure apparel and
consumer trends, as opposed
to competitors.

Strength S-O S-T

1.) Restructuring plan to
improve business strategies
of technology through its
digital platform
2.) Investment in direct-to-
consumer (DTC) Channel to
help with supply and
demand of inventory,
customer personalization
preferences, and faster go-
to-market strategy (Brick,
2017).
1.) Allocate financial resources
in the restructure to aid in
international expansion through
market development.
1.) Use DTC to make
products more appealing to
women, and children, and use
consumer preferences for
footwear.
2.) Allocate more resources
for research and development
for product development
against rivals.
3.) Management restructure
to better align long-term
growth objectives with
internal operations. 4.)
Company restructure plan to
better align financial
resources with business
priorities (Under Armour,
2017a, p.7).

Weakness W-O W-T

1.) Limited ownership of
fabric and process patents
(Under Armour, 2016a,
p.11).
2.) Limited production
compared to competitors
because of third-party
suppliers in foreign
countries (Under Armour,
2016a, p.12).
1.) Use international expansion
to capitalize on foreign
suppliers and markets.
2.) Use already established
foreign company distributors to
aid in expansion through
expertise and knowledge.
1.) Use production resources
to produce products aimed at
women, children, footwear,
and athleisure. Decrease
spending in other areas.

3.) Lack of experience in

environments and markets
outside of North America
may affect the company’s
expansion strategy to
International markets
(Under Armour, 2016a,
p.13)

5. BCG analysis

STARS QUESTION MARKS

• Under Armour HOVR Shoes • Connected Fitness

• UA RUSH • Under Armour Golf

• MyFitnessPal • Under Armour Running Shoes

CASH COW DOGS

• UA Tech™ fabric • Connected Fitness Devices:

• Charged Cushioning ® footwear Revenue of $457 million in 2021, only

5.9% of total revenue, little growth
• ColdGear® product • UA Record App: Low market share in
the health and fitness category, little
growth in the active users

UA’s Stars:

According to the Boston Consulting Group (BCG) Matrix Analysis, Under Armour, Inc.
has multiple items and/or brands that are considered'Stars' as of 2023. These
products/brands have a large market share in a rising market and are industry leaders who
require extensive advertising and placement assistance.

 Under Armour HOVR Shoes, a high-performance shoe brand with Bluetooth

connectivity and stride sensor technology, garnered 132 million USD in revenue in
2022.
 In 2021, UA RUSH, a mineral-infused training clothing, made 179 million USD in
revenue.
 MyFitnessPal, a popular software with over 200 million registered users, made 108
million USD in 2022. These brands have acquired popularity among athletes and
fitness aficionados.

UA's Cash Cows:

Under Armour's Cash Cows products and brands, estimated to be around 45% of the
market, maintain a high market share in a mature market. These include UA Tech™ fabric,
Charged Cushioning® footwear, and ColdGear® products.

 UA Tech™M fabric, a performance fabric with a natural feel and quick-drying

features, is a dominant market player.
 Charged Cushioning® offers responsiveness, energy return, and exceptional
cushioning, while ColdGear® products provide warmth and dryness for athletes.
These cash cows offer high profit margins, low investment requirements, and
continued cash flow, which can be reinvested to improve infrastructure and
efficiency.

UA’s Dogs:

UA has several 'Dogs' products and brands, including Connected Fitness devices and the
UA Record app. These products have low market share and are in low-growth markets.

 Connected Fitness devices generated only 5.9% of total revenue in 2021, with a
revenue of $457 million. The app has seen little growth in recent years.
 Similarly, the UA Record app has a low market share in the health and fitness
category and has seen little growth in active users. These 'Dogs' products and
brands have little return on investment.

UA’s Dogs:

Under Armour, Inc. (UAA) has several 'Question Mark' products and brands in its
portfolio, including Connected Fitness, Under Armour Golf, and Under Armour Running
Shoes. These products have shown growth potential but have low market share compared
to competitors like Nike Training Club and Garmin.

 Connected Fitness, including MapMyRun, MyFitnessPal, and Endomondo, is

expected to reach USD 1.1 billion in revenue by 2023.
 Under Armour Golf, with a reported revenue of USD 210 million in 2021, has a
low market share in the highly competitive golf industry. To increase market share,
UAA should focus on attracting more customers to adopt these products/brands.

6. Quantitative strategic planning matrix (QSPM)

Strategy Alternative
1 2
Build new Focus more
branches on women
around and children
the world market
Key Factors Weight AS TAS AS TAS
s
Opportunities
1. Low cost import in China 0,03 4 0,12 2 0,06
2. Better import regulation in Mexico 0,07 3 0,21 2 0,14
3. Market share for apparel up to 5.2B 0,07 4 0,28 0 0
4. Top sales from apparel up to 5.9% 0,09 3 0,27 0 0
5. Sport stars sponsored for brand image 0,04 0 0 0 0
6. Sales at 55% from women segment 0,03 0 0 4 0,12
7. Computer technology help manage 0,05 0 0 3 0,15
odors
8. UA’s product produce by weather 0,04 3 0,12 4 0,16
9. License for custom made product in 0,04 2 0,08 1 0,04
Japan
10. Variations of UA product line 0,04 4 0,16 2 0,08

Threats
1. Higher wage legislation in China 0,04 3 0,12 0 0
2. Higher market capital of UA’s 0,09 4 0,36 1 0,09
competitor
3. Inflation of raw materials 0,07 3 0,21 2 0,14
4. Competitor brand star be a spokesperson 0,03 0 0 0 0
5. Competitors employ athlete to market 0,03 0 0 0 0
product
6. Competitors use better technology to 0,05 2 0,10 3 0,15
produce apparel and footwear
7. Dry technology use by Adidas 0,04 0 0 0 0
8. Competitors use internet site 0,05 0 0 0 0
9. Competitor has large presence in Europe 0,04 1 0,04 1 0,04
10. Lack of patents laws of UA’s products 0,06 3 0,18 2 0,12

Total 1,00 2,25 1,29

 Strengths
1. Clear objective 0.03 0 0 4 0.12
2. Increase consumer awareness 0.06 2 0.12 0 0
3. Direct selling 29% of revenue 0.05 4 0.20 0 0
4. Real state 25,000 retail stores in 34 0.08 4 0.32 2 0.16
different states
5. Annual growth rate 34% 0.06 0 0 0 0
6. Strong free cash flow 0.05 0 0 0 0
7. Revenue increase 24% 0.04 0 0 2 0.08
8. Style cover environment condition 0.05 2 0.10 0 0
9. Whisk water away 0.07 0 0 0 0
10. Design new product 0.05 2 0.10 3 0.15

Weakness
1. Divisionally by product 0.04 0 0 0 0
2. Relish underdog image 0.04 0 0 0 0
3. Easy to be copy 0.07 3 0.21 4 0.28
4. High price for niche customers 0.06 4 0.24 3 0.18
5. Direct sales lower than expected 0.04 1 0.04 0 0
6. Growth depend on another stall 0.05 2 0.10 0 0
7. Complex reporting segment 0.05 0 0 0 0
8. EPS Ratio is 0.95 0.03 0 0 0 0
9. Investment in R&D is lower 0.03 4 0.12 3 0.09
10. Depend on athletics performance 0.05 0 0 0 0

Total 1.00 1.55 1.06

TOTAL 3.80 2.35

Chapter 3/ Part II – Strategy Recommendations

3.1. Strategy 1

According to the model research above, UA's position in the holds and maintain strategy is
average or in the center. UA is performing well in the sports business, with the product
offering being welcomed by consumers, particularly women rather than males, in clothes,
footwear, and accessories. According to the company's perspective, the strategic strategy
that should be implemented for UA is a tactical approach in which the corporation should
focus on market penetration and product development. If UA enters a new market due to
the goods offered, it will have a great potential. The goal of the market penetration strategy
is to launch a product that enters the market as quickly as possible and eventually controls
the market share. This strategy which is penetration does not affect overall marketing
strategy of the company but the main attention is to increase in revenue generation. Market
penetration can be apply in ten (10) different tactics which is (1) price adjustment is
provide the suitable price according to the quality provided, (2) Augmented promotion
which is increase in promotion of a products, (3) Distribution channels which is
telemarketing, e-mail marketing, online marketing and etc., (4) Improving products is
improve product quality and it will strongly and increase company sales revenue, (5)
Upsurge Usage which is represent for marketing promotion campaign , (6) knowing risk
and growth, (7) create barriers to entry is sales and establish a barrier to entry, (8) be
unique and think differently, (9) Diversification is economic, technological or regulatory
which is focus to enter the market with taking this factor under consideration and last tactic
for penetration strategy is (10) strategic alliances because due to difficult to enter new
markets, there are many form to do but the common one is the joint venture.

3.2. Strategy 2

The next strategy under hold and maintain that can be implementing is product
development strategy, products development strategy can be define as process of bringing
new innovation to consumers from concept to testing distribution. Under Armour company
can use this strategy and can be divided into two (2) type which is the first (1) UA can
improve the existing products which is apparel, footwear and accessories. UA can focus on
the demanding products while improve it to be better and more acceptable to consumer.
The second (2) types is UA can try to create a new products that follow the taste latest
fashion or taste from customer, for this type, UA need to take under consideration
according to the acceptance from customer which is the new products quite risky because
don’t know how consumers will respond to something new. The second types from product
development strategy can be match with the penetration strategy to make this more
successful for consumers to accept the product. However, there are few step should be
apply by UA to make the second strategy which is product development successful. The
objective is to make the new product can be accepted from consumer plus consumers will
buy and use the products. The first (1) step is UA should identify the need from customers,
which is take under consideration of the need and trend while UA can also provide the
need parallel with the fashion during the time. The second (2) steps are UA can survey the
market and develop a prototype based on the collected data. From the result UA will know
what people like and don’t like about an existing product. Last but not less, the third (3)
steps which is tests the product in the market with smaller runs, if the new products can be
accepted in smaller market then UA can proceed to enter the bigger market.

3.3. Strategy 3

Last but not less, the general perspective from the UA situation, which is using strategic
management model to analyses, is CPM which is competitor profile matrix, QSPM and
finding analysis. The issue that occurs is UA cannot compete with Nike and Adidas in
sport industry which is this both company is the biggest competitor in sport industry.
However, the internally UA can compete because UA the first company that introduce the
high quality apparel which is using sweat wicking fabric. The overall conclusion is because
of the issue that occur according to not patent the product, market share that too focus in
US region and marketing strategy by using unfamiliar sport star. UA has developed their
company and product into a desirable brand among many consumers. In order to keep the
company growing UA will need to continue to try and differentiate their products from
Nike and Adidas which patent their product.

Conclusion

In conclusion, while the full effects of the internal restructure Under Armour has begun to
be seen may take some time, the overall evaluation of its external and internal forces deem
that the proposed product development strategies and other recommended alternative
strategies are logical and beneficial to the company's long-term growth objectives.
"Strategy, implementation, and execution are three co-incident determinants of a company
or business unit's ultimate output — its results — that are very difficult to parse into their
individual effects" (Favaro, 2015, p. 4). Strategy implementation should be regularly and
rigorously assessed for improvement, given the recommendations. Because of the dynamic
nature of business and strategy, there is no one-size-fits-all plan for either, as they are both
in constant movement. Under Armour is a fantastic illustration of this, since its turbulent
internal and external environment has forced it to rethink its position and ambitions in
order to remain competitive. Strategy is one of the most crucial tools for a company's
success and survival, and it must be properly applied and analyzed to see if the strategy is
appropriate. As a result, I believe the strategies developed for Under Armour are being
implemented at an acceptable pace and, in my opinion, address the essential concerns that
the company requires to maintain its competitive advantage. The year 2023 will be
difficult, but the implementation process is well begun, with a suitable strategy focusing on
long-term target objectives.

References
Abstract:

Under Armour (UA) is a fast-growing sportswear company that was formed in

1996. A case study provided allows for an investigation of Under Armour,
which is critical to the process of turning around a stagnant corporation that
has failed to compete in recent years. Under Armour is a multinational firm
that supplies sporting apparel worldwide and develops products such as
sneakers, shirts, and other sporting accessories. They are now ranked third in
their industry. In this assignment, I was performed an assessment of Under
Armour by creating and using an Internal Factor Evaluator (IFE) and External
Factor Evaluator (EFE) matrices, a Competitive Profile Matrix (CPM), a SWOT
Matrix, and a BCG Matrix; in order to examine the company's strategic issues
and determine how they may affect it in the future.
Intro:
Kevin Plank, a former University of Maryland football player, founded Under Armour
in 1996. The company, based in Baltimore, Maryland, has 80 stores across 34 states
and serves four regions: North America, Europe, the Middle East and Africa, Asia, and
Latin America. Under Armour's mission is to empower athletes everywhere and make
them better. The company has long-term growth targets, but faces strong
competition from Nike and Adidas. In Q3 2022, Under Armour reported a 35%
increase in sales due to improving its internet presence and expanding its distribution
network. The company's mission statement is to make athletes better, its vision is to
inspire with performance solutions, and its core values are innovation, inspiration,
reliability, integrity, and teamwork. Under Armour has established a strong brand
presence in the sports market, producing innovative products and technology that
motivate athletes to push themselves to new boundaries.

VISION:
Under Armour's vision statement focuses on innovation, global expansion, and brand
loyalty. The company aims to create performance solutions that inspire athletes worldwide
by investing in research and development. In 2023, Under Armour plans to launch new
product lines incorporating advanced materials and technologies, such as intelligent fabrics
and wearable sensors, to maintain its position as a leader in the sports apparel industry.

Global expansion is another key component of Under Armour's vision statement. The
company aims to establish itself as a global brand, establishing a significant market share
in countries outside North America, such as China and Brazil.

Brand loyalty is another key component of Under Armour's vision statement. The company
aims to create lifetime customers by providing premium gear that is comfortable, stylish,
and innovative. By fostering strong relationships with customers through loyalty programs
and social media engagement, Under Armour aims to achieve a 90% customer retention
rate in 2023.

MISSION:
9 components of Under Armor analysis:
Under Armour, Inc. is a leading sports apparel company that designs, markets, and
distributes performance clothing, footwear, and accessories for men, women, and children.
The company's main brands include UNDER ARMOUR, HEATGEAR, COLDGEAR,
HOVR, UA, PROTECT THIS HOUSE, I WILL, UA Logo, ARMOUR FLEECE, and
ARMOUR BRA.

Under Armour's target market is predominantly male (69% compared to female buyers),
aged 18-24, with a focus on Generation Z professionals and amateurs. The brand's core
values include Supporting Equality, Staying Honest, Thinking Bigger, and promoting
gender and racial inclusion, corporate transparency, and environmental certainty.

Under Armour operates in North America, Europe, the Middle East, Africa, Asia, and Latin
America, with North America being the most important market. The average Under
Armour client is health-conscious, focused on fitness and sports, tech-savvy, and from
middle to higher socioeconomic classes. College-aged athletes with the motivation, budget,
and ambition to become devoted consumers are an important element of the brand's target
market.

To celebrate its 20th anniversary, Under Armour has launched Lighthouse Hub, a design
and manufacturing innovation facility in Baltimore. This facility will employ specialized
teams to develop innovative technologies for future design and production processes,
aiming to reduce fabric usage, test ideas, and improve product quality.

Under Armour's philosophy centers around empowering athletes through passion, design,
and relentless innovation. The company is dedicated to creating high-performance athletic
apparel and accessories that enhance athletic performance while emphasizing the
importance of passion for sports.

Under Armour places a significant emphasis on maintaining a positive public image, which
includes managing brand perception, engaging in corporate social responsibility, effective
crisis management, building strong customer and employee relations, strategic marketing
and communication efforts, and a commitment to diversity and inclusion.

Under Armour also prioritizes a positive workplace environment, fair labor practices,
competitive benefits, opportunities for training and development, and upholding ethical
business practices.

OBJECTIVE:
Under Armour's strategy focuses on innovation, product development, market expansion,
brand strength, digital and e-commerce growth, category expansion, athlete endorsements
and partnerships, and operational efficiency and cost management. The company aims to
increase its market share by reaching new consumers and entering new geographical
regions. It also focuses on digital growth, expanding its digital presence, diversifying its
product portfolio, securing high-profile athlete endorsements, and improving operational
efficiency in manufacturing, distribution, and overall business operations.

EFE matrix:
UA performs above average in resolving external difficulties in their firm.
Since 2.63 exceeds 2.50 (average midpoint), it indicates that UA business is
performing well, capitalizing on external opportunities more than external
challenges.

IFE matrix:
In terms of dealing with internal concerns, UA ranks above average. Since
2.54 exceeds 2.50, UA has a strong internal position. The company can
enhance its score of 2.54 by increasing its profits per share ratio and
conducting research and development.

SWOT:

BCG:
Under Armour, Inc. has several 'Stars' products and brands, including Under Armour
HOVR Shoes, UA RUSH, and MyFitnessPal, which have a large market share in a rising
market. These brands require extensive advertising and placement assistance. UA's Cash
Cows, estimated to be around 45% of the market, maintain a high market share in a mature
market. These cash cows include UA Tech™ fabric, Charged Cushioning® footwear, and
ColdGear® products.

UA also has several 'Dogs' products and brands, such as Connected Fitness devices and the
UA Record app. These products have low market share and are in low-growth markets.
Connected Fitness devices generated only 5.9% of total revenue in 2021, with a revenue of
$457 million. The app has seen little growth in recent years and has little return on
investment.

UA's 'Question Mark' products and brands include Connected Fitness, Under Armour Golf,
and Under Armour Running Shoes. These products have shown growth potential but have
low market share compared to competitors like Nike Training Club and Garmin.
Connected Fitness is expected to reach USD 1.1 billion in revenue by 2023. Under Armour
Golf, with a reported revenue of USD 210 million in 2021, has a low market share in the
highly competitive golf industry. To increase market share, UAA should focus on attracting
more customers to adopt these products/brands.

QSPM:
By looking at QSPM for internal and external result 3.80 and 2.25, it is show that build
new branches around the world it more suitable to help UA archived their vision and
mission. In addition, UA can fulfill requirement for women since right know we have
many female athletes and they interesting with sports. If UA can pursue with this strategy,
UA can gaining high profit to beat the competitors. However, before adding branches
anywhere, the most important things that UA need to do are patents their fabrics and
technology so rivals cannot copy that. In addition, adding branches will help UA acquire
good in the short term and greatly affect the importance of UA for the long term. Given
that public awareness of sports is on the rise, this opportunity will increase the ability to
resist competitors. Products that are very difficult to distinguish cause UA to be strong and
to maintain the ability to keep the loyalty of consumers. A loyal user is difficult to switch
to another product. Furthermore, UA marketing through athletes who have best
performance. If the athlete used to make marketing for the UA product is in a bad position,
loyalty customers are based on the comfort of the UA product and lack of view of the
athlete's performance.

RECOMMENDATION:

CONCLUSION:

While the full effects of Under Armour's internal restructure may take time to show, its
external and internal forces indicate that the proposed product development strategies
and other recommended alternative strategies are logical and beneficial to the
company's long-term growth goals. According to the recommendations, strategy
implementation should be rigorously evaluated for improvement. Because business and
strategy are always changing, there is no one-size-fits-all plan. A great example of this is
Under Armour, which has had to rethink its position and goals to stay competitive due
to its turbulent internal and external environment. Strategies are crucial to a company's
success and survival, so they must be properly applied and analysed. In my opinion,
Under Armour's strategies are being implemented at an acceptable pace and address
the essential concerns the company needs to maintain its competitive advantage. Even
though 2023 will be tough, the implementation process has begun with a strategy
focused on long-term goals.