NIKE SPRINTS AHEAD OF COMPETITION,

YET HAS A LONG WAY TO RUN

The Nike family is a fairly vast enterprise. IT operate on six continents.

Nike began exploring the Nike Max Sight technology in 1997, conducting an
initial clinical project, then subsequent research projects using collegiate athletes.

Separate business units within the Nike brand include The Jordan/Jumpman 23
brand and Nike Golf.

The diversity inherent in such size is helping Nike evolve its role as a global
company
It has a distribution network of over 1,500 retail stores and 27
wholesale
Q1. Should Nike switch from a focus on celebrities to a focus on
its products in its advertising? Discuss the role of marketing
research in helping Nike management make this decision. What
kind of research should be undertaken?
MR can help NIKE understand

 The composition of the market and determine the best way to segment the
market.

 Decision making process of the consumers.

 To what extent are consumers affected by the brand image and how important
are celebrities in fostering the image.

 To what extent are consumers influenced by product characteristics.

 Who are the consumers that that are concerned about product characteristics.

 Exploratory research can be done to gain a basic understanding of such issues

followed by descriptive research in form of a single-sectional survey.
Q2. How would you describe the buying behavior of consumers
with respect to athletic footwear ?

There appear to be 2 segments

One concerned with the image of the brand of shoes
Other that focus on product characteristics.

Image segment is more influenced by celebrity

endorsement .
Other segment considers product characteristics.
Q3. What is the management decision problem facing Nike as it
attempts to retain its leadership position?

What Nike should do

to retain its Leadership
position in the US
athletic footwear
market?
Q4. Define the marketing research problem facing Nike , give
the management decision problem you have identified.
 Determine the role that product
characteristics, image, and other
factors play in influential consumers
choice of shoe brand

 What is the market share of NIKE

and its competitors.

 What are the demographic and

psychographic characteristics of
consumers who are concerned with
the image.

 What are the demographic and

psychographic characteristics of
consumers who are concerned with
the product characteristics.
Q5. Develop two suitable research Questions and
formulate two hypotheses for each?
What is the lifestyle of consumers
who are image sensitive?
Ho-consumers who are image
sensitive are young and active
H1- consumers who purchase athletic
footwear are not price sensitive.

What Is the lifestyle of typical

NIKE consumer.
Ho-typical NIKE consumer is young
and independent
H1-typical NIKE consumer watches
sport on television.
 Q6. How can the Internet be used to help Nike in conducting
marketing research and in marketing its products
 Internet survey can be done asking
the recommendation from the
consumers

 The product innovation idea, new

strategies, any demerit of the existing
product can be asked through E-
mails, websites, Questionnaire .

 Through internet the responses could

be much faster and the rate of error
can be much lesser
Contd..
Users can experiment with hundreds of possible color
combinations for their shoes, and also lets them add personal
identification marks on their shoes. Using this data input Nike
can personalize and customize shoes for its consumers. 

A small questionnaire could be asked to fill after each purchase

on web.

Attractive website designing could also be helpful, with the

help of some web designers.
Thank you