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Group 5

COmpetitOr analysis Of
Nike
Introduction: Overview

Nike, Inc., an American multinational corporation, is the


best brand in the sporting goods industry and the 13th
most valuable brand based on 2020 rankings,

Originally called “Blue Ribbon” sports, the company was


established by Bill Bowerman and Phil Knight in 1964

Nike’s primary objective is to supply athletes with


exceptional products and wearable apparels that creates
and aids better and safe sports.

Nike’s success is evident in its business strategy, where it


displays transparency towards investing in emotional
marketing, innovation and sports celebrity endorsements.
swO Helpful Factor

S
Harmful Factor

Internal Factor
Overview

t Strengths Weaknesses

Ot
External Factor
Opportunities Threats
SWOT ANALYSIS

Strength Points
Strong brand image / Logo recognition
one of the most recognizable and valuable logos with a

S
worth of $26 million.

Advertisement and budget


Nike has spent $6.3 billion on advertising in the past two
years only.

Strong research and development


Nike takes its research, design, and development very
seriously, and it believes this is one of the key factors for its
success.

low-cost manufacturing
Most of Nike’s footwear is manufactured in foreign
countries like Vietnam, China, and Indonesia
SWOT ANALYSIS

Weaknesses Points

w
Poor Labor Conditions
These issues include forced labor, child labor, low wages,
and horrific working conditions.

Dependency on US Market
39% of Nike’s sales came from North America this is a
very high percentage compared to the rest of the world.

Lawsuits/Sexual Harassment
Former female employees pointed out that sexual
harassment was very common in the company. They said
"Nike has a toxic company culture for women"
(The New York Times side otherwise)
SWOT ANALYSIS

Opportunities Points
O
Emerging Markets

Shifting the focus to digital business

Merges with the Metaverse


SWOT ANALYSIS

t Threat Points
Fake Products

Increased competitive pressure

Marketing Budget Pressure Risk

to Kangaroo Population
Referenc
apper
e
https://www.statista.com/topics/1243/nike/#topicHeade r__wr
https://www.mbaskool.com/marketing- mix/produ
cts/17310-under-armour.html
https://iide.co/case-studies/marketing-mix-of-
Investor.underamour.com
puma/
. www.globaldata.com
https://iide.co/case-studies/marketing-mix-of- adidas/
https://www.trustpilot.com/review/puma.com
https://www.statista.com/statistics/268469/gross- profi
t-of-the-puma-group-worldwide/
Xu, V. (2020, March 17). Your favorite Nikes might be ma
de from forced labor. Here’s why. The Washington
https://www.statista.com/statistics/268417/gross- profi
Post.
t-of-the-adidas-group-worldwide-since-2000/
Cara Salpini( 2021, Nov 4). Nike is on track to make $50 billi
on this year. How much is that, really? Retail Dive
https://www.statista.com/statistics/1085963/gros s-pro
Interbrand – Best Global Brands 2021
fit-of-under-armour-worldwide/
https://www.statista.com/statistics/1002883/gros s-
profit-of-nike-worldwide/
Nike competitor analysis

Thank
yOu! GROUP 5

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