Akash answered on Dec 17 2021
Running Head: MARKETING MANAGEMENT 1
MARKETING MANAGEMENT 3
Nike Inc. the multinational corporation of America engaged in manufacturing, designing, development athletic shoes, apparel, equipment and accessories in the market. New products in the market can meet in various ways, which affects the whole industry. The porter’s five forces, helps us for analyzing the industries, which are underlying the levers of profitability. The company Nike has the sales of most items in the market as because of its strong relation with the buyers. The major objective of the company is to strive and become the global sportswear
and in the global. Huge amount of investments are made for making product promotion and also for marketing strategies by the company Nike. Moreover, it will also help to build the economies of scale, which can help in lowering of cost. The company has uniqueness in its value propositions, which is a primary strategy to target more of customers.
Table of Contents
Executive Summary 2
Nike Inc. is a multinational corporation of America, which is engaged in manufacturing, designing, development, and sales of its products in the world market. The company is one of the biggest manufacturer & seller of athletic shoes, different apparel, and accessories in the market. The
anding of the company is different because of its slogan and logo, which shows the uniqueness of the product from the products of rival companies. Moreover, the products of company NIKE are mainly sold out by retail outlets and from different internet sites, due to which the sales of their products increase.
The new product that the Nike Company shall add to the company’s portfolio is the sketchers in order to grab the more of customer in the market. The company cu
ently offers the product mix of shoes, apparel, equipment and accessories. Nike Inc. shall also make increment in the varieties of female athletic shoes so that customer can make more of choices at the time of buying the product. The business of Nike gradually adds more of product lines such as running footwear, tennis footwear, and other varieties of footwear’s, which also include the footwear’s of cricket.
One of the tools for analyzing strategic management is Porter’s five forces, which helps to make analyzing industries and to understand the underlying levers of profitability. The managers of Nike Inc. make use of a porter’s five forces for the competitive forces to influencing profitability (Nam, Dong & Lee, 2017). Additionally, Porter’s five forces are used for developing a strategy in enhancing the competitive advantage. This force helps to access the power, which lies in the business situations, which is also known as a framework for analyzing the industry and for developing the business strategy.
Porter’s five forces are—
Threats of New Entrants
New entrants for athletic shoes bought up with innovations to put the pressure on the Nike Inc. by lowering of the pricing strategy, by reduction in costs and also by giving several value propositions to customers. The company Nike is required to make management of all the challenges and to build up with the ba
iers in order to safeguard the rival companies. According to Snipes and Pitts (2015), Nike can tackle with the new entrants by making innovations of its equipment and accessories, which can help the company to
ing in more number of customers as well as provide the reasons to the old customers to buy the products of the company.
Bargaining Power of Suppliers
Suppliers, who are in a dominant position, such can make decrement in the profits of the company Nike. Nike Inc. can tackle from the bargaining power of suppliers by making up the efficient chain of supply, with different of suppliers. In addition, it can be tackled by experiments for the designs of the products with the use of different materials, so that if there is a rise in price of a raw material than the company can make shift into another.
Bargaining Power of Buyers
Customers usually want to purchase the best products, which are made available in the market by paying the low price for the products. The company Nike has the powerful customer base along with the high ability to seek up the new offers and also new discounts. Nike Inc. can...