This paper goes into detail about the Nike, the shoe company and the industry that it operates in, it explores the pros and cons of its core market strategy, it also looks at three of Nike’s top competitors, and finally what are a few recommendations to compete with Nike.
Nike
In this paper, I will evaluate the Nike company, I will explore the industry over the past 5 years, the Nike core market strategy, Nike’s top three competitors, and finally recommendations to help the competitors and how Nike can combat them.
The Industry
The shoe industry over the past 5 years has been constantly stable at a 4 % profit. Although, with quite a few shops such as Sports Authority and Sports Chalet going out of business in 2016 there was a slight reduction in industry development. In 2014 Industry sales 32,213 million, 2015 was 32,849 million, 2016 it was 34,237, and in 2017 it is predicted at 35,731, finally in 2018, it is predicted to increase to 37,362 (SHOE INDUSTRY NAICS , 2015). So, with more demand, the foot ware industry will continue to increase, and with Nike controls up to 45% to 50% of the Global industry they should continue to thrive.
Core Marketing Strategy
Nike uses the “pyramid of influence” (Laudon, 2015)as their core strategy and uses celebrities to sell their products this strategy has allowed Nike to stay ahead of their competition. For example, in 1985, they signed the rookie guard Michael Jordan to be the spokesman for their product, and with the Air Jordan line,