Phil Knight and Bill Bowerman founded NIKE, Inc in 1972 as a company focusing on manufacturing sportswear shoes, clothes, and equipment. About 40 years later, the worldwide multinational corporation is the major leader of sports equipment and athletic shoes. The name's brand comes from the Goddess of Victory in ancient Greek religion. Nowadays, NIKE Inc manufactures and distributes in more than 100 countries across the world. Its primary market regions are the United States, Europe, and Asia Pacific. The brand catchy name NIKE, that symbolizes the wings of the Goddess of Victory, has a huge part in that popularity across the world. The success of the company is quite astonishing since they registered $25,3 billion of revenue in 2013. Surprisingly, after years of revenue growth that would push expectations higher and higher, NIKE has been reported facing unprecedented headwinds. Shares are currently falling because of intense competition …show more content…
Statement of the problem or issue The problem is regarding the inventory. The management did not meet expectations and resulted in big losses for the company. According to NIKE, those big losses are because of the implementation of new software that was supposed to help managing inventory in real time as well as production, track of goods and other features. We can assimilate the inventory management problem as a long-term problem because it has been going on for a couple of years and cost about 100 million dollars of losses. NIKE is ready to bounce back and recover from those inventory issues that casted a shadow over their reputation. It looks like they have been working for a long time on that innovation aspect in order to rival with competitors: Adidas and Under Armour. That new strategy is a long-term process since they expect revenue to slow in the first time. However, NIKE has proved many times their ability to last with long-term growth, which should not cause any issues for future plans. III. Causes of the