2.2 COMPANY PROFILE

NIKE is one of the world 's major distributors of sportswear and equipment with its operations spanning across the world 's six continents in 160 countries. It was founded in 1972 with the goal of using innovative thinking in product development focused on enabling athletes with various levels of ability to maximize their potential. NIKE maintains a strong research and development team and is constantly on the look out to create new products needed in the market. By doing so, NIKE is able to create business opportunities that enable them create value for their shareholders. In 2010, fiscal year, NIKE is able to turn over $ 19 billion revenue with $ 2.5 billion being the contribution for their wholly owned affiliates. These affiliates are always reported as separate businesses and include Cole Han which mainly produces luxury wear; NIKE Golf which distributes Golf wear and equipment; Converse Inc which mainly produces footwear; Hurley International LLC which is known for its surf equipment; and Umbro LTD. which tends to focus mainly on soccer wear and equipment.

2.3 BUSINESS CONTEXT

NIKE 's operations cover more than over 160 countries in 6 continents. NIKE is faced with competition both on the global scale and at the country levels. Brands such as REEBOK, PUMA and ADIDAS also command a global presence. To keep ahead of the competition NIKE uses innovation as its tool for generating higher levels of satisfaction for their target