1. Analysed By Shailesh Pawar ACL-II Business
Nike vs. Adidas
Analysed By
Shailesh Pawar
ACL-II
Business

2. Mission Statements Nike
To bring inspiration and innovation to every athlete* in the world * If you have a body, you are an Athlete.
Adidas
To be the leading sports brand in the world
*Impossible is itself I'm Possible.
The adidas brand attitutde:

3. History Nike Adidas 1964: Bowerman/Knight 1920’s-30’s: Dassler
1970: Waffle Iron
1972: Swoosh
1980’s: Sport Celebrity Endorsement & Growth
Adidas
1920’s-30’s: Dassler
1954: Soccer
1960: 3-Stripe
1984: Summer Olympics & Mainstream popularity
Nike
1964:
1970: revolutionized the running shoe using a waffle iron to make the shoe tread
1972:Swoosh-Caroline Davidson-Artist who designed the Logo
1980’s: Steve Prefontaine-long distance runner, Michael Jordan-Nike Air, Bo Jackson-cross trainer, Tiger Woods-Golf
1989-Nike became Industry leader
Adidas
Dasler-started making shoes-11 sports and 30 styles of shoes by mid 1930;s
1954: German Soccer team won Soccer world cup
1960: expanded athletic balls and clothing: Brand Recognition with 3 stripe design
1984: 89% of the teams wore adidas shoes-expanded into equipment-Celebrity endorsements such as Modonna (Not sports figure)

4. Key Leaders Adidas Nike Finance Head Of Adidas-group: Robin J. Stalker
CEO Of Adidas Brand: Erich Stamminger
Global Operations Head Of Adidas-group:
CEO Of Adidas-group: Herbert Hainer
Glenn S. Bennett
Nike
Chairman of the Board: Phil Knight
CEO Nike: Mark Parker
CFO: Don Blair
President Nike Brand: Charlie Denson
Global Operations: Gary M. DeStefano

5. Industry / Products Nike Athletic Shoes Apparel Sports Equipment
Accessories
Adidas
Footwear
Sportswear
Sports Equipment
According to Market Research firm NPD Group-The Running shoe market in America is $ 5 Billion annually

6. Market Segments Nike Adidas Running Sport Performance Sport Style Golf
Footwear
Clothing
Golf
Soccer
Adidas
Sport Performance
Footwear
Sport Style
Clothing
Nike: has segmented into Specific market divisions. Segment division manager is responsible for their owns segments. They can not blame the Mktg department for poor sales, because the Mktg department is under their leadership.

7. Competitive SALES Strategy
Nike
Premium Price Strategy
Sponsorship Agreements
No Manufacturing
Adidas
Premium Price Strategy
Sponsorship Agreement
Adidas & Nike clearly position themselves as a top notch brand in all markets
Nike:
Celebrity athletes & college and Professional teams.
Adidas:
Niketown

8. Core Competencies Nike Outsourcing Adidas
Implementation of Joint Operating Model in Europe
Nike
By outsourcing Nike has taken out supply chain cost in manufacturing, raw materials and Labor Cost.
Adidas:
2009 restructure in Europe to eliminate regional offices

9. FAMOUS OUTLATES, PUNE Nike AUNDH F.C. ROAD J.M.ROAD Adidas AUNDH

10. Competitive Advantages
Overall Ratings
(10 Ratings)
Overall Ratings
(23 Ratings)
Competitive Advantages
Nike
Adidas

11. Consumers Nike AGE GROUP 03-15 YR’S 15-35 YR’S 35-60 YR’S 60-80 YR’S
MIDDLE CLASS
PREMIUM CLASS
AGE GROUP
03-15 YR’S
15-35 YR’S
35-60 YR’S
60-80 YR’S
Adidas
MIDDLE CLASS
PREMIUM CLASS
AGE GROUP
03-15 YR’S
15-35 YR’S
35-60 YR’S
60-80 YR’S

12. PRICE COMPARISON Nike Adidas Rs 1500 - Rs 2599 Rs 1300 - Rs 2599

13. Tough Competitors Nike Adidas New Balance Athletic Shoe, Inc
PUMA AG Rudolf Dassler Sport
Adidas
Nike
Amer Sports Corp
Callaway Golf Company
Puma was started by Adi Dassler brother Rudolph originally manufactured together until the companies split.
***Nike is the largest sports and footwear apparel company in the world.***

14. SWOT- Analysis(Strengths)
Adidas
3-Stripe Logo
Purchased Reebok to gain presence in North America
Leader in Corporate
Nike
Swoosh Logo
Innovative Technology Focus
LIVESTRONG Campaign
NIKE
Innovative technology focus with Flywire and Lunarlite, reduced wt by 18% (shoe and wt experiment-demo)
Livestrong: $80million has been raised for cancer so far
1984 -(Nike Factory Stores) In 1990 created Niketown: 30,000 sq ft, interactive immersive environment: Closest store: Michigan Ave, Chicago, IL
Stores in Hollywood CA,San Franscisco CA, Las Vegas NV, New York, NY, Uk, London
Nike did some lean thinking, perhaps a 6 Sigma project and were able to hold the bottom line 2nd quarter 2009, even though revenues are down, but Nike is looking better than their competitors and are gaining market share by being conservative: Job Cuts, Inventory Mgmt and spending less on Marketing-

15. Weaknesses Nike Male Dominate Executive Board Labor Costs Adidas

16. Opportunities Nike Growth in Men’s Footwear
Recent Growth in US Market Share
Adidas
Grow Reebok men
Continue Partnership Development

17. Threats Nike Under Armour Economy Adidas Economy
US Market share shrank 2009
Kevin Plank’s CEO for Under Armour had revenues of $725 million in cornered the underwear market and now entering the athlete shoe market. Because he is entering the High Tech shoe market. (Under Armour is the only footwear and active lifestyle company whose revenues grew 2nd quarter in 2009 by 5%)

18. Buyer Power In Pune Nike Adidas Rs 1300 - Rs 2599 Rs 2600 - Rs 3599

19. Acquisitions Nike 1995: Bauer 2002: Hurley International
2003: Converse
2004: Starter Brands
2008: Umbro
Adidas
2005: Reebok
To increase market share in North America Adidas acquired rival Reebok for $3.8 billion

20. Recommendations
Adidas
BEST
Nike
BETTER

21. THANK YOU !