Cuizon, 2009 technology analysis political analysis according to pest analysis the technological enviourment can be taken as strength. It was found by bill bowerman and phil knight in the year 1964. Nike case study analysis by ahmed samir haitham salah magdy essmat magdy mohamed sherif 2. Nike, an amercian multinational corporation, established in the year 1964, is engaged in the design, development, manufacturing, and worldwide marketing and sales of footwear, apparel, equipment, accessories, and services.
Dec 18, 20 in order for nike to maintain there brand strength is to keep on doing these customer relationship to have the consumers loyalty and having a strong relationship. Nike has a ridiculous and robust position in the sports wear industry, having strong brand equity. The company designs, manufactures and markets various athletic products like shoes, clothing, shirts, bags and watches and other related accessories. By ellie boggs, alexis chan, lauren mclean and lauren van neste. Top 10 nike competitors competitor analysis of nike. Harish chandra about nike is without a doubt one of the worlds top sports and fitness companies, and has a legacy which dates back to 1962 when they first arrived on the scene under the name of blue ribbon sports. In this article, well be discussing nikes standings and potential future through the lens of a pestle analysis, which looks at the political, economic, social. The focus should be on the macro environmental factors of nike, as it is an international organization, so consists of political, economics, society, and technology. Looking into nike inc growth rates, revenue grew by 5. Each group will turn in one report sounds obvious, but might as well make it explicit. Nike this case is a group project that is due on march 28 just before class begins at 10. The pestle steepl pest analysis report is a structure to explore the impact of external factors on the macroenvironment that influences business of the nike company. Because of nike s marketing research, the company has decided to revamp its apparel division to be more fashion savvy. A financial analysis of nike inc is presented in the report which includes a ratio analysis, basic profit and loss analysis, presentation of the company balance sheet, and much more.
Political analysis it is the responsibility of government to create such economic policies, which will have a great effect on the growth of business. Nike also recognizes the strategic value of the computing and information assets of others and will accordingly abide by software licenses for rights to use such assets. Nike 17th march 2016, by finn design this week ill be analysing the web design of one of the worlds largest footwear and sports clothing brands, nike. Political mike nike s board of directors accepted a company policy on political contributions trade association memberships and policy position adoptions. Analysis of nike inc 2011 report with swot and pest analysis. They may have a strong brand and healthy finances, but they need to pay careful attention to the morality of their practices and watch out for other growing, cheaper outlets. Nike is the largest seller of athletic footwear and apparel in the. Business analysis nike the company was founded in 1964 by a student of phil knight, middledistance runner at the university of oregon team, and his coach bill bowerman. It concentrates and focuses primarily on producing sportswear and athletics products about.
Get an answer for what could a swot analysis for the company nike look like. Nike financial ratio analysis nke nike financial ratio. Josh fernino brent hare victor hemmati lance hollister chris kerschen ty parasiliti vincent ukwu 2. A swot framework analysis of nike inc completes this indepth company analysis. Initially it was called blue ribbon sports and specialized in the order of athletic footwear in asian countries and resell them in the u. Aug 21, 20 analysis on nike and other kinds of academic papers in our essays database at many essays. Nike product analysis famous celebrities basketball legend, michael jordan print ads nike product famous logo and slogan visibly seen quote towards the audience of women nike uses print ads featuring wellknown athletes with motivational quotes to convey as an inspiration for. Essay about nike stock analysis 844 words bartleby. Each report should have a cover page that contains the following the names of. Pestle analysis, pestel analysis examples and templates. Nike is the worlds largest supplier of athletic shoes and apparel and a major manufacturer of sports equipment. Despite being one of the largest sport apparel and. The pestle analysis is a beneficial technique to study the impact of influencers on the adidass business model, growth trajectory, its business case, and market strategy.
Pestel analysis is a strategic tool to analyze the macro environment of the organization. We invest deep in order to bring you insightful research which can add tangible value to your business or academic goals. The swot analysis of nike discusses the strengths, weaknesses, opportunities and threats of the leading footwear brand nike. However, nike also shows promise of a change in their current practices, with a strong resolve to become more eco. A comparative analysis of strategies and business models of nike. As the industry leader, nike was targeted by fair labor. As a result of product and pricing research, nike has decided to continue to focus on the high end market while increasing its. These forces can have a direct impact on their sales and profits.
I have tried to provide relevant information about nike pestle analysis and external environment analysis. It was founded in 1964 as blue ribbon sports by bill bowerman. Pestel or pestle is a simple acronym framework for assessing the key features of a business environment. Retail stores number nike brand factory stores 176 nike brand inline stores, including niketowns and employeeonly stores 33 converse stores including factory stores 84.
We use cookies to make interactions with our website easy and meaningful, to better. Prioritization of the issues in a pestel and swot is typically quick and may need to be refined when dealing with a really complex challenge. Understand why importing might be a stealth form of international entry. Despite the fact that nike has maintained its brand image and strong financial position it should comply all the laws and regulation. What could a swot analysis for the company nike look.
These are the sources and citations used to research pestle analysis of nike. Macro environment winnie examination of nike s external marketing strategy in the form of a pestle analysis. Nike s popular catchphrase just do it and powerful celebrity endorsements have made the sportswear giant a household name across much of the world, as we explained in our pestle analysis of nike in this article, well be conducting a swot analysis of nike. It designs and sells shoes for a variety of sports including baseball, golf, cheerleading, volleyball, tennis and football.
Highlight specific issues towards labor situation and csr practice of nike. The pestle analysis is a useful technique to study the impact of influencers on nike s business model and business case study. Learn how to make use of this tool to identify opportunities for your marketing with our handson practical guide to pestel analysis. Nke detailed stock quotes, stock data, realtime ecn, charts, stats and more. Nike settled this case in california supreme court after facing defeat and suffered greatly at the hands of bad publicity. Reporting is the primary tool we use to disclose important information to our stakeholders about how we manage social and environmental issues and impacts. Nike has defended the contingent csr critiques by arguing that it has provided employment in otherwise underdeveloped economies, and paid the. Nike fosters a culture of invention creating products, services, and experiences for todays athlete while solving problems for continue reading just do it.
The analysis was given the name pestle in reference to the acronym formed by the initials of the six categories of macroeconomic variables included in the model political, economic, sociocultural, technological, legal and environmental. Jan 22, 2016 nike is an international corporation focused on designing, creating, and promoting high quality athletic wear. To maintain its position in the athletic shoes market, nike inc. Nike is a wellknown brand of sports gear and apparel.
Nike swot 2020 swot analysis of nike business strategy hub. Before starting adidas pestle analysis we will discuss company profile and employees. Nike employees must use nike computing and information assets, including the internet, electronic mail, and other online. The pestel framework can be used to analyse how the most important forces in the international environment can affect large and global businesses. Nike swot analysis elaborates nikes internal strengths, weaknesses, opportunities, and potential threats. It has a great aptitude to influence customers with its fashion trends and to astonishingly increase its profits. Politically, nike has some interesting issues to contend with. Managements discussion and analysis of financial condition and results of. Essay about nike stock analysis 844 words 4 pages on january 25, 1964 nike, formerly known as blue ribbon sports was founded by bill bowerman and phillip knight. The highest profitable technology company and historic trend setter original aspect is hidden from its customers. Pestle analysis of nike macro environmental factors business essay. Remote work advice from the largest allremote company.
Pestel analysis of the macroenvironment there are many factors in the macroenvironment that will effect the decisions of the managers of any organisation. Pest analysis is a powerful and widely used tool for understanding strategic risk. Nike s management analyzes its internal environment and makes decisions based on that analysis. A comparative analysis of strategies and business models of. Methods of analysis of the external environment of business activities. This study considers the contemporary business environment of nike using a. Phil knight, a dedicated long distance runner, developed a plan to make lowcost running shoes in japan and sell them in the united states as part of his work toward an mba. Looking at the political, economic, social, technological, legal and environmental factors surrounding nike will allow the choice of business strategy to be seen much more clearly. Nike has become one of most recognizable companies in the entire world nike is now the most popular brand in, not just america, but through out the whole world. The pestle steepl pest analysis report is a structure to examine the influence of external factors on the macro environment that affects the business of the adidas group. Brian saxton may 15, 2012 nike case analysis nike is a sneaker company based in beaverton, oregon. Nike uses it in its marketing information systems very effectively. Pestel or pestle analysis, also known as pest analysis, is a tool for business analysis of political, economic, social, and technological factors.
Pestel analysis provides great detail about operating challenges jd sports fashion plc will face in prevalent macro environment other than competitive forces. Nike was able to respond positively and promised to ensure environmental friendly policies by its suppliers. Supply chains and the efficiency of these chains has been critical to nike. A five forces analysis, based on michael porters model, points out that competition, customers and substitutes are the most important external forces in nike s industry environment. Sagar naresh debasish prasad soniya ganglani kavya chaudhary narendra reddy y. The famous shoe company with the swoosh logo has gone from strength to strength, since its inception in 1962. An important and widely used tool that helps present the big picture of a firms external environment in political, economic, sociocultural, technological.
Pestel analysis of nikes external environment pestel analysis is a business strategic planning tool that is employed to perform a thorough business macroenvironment analysis so that an organization can determine the best decisions to survive in the market at any instance. This bibliography was generated on cite this for me on wednesday, november 25, 2015. The company specializes in athletic wear, providing. A read is counted each time someone views a publication summary such as the title, abstract, and list of authors, clicks on a figure, or views or downloads the fulltext. Having been founded in 1964, nike serves to bring inspiration and innovation to every athlete in the world. Environmental education resources to commemorate earth days 50th anniversary. Using valuechain analysis to discover customers strategic needs. Decomposition of nikes return on equity ratio roe, return on assets ratio roa, and net profit margin ratio as the product of other financial ratios.
Pestelpestle analysis of nike free pestel analysis. The findings of the study highlight nikes strategies which. The international brands face several kinds of pressures while operating in a highly competitive market. Firstly, the model allows managers to identify the macroeconomic variables to take into consideration for. Tax changes, new laws, trade barriers, demographic change and government policy changes are all examples of macro change. Economic growth of china, led to increasing sales within nike by 2530% per year. For example an industry may be highly profitable with a strong growth trajectory but it wont be any good for jd sports fashion plc if it is situated in unstable political environment. Nike over view nike is the ancient greek goddess of victory it is one of the most recognized symbols in the world the swoosh. Following is an analysis of how the pestel forces affect nike s business. Report on pestel analysis of egypt country map and flag of egypt.
In the process of expanding its foreign economic activity, the pest analysis method was used by such wellknown companies as. Jan 20, 2015 nikes sales philosophy if you have a body, you are an athlete had enticed everybody who wanted to think of himselfherself as an athlete or wanted to get more athletic. A critical analysis of apple was done on its corporate governance, corporate social responsibility and strategies. Pestle approach, paying particular attention to any human resources management hrm issues that may arise under each heading. Adidas is a world leading and valuable sports footwear and apparel brand. Pdf introduction about the pestle analysis find, read and cite all the research you need on researchgate.
Starbucks, nike, adidas, uber pestle analysis of starbucks. Apart from having customers in the international market, it also has its suppliers located internationally. Ali mahdi1, mohammed abbas2, taher ilyas mazar3 1,2,3mba student, university of bahrain, kingdom of bahrain dr. Nike is a usbased company that sells sports apparel for men, women, and children and is a major competitor in the industry, in this paper, well be discussing nikes standings by using a pestle analysis, which looks at the political, economic, social, technological, legal, and environmental factors that affect an organization a pestle. Nike is at the front position of this surge in demand as people are looking for sports shoes, apparel and equipment.
How can nike be a globally recognized ethical brand. Nike belongs to the consumer discretionary sector, a sector which we have been underweight since we started seeing some signs of an economic downturn in the us in june 2007 when an inverted yield curve puzzled everyone. And the athletes helped nike design and market the products and. A comparative analysis of strategies and business models of nike, inc. Pdf using valuechain analysis to discover customers. Forbes magazine has named nike the worlds most admired. The value chain as a strategicanalysis tool emerged when nike set a precedent in the. Doc report on pestel analysis of egypt country map. Pestle analysis of nike macro environmental factors business essay, 20 bibliography.