Nike (A) Harvard Case Solution & Analysis

Weaknesses:

In its recent setback, the company is seen to suffer sales from Russia. Closing Nike’s five stores in Russia due to lower sales will impact company’s overall sales pitch. Despite of its best product offerings and its compatibility to the pitch, it cannot sell off at the prior three World Cups. Adidas who is Nike’s heavy competitor is seen to lead in grasping the premium time, the grounds, and also the screen throughout the last four World Cup tournaments. Nike, is also legitimized of child labor, and moving its operations to low-cost manufacturing countries. Nike has also lost focus on its corporate social responsibility by giving wages lower than the basic living wage in countries that already fall below poverty line. Further, adding to the fire, is the fact that Nike is being accused the anti-globalization group for being unethical in countries where it gets its apparel manufactured. IFAS (internal factor analysis)

n  Key:

1. Major weakness = 1
2. Minor weakness = 2
3. Major strength = 3
4. Major strength = 4

INTERNAL FACTOR ANALYSIS MATRIX

n  Summary of the IFAS Analysis

Nike Football team now needs to pitch high and get on the board before Adidas for the 2010 and future world cups. It needs to identify the channels through which it can get the ground and channel at contract pre-hand. This will help in beating Adidas by gaining the opportunity before. Further, it needs to revamp its image in the mind of consumer through respecting labor laws and showing deep consideration for those unemployed when the factory moves to other low cost manufacturing firms. They need to sow down their celebrity endorsement expenditure and focus more on brand reputation. Nike’s existence in China is very low, despite of the fact that China is gaining popularity for its involvement in sports. Therefore, it needs to focus on markets that Nike thinks is a window opportunity for them. Nike stands alone in producing the customized apparel and gave its users a hundred options to choose from. It should therefore capitalize on this strength and bring up new ways through which it can enhance customer involvement. Further, Nike won the top global award placed 30^th in its position out of 100 top classified brands versus Adidas which was 71^st. Moreover, the five pillars that Nike follows let it stand amongst its competitors to be the all time favorite sport apparel brand. These five pillars include, inspire, innovate, focus, connect and care. Each of Nike’s apparel is designed specifically to cater the needs of the footballers, on and off the pitch. 

Implementing the strategy

Nike is mainly focusing on how it should achieve environmental sustainability. It plans to bring innovation in its apparel by producing the best quality products on one hand and on the other; it aspire corporate governance and responsibility as it wants to become the best sport apparel producer along with reducing the carbon foot prints. It now needs to focus on shifting its competition to environment sustainability by the implication of some new models. These new models and the employed business matrix must contribute to the environmental protection, to the brand image revamp and to the cause of labor (for which they have been accused a several hundred times by the anti-globalization groups)..............................

This is just a sample partial case solution. Please place the order on the website to order your own originally done case solution.

Related Case Solutions & Analyses:

The Challenge of Participation: Drafting Mauritanias PRSP (A) Financial Reporting Environment Fogdog Paula Evans and the Redesign of the Cambridge Rindge and Latin School (A) Eastman Kodak Co. Social Capital and Capital Gains in Silicon Valley Singapore: Committee on Singapores Competitiveness Red star China (A) decision criteria for joint ventures Buurtzorg (B): Driving Innovation in Health Care with a New Organizational Paradigm Danfoss RC in China (A): Going Global Award winner Prize Winner