Nike, Inc. is an American multinational corporation that engages in the design, manufacture, worldwide marketing, and sale of athletic footwear, apparel, equipment, and accessories. The company was founded in 1964 and is headquartered in Beaverton, Oregon, in the Portland metropolitan area. This article will cover Nike’s history, marketing strategy, and labor conditions. Read on to learn about Nike’s impact on the world. And, if you’re in the market for a new pair of Nikes, check out this article!
Nike’s first sneaker
In 1971, Bill Bowerman created a new type of shoe sole. He called them “Moon Shoes,” and they resembled the footprints of astronauts on the moon. During the 1972 Olympic Trials in Munich, he designed a new sneaker to wear on the track. The shoes’ popularity skyrocketed, and the company soon began creating new designs. Today, they are some of the most well-known sneakers in the world.
During the Olympics in Atlanta, Michael Johnson and Carl Lewis won the 400m and 200m gold, respectively. At the same time, Nike introduces new cushioning technology called “Nike Shox.” The company uses materials that are commonly used in race cars to create spring-like pillars of resistance for runners. This innovation has changed the way we wear sneakers. While the original Flyease required two hands to close, this new sneaker does away with the need for a second hand to close.
Its success
There are many explanations for Nike’s enduring success. One of the most compelling is the way the brand has changed its business model. Instead of becoming a transactional brand, Nike’s business model evolved into a transformational one. Its recent announcement of a dramatic cutback in its distribution network revealed the company’s intention to focus on 40 retail partners instead of more than 30,000. This radical move came as a surprise to many, as most CEOs would be reluctant to cut even one customer.
The company has found a niche market and is a global brand that offers innovative products to meet both the demand for style and high performance. In addition, Nike understands the psychological aspects of consumers and is aggressive when pursuing these goals. It also knows how to target and segment its markets. With these two factors, Nike has succeeded in building its brand as a global leader. The company continues to grow by embracing new technologies and developing innovative products, while remaining on top of the latest trends.
Its marketing
A large multinational corporation, Nike employs strong marketing concepts. These concepts include the marketing mix, segmentation, targeting, positioning model, marketing survey, research, and more. These elements all contribute to the competitive edge of an enterprise. The marketing department is actively involved in the planning process, identifying business opportunities and advising management on appropriate changes to the marketing strategy. Here are some of the key marketing concepts that Nike employs to create a highly effective brand image.
One of Nike’s marketing strategies is to reach a broad market, focusing on the fitness and sports enthusiast market. The company focuses on a diverse group of people, including both the elite and the younger generation. Its marketing campaigns also include special offers and discounts to attract and retain customers. A major part of Nike’s business strategy is the use of athletes to promote the brand. It also uses partnerships with sporting leagues and celebrities to increase the company’s awareness.
Its labor conditions
Despite the company’s claims of improving factory conditions and enforcing Codes of Conduct, there is no evidence that Nike’s factories are free of unfair labor practices. Moreover, a recent study found that forced work hours have increased and that all categories of the Codes of Conduct are violated. The factory’s employees also do not have a voice in company decisions. Nevertheless, the company should do more to address these issues.
The company is also accused of using sweatshops, which are factories where workers are paid far below the minimum wage and are subjected to long hours, hazardous working environments, and even child labor. Nike has repeatedly denied any involvement in sweatshops, but many of its competitors have come under fire for the conditions they create. Nike’s alleged use of sweatshops has resulted in boycotts and condemnations from consumers and politicians alike.
