Nike, Inc. Strategic Case Study
Executive Summary 4 1. Introduction 5 2. Strategic analysis 6 2.1 External analysis 6 2.1.1 PESTEL analysis 6 2.1.2 Porter’s Five 5 Forces and Government model analysis 8 2.1.3 Turbulence Model 9 2.2 Internal Analysis 9 3. Strategic directions and strategic objectives 10 3.1 Mission 10 3.2 Strategic objective 11 3.2.1 The financial objective of Nike 11 3.2.2 The non-financial objective of Nike 11 4. Key broad business-level and international strategies 12 4.1 Ansoff’s product and market business level strategies 12 4.2 Miles and Snow’s adaptive strategies 13 4.3 Porter’s competitive business level strategies 14 4.4 International strategies 15 5. Strategic implementation: General …show more content…
On the other hand, the aging of the population in developing countries will also bring challenges to labor recruitment of the manufacturing factories. The situation will be even serious in China, which is now the largest manufacturing base of Nike products.
Nike is the leading company in sportswear industry. It holds many innovations and leading technologies, for example, Nike Air, Hyperfuse and Lunarlite foam etc (Nike, n.d.). Nike needs to pay more attention to the protection of its patents and technology, thus prevent the competitors from making using of the expired patents.
The 2011 flood in Thailand shut down the factories of many multinational corporations that including Nike as well. The supply chain of some big companies was severely influenced and great losses were caused. Fortunately Thailand factories was only a very small part of Nike’s global manufacture network, thus little influences was caused. However this incident is alarming. Many developing countries do not have very good infrastructures, and when striking by nature disasters, the factories, assets and inventories in these countries can be vulnerable. Also, the concerning of global environment protection request Nike to control pollution and produce environment friendly products. Thus Nike launched sustainable business scheme which aims to minimize the risks (Nike,