Question

What is Nike strategy?

What would you have done differently?

How would your strategy work better than the original strategy?

Answer 1

What is Nike Strategy?

Nike's Strategy ;-

Focuses on product quality in such a way that the consumers are compelled to think that their needs can only be satisfied with Nike products. It highlights the emotional benefits of their product through their excellent ads which speak about the unique features of the products so beautifully and in an impressive way. Nike strategy basically focuses on the advertisement, distribution, and design of the products. It does not own production plant.

Emphasizes constant innovation and excellent technology that makes it stand away from the crowd.

To capture the market share, Nike provides a wide range of products to various Sports.

Buys out competing Sports Product Brand.

Building strong relationships with customers, through social media, which they predominantly use to respond to customers.

What would you have done differently?

I would have a production plant along with outsourcing, unlike Nike.

How would your strategy work better than the original strategy?

Having a production plant will reduce the dependency on outsourcing. This is because, If the suppliers' service deteriorates or their price rises then meeting the demands of customers would be difficult. However, outsourcing can also be done along with production.

Production facilities may generate larger profits than outsourcing. It is comparatively easy to control cost and maintaining and improving quality.

Also, production increases the expertise and helps gain skills and know-how about the products and would be helpful in long run competitiveness, and in the product development., which outsourcing alone cannot do.