Air Jordan as a company is a subsidiary of Nike. Can it also be considered as...

Air Jordan as a company is a subsidiary of Nike. Can it also be considered as a competitor?

Solutions

Expert Solution

Air Jordan is an athletic-luxury, marquee, niche brand within the Nike family of brands. As a subsidiary, it has access to the same resources, revenue streams, marketing and sales channels that Nike maintains. They both are luxury brands producing the sports footwear like sneakers etc. Nike is promoting Air Jordan as its own brand. One thing is certain the Jordan brand is as successful and example of brand power you’re likely to come across, with significant financial benefits Nike. With a growing share of a market it already dominates and the continued financial success of Nike, the partnership between Nike and Jordan will likely continue to produce billions in revenue for the company. They are working together to oust the other big brand like Adidas etc .Also Nike has control over the marketing of jordans and even the production terms.

Therefore the financial benefits and market share rise the nike got with Jordan brand doesn’t make both competitors.

Rahul Sunny answered 1 year ago

Next > < Previous

Related Solutions

Jordan Broadcasting Company is going public at $47 net per share to the company. There also...

Jordan Broadcasting Company is going public at $47 net per share to the company. There also are founding stockholders that are selling part of their shares at the same price. Prior to the offering, the firm had $31 million in earnings divided over 8 million shares. The public offering will be for 4 million shares; 2 million will be new corporate shares and 2 million will be shares currently owned by the founding stockholders. a. What is the immediate dilution...

Jordan Broadcasting Company is going public at $48 net per share to the company. There also...

Jordan Broadcasting Company is going public at $48 net per share to the company. There also are founding stockholders that are selling part of their shares at the same price. Prior to the offering, the firm had $30 million in earnings divided over 10 million shares. The public offering will be for 6 million shares; 3 million will be new corporate shares and 3 million will be shares currently owned by the founding stockholders. a. What is the immediate dilution...

List all the intra-entity transfers that can occur between parent and subsidiary. Also, identify the new...

List all the intra-entity transfers that can occur between parent and subsidiary. Also, identify the new consolidation entries.

introduction and conclusion for nike company

Modigliani & Miller show that dividend policy can also be considered irrelevant. Yet, unexpected increases in...

Modigliani & Miller show that dividend policy can also be considered irrelevant. Yet, unexpected increases in dividends are often closely followed by price increases, why? To clarify, when a firm pays a dividend the stock price should drop by the amount of the dividend on the ex-dividend date. Let's say a firm has 5 stockholders, each holding 1 share. The firm owns $2,000 in cash and $3,000 in other assets. So the firm is worth $5,000 (it owes no debt)....

You are the CFO of Jordan company. The year-end of Jordan is 31 March. The CEO...

You are the CFO of Jordan company. The year-end of Jordan is 31 March. The CEO of Jordan company informed you that the company intends to open a new branch in the next few weeks. The company has spent a substantial sum on a series of television advertisements to promote this new branch. The company paid for advertisements costing JOD 1,500,000 before 31 March 2018. JOD 900,000 of this sum relates to advertisements shown before 31 March 2018 and JOD...

Mini Case: Nike and Sweatshop Labor Nike, a company headquartered in Beaverton, Oregon, is a major...

Mini Case: Nike and Sweatshop Labor Nike, a company headquartered in Beaverton, Oregon, is a major force in the sports footwear and fashion industry, with annual sales exceeding $ 30 billions, more than half of which now come from outside the United States. The company was co-founded in 1964 by Phil Knight, a CPA at Price Waterhouse, and Bill Bowerman, college track coach, each investing $ 500 to start. The company, initially called Blue Ribbon Sports, changed its name to...

Nike Nike hit the ground running in 1962. Originally known as Blue Ribbon Sports, the company...

Nike Nike hit the ground running in 1962. Originally known as Blue Ribbon Sports, the company focused on providing high quality running shoes designed for athletes by athletes. Founder Philip Knight believed high-tech shoes could be sourced from overseas at competitive prices. Nike’s commitment to designing innovative footwear for serious athletes, helped it build a cult following among US consumers. Nike believed in a ‘pyramid of influence’ in which the preferences and testimonial of top athletes influenced the product and...

Jordan is now 40 years old. After a brief tour in the Air Force (once-deployed) and...

Jordan is now 40 years old. After a brief tour in the Air Force (once-deployed) and a few rounds of stopping and starting a college education while trying to figure out what he wanted to do, he finally graduated with a 3.7 GPA as a nontraditional, working, online student. Jordan’s degree is in human services, after which he went on to earn a master’s degree in counseling. His new job is on an Army post where he works as a...

Provide SWOT Analysis for the sports brand company "NIKE".

Subjects