Background of Addidas

http://www.fragrancex.com/products/_bid_Adidas-am-cid_perfume-am-
lid_A__brand_history.html

In 1925, in a small German village, the world got it's first taste of Adidas. It was
there, in a village by the name of Herzogenaurach, located 12 miles to the north and
the west of Nuremberg, that those simple three stripes were brought to life by adidas'
founder, Adolf "Adi" Dassler. Adi created adidas after realizing the need for
performance athletic shoes. Adidas began small, producing soccer and running shoes,
which ironically enough are still the main products that adidas is known for. Adidas
has continued to gain momentum through the years. Many attribute this to adidas'
quality, styling and reputation. Adidas is currently the largest supplier of athletic
shoes in Europe. Adidas ranks second worldwide, with their products selling in almost
200 countries. In 1994 alone, adidas sales totaled 3 billion dollars. In late 1995, adidas
went public with its stock. It was a tremendous success and continues to trade
internationally. Adidas posted an amazing 40% increase in net sales in the first half of
1997. The Dassler family has a rich heritage in shoes. Adi's brother, Rudolf went on
to create the puma brand in 1948 after a dispute with Adi. And, another Adi Dassler,
who just happens to be the grandson of the founder of adidas, has launched his own
shoe company, A. D. One. which specializes in adventure and sub-urban footware.

http://malaysia.ahk.de/mitglieder/malaysia-mitgliederliste/a-c/adidas-malaysia-sdn-
bhd/

adidas was incorporated in Germany in 1949 by Adolf Dassler in Herzogenaurach,

Germany. A name that stands for competence in all sectors of sports around the globe.
The permanent passion for innovation, to give athletes the best products to support
their ambitions, has turned adidas into a global powerhouse and market leader,
making us one of the worlds most widely recognized brand symbols, the three stripes
of adidas.

With the incorporation of adidas Malaysia in 1994, and over the years, the adidas
brand continued to go through major product introductions, technological
advancements and on enhanced brand positioning, making the three stripes brand a
credible and premiere sports brand in the world.

adidas Malaysia has its head office in Plaza Damansara and a warehouse in Shah
Alam and a staff strength of over 150 employees (including finance, marketing, sales,
retail, warehousing, procurement, IT).

The brand attitude of “Impossible Is Nothing” encapsulates the vision and goal of
adidas Malaysia in continuing to capture the essence of being the leader in the
sporting goods market in Malaysia.

Background of Nike
http://xroads.virginia.edu/~class/am483_97/projects/hincker/nikhist.html

The Nike athletic machine began as a small distributing outfit located in the trunk of
Phil Knight's car. From these rather inauspicious beginnings, Knight's brainchild grew
to become the shoe and athletic company that would come to define many aspects of
popular culture and myriad varieties of 'cool.'

Nike emanated from two sources: Bill Bowerman's quest for lighter, more durable
racing shoes for his Oregon runners, and Knight's search for a way to make a living
without having to give up his love of athletics. Bowerman coached track at the
University of Oregon where Phil Knight ran in 1959. Bowerman's desire for better
quality running shoes clearly influenced Knight in his search for a marketing strategy.
Between them, the seed of the most influential sporting company grew.

The story goes like this: while getting his MBA at Stanford in the early '60s, Knight
took a class with Frank Shallenberger. The semester-long project was to devise a
small business, including a marketing plan. Synthesizing Bowerman's attention to
quality running shoes and the burgeoning opinion that high-quality/low cost products
could be produced in Japan and shipped to the U.S. for distribution, Knight found his
market niche. Shallenberger thought the idea interesting, but certainly no business
jackpot. Nothing more became of Knight's project.

Cut to 1963. Phil Knight traveled to Japan on a world-tour, filled with the wanderlust
of young men seeking a way to delay the inevitable call of professional life.
Seemingly on a whim, Knight scheduled an interview with a Japanese running shoe
manufacturer, Tiger--a subsidiary of the Onitsuka Company. Presenting himself as the
representative of an American distributor interested in selling Tiger shoes to
American runners, Knight told the businessmen of his interest in their product. Blue
Ribbon Sports--the name Knight thought of moments after being asked who he
represented--was born. The Tiger executives liked what they heard and Knight placed
his first order for Tigers soon thereafter.

By 1964, Knight had sold $8,000 worth of Tigers and placed an order for more.
Coach Bowerman and Knight worked together, but ended up hiring a full-time
salesman, Jeff Johnson. After cresting $1 million in sales and riding the wave of the
success, Knight et. al. devised the Nike name and trademark Swoosh in 1971.

By the late '70s, Blue Ribbon Sports officially became Nike and went from $10
million to $270 million in sales. Katz (1994) describes the success via Nike's
placement within the matrix of the fitness revolution: 'the idea of exercise and game-
playing ceased to be something the average American did for fun,' instead Americans
turned to working out as a cultural signifier of status. Clearly, the circumstances
surrounding the shift are not this simple; it is one of the aims of this project to
discover other generators of popular attention to health.

If Nike didn't start the fitness revolution, Knight says, "We were at least right there.
And we sure rode it for one hell of a ride" (Katz, 66). The 80s and 90s would yield
greater and greater profits as Nike began to assume the appearance of athletic
juggernaut, rather than the underdog of old. "Advertising Age" named Nike the 1996
Marketer of the Year, citing the "ubiquitous swoosh...was more recognized and
coveted by consumers than any other sports brand--arguably any brand" (Jensen,
12/96). That same year Nike's revenues were a staggering $6.74 billion. Expecting $8
billion sales in fiscal 1997, Nike has targeted $12 billion in sales by the year 2000.

http://www.fundinguniverse.com/company-histories/NIKE-Inc-Company-
History.html

1962: Philip H. Knight founds Blue Ribbon Sports (BRS) to import Japanese running shoes.
1963: BRS takes its first delivery of 200 shoes from Onitsuka Tiger Co.
1964: BRS becomes partnership between Knight and William Bowerman.
1966: The company's first retail outlet opens.
1968: Company is incorporated; the Bowerman-designed Cortez shoe becomes a big seller.
1971: BRS begins manufacturing its own products overseas, through subcontractors; the
Swoosh trademark and the Nike brand are introduced.
1972: At the 1972 U.S. Olympic Trials, the Nike brand is promoted for the first time;
company enters its first foreign market, Canada.
1978: Company changes its name to Nike, Inc.
1979: First line of clothing is launched and the Nike Air shoe cushioning device debuts.
1980: Nike goes public.
1981: Nike International, Ltd. is created to spearhead overseas push.
1985: Company signs Michael Jordan to endorse a version of its Air shoe--the 'Air Jordan.'
1988: Cole Haan, maker of casual and dress shoes, is acquired; 'Just Do It' slogan debuts.
1990: First NikeTown retail outlet opens in Portland, Oregon.
1991: Revenues reach $3 billion.
1994: Company acquires Canstar Sports Inc., the leading maker of skates and hockey
equipment in the world, later renamed Bauer Nike Hockey Inc.
1995: Company signs golfer Tiger Woods to a 20-year, $40 million endorsement deal.
1996: The Nike equipment division is created.
1999: Company begins selling its products directly to consumers via its web site.
Difference between Nike and Adidas
http://www.golflink.com/list_4573_nike-puma-adidas-soccer-shoes.html

NIKE
As of August 2009, Nike offers about 15 types of soccer shoes, ranging in price from
$30-$190. The newest offering is the Nike Total90 Laser II FG LTD Soccer Cleat
(retail $190). The soccer shoes come in a variety of colors, designs and sizes, while
many also feature Nike's special Nike ID customizable feature. This feature allows
online shoppers to select materials and colors, while customizing the fit for their
particular shoes. Nike shoes are renowned for their lightweight nature and durability.
The shoes come in indoor and outdoor models, though Nike's indoor offerings are
somewhat limited.

ADIDAS
Adidas, in comparison, offers approximately 50 models of soccer shoes, including a
bevy of indoor and outdoor models. The shoes range in price from $55-$220, with
indoor shoes typically retailing for slightly less than their outdoor counterparts.
Adidas' many soccer cleats come in a variety of designs, colors, and sizes, though
they don't offer the online customizable feature as Nike does. Many Adidas shoes
come equipped with PowerPulse, which Adidas touts as aiding in power, swerve and
control.

http://www.soc.duke.edu/~s142tm17/compare.htm

Nike adidas-Solomon
Headquarters Beaverton, OR USA Herzogenaurach, Germany

Major Basketball, Cross- Soccer, Tennis, Athletics

Markets training, Running,
Women and Children’s
shoes
Key Michael Jordan; Mia New York Yankees; University of
Sponsorships Hamm; Tiger Woods; Tennessee; Kobe Bryant
Brazil Soccer

Strategies � Domestic market � European market focus

focus
� Adidas dominates the world market,
� Shifted focus to specifically the soccer market which is
soccer in order to gain considered the "world’s sport."
international recognition
� Sponsors professional athletes and
� Started athlete athletic teams in response to Nike’s
sponsorship frenzy marketing technique

� Has created new look � Tries to cut production time and

shoes to excite "bored cost in order to be more efficient
customers"
� Uses low wage labor to cut
� Nike Team Sports production costs

� Changes shoe designs � Has enhanced marketing and

frequently to stay ahead advertising budget
of competitors
� Has recently tried to expand its
� Customized products market to sports equipment and
(Nike ID) apparel

� Uses overseas
manufacturing factories
to cut production costs.

� Perfected its internet

site with custom
footwear options

� Has lead the industry

in advertising and
marketing strategies
 Outsourcing � Nike is not a � Adidas outsourced its production
production company; but the design and development
almost all shoes are process is based in Germany.
outsourced; the home
office in Beaverton � In 1993, Adidas moved its
designs, develops and production overseas to Asia in order
markets the goods stay competitive in the industry.

� Subcontractors in
Taiwan and Korea
contract to other Asian
countries for production

� Assembly factories in
Taiwan, Korea, China,
Indonesia and Vietnam
produce the shoes.

� Nike’s trading
company is the Nissho
Iwai Corporation

Fashion show of Nike

Fashion Show of Adidas