Nike vs.

Adidas
Team
Robin Castillo
Sirrea Hayes
Beth Nichols
Ofe Walker

Mission Statements
Nike
To bring inspiration
and innovation to
every athlete* in
the world
* If you have a
body, you are an
athlete

Adidas
To be the leading
sports brand in the
world
*Impossible is
Nothing
http://www.youtube.c
om/watch?v=EPO20Pk
SztE

History
Nike
1964:
Bowerman/Knight
1970: Waffle Iron
1972: Swoosh
1980s: Sport
Celebrity
Endorsement &
Growth

Adidas
1920s-30s:
Dassler
1954: Soccer
1960: 3-Stripe
1984: Summer
Olympics &
Mainstream
popularity

Key Leaders
Nike
Chairman of the
Board: Phil Knight
CEO Nike: Mark
Parker
CFO: Don Blair
President Nike Brand:
Charlie Denson
Global Operations:
Gary M. DeStefano

Adidas
CEO Adidas-group:
Herbert Hainer
Finance Adidas-group:
Robin J. Stalker
CEO Adidas brand:
Erich Stamminger
Global Operations
Adidas-group: Glenn
S. Bennett

Industry / Products
Nike
Athletic Shoes
Apparel
Sports Equipment
Accessories

Adidas
Footwear
Sportswear
Sports Equipment

Business Structure
Nike
NIKE
Five Subsidiaries

Cole Haan
Converse
Hurley International
NIKE Golf
Umbro

Adidas
Adidas
Two Subsidiaries
Reebok
TaylorMade

Market Segments
Nike
Running
Footwear
Clothing

Golf
Footwear
Clothing

Soccer
Footwear
Clothing

Adidas
Sport Performance
Footwear

Sport Style
Clothing

Competitive Strategy
Nike
Premium Price
Strategy
Sponsorship
Agreements
No Manufacturing

Adidas
Premium Price
Strategy
Sponsorship
Agreement

Core Competencies
Nike
Outsourcing

Adidas
Implementation of
Joint Operating
Model in Europe

Distinctive Competencies
Nike

Adidas

Competitive Advantages
Nike

Adidas

Industry Trends / Key Issues

Nike / Adidas
Sales are Flat
Low Consumer Confidence in the Economy

Global Issues
Nike
2008: Trade Deficit
with China

Adidas
2008: Global
Sports Partnerships
2009: International
Day of Peace
2009: DJSI Winner

International Ethical Issues

Nike / Adidas
China: Child Labor

Sales Strategy
Nike
Nike.com
United States:
25,000 Retailers
International:
Distributors,
Licensees, and
Subsidiaries

Adidas

Key Customers
Nike

Adidas

Key Competitors
Nike
Adidas
New Balance
Athletic Shoe, Inc
PUMA AG Rudolf
Dassler Sport

Adidas
Nike
Amer Sports Corp
Callaway Golf
Company

SWOT- Strengths
Nike
Swoosh Logo
Innovative
Technology Focus
LIVESTRONG
Campaign
Niketown
Conservative
Finances

Adidas
3-Stripe Logo
Purchased Reebok
to gain presence in
North America
Leader in Corporate
Responsibility &
Sustainability
Buyer Loyalty

SWOT- Weaknesses
Nike
Male Dominate
Executive Board
Labor Costs

Adidas
Male Dominate
Executive Board

SWOT- Opportunities
Nike
Growth in Mens
Footwear
Recent Growth in
US Market Share

Adidas
Grow Reebok men
Continue Partnership
Development

SWOT- Threats
Nike
Under Armour
Economy

Adidas
Economy
US Market share
shrank 2009

Porters Product Substitution

Nike

Adidas

Porters Rivalry
Nike

Adidas

Porters Buyer Power

Nike

Adidas

Porters Supplier Power

Intense competition among suppliers
keeps manufacturing costs low

Porters Threat of Entry

Nike / Adidas
Under Armour

Financial Analysis
Nike

Adidas

Ratio: 2
Nike

Adidas

Ratio: 3
Nike

Adidas

Ratio 4
Nike

Adidas

Acquisitions
Nike
1995: Bauer
2002: Hurley
International
2003: Converse
2004: Starter
Brands
2008: Umbro

Adidas
2005: Reebok

Divestitures
Nike
Adidas
2007: Starter to
Iconix Brand Group
2008: Bauer
Hockey to Kohlberg
& Co

Current Events
Nike

Adidas
2009: Cirque de
Soleil
2012: London
Olympic and
Paralympics
Partnership

Sustainability
Nike

Adidas

Strategic Direction / Changes

Nike
2007: LIVESTRONG
Challenge
http://www.youtube.co
m/watch?v=RDfCTJQ
TpXs

2009: Profitable
Stock Split 2 for 1

Adidas
2008: Beijing
Olympic Partnership
2009: Business
Realignment
2009: Sold $15.7
million shares of
stock
2009: Cirque du
Soleil Partnership

Recommendations
Nike

Adidas

M
Nike

Adidas

Bibliography
Adidas Impossible is Nothing. (2006, May 10).
YouTube video posted by sktube. Retrieved
November 27, 2009 from
http://www.youtube.com/watch?v=EPO20PkSztE
Fredeen, B. (2000, Feb. 1). Knowing Nikes
Customers. Retrieved November 18, 2009, from
Fool.com.
Footwear Industry in USA. (2008). Retrieved
November 22, 2009, from http://www.infomat.com

Bibliography
Hoovers Inc. (2009). Company Discriptions.
Retrieved November 22, 2009 from
http://www.hoovers.com
LIVESTRONG Challenge 2007 Video. (2007, June
1). YouTube video posted by livestrongarmy.
Retrieved November 27, 2009, from
http://www.youtube.com/watch?v=RDfCTJQTpXs
Mehta, S. (2009, March 5). Fortune. Under Armour
reboots. Retrieved November 28, 2009, from
http://www.money.cnn.com/2009/01/20/technolog
y/mehta_underarmour.fortune/index.htm?postver
sion=2009012613

Bibliography
40 under 40. (2009, October 22) Fortune, Retrieved
November 28, 2009, from
http://money.cnn.com/galleries/2009/fortune/09
01.40_under_40.fortune/index.html
Pienciak, M. (2009, September 2009). The Motley
Fool. Nikes still got no bounce. Retrieved
November 28, 2009, from
http://www.fool.com/investing/general/2009/09/
30/nikes-still-got-nobounce.aspx?source=isesitlnk0000001@mtt=1.00

Bibliography
Conerly, B. (2008, February 5). Seeking Alpha
website. Nike strategy: divide and conquer.
Retrieved October 19, 2009, from
http://seekingalpha.com/article/63099-nikestrategy-divide-and-conquer
Burke, M. (2008, January 17). Forbes Magazine. On
the run. Retrieved October 19, 2009, from
http://www.forbes.com/forbes/2008/0211/082.ht
ml