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← Business Entity Nike →

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Nike Inc. was established in 1962 by Phil Knight and Bill Bowerman as a joint venture called Blue Ribbon Sports. Their goal was to sell low-cost, high quality sport shoes to American consumers in a bid to strengthen Japanese athletic shoes to break the dominance of local industry by Germans.

Today in 2010, Nike Inc. not only produces and distributes sport accessories comprising footwear apparel and equipment, but about 40 % of its sales come from subsidiary ventures. With its dominance as a traditional and non-traditional supply channels in over 100 countries Nike targets its main market regions which are the United States, Europe and Asia Pacific. Coming as a second ruler of the market, after Adidas, Nike shifted their focus from product orientation to category-driven approach and from a product-driven mentality to a consumer-oriented approach in a major reorganization bid. Such an effort will obviously affects product range product units and geographical requirements.

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Nike also focused on female market in a bid to accelerate their innovation capability, to substantially increase their competitive advantage in order to take over the market in the industry. To attain this premier position, innovation capability must be enhanced by a way of integrating e-Commerce, New Product Development and Sustainable Development. Best ways of advertising also need to be put in place for their products in such a way as to create a positive image into the minds of females who are interested in fitness.

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