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What enabled Adidas to be the Market Leader in the past

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What enabled Adidas to be the Market Leader in the past

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    1. adidas Case Study By: Ray Moorman Dan McLinden Tom Anderson Kyle McDaniel Jeremy Smiley

    3. Secondary Questions

    4. What enabled adidas to be the Market Leader in the past?

    5. Product Innovation Analysis – adidas was an early entrant into athletic shoe industry. They developed many of the features still present in shoes today. Strong presence in Olympics and soccer. Created a strong brand based on high quality, innovative products that top athletes choose to use in training and competition.

    6. Marketing Innovation Developed strong following with top track and field athletes. Applied this same model years later with soccer shoes and apparel. Successful because adidas was creating innovative, high quality products. Product innovation enabled marketing innovation. Different than Nike – marketing is what set them apart from the start.

    7. How did adidas lose the lead to Nike?

    8. How Did adidas Lose US Market Share to Nike?

    9. How has adidas's corporate strategy changed over time, specifically before and after the 2005-2006 restructuring?

    12. What has the adidas brand represented in the past and what does it represent today?

    13. adidas’s Brand

    14. A Closer Look at Brand Today

    15. A Closer Look at Brand Today

    16. A Closer Look at Brand Today

    17. The Importance of Brand Identity

    18. Have adidas’s acquisitions helped improve their position against the competition?

    19. Salomon Acquisition: Was it Successful?

    20. adidas’s Stock Price

    21. adidas after Salomon was divested

    22. TaylorMade-adidas Golf Sales by Product Line

    23. 2007 TaylorMade/adidas Golf Sales Breakdown

    24. SWOT Analysis for Reebok

    25. Reebok Acquisition On paper it looks like Reebok’s product portfolio, endorsements and relationships round out adidas and together they can join forces to overtake Nike. Issue is can management overcome Reebok’s reputation for poor quality and lack of innovation? Can two companies come together with such different cultures and focus? adidas – product innovation and commitment to quality Reebok – marketing focus

    26. What role do developing countries have in adidas's future success and how is adidas positioned in those countries?

    27. adidas is a global player 43% of sales from Europe, which is slowest growth market Encouraging that #1 in developing eastern European market, Russia expected to be most profitable market in Europe by 2010 2006 acquisition of Reebok not enough to overcome Nike in North America Growing number of sales in Asia market, fueled by adidas success in China. Strong demand and large population

    28. Net Sales in Emerging Markets

    29. Regional Footwear/Apparel Markets

    30. Should adidas be concerned about losing North American market share to Nike?

    31. Retail Store Strategy

    32. adidas AG Geographic Revenue Performance

    34. adidas Global Revenue Sources (2007)

    35. Reebok Global Revenue Sources (2004)

    36. Is there another corporate strategy adidas should be pursuing?

    37. Alt Strategy Options Use adidas as revenue driver outside of U.S. market – restructure Reebok strategy to capitalize on historic revenue performance in U.S. Decrease number of adidas retail outlets in U.S. - convert to Reebok retail Increase Reebok U.S. endorsements Use adidas global distribution to further increase TaylorMade international revenues

    38. Slides that follow still need to be placed or cut.

    39. External Environment: PEST “Significance” represents value-neutral impact, and may be either positive or negative for Whole Foods.“Significance” represents value-neutral impact, and may be either positive or negative for Whole Foods.

    40. Porter’s 5 Forces

    41. Porter’s Five Forces

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