Manufacturing Practices of the Footwear Industry Nike vs....

Of all the major fads and trends surging through popular culture, none is more prevalent than flashy footwear. Mainly with athletic sneakers, the footwear industry has experienced a major influx in the demand for the output of iconic shoes. The current manufacturing practices of the sneaker industry, in particular companies such as Nike, Reebok, Adidas, and New Balance, takes place all over the globe. With the industry experiencing severe competition and the product requiring intensive labor, firms are facing extreme pressure to increase their profit margins through their sourcing practices. No competing sports brand is more eminent and internationally established than Nike, Incorporated. Introduced to the world in 1964, Nike has made†¦show more content†¦Nike currently enjoys a 47% market share of the domestic footwear industry, with sales of $3.77 billion (Van Dusen). Nike has been manufacturing throughout the Asian region for over twenty-five years, and there are over 5 00,000 people today directly engaged in the production of their products (Van Dusen). They utilize an outsourcing strategy, using only subcontractors throughout the globe. Their majority of their output today is produced in factories in China, Indonesia, and Vietnam, but they also have factories in Italy, the Philippines, Taiwan, and South Korea (Van Dusen). In the1990’s, Nike was investigated for underpaying worker in Indonesia, child labor in Cambodia and Pakistan, and poor working conditions in China and Vietnam. They later faced further allegations of wage law violations, excessive overtime, physical abuse, and unsafe working conditions which surfaced from its suppliers and in 1992 (Ruiz 1). Nike responded to its sweatshop labor image by developing its Code of Conduct and labor practices in the company’s Safety, Health, Attitudes of Management, People Investment and Environment program. Nike’s suppliers were obligated to comply with the basic labor, environm ental and health and safety standards. Nike’s suppliers were required to observe, sign and post within their factories this Code of Conduct. EverShow MoreRelatedThe Manufacturing Practices of the Footwear Industry: Nike vs. the Competition1752 Words   |  8 PagesThe Manufacturing Practices of the Footwear Industry: Nike vs. the Competition Steven Van Dusen The current manufacturing practices of the sneaker industry, in particular companies such as Nike, Reebok, Adidas, Converse, and New Balance, takes place throughout the globe. With the industry experiencing severe competition, and the product requiring intensive labor, firms are facing extreme pressure to increase their profit margins through their sourcing practices. The following paper will analyzeRead MoreNike and What It Does to Third World Countrys1726 Words   |  7 PagesThe Manufacturing Practices of the Footwear Industry: Nike vs. the Competition The current manufacturing practices of the sneaker industry, in particular companies such as Nike, Reebok, Adidas, Converse, and New Balance, takes place throughout the globe. With the industry experiencing severe competition, and the product requiring intensive labour, firms are facing extreme pressure to increase their profit margins through their sourcing practices. The following paperRead MoreNike Report13324 Words   |  54 Pagesthe athletic footwear industry, and all aspects of its operations. It will focus on Nike, the industry’s leader, and a selected few of its competitors; Adidas-Salomon and Reebok, Sketchers, and K-Swiss. A brief overview of Nike and its competitor’s company profiles, brand portfolios, and current developments will provide an understanding that leads to an analysis of the external environment. This analysis further discusses the geographic distribution, general environment, industry environment usingRead Mor eSupply Chain Management - Nike Adidas4205 Words   |  17 PagesDeringer, 2007). Nike and Adidas are two global companies try to improve their competitive advantage through strategically managing and utilizing their supply chain. The purpose of this report is to compare and evaluate the supply chain management practices of Nike Adidas. 2. CORPORATE PROFILE 2.1 Nike Corporate Profile Based in Beaverton, Oregon, and employing approximately 29,000 people worldwide, Nike Inc. is the worlds leading designer and marketer of authentic athletic footwear, apparel, equipmentRead MoreMarket segmentation of the Nike company 3635 Words   |  15 PagesMarket segmentation of the Nike company Demographic  Segmentation Demography segmentation they include age, race, family income, and education level, among others.Besides, it was observed that the majority of the respondents consist of professional from various fields like engineers, software professionals, working executive etc. who effective form 38% of our database. While 36% were students from various fields. Others constitute designers and athletes etc. the further study is carried on the buyingRead MoreStrategic Analysis of Nike8813 Words   |  36 Pages------------------------------------------------- CONTENTS 1. Introduction 4 2.1. Vision amp; Mission 4 2.2. Company Portfolio 4 2.3. Nike Value Chain 6 2. Environment Analysis 3.4. Remote Environment Scan 7 3.5. Industry Environment Scan 10 3.6. Business Environment Analysis 11 3.7. Firm s Analysis - Strategic Capabilities 13 3. Strategy Read Morenike vs adidas Essay14192 Words   |  57 PagesVS 1 A COMPARITIVE ANALYSIS OF MARKETING STRATERGIES FOLLOWED BY NIKE AND ADIDAS TEAM MEMBERS ANUPAMA VENU CLAES JOTORP DEEPAK TUSHIR GUSTAV TENERZ SAIRAM KRISHNAN SANJAY SHARMA SUNANDA SURESH 09014 09126 09032 09128 09088 09090 09112 2 INDEX 1. INTRODUCTION 1.1. BRIEF ANALYSIS OF INDUSTRY 1.2. BRIEF DEFINITON OF INDUSTRY 1.2.1.TRENDS IN THE INDUSTRY 1.2.2.MARKET ANALYSIS 1.2.3.MAJOR PLAYERS AND MARKET SHARES 1.3. MAJOR FORCES SHAPING THE INDUSTRY 1.3Read MoreNike Inc.: China Essay5605 Words   |  23 Pages†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦16 Section 5.1 | Opportunity ...†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦..16 Section 5.2 | China and the Beijing Olympic Games ..†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦........................16 Section 5.3 | Branding ...†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦...16 Section 5.4 | Product Manufacturing and Company Structure ...†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.17 Section 5.5 | Problems †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦..†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦...17 Section 5.6 | Corporate Social Responsibility †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦..†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦...17 Section 5.7 | Competitors †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦..†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦..18 Section 5.8Read MoreA Financial Ratio Quarterly Trend Analysis of Nike, Inc.4463 Words   |  18 PagesA Financial Ratio Quarterly Trend Analysis of Nike, Inc. Stock Symbol: NKE Listed on the New York Stock Exchange In Partial Fulfillment of the Requirements of the Course: FIN 6406 Report Completed By: 1. Introduction A financial ratio quarterly trend analysis was completed to provide the reader with a clear assessment of the financial health of the company: NIKE International. Just knowing that this company chose a symbol that references the winged goddess of victory seems to have been aRead MoreComplete Project on Nike16139 Words   |  65 PagesA SUMMER TRAINING REPORT ON MARKETING STRATEGY OF NIKE AT â€Å"NIKESHOES INDUSTRIES LIMITED† SUBMITTED IN PARTIAL FULFILLMENT OF THE REQUIREMENT OF BACHELOR OF BUSINESS ADMINISTRATION (BBA) TRAINING SUPERVISOR SUBMITTED BY SESSION 2005-2008 ACKNOWLEDGEMENT The present work is an effort to throw some light on Marketing Strategy of Nike at â€Å"Nike Industries Limited†. The work would not have been possible to come to the present shape without the able guidance, supervision and help