Nike Target Market

Nike’s analysis in the fashion industrial environment

Nike’s an athletic-based fashion retailer that operates as a multinational corporation. They promote their brand using relevant techniques such as endorsements and sponsorships with influencers who are able to maintain a platform in communities where we live and work. Nike’s mission is to create groundbreaking sport innovations, by making and creating products more sustainably, by building a creative and diverse global team, and by making a positive impact in communities where their customers live and work in.

Product

The business continues its investment in research and development to produce new products and enhanced versions of its current products.

Place

Selling its exclusive pair of shoes across different outlets has been outlined within the marketing mix. For example, only a certain type of footwear could be found in a particular store causing it to become exclusive.

Price

Since Nike focused on the users who embrace product understanding this allows the company to set quite a higher cost than its rivalry. This is a marketing strategy of Nike which calls for superior pricing points in order to push the supposed value of the product.

Promotion

The company uses promotional tactics to communicate with target customers about their innovative new products by using creative advertising using billboards or Tv adverts.

Political Forces

BB&T Capital Markets analyst indicated that a decision to leave the EU would likely prompt near-term pressure on the macro environment, with the implication being that Nike would also feel the weight of a so-called Brexit. As well as being one of the strongest market leaders in the world Nike also represents countries they operate in with high profits they make and therefore influencing political temperatures.

Economical Forces

Nike would be able to agree on multiple sponsorship deals with different companies. Therefore due to the economic downturn consumers can be affected which will reduce consumers’ confidence in Nike.

Social Forces

Societies constant change in trend causes Nike a challenge to keep up with modern-day trends and the needs of customers. Cultural aspects Nike will also need to consider in order to ensure they meet customers’ beliefs in a positive manner. Considering genders, age structures, and demographics (Paypervids 2019)

Technological Factors

Nike uses science and technology in order to create sports shoes to help improve athletes’ performances such as ultra super-light shoes. Using social media technology platforms will booster their brand using the media to build it up following interest from their target audiences (Thomas Bush)

Legal Forces

Would need to consider all government legislations that have been put out and consider ways of abiding to them all. Using healthy and safety measurements and following all laws such as employment law and the discrimination law. In recent years Nike have been exposed as having a bad image with a lot of discrimination accusations being put against them.

Environmental Forces

Environmental policies & beliefs around the world have been increasing as ‘health consciousness’ means that more and more individuals are moving towards better lifestyles. Nike outperforms the other brands on all listed attributes and especially quality, but may be alienating some customers with its prices ( Mintel 2019) Having the worlds largest online store has allowed Amazon to dominate with the reach they have been able to maintain with the selling to their customers in fashion Adidas Group is the largest sportswear manufacturer across Europe and the just second worldwide (Statista 2018), however, in 2018 sells for Adidas have been fallen and are far apart from their competitors.

Main Challenges

UK exit from the EUEqual pay problems for men and women Nike brand revenues were down 4%.

Following Nike’s international presence they would need to try and expand to capitalize on the impact they are about to from the economy by reducing prices on items and increase investments to increase profit and employment. Nike have swiftly turned their business into a female focuses brand allowing their to be more equal with the beliefs they hold.(Salpini, 2019). They have received an unexpected decline in sales within the Northern part of America and therefore would need to turn to countries who have a developing sports market industry to regain their revenue. (N. Danziger, 2019)

Conclusion

Reports indicate that Nike is ranked 9th out of 43 companies that are on the waiting list for forced labor. By contributing to a series of articles that have received backlash about their legislative contributions, Nike has an opportunity to remedy the situation by creating a safer and better workforce for its employees without the use of vulnerable employees in LEDC countries.

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