Nike External Factor Analysis

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EXTERNAL FACTOR
COMPETITION
Recently most traders are doing business in an environment that exist competition. Brand become the recent trend among the wide world. An industry with a brand image will survive in world market because people willing to pay for the brand. Brand image is an important consideration for any of the firm or industry operating in higher competitive business environment.
Nike is world famous brand and one of the most recognizable companies not only in America but in the entire world. As a world famous and branded Nike do have competition among the sport industry itself and other industry as well. Competition occurs among companies is including market competition, price competition and international competition. To make
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The overflow in stock price was driven because strong performances across the all division, product types and geographies. However, the part has traditionally been a strong cargo deck of competitors such as Adidas and Puma. After losing market place portion in the region to Nike, these companies have amplified their marketing and demand creation activities to recover lost reason. And now Nike is forming up in common market and China.

North United States of America is the biggest subscriber to Nike’s revenue with a share in overindulgence of 40%. Strong growing in basketball men’s training sport wear and running are driving high sales in this geographic. Nike’s strong run in this market continues to be fuelled by its category offence by focusing on discrete categories, superior innovation, strong marketing and world distribution. With a reported futures orders growth of 11% in the region it seems that category offence remains a powerful strategy for increasing the growth and profitability in North America.

2.0 PRICE
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Because the price is so expensive compare to Puma. Puma is also in sports company which is currently a faraway third in the sporting goods industry behind market holder Nike and Adidas. When we do the price comparison between Nike and Puma, the Puma’s price is cheaper than Nike but when we come to quality of the product Nike is much better than Puma.

Puma’s pricing is designed to be competitive to the other way retailer. The pricing is based on the basis of insurance premium segment as target area customers. Puma as a brand commands high premium. Puma offers approximately 30 case of soccer brake shoe that the price begin at $25 and lineament a number in the sub $40. This range of shoes is for who may be new to football game or are people who searching for budget soccer shoes. But Nike offers about 15 types of soccer brake shoes in price from $30 to $190. This kind of shoes come in indoor and outdoor good example, though Nike’s indoor oblation somehow limited.
As a conclusion on price competition the Nike’s price is much expensive than Puma. And Puma sales their product in very affordable prices.

3.0 INTERNATIONAL

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