The economic factors in which Adidas has to face are also very significant. Adidas manufacturing is a risky component of their industry since they are dealing with several countries which adds vulnerability. Aspects such as economic growth and interest rates are major components in this situation. Interest rates may significantly increase in some countries, causing prices to increase, and therefore, demand to decrease. Yet, if interest rates significantly decrease in these countries, more people will spend which will cause economic growth, and therefore result in inflation. With inflation, aspects such as unemployment may occur since prices and costs would increase too much. This would greatly affect the manufacturing aspect of Adidas production.
A truly important part of the PEST analysis is the social factor. Adidas has a strong target market of individuals ranging from the ages 20-29 …show more content…
A way to understand forms of marketing is by using the marketing mix which segments aspects such as product, price, place and promotion that the company uses.
Product:
Adidas group has five main brands underneath its name. It has Adidas which is a premium sportswear company. There is also Reebok which is a less premium sportswear company. Also, TaylorMade Golf which focuses on golf attire and equipment. There is also Rockpot which specifies in outdoor clothing and CCM which is a hokey brand. All these different companies allow Adidas to produce a diverse amount of clothing for a wide range of consumers. When considering the Adidas brand itself, it is evident that they are a high quality sportswear manufacturing company. They focus on athletes and youth who desire comfortable attire during high intensity activity. Through this, Adidas markets its products effectively since they have a clear idea who and what type of individual they are
A truly important part of the PEST analysis is the social factor. Adidas has a strong target market of individuals ranging from the ages 20-29 …show more content…
A way to understand forms of marketing is by using the marketing mix which segments aspects such as product, price, place and promotion that the company uses.
Product:
Adidas group has five main brands underneath its name. It has Adidas which is a premium sportswear company. There is also Reebok which is a less premium sportswear company. Also, TaylorMade Golf which focuses on golf attire and equipment. There is also Rockpot which specifies in outdoor clothing and CCM which is a hokey brand. All these different companies allow Adidas to produce a diverse amount of clothing for a wide range of consumers. When considering the Adidas brand itself, it is evident that they are a high quality sportswear manufacturing company. They focus on athletes and youth who desire comfortable attire during high intensity activity. Through this, Adidas markets its products effectively since they have a clear idea who and what type of individual they are