Академический Документы
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Культура Документы
ON
NIKE INC.
BY
AVINASH DUBEY
B.F.T (2008 – 2009)
IN PARTIAL FULFILLMENT OF
Bachelor of Foreign Trade
UNIVERSITY OF PUNE
MITSOM College
PUNE: 411038
1
CERTIFICATE
This project is the record of authentic work carried out during the academic year
2008 – 2009.
2
DECLARATION
I, Mr.AVINASH DUBEY hereby declare that this project is the record of authentic
work carried out by me during the academic year 2008 – 2009 and has not been
submitted to any other University or Institute towards the award of any degree.
(Avinash Dubey)
3
ACKNOWLEDGEMENT
It’s a pleasure to present this report and while doing so I would like to convey my
heartfelt gratitude to everyone who has contributed in making this report.
I am extremely grateful to Prof. (Mss.) SMITA CHATURVEDI for their valuable help,
personal attention and inspiration. They have been of great help and I thank them for their
unstinted cooperation and unremitting efforts in providing me resourceful guidance
ceaselessly.
I would also like to thank my family and my friends for their support and help for making
this project a success.
AVINASH DUBEY
4
ABSTRACT
The world is getting advanced day by day and people are growing within the scope of this
aroma. Now a days, people are getting more conscious about their health. They are
getting attracted towards sports and sports gear.
The history of sport probably extends as far back as the existence of people as purposive
beings. Sport has been a useful way for people to increase their mastery of nature and the
environment.The entertainment aspect of sports, together with the spread of mass media
and increased leisure time, has led to professionalism in sports.The entertainment aspect
also means that sportsmen and women are often elevated to celebrity status.which
ultimately led to professionalism in sportswear, equipments,accessories.
Nike is one of the leading producer of a wide array of sports gears. Nike Corporation
(pronounced 'nye-kee') derives its name from Nike, the Greek goddess of victory. It is a
leading American dealer of athletic apparels, shoes, and sports gear. Nike markets and
sells its products under its own brand name ie Nike as well as Nike Pro, Nike Golf, Team
Starter, Air Jordan, and other subsidiaries that include Bauer, Converse, Hurley
International and Cole Haan. Nike remains the undisputed largest and most popular
sportswear supplier of the world.
From the survey conducted, I can conclude that most of the people use and
prefer Nike sportsgear because of its quality and durability but they are not satisfied by
the variety of the products. So, variety of Nike products should be increased. Also,Nike
has very well established itself as a distinct sports brand, since according to the survey
conducted it was observed that people mostly relate to Nike through various sports teams
and sports person endorsed by it.
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INDEX
2 THEORETICAL BACKGROUND OF 7
THE TOPIC
5 PROJECT DESIGN 38
6
Theoretical Background of
the Topic
7
RESEARCH
MEANING OF RESEARCH: -
Definition of Research:-
According to Clifford Woody, the research is defined as “the process which includes
defining and re-defining problems, formulating hypothesis or suggested solutions;
collecting, organizing and evaluating data; making deductions and reaching conclusions
and, at last, carefully testing the conclusions to determine whether they fit the
formulating hypothesis.”
8
According to Clover and Balsely, the research is defined as “the process of
systematically obtaining accurate answers to significant and pertinent questions by the
use of the scientific method gathering and interpreting information.”
IMPORTANCE OF RESEARCH
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6) Proposition or practice which has been found inadequate for an existing theory is
a substitute for promoting or propounding.
Research is important for a basic knowledge of the theory of discipline and the
methods of applying the theory for finding solution to a problem. It is a necessary
equipment on the part of research-worker. Research is to be done on the basis of the
findings of the research-worker’s creative ability. However, there are several
environmental factors which can enhance productivity in his research work. One such
important factor is the facility available to the research-worker to interact to an adequate
extent with relevant information to the subject of his research.
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SAMPLING
Meaning of Sampling: -
The statistical research is of two kinds. One deals with the computing of the
sum of all units and is known as census survey. When a single unit is studied for survey,
it is known as sample survey. In the sample technique, few units are taken to represent
the whole field and the findings of these sample units are applied to the whole field.
Definition of Sampling: -
According to Sir Mildred Parton, “Sampling method is the process or method of drawing
a definite number of individuals, cases or observations from a particular universe,
selecting past of a total group of investigation.”
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SPORTS GEAR
The history of sport probably extends as far back as the existence of people as purposive
beings. Sport has been a useful way for people to increase their mastery of nature and the
environment. The history of sport can teach us a great deal about social changes and
about the nature of sport itself. Sport seems to involve basic human skills being
developed and exercised for their own sake, in parallel with being exercised for their
usefulness. It also shows how society has changed its beliefs and therefore there are
changes in the rules. Of course, as we go further back in history the dwindling evidence
makes the the theories of the origins and purposes of sport difficult to support.
Nonetheless, its importance in human history is undeniable.
The entertainment aspect of sports, together with the spread of mass media and increased
leisure time, has led to professionalism in sports.Thus,many companies and brands
started manufacturing sportsgear which includes sports-shoes,apparels,accessories and
equipments.
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OBJECTIVES OF THE
REPORT
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OBJECTIVES
1) To know the awareness among the people about Nike INC. sportsgear company.
3) To find out what factor induces the people to buy Nike products.
4) To find out the position of Nike Inc.in the market in comparison with other sportsgear
brands.
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Profile of the Organization
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Nike, Inc.
Type Public (NYSE: NKE)
Founded 1972[1]
William J. "Bill" Bowerman
Founder
Philip H. Knight
Headquarters near Beaverton, Oregon, United States
Area served Worldwide
Philip H. Knight
(Chairman)
Key people
Mark Parker
(CEO) & (President)
Sportswear
Industry
Sports Equipment
Athletic shoes
Apparel
Products
Sports equipment
Accessories
Market cap US$ 33.99 Billion (2008)
Revenue ▲ US$ 16.325 Billion (2007)
Operating income ▲ US$ 2.199 Billion (2007)
Net income ▲ US$ 1.491 Billion (2007)
Total assets ▲ US$ 10.688 Billion (2007)
Total equity ▲ US$ 7.025 Billion (2007)
Employees 30,200 (2008)
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Bill Bowerman, founder of NIKE.
Nike, Inc. is a major publicly traded sportswear and equipment supplier based in the
United States. The company is headquartered in the Portland metropolitan area of
Oregon, near Beaverton. It is the world's leading supplier of athletic shoes and apparel
and a major manufacturer of sports equipment with revenue in excess of $16 billion USD
in 2007. As of 2008, it employed over 30,000 people world-wide. Nike and Precision
Castparts are the only Fortune 500 companies headquartered in the state of Oregon.
The company was founded in 1962 as Blue Ribbon Sports by Bill Bowerman and Philip
Knight, and officially became Nike, Inc. in 1978. The company takes its name from Nike
(Greek Νίκη ), the Greek goddess of victory.
Nike markets its products under its own brand as well as Nike Golf, Nike Pro, Nike+, Air
Jordan, Nike Skateboarding, Team Starter, and subsidiaries including Cole Haan, Hurley
International, Umbro and Converse. Nike also owned Bauer Hockey (later renamed Nike
Bauer) between 1995 and 2008.[3] In addition to manufacturing sportswear and
equipment, the company operates retail stores under the Niketown name. Nike sponsors
many high profile athletes and sports teams around the world, with the highly recognized
trademarks of "Just do it" and the Swoosh logo.
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ORIGINS AND HISTORY
Nike, originally known as Blue Ribbon Sports, was founded by University of Oregon
track athlete Philip Knight and his coach Bill Bowerman in January 1962. The company
initially operated as a distributor for Japanese shoe maker Onitsuka Tiger, making most
sales at track meets out of Knight's car.
The company's profits grew quickly, and in 1966, BRS opened its first retail store,
located on Pico Boulevard in Santa Monica, California. By 1971, the relationship
between BRS and Onitsuka Tiger was nearing an end. BRS prepared to launch its own
line of footwear, which would bear the newly designed Swoosh.
The first shoe to carry this design that was sold to the public was a football shoe named
"Nike", which was released in the summer of 1971. In February 1972, BRS introduced its
first line of Nike shoes, with the name Nike derived from the Greek goddess of victory.
In 1978, BRS, Inc. officially renamed itself to Nike, Inc. Beginning with Ilie Nastase, the
first professional athlete to sign with BRS/Nike, the sponsorship of athletes became a key
marketing tool for the rapidly growing company.
The company's first self-designed product was based on Bowerman's "waffle" design.
One day Bowerman randomly put liquid latex into his wife's Waffle maker. The
experiment turned out with a silid piece of latex rubber with a design of a waffle, and a
broken waffle maker. Bowerman showed this product to Knight. Knight thought it was a
good idea because the rubber would help create traction for runners etc.
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By 1980, Nike had reached a 50% market share in the United States athletic shoe market,
and the company went public in December of that year. Its growth was due largely to
'word-of-foot' advertising (to quote a Nike print ad from the late 1970s), rather than
television ads. Nike's first national television commercials ran in October 1982 during the
broadcast of the New York Marathon. The ads were created by Portland-based
advertising agency Wieden+Kennedy, which had formed several months earlier in April
1982.
Together, Nike and Wieden+Kennedy have created many indelible print and television
ads and the agency continues to be Nike's primary today. It was agency co-founder Dan
Wieden who coined the now-famous slogan "Just Do It" for a 1988 Nike ad campaign,
which was chosen by Advertising Age as one of the top five ad slogans of the 20th
Century, and the campaign has been enshrined in the Smithsonian Institution.
Throughout the 1980s, Nike expanded its product line to include many other sports and
regions throughout the world.
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PRODUCTS
NIKE SHOES
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PRODUCTS
Nike produces a wide range of sports equipment. Their first products were track running
shoes. They currently also make shoes, jerseys, shorts, baselayers etc. for a wide range of
sports including track & field, baseball, ice hockey, tennis, Association football, lacrosse,
basketball and cricket. The most recent additions to their line are the Nike 6.0 and Nike
SB shoes, designed for skateboarding. Nike has recently introduced cricket shoes, called
Air Zoom Yorker, designed to be 30% lighter than their competitors'. In 2008, Nike
introduced the Air Jordan XX3, a high performance basketball shoe designed with the
environment in mind.
Nike sells an assortment of products, including shoes and apparel for sports activities like
association football, basketball, running, combat sports, tennis, American football,
athletics, golf and cross training for men, women, and children. Nike also sells shoes for
outdoor activities such as tennis, golf, skateboarding, association football, baseball,
American football, cycling, volleyball, wrestling, cheerleading, aquatic activities, auto
racing and other athletic and recreational uses. Nike is well known and popular in Youth
culture, Chav Culture and Hip hop culture as they supply urban fashion clothing. Nike
recently teamed up with Apple Inc. to produce the Nike+ product which monitors a
runner's performance via a radio device in the shoe which links to the iPod nano. While
the product generates useful statistics, it has been criticized by researchers who were able
to identify users' RFID devices from 60 feet (18 m) away using small, concealable
intelligence motes in a wireless sensor network.[11][12]
In 2004, they launched the SPARQ Training Program/Division. It is currently the premier
training program in the U.S. In the video game Gran Turismo 4 there is a car by Nike
called the NikeOne 2022, designed by Phil Frank.
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MANUFACTURING
Nike has more than 700 shops around the world and offices located in 45 countries
outside the United States. Most of the factories are located in Asia, including Indonesia,
China, Taiwan, India, Thailand, Vietnam, Pakistan, Philippines,and Malaysia.[15] Nike is
hesitant to disclose information about the contract companies it works with. However,
due to harsh criticism from some organizations like CorpWatch, Nike has disclosed
information about its contract factories in its Corporate Governance Report.
22
MARKETING STRATEGY
SPONSORSHIPS
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Christiano Ronaldo in the Manchester kit sponsered by
Nike
Nike has signed top athletes in many different professional sports to endorsement deals in
order to further promote their products.
Nike's first professional athlete endorser was Romanian tennis player Ilie Năstase, and
the company's first track endorser was distance running legend Steve Prefontaine.
Prefontaine was the prized pupil of the company's co-founder Bill Bowerman while he
coached at the University of Oregon. Today, the Steve Prefontaine Building is named in
his honor at Nike's corporate headquarters.
NIKE BASKETBALL
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GARY PAYTON OFFICIAL NIKE SPONSER
Besides Prefontaine, Nike has sponsored many other successful track & field athletes
over the years such as Carl Lewis, Jackie Joyner-Kersee and Sebastian Coe. However, it
was the signing of basketball player Michael Jordan in 1984, with his subsequent
promotion of Nike over the course of his storied career with Spike Lee as Mars
Blackmon, that proved to be one of the biggest boosts to Nike's publicity and sales.
NIKE TENNIS
25
MARIA SHARAPOVA THE NUMBER ONE CEDED TENNIS STAR
One of the most lucrative sports for Nike is tennis. During the past 20 years especially,
Nike has been one of the major clothing/footwear sponsors for leading tennis players.
Some of the more successful tennis players currently or formerly sponsored by Nike
include: James Blake, Jim Courier, Roger Federer, Lleyton Hewitt, Andre Agassi, Rafael
Nadal, Pete Sampras, Marion Bartoli, Lindsay Davenport, Daniela Hantuchova, Mary
Pierce, Maria Sharapova, Serena Williams.
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ROGER FEDERER(LEFT) AND RAFEL NADAL(RIGHT) THE 1ST AND
2ND CEDED PLAYERS
One of the most lucrative sports for Nike is tennis. During the past 20 years especially,
Nike has been one of the major clothing/footwear sponsors for leading tennis players.
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THE LEADING TENNIS STARS ALL ENDORSING
NIKE
NIKE CRICKET
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INDIAN CRICKET TEAM IN OFFICIAL KIT SPONSERED BY
NIKE
Nike is also the official kit sponsor for the Indian cricket team for 5 years, from 2006 to
2010. Nike was awarded the contract for US$43 Million.
NIKE FOOTBALL
29
LEADING FOOTBALL CLUB MANCHESTER
UNITED IN TEAM KIT SPONSORED BY NIKE
Nike also sponsors some of the leading clubs in world football, such as Arsenal,
Manchester United, Barcelona, Valencia, Inter Milan and Juventus.
NIKE GOLF
30
THE NUMBER ONE GOLF PLAYER OF THE
WORLD TIGER WOODS SPONSORED BY NIKE
Having diversified into golf, Nike sponsors several of the worlds top players, including
Tiger Woods, Trevor Immelman and Paul Casey. NIKE Golf is passionately dedicated to
honoring and respecting the traditions and heritage of the game, and to providing
committed golfers with the absolute best equipment.
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Featured Award
Nike Named to FORTUNE's 2008 "100 Best Companies To
Work For" List
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Foundation. Read their press release.
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childhood education
NIKE BRANDS
Cole Haan
Cole Haan, headquartered in Yarmouth, Maine, designs and distributes dress and casual
footwear, apparel, and accessories for men and women under the brand names Cole
Haan® and Bragano®. Cole Haan operates more than 100 retail locations throughout the
United States, Canada and Japan
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Hurley International LLC
NIKE Golf
Located at NIKE’s World Headquarters in Beaverton, Oregon, NIKE Golf designs and
markets golf equipment, apparel, balls, footwear, bags and accessories worldwide. NIKE
Golf is passionately dedicated to honoring and respecting the traditions and heritage of
the game, and to providing committed golfers with the absolute best equipment
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Converse Inc.
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SHOP & CUSTOMER SERVICE
INSPIRING ATHLETES AND BUILDING
RELATIONSHIPS
The Nike mission: To bring inspiration and innovation to every athlete* in the
world.The asterisk is a quote from Bill Bonikerman. Who is he? Legendary track & field
coach at the University of Oregon, a teacher who shoniked athletes the secrets of
achievement. Co-founder of Nike.
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PROJECT DESIGN
38
Data Collection method
I have used both the methods; Primary and Secondary methods for the collection of the
data. In primary methods I have obtained Questionnaires from Nike users as well as non
users. And on the other hand I have approached and gathered data from different websites
(internet), brochures and magazines. In the scope of collection and gathering of data, I
have approached different sites in internet and magazines.
According to this method I have collected data from different sources of information,
I accessed internet, which really helped me out to gather a large portion of my data
regarding the Nike Inc. Internet was the main source for me to get secondary data;
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Magazines:
I read different magazines for information about the Nike Inc.,
demand analysis and so more. It helped me to get a general idea
about the marketing and advertisement strategies.
Television:
With the help of TV I got to know about the latest Nike
advertisements and sports persons, teams and events endorsed by
Nike, this in turn helped me to know the efficiency of the
marketing and advertisement approach of Nike Inc.
The sources for data collection will be mentioned in bibliography in the later part of the
research report.
Data Sampling
Data sampling has helped me in generalizing my results to the population. 97% of the
population is user of Nike products. It was very easy for me to approach my
questionnaires to them. The sample size of my research report is 40.
Though the population of Nike users was in large number but I had to complete my
project within the limit and scope of time and expenditure. As sportsgear is used widely
in day to day life by everybody so the feedback could be interpreted into general findings.
It would be time consuming and expensive, if I had selected a huge sample size therefore
I considered the selected sample size for this research report.
40
LIMITATIONS &
SUGGESTIONS OF THE
REPORT
41
LIMITATIONS
2. As the sample size is small, the findings could not be generalized to the whole
population.
4. Questionnaires are filled within a small time span which reduces the quality of the
responses given by the people.
7. Respondents may not take the survey seriously and the questions may not be
answered accordingly.
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SUGGESTION
• I think that we should use nike brands because they are more
attractive in compare to other brands like addidas,puma,reebok.
• Nike products are more popular among the new generation and I think
that nike should give certain discounts.
• Should also provide with better after sale services which is absent
• They should launch some kids ware as there are very few product
available in the stores.
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CONCLUSION
• Nike is the most preferred sports brand amongst other brands such as
Adidas, Puma, Reebok.
• Shoes of Nike are the most popularly known and used product.
• Nike has created a niche for itself in sportswear since various sport
teams, sportspersons etc are endorsed by nike. Tennis stars like roger
federer, maria sharapova are brand ambassadors of nike which shows
that nike is preferred and supported by personalities/celebrities as well.
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BIBLIOGRAPHY
Books:-
2) Prof. Dr. Mahesh A. Kulkarni, Research Methodology and Project Work, Second
Edition,
August 2007
Websites:-
1) http://www.google.com/
2) http://www.nike.com/
3) http://www.ask.com/
4) http://www.wikipedia.org/
5 http://www.answer.com/
6) http://www.nikebiz.com/
7) http://www.nikeid.com/
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