A

PROJECT REPORT

on

‘ A Comparative Analysis Between NIKE and ADIDAS

Submitted in partial fulfillment of the requirement

For the award of the degree of

BACHELOR OF BUSINESS ADMINISTRATION

Department of Business administration
(SESSION 2018-2019)

Submitted to Submitted by

Dr.Mamta Shukla Harshit Pandey

ROLL NO: 0101756

BBA III rd year

Batch : BBA 2016-2019

Maharana Pratap College of Professional Studies , Kanpur

Affiliated to C.S.J.M. University , kanpur
 STUDENT DECLARATION
I Harshit Pandey student of BBA at “MAHARANA
PRATAP COLLEGE OF PROFESSIONAL
STUDIES”KANPUR oh hereby declare that this
project report titled “ A COMPARATIVE ANALYSIS
BETWEEN NIKE AND ADIDAS” is a record of
original work done by me under the guidance of
MISS.JYOTI SINGH ma’am.
The information and data given in the report is
authentic to the best of my knowledge.

Harshit Pandey
BBA IIIrd YEAR
0101756
 ACKNOWLEDGEMENT
The project report is made possible through the
help &support from everyone, including, parents,
teachers, friends .
I would like to thanks and express by gratitude to
my principal ma’am “DR.MAMTA SHUKLA” ma’am
for encouragement for giving us this research. This
gives us the experience on how to cooperate and
engage ourselves in a serious project.
I would like to express my special thanks of
gratitude to my guidance MISS JYOTI SINGH
ma’am
For their able guidance & support in completing
my project.
 PREFACE
A Professional course in (Bachelor of business
administration) is incomplete unless the
theoretical knowledge acquired in the class room is
backed up by practical exposure, as theories alone
do not give perfection to any discipline. The gap
between theory and practical is bridged by the
summer training, which has been an integral part
of the syllabus.
This present project report is an image of what I
have done and observed during my research
project in NIKE AND ADIDAS
I was assigned a project COMPARATIVE ANALYSIS
BETWEEN NIKE AND ADIDAS
I have tried my level my best to be as a systematic
as possible and to avoid any sort of biases.
 TABLE OF CONTENTS
Sr.No. particulars
1 EXECUTIVE SUMMARY

2 CHAPTER 1

(A) INTRODUCTION
(B) ATHLETIC SHOE INTRODUCTION
(C) INTRODUCTION TO ATHLETIC FOOTWEAR
INDUSTRY
(D) AIMS AND OBJECTIVES OF THE REPORT

3 CHAPTER 2

(A) COMPANY PROFILE AND OVERVIEW :NIKE

(B) COMPANY PROFILE AND OVERVIEW:ADIDAS

4 CHAPTER 3
(A) LITERATURE REVIEW
(B) NIKE VS ADIDAS

5 CHAPTER 4
(A) RESEARCH METHODOLOGY
(B) DATA COLLECTION
6 CHAPTER 5
(A) DATA ANALYSIS AND FINDINGS

7 CHAPTER 6

(A) LIMITATIONS

8 CHAPTER 7

(A) CONCLUSION
(B) QUESTIONNAIRE
9 BIBLOGRAPHY
EXECUTIVE SUMMARY
From the past many decades people are getting
more into sports as a recreation as well as an
entertainment . Hence ,sports material and
equipments the shoes that are used in various
sports are demanded much higher . Nike is the
leader in the athletic shoe industry after which
comes Adidas . So this clearly states that they are
Giants in athletic footwear industry and are highly
competing each other. In this study most of the
factors are covered that affects the competition of
Nike and Adidas. It contains all the details of Nike as
well as Adidas. And there also a survey conducted,
considering various factors of Nike and Adidas.
The purpose of this report is to learn about
strategy and strategic management by comparing
the strategies of two companies from the same
industry. The strategies of Nike and Adidas have
been compared from the footwear industry. Nik
e and accessories and their competition is and
Adidas both specialize in footwear, apparel intense
as Nike is the market leader and Adidas is the
market challenger. The topic in this report cover
critical incidents of both Nike and Adidas that
occurred in the past and the comparison between
both their strategies as well their future plans. This
report shows us the influence the strategy has on
the success or failure of companies and how
companies craft sustainable strategies that help
them to retain their position in the market.

CHAPTER 1
INTRODUCTION: COMPARING
STRATEGY
Nike and Adidas have almost similar strategies but
different implementation methods. Both the
companies concentrate heavily on technology and
strive to produce new and innovative products. Nike
focuses on the American markets whereas Adidas
focuses on the European market. Nike does not
have any production plants as they only design,
distribute and market their products and hence they
outsource to various countries in Asia, mainly
Taiwan and Korea, which outsource their production
to china, Indonesia and Vietnam. Adidas on the
other hand, carry out all their production in
Germany and recently has adopted Nike`s
outsourcing policy by outsourcing to Asian
countries. Nike and Adidas both follows a premium
pricing strategy which according to Kotler , is a
strategy where companies charge a premium price
for their products. Their competition is always
intense and according to Anderson (2010) during
the world cup 2010 Nike launched the popular
“write the future” , three minutes advertisement
featuring world cup stars which was a major jit on
YOUTUBE and Adidas replied with their two minutes
video with celebrities like Snoop dogg and Daft Punk
into a famous scene from the movie Star Wars. Nike
sponsored nine teams whereas Adidas sponsored
12 teams.

ATHLETIC SHOES (INTRODUCTION)

An athletic shoe is a generic name for footwear
designed for sporting and physical activities.
Athletic shoe, depending on the location and
the actual type of footwear, may also be referred to
as trainers(British English), sandshoes, gym boots or
joggers (Australian English) running shoes ,runners
or gutties (Canadian English ,Australian English ,
Hiberno-English) , sneakers , tennis shoes (North
American English, Australian English) , gym shoes
,tennis ,sport shoes, sneaks, or takkies (South
African English) and rubber shoes (Philippine
English) canvers (Nigerian English).

Use in sports-
The term athletic shoes is typically used for running
in a marathon or half marathon, basketball, and
tennis(amongst others) but tends to exclude shoes
for sports played in grass such as association
football and rugby football, which are generally
known as “boots”, or in North American as cleats.
Attributes of an athletic shoe include a flexible sole,
appropriate tread to be function intended and
ability to absorb impact .The shoe themselves are
made of flexible compounds, typically featuring a
sole made of dense rubber. While the original
design was basic, manufacturers have since tailored
athletic shoes for different purpose that they can be
used for.

There are a variety of specialized shoes

designed for specific uses-

1)Racing flats
2)Track shoe
3)Skate shoes
4)Clibing shoe
5)Approach shoe
6)Wrestling shoe
7)Cleats
8)Football boot
9)Dance shoe

THE SNEAKER ERA

 The word sneaker is traditionally defined a
shoe consisting of a solid rubber sole attached
to an upper made, usually, of canvas. While
rubber sold shoes called plimsolls had been in
use for some time for aristocratic lawn sports ,
and king Henry viii was reported to have worn a
sneaker-like shoe for playing tennis ,the true life
of the sneaker did not begin until American
inventor Charles Goodyear patented the process
for vulcanization of rubber. until that time, the
sneaker as we know it now was simply not
possible. The oldest sneakers used for
basketball are thought to be the converse all
stars, first produced in 1917 ,but the spalding
company produced shoes in 1907 specifically for
the game of basketball . still these are not the
oldest sneakers.
 By the early 1900`s , sneakers were being
produced by small rubber companies who
specialized in the production of bicycle tires.
U.S rubber, a conglomerate of nine other
rubber companies, introduced keds in 1916
while converse introduced the first mass
marketed basketball sneaker in 1917 with
their introduction of the converse all stars.

 The revived Olympic games provided exposure

and heightened interest in sneakers and sports
in general, leading to increased sales. It was at
this time that the German sneakers
manufacturer, Adidas would be founded in
Herzogenaurach.

 World war II interrupted production of sneakers

for the public as factories switched to produce
items in support of the massive war efforts and
raw materials became scarce.
THE SNEAKER ERA PART II
 The 1950`s witnessed another increase in the
amount of leisure time available to families. The
baby boom began and sneakers officially
became the choice shoe for American youth as
school dress codes relaxed.
 sneakers were important from Japan in the
early 60`s, but accounted for only a small
portion of the market until Nike founders Phil
Knight and Bill Bowerman began importing Tiger
Shoes under the name Blue Ribbon Sports.
 until this time, manufacturers had been
concerned with high production, but now they
began to focus on marketing shoes for a lifestyle
purpose.

The major footnote in the sneaker era is the signing

of basketball player Michael Jordan to a contract
with Nike to produce and endorse his own signature
line of shoes. Today ,the Nike Swoosh and the
Jordan Jumpman are icons and requires no
introduction.

 SNEAKERS CULTURE
Sneaker collectors, called “sneakheads”, use
sneakers as fashionable items. casual sneakers
(Adidas) have become icons in today`s pop
culture. Artistically-modified sneakers can sell
for upwards of $500.
 SNEAKER TECHNOLOGY
When it comes to sneaker technology, shoes are
divided into three major areas: the upper ,the
midsole and the outsole. Depending on the
materials and combination used, one model of
sneaker can vary greatly from another.
1)THE UPPER- Upper , the top part of the shoe
with the laces, fancy design and bright colors
that holds the shoe together , usually come in
 one of three materials , leather , synthetic and
mesh.
2)THE MIDDLE SOLE-Midsole are used to
cushion and provide support and protection for
the foot. There are four types of materials used
in commercially produced sneakers. Midsole are
often constructed of a combination of materials.
Midsole materials are Phylon , Polyurethane,
Phylite and EVA.
3)THE OUTSOLE-The outsole ,the part of the
shoe that comes in contact with the ground,
provides durability, and it is the first stage of
cushioning for the shoe.

BRANDS
LIST OF ATHLETIC SHOE BRANDS ,LARGE
BRANDS INCLUDE:
 Adidas
 ASICS
 Clae
 Converse
 DC Shoes
 Fila
 Gola
 Heelys
 K-Swiss
 Keds
 Keen
 Lacoste
 Lonsdale
 Mizuno
 New Balance
 Nike
 Pony
 PF Flyers
 Puma
 Reebok
 Saucony
 Sperry Top-Sider
 Starbury
 Supra
 Vans

INTRODUCTION TO ATHLETIC
FOOTWEAR INDUSTRY

MARKET ANALYSIS
The U.S. market for athletic footwear includes all
producers of non-cleated , rubber and plastic
footwear designed in as athletic style of for
athletic use. The industry is a collection of smaller,
segmented, yet often overlapping markets,
defined by both the price and the purpose of the
shoes. For Instance, there are mini markets for
shoes designed for each of many sports and other
purposes: basketball, running, walking, tennis,
and casual wear. The greatest overlap between
these categories is between performance shoes
and casual wear.
The industry is dominated by a few large firms,
while the majority of others players have less than
5% market share .The graph below show the
market share breakdown by sales volume for
2004, before the merger of the 2and3 firms,
Adidas and Reebok.
 These firms fight for market share throug
h non-price competition, on strategies such as s
rengthening br

The united states is the world`s largest importer of

athletic footwear, which is primarily manufactured
in Asian nations. The graph at right shows the trend
in US footwear production and imports. Most firms
design the sneakers and outsource their
manufacturing to foreign producers. The sneakers
are then distributed to major retailers and are sold
to be the consumer through a variety of channel.
It is easy to become the market leader or the
market challenger for organization but
sustainability is the primary concern and hence
organization focus of the sustainability by coming up
with strategies that will make their position
sustainable in the long run.

AIMS AND OBJECTIVES OF THE REPORT

 To learn about strategy and strategic
management of 2 companies of same industry.
 The strategies have been compared on basis of
athletic footwear industry.
 To study the demand of which company
products are more and methods used by them
to attract the market.
 To understandnthe competition between two
Giants in the market.
 To measure the effectiveness of
advertisement/promotional activities for a
competing product class and corporate
advertising.
 To undesrstand the competition between Nike
and Adidas.
 To understand Athletic footwear industry.
 To know how they face their competitor`s
strategies.
 As there is competition, which factor
differentiates them from each other is shown in
the report.
 To learn ,how these companies have dealt with
critical situations they faced in past.
 CHAPTER 2
COMPANY PROFILE AND OVER VIEW
NIKE,JUST DO IT

COMPANY PROFILE:
FOUNDED: 24 JANUARY 1964
FOUNDERS(s): WILLIAM
J.”BILL”BOWERMAN, PHILIP H. KNIGHT
HEADQUARTERS : Beaverton, Oregon,
united states
AREA SERVED: Woldwide
KEY PEOPLE: Philip H. knight(Chairman),
Mark Parker (CEO) &(president)
INDUSTRY: Designing and manufacturing-
sportswear,sports equipment
PRODUCTS: Athletic shoes,Apparel,Sports
equipement,Accessories
REVENUE: US$ 18.627 BILLION(2010)
OPERATING INCOME: US$ 2.199 BILLION
(2009)
NET INCOME: US$ 1.883 BILLION(2009)
TOTAL ASSETS: US$ 12.443 BILLION(2010)
TOTAL EQUITY: US$ 7.825BILLION (2010)
EMPLOYEES: 30,200(2008)

HISTORY OVERVIEW
Nike,orginally known as Blue Ribbon
Sports(BRS),was founded by university track
athlete PHILIP KNIGHTand his coach BILL
BOWERMAN in jan 1964.The company
initially operated as a distributer for
japanese shoe maker ONITSUKA TIGER (now
ASICS), making most sales at track meets
out of knight`s automobile.
According to OTIS DAVIS, a student athlete
whom Bowerman coached at the university
of Oregon ,who later went to win gold
medals at the 1960s summer olympic ,
Bowerman made the first pair of nike shoes
for him, contradicting a claim that they
were made for Phil knight.

In 1964,in its first year in business ,BRS sold

1,300 pairs of japanese running shoes
grossing $8,000.By 1965 the fledging
company had acquired a full-time
employee,and sales had reached $20,000.
In 1966,BRS opened its first retail store,
located at 3107 Pico Boulevard in SANTA
MONICA,CALIFORNIA mext to a beauty
salon, so its employees no longer needed to
sell inventory from the back of their cars.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 SWOOSH newly
designed by CAROLYN DAVIDSON. The
 swoosh was first used by nike on june
18,1971 , and was registered with the U.S
PATENT AND TRADEMARK OFFICE on
january 22 1974. Together,Nike and
Wieden+Kennedy have created many print
and television advertisement, and
Wieden+Kennedy remains Nikes`s primary
ad agency.It was agency co-founder DAN
WIEDEN who coined the now-famous
slogan “ JUST DO IT “ for a 1988 Nike as
compaign ,whichbwas choosen by
advertising age as one of the top five ad
slogan of the 20th centuary and enshrined in
the SMITHSONIAN INSTITUTION.

 THE LOGO- The swoosh lpgo is a graphic design

created by caroline davidson in 1971. It
represents the wing of the greek goddess NIKE
 MARKETING MIX OF NIKE
Nikes`s marketing strategy is an important
component of the company`s success. Nike is
positioned as a premium-brand , selling well
designed and expensive products.Nike lures
customers with a marketing strategy centering on a
brand image which is attained by distinctive logo
and the advertising slogan:
“ JUST DO IT” Nike promotes its products by
sponsorship agreements with celebrity athlets,
professional teams and college athletic teams.
 PRODUCTS
Nike produces a wide range of sports
equipments.Their first products were track
running shoes . They currently also malke shoes,
jerseys , shorts , base layers etc.for a wide range
of sports including trackfield
,baseball,icehockey,tennis, associationfootball,
lacrosse , basketball amd cricket. Nike Air max is
the line of shoes first released by NIKE, Inc. in
1987.The most recent additions to their line are
the Nike 6.0, Nike NYK and Nike SB shoes
,designed for skateboarding. Nike has recently
introduced cricket shoes ,called AIR ZOOM
YORKER ,deigned to be 30% lighter than their
competitors.
 PRICING STRATEGY
 Nike comes under ceiling price.
 The cost of making one pair of shoes.
 Is less than $25.
 But it add more than $15 for.
 Compensating & paying for R&D.
 Advertisement and sales team.
 To add up the total cost for one.
 Pair os shoes will be $80.

STRATEGIES POLICIES
 Accelerating grwoth through focused
 Execution
 Delivering superior,innovative products.
 Supply chain a competitive advantage.
 Deepening relationships with customers.

PROMOTION
Nike positioned its products as high technology
features. Nike athletic shoes were targeted at
men and women aged between 18 and 34 years
Till 1976, except for the routine purchase pf
space in running publications,Nike’s advertising
were largely in the form of cooperative
arrangements with retailers who inserted ads in
local newspaper.

PLACE
NIKETOWN AT OXFORD STREET
,LONDON
Nike sells its product to more than 25,000
retailers in the U.S and in approximately 160
countries in the world .Nike sells its products in
international markets through independent
distributors, licenses, and subsidiaries.

BUSINESS SEGMENTS- NIKE

 1)FOOTWEAR (52% OF REVENUE)- Nike
specialize in athletic footwear, particularly in
running, cross-training, basketball, and soccer,
although Nikes also sells sports –inspired casual
footwear like its Air force ones footwear line.
2)APPAREL(28% OF REVENUE)- Nike sells
sports apparel such as running shorts, t-shirts and
licensed apparel.Apparel sales totaled $5.2 billion in
2008, a 14.4% increase from a year earlier.
3)EQUIPMENT (6% OF REVENUE)-Nike also
sells equipment such as balls ,protective
equipment, and golf club.sales of Nike
branded equipment reached $1.07billion in
2008, a 9.5%increase from 2007.
 4)OTHER (14% OF REVENUE)- Nike also sells
apparel and footwear under the Nike Golf,
Cole Haan, converse,Hurley International and
Umbro brand names.

SWOT ANALYSIS
STRENGTHS
 Strong management team and good corporate
strategy in both North American and overseas
markets.
 First mover advantage in e-commerce.
 Brand recognition and reputation.
 Diversity and variety in products offered in the
web(footwear,apparel,sporting,equipment,etc).
 Strong control over its own distribution channel.
 Strong customer base
 Strong financial position with minimal long term
debts.
 Diversity and variety in products offered in the
web.
 Emerging brand name.

WEAKNESS
The organization does have a diversified range
of sports products.However, the income of the
business is still heavily upon its share of the
footwear market.This may leave it vulnerable if
for any reason its market share erodes.The retail
sector is very price sensitive. Nike does have its
own retailers in Nike town.

OPPORTUNITIES
 Products development offers Nike many
opportunities.The brand is fiercely defended by
its owners whom truly believe that nike is not a
fashion brand.However, like it or not ,consumers
that wearNike products do not always buy it to
participate in sport.Nike is a fashion brand this
creates its own opportunities,since product
could become unfashionable before it wears
out i.e. consumers need to replace shoes.
 The business could also be developed
internatinally,building upon its strong global
brand recognition.

THREATS
 Nike is exposed to the international nature of
trades.
 The market of sports shoes and garments is very
competitive.

VALUE OF HUMAN RESOURCE

POLICIES
HR(Human Resource) can be defined in many
ways but in the context of business,we can say
that HR is the strategic and effective
management of your most profitable
resource:people .A strategy is a careful plan or
method that is put in place to ensure success
and maximum results! To be strategic, your HR
 policy must be aligned with your business
strategy.so you need to understand your
business objectives and consider the impact
that these have on your employees.

The role of HR has traditionally been

supportive,i.e.to carry out payroll and
administration functions and to uphold positive
employee relation,Nowadays,HR personnel
have expanded their role to include:
 Legal compliance-ensuring the business meets
legal requirements e.g.employment law, health
and safety
 Transaction activities- dealing with financial
matters such as pay and benefits
 Transformation activities-introducing changes
that make for a good working culture e.g.
induction , training
 Measurement- putting in place systems that
shows a tangible return on investing in people.
 The role of HR is also to demonstrate to their
business why their employee are the most
profitable resorce they have.for example,
employees:
 Represent your business
 Bring knowledge,skills snd experiences to your
business which are intangible but are also
priceless
 Create customers satisfaction.
BACKGROUND AIMS AND OBJECTIVES
OF NIKE
 Provide and evironment which develop people
to maximize their contribution to nike
 Identify focused consumer segment
opportunities
 Provide quality and innovative services and
products internally and externally
 ADIDAS,IMPOSSIBLE IS NOTHING

COMPANY PROFILE
FOUNDED: 1924(REGISTERED IN 1949)
FOUNDER(S): ADOLF DASSLER
HEADQUARTERS: Herzogenaurach , Germany
KEY PEOPLE: Herbert hainer (CEO), Erich
stamminger(CEO, Adidas Brand),Igor Landau
( chairman of supervisory board) (2009)
INDUSTRY: Designing and manufacturing
PRODUCTS: Footwear, sportswear, sports
equipments, Toiletries
REVENUE: $15.6 BILLION (2010)
OPERATING INCOME: $1.5 BILLION(2010)
PROFIT: $933 MILLION (2010)
EMPLOYEES: 38,980 (2010)

ADIDAS BUSINESS
Adidas Inc. is a marketer of sports apparel and
athletic shoes. The German manufacturer, through
its marketing strategy which rests on a favorable
brand image, has evolved into a large multinational
enterprise. In keeping with the brand image is its
association with the distinctive logo and its
advertising slogan “ IMPOSSIBLE IS NOTHING”. In
order to maintain and sustain this image, the
company makes huge investments in advertising
and brand promotion. At the critical time of global
economic crisis, Adidas will react to the consumers
pessimistic attitude and stressful emotion during
this period.

OVERVIEW
Adidas was formed by German sports apparel by the
founder Adi Dassler during the 1920`s. while Dassler
was in the mother`s washroom he decided to begin
an athletic shoe, After he made the shoe he had
help from his brother and twelve other people to
produce around 50 handmade shoes per year.
These athletic shoes were made for running and
training .”for over 80 years ,Adidas has been part of
the world of sports of every level ,delivering state-
of-the-art sports footwear, apparel and accessories,
Today, Adidas is a global leader not only in the shoe
industry ,but also in the sporting goods industry.
Shoes from the Adidas are available in virtually
every country of the world.”Recently Adidas and the
NBA joined forces and made “The Brotherhood”.
“The brotherhood consists of Tracy McGRady of The
Houston Rockets, Dwyane Wade of the Miami
Heat ,Tim Duncan of the San Antonio Spurs
,Chauncey Billups of the Detroit Pistons and Gilbert
Arenas of the Washington Wizards. When it comes
down to it Adidas and the NBA came up with the
slogan called “Basketball is a Brotherhood”.

HISTORY
Adolf Dassler started to produce his own sports
shoes in his mother’s wash kitchen in
Herzogenaurach , Bavaria, after his return from
world war I. In 1924 ,his brother Rudolf Dassler
(Rudi)joined the business which became Gebruder
Dassler Schuhfabrik and prospered.
At the 1928 olympics,Dassler equipped several
athlets ,laying the foundation for the international
expansion of the company. During the 1936 summer
Olympics on Berlin , Dassler equipped quadruple
gold medal winner Jesse Owens of the U.S with his
shoes. Late in world war II ,the shoe factory shifted
to production of the Panzerschreck anti-tank
weapon . The brothers split up in 1948, with Rudi
forming Puma , and Adi forming Adidas . The
company formally resgistered as adidas AG( with
lower case lattering)on 18 august 1949.
Adidas has always been a company that stands for
revolutionary inventions in the athletic shoe
industry. Adidas reported in 1996 one of the most
successful years in his history after implementing
new sales and marketing strategies. This could only
be topped in 2001 where Adidas-Salomon achieved
record –breaking sales. In April 2006 they signed a
contract to become the official NBA apparel
provider for.

MARKETING MIX
PRODUCT
 ADIDAS: footwear, apparel and hardware such
as bags and balls.
 SALOMON: winter sports incl. skis, snowblades ,
ski boots and bindings,hiking ,apparel
 MAVIC: cycle components
 BONFIRE: snowboard apparel
 ARC’TERYX: outdoor apparel, climbing
equipment
 CLICHÉ: skateboard equipment, footwear and
apparel
 TAYLOR MADE: Adidas golf- golf equipment
,golf apparel, golf shoes and finally
 MAXFLI: Golf balls, irons and accessories
PRICING
Adidas products are generally cheaper than Nike
products, much of pricing can be directly
proportional to the type of technology incorporated
into the shoe.

PROMOTIONS
Adidas use several advertising media to promote
their product in the market place. Different
advertising media use in the market like commercial
advertisement, print media advertisement ,covert
advertisement, infomercials, celebrities
advertisement, online advertisement ,public
transport advertisement, e-mail etc.

PLACE
Shoes from the Adidas are available in virtually
every country of the world. Adidas group generates
revenue by selling its product to retail stores or
directly to the customers via one of the brands
concept stores, factory outlets ,concession corners,
or online stores.

SWOT ANALYSIS
STRENGTHS
 LEGACY & HERITAGE-With decades of
heritage & legacy ,Adidas has travelled a long
way to established itself as a youthful brand
 DIVERSIFIED PORTFOLIO-Company has
multiple product portfolio’s with varied range of
footwear & accessories under brand name
Adidas & Reebok
 DISTRIBUTION NETWORK- by selling it
from online stores to company owned stores to
supermarket stores.
 STRONG FINANCIAL POSITION-with its
2400 store globally accounting $4.3billions, the
company is in strong financial position.

WEAKNESS
 PREMIUM PRICE RANGE-high price
range due to innovative technology &
production methods have made the brand
affordable to limited customers only
  Limited product line-Adidas along with
the recently acquired Reebok brands

OPPORTUNITIES
1)Changing lifestyle
2)Market development
3) Expansion in product line

4)Backward integration

THREATS
1)Competition
2) supplier dominancy
3) Government regulations

H.R PLANNING OF ADIDAS

IN 2010- SHINE, a Human Resource people strategy
 To leverage existing best practices
 To create a single global standard for the field
organization
This ensures a set of broad and deep vertical
retail and commercial skills to develop staff
globally
IN 2011, the implementation and execution of
SHINE throughout our markets has progressed
and we are more than halfway through
completing the global roll out
 Mission- The adidas group strives to be the
global leader in the sporting good industry with
brands built on a passion for sports and a
sporting lifestyle.

THREE – PILLAR HUMAN RESOURCE

STRATEGY
1) CREATING A WORKING ENVIRONMENT
2) PERFORMANCE CULTURE BASED UON
STRONG LEADERSHIP

 PERFORMANCE –DRIVEN REMUNERATIOM

SYSTEM
Global salary management system
Global bonus program
 ADDITIONAL COMPENSATION COMPONENTS
Long-Term Incentive Programs
 3) BEING an “employer of choice”
 Adidas group is one of the leading employers
for school leavers and students/graduates
 Employee referral program increasing
competition in the market

BACKGROUND AIM AND OBJECTIVES

 Factors for success: supply chain management
 cutting edge technology
 To be the global leader in the sporting goods
industry
 Creating shareholder value
 Diverse brand portfolio
 Creating a flexible supply chain
 Leading through innovation
 Multi brand strategy
 Innovating products, services and processes.

CHAPTER 3
LITERATURE REVIEW

1) YEE AND SIDEK (2008)-Investigated

how the respondents are influenced by
factors of brand loyalty towards sportswear
brands. The seven factors of brand loyalty
 are brand name, product quality, price, style
, promotion and service quality and store
environment. Study of more factors that are
appropriate to the Indian environment is
recommended in order to obtain accurate
information.
2) youn, song and maclachlan
(2008)-examined how consumers brand
preferences and price sensitivities evolve as
their level of experience increase in outdoor
sports gear categories.
3) Krishna (2012)- focused on attitudes
and behavior on the concepts of the youth’s
buying behavior towards branded sports
shoes, different consumers have got
different decision making process.
 MARKET STRATEGIES
Nike remains firmly focused on the domestic market
, although it has made inroads into the lucrative
international soccer market fairly recently. The
company is also considered largely responsible for
the frenzy of athlete sponsorship that the industry is
known for today.
Adidas on the other hand has traditionally focused
on the European market, although it is a formidable
name in the rest of the world as well.

SIMILARITIES AND DIFFERENCES

NIKE
 More focused in the local market
 More effective advertising and marketings
 Recently updated the look of its line
 Excellent website support for customs options
 All production is out sourced
ADIDAS
 More focused on the European market
 Specialized in soccer, tennis and athletics
 Recently expanded its product line to include
sports equipment and clothing
 Production is outsourced to Asian countries

CHAPTER 4

RESEARCH METHODOLOGY

Research methodology is a strategy that guides a

research in providing answer to research questions
and for this, research survey is being done. “Accuracy
of the study depends on the systematic applications of
the methods”.
A) METHODOLOGY ADOPTED IN THIS
REPORT
QUESTIONNAIRE DESIGN: The questions
were designed in an easily understandable way
with the help pf our teachers,so that the
respondents may not have any difficulty in
answering them.

RANDOM SAMPLING: Can be defined as a

part of population.Thus random sampling may
be defined as the selection of a portion from
the whole population in which each elements of
the population has an equal chance of being
selected.

SAMPLE SIZE:
The sampling size was restricted to only 50
between age group of 15-35
SAMPLING UNIT: The respondents who were
asked to fill out questionnaire are the sampling units.
These comprises of students, gym trainers, athletes ,
people with specific brands and preference etc.

B) DATA COLLECTION
STRUCTURED QUESTIONNAIRE
In this collection data , structured questionnaire
is used as a tool by asking a set of stanardized
qus.to know the perception of the giants
regarding footwear industry of the masses.

SECONDARY DATA COLLECTION:

VARIOUS WEBSITE & MAGAZINES WERE
CONSULTED TO COLLECT.

QUESTIONNAIRE
1.Which sports brand do you prefer?

This question states demand pattern of

athletic footwear brands
2.which brand is cost-effective or meny
friendly?
This states that what are the consumer
preference and which impact of promotion in
on them

3.which punch line motivates you more ?

It’s simply to know which brand has more
influential punch line.

4.Do you compromise quality of price?

Higher brands have higher quality as well as
higher prices.so common people have
tendency to buy shoes thar are cheaper and
un branded.

5.If you consider quality which brand is better?

Just to compare both the brands on the basis
of their quality and variety they offer.
 INTERPRETATION
Interpretation refers to the task of drawing
inference from the collected facts after an
analytical study;in fact it is a research for
broader meaning of research findings. It is
through interpretation that the researcher can
well understand the abstract principle that
respondents beneath his findings.The
following questionnaire states that majority of
the people prefer Nike in terms of quality and
brand loyalty and prefer Adidas in terms of
cost ans less price.

HYPOTHESIS
On the basis of the review of literature and
understanding of the research problem it was
hypothesized that the consumer perceptions
are influenced by explicit factors like brand ,
quality, price, durability, after sale service ,etc.
 CHAPTER 5
DATA ANALYSIS AND FINDINGS
 Price premium
 Satisfaction/loyalty
 Perceived quality
 Perceived value
 Brand personality
 Brand awareness

Chapter 6
LIMITATIONS

 The collected data are placed into an order

 Percentage of respondents answered similarly are
calculated and placed in a table.then this is
interpreted
 This involved drawing conclusion from the
gathered data
 Due to limited time period and constrained
working hour for most of the respondents
 Preparing the questionnaire was time consuming
as well as forming the sample size.

CONCLUSION
RECOMMENDATION AND
SUGGESTIONS
On the basis of the results of this study it was
concluded that customers prefer wearing sports
shoes on regular basis of various purposes other
than gym.Not only is it used by athlets, but also
teens and mid age group.Adidas and Nike brands
were highly preferred at the cost of indian made
shoes like ASE, action and others. Particulars
brands were preferred because of its perceived
quality and durability by the consumers .It is
noteworthy that many of the respondents provide
importance on the price of sports shoes of their
 preferred brand. Respondents were determined
not to switch over their preferred brand sport
shoes under normal circumstances and they
expect some sort of discounts to be offered.
RECOMMENDATION AND
SUGGESTIONS
 The results of the present study may be helpful to
upcoming sports marketing professionals in order
to enhance their sales.
 The results of the present study shall guide the
sports manufactures and franchise in making their
product better.
 A similar study can be conducted on National and
International level sportspersons.
 The tool used in the study may be made
systematic by using Likert Scale for assessing the
perceptions of the consumers.
 Nikew should lower their prices to reasonable to
meet larger markets of customers.
 BIBLOGRAPHY
 http://www.press.adidas.com/en/
 http://www.nike.com
 http://www.urlwire.com/en/news
 Research methodology books:
Dr.arun kumar
c.r kothari