Are you looking for a new business with Nike Company? Initially, do you want to analyze Nike Company? Then you are at the right place here. In this post, I want to describe the Swot Analysis of Nike 2021 with all information regarding the Nike Swot Analysis.
Here, you will get all the details about the SWOT Analysis of Nike. Before reaching the SWOT Analysis Nike, I want to lead towards information about the Nike Company.
Nike Company Overview:
Nike Inc. is the largest American brand of sports shoes, apparel, equipment, accessories, and services in the world with a global footprint. Nike’s popular Slogan is “Just Do It”.
|Formerly||Blue Ribbon Sports, Inc. (1964–1971)|
|Founded||January 25, 1964|
|Headquarters||Beaverton, Oregon, U.S.|
|Revenue||US$37.4 billion (2020)|
|US$2.54 billion (2020)|
|Total equity||US$8.06 billion (2020)|
Number of employees
Swot Analysis of Nike 2021
In this article, we’ll be conducting a SWOT analysis of Nike, where we look at the Strengths, Weaknesses, Opportunities, and Threats influencing their business.
The Strengths and Weaknesses are the internal factors of the company, where the Opportunities and Threats are external factors of Nike Company.
Below, I am presenting all details about the SWOT Analysis Nike 2021.
Nike Strengths 2021
- Nike is the number one global Sports Shoemaker brand in the world. Its famous ‘Swoosh’ is immediately recognizable, and Phil Knight (Founder and CEO) even has it tattooed on his ankle.
- It has launched many other products in collaboration with companies e.g. launched music player, Nike watches, etc.
- The company’s huge global production and distribution chain is a strength that enables the business to support global market dominance.
- It is an extremely competitive brand just as it is highly customer-centric. Its market-leading position is a result of its consistent focus on product design, quality, and changing consumer preferences.
- As many of Nike’s products are manufactured in developing South-East Asian countries so Nike has extremely low labor costs and it’s using inexpensive materials, due to the manufacturing price is extremely low.
- Nike has several star celebrity brand ambassadors from various sports like football, golf, cricket, NBA, etc.
- Effective business relationship-building is done by the company globally which has to help its brand equity. Its revenue in 2020 is $37.4 billion with a net income of $2.54 billion.
Nike Weaknesses 2021
- In 2018, 42% of income is growing from the US market only the rest is apart from the US. The situation leads to an over-dependency on the US market.
- The labor opposition situation can ruin the brand image of Nike. To maintain this they have to overlook the conditions of their manufacturing units.
- Constant competition means limited market share growth for the company.
- The company suffers from limited presence in developing markets, partly because of issues with pricing, imitation, and patent protection.
Nike Opportunities 2021
- By growing its direct-to-customer sales channels’ penetration, the company will be able to offer a better customer experience and win higher customer loyalty.
- Improve brand visibility by opening sports academies across the world for nurturing talent.
- There is also the opportunity to develop high-value products such as sportswear, sunglasses, and jewelry to get high profits.
- Nike has a whole new opportunity to make 100% recyclable products because there is an increased demand for eco-friendly products in the market.
- They can sell their product in the high volume markets like India and China, where they can work on low-profit margins with high sales.
- Technological innovation can also help Nike find faster growth and expand its market share
Nike Threats 2021
- The footwear market is so competitive, Nike faces tough competition, considering other major players like Adidas, PUMA, and Reebok.
- Nike is serving in the international market, that’s why its trading currencies depend on the different countries, due to its cost and margins are not stable.
- Other brands are adopting new techniques and innovations, due to this Nike needs to up-to-date.
- Due to the Covid-19 pandemic, a lot of sports and outdoor activities were affected leading to an impact on sales of footwear and apparel.
Thank you for pursuing my post. In this poll, I have delivered about the Swot Analysis Nike 2021, which will surely help you while you are going to start up your new adventure.
By this, you can check out Nike’s strengths, weaknesses, opportunities, and threats before inaugurating new business with Nike company.
All the best for your new venture…