NIKE WOMEN 5. Nike Women. Indian River State College GEB4930. Dr. Harber 11/09/2010

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1 Nike Women Indian River State College GEB4930 Dr. Harber 11/09/2010

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3 Nike Women In the past, the fitness industry has been primarily dominated by men for men. However with a growing female customer base, Nike realized that this could be an area of major growth for the firm. According to the Stanford Graduate School of Business s article, titled Nike s Global Woman s Fitness; As Nike turned its attention to the female consumer, one of the most compelling statistics dealt with the sheer spending power of women in the US alone, the team calculated that women spent $7 trillion a year (Dr. Frank Harber, 2009) This paper will first review Nike s success in meeting the vision for the women s fitness business, including the descriptors of the target market. Then in detail, it will explain why these descriptors are important and significant. Next it will analyze Nike s management team today in contrast with the team in 2007, deciding whether the team is still meeting the descriptors of the target market today, or has the firm changed their strategy? Finally it will describe Nike s goals globally in 2007 and decide whether they are meeting those goals today. This will also answer if the targeted woman is the same type as she is in other countries around the world? According to Nike s global websites video advertisement, Nike has succeeded in meeting the vision for the women s fitness industry. The woman representing Nike s vision is pictured as a youthful, active, super confident, sexy, adventurous and dynamic individual (Dr. Frank Harber, 2009). These details are significant, as well as important because they represent the woman every woman desires to be. For example, all women want to keep their youthful appearance as long as possible; therefore if a product relays a message of youth, most likely it will be a success

4 amongst woman of all ages and nationalities. Everyone knows sex sells. Images portrayed in these ads, are those that consumers internalize when buying the Nike products they represent. Nike s management team began changing strategy from a product focus to a more consumer driven approach in (Dr. Frank Harber, 2009) Mindy Grossman, Vice President of Apparel was a key player implementing this change. Among her numerous accomplishments, during her tenure at Nike, was the development and growth of Nike s woman s business. (Dr. Frank Harber, 2009) Other key players involved were Emma Minto, Director of Strategic Planning and Darcy Winslow, Global Manager for Women s Footwear. These and many other qualified managers led the marketing campaign that thrust Nike s women s business into global dominance. That dominant position continues today. In 2010 Nike delivers an integrated sales approach for women s footwear, apparel and equipment that has become a sizeable part of Nike s global corporate strategy. (Dr. Frank Harber, 2009) Nike s business units represented the lead dimension of the company s matrixes organization structure along with a handful of global function. Its four geographies regions the United States, Europe, Middle East and African, Asia Pacific and the Americas represented the second dimension. Nike s nine sports categories which included running, basketball, tennis, soccer, and golf made up the third aspect of the matrix. (Dr. Frank Harber, 2009) According to Nikebiz.com the goals for the firm have consistently been met in all four geographical regions. (Nike Inc, ) From 2007 when the women s ad campaign began changing from

5 product focus to consumer driven approach as shown in the graph below. (Dr. Frank Harber, 2009) The targeted sweat beauty that Nike pursued in 2007 has remained the same, just as the goal of portraying a super confident, sexy, young woman is very apparent in the ads online in the US and in other countries around the world. (Dr. Frank Harber, 2009) Chart Below Represents Dollar Amounts in Billions:

6 (Nike Inc, ) (Chart Made in Excel) After many years of marketing dominated by testosterone driven ads representing products made for men, Nike decided that the women s business would be a large area of growth for the firm. Mindy Grossman, Nike s Vice President of Apparel, along with her team of Nike executives, implemented this change by targeting youthful, sexy, super-confident, active, adventurous and dynamic women. (Dr. Frank Harber, 2009) These descriptors were important to the company because they represent the woman who every woman wishes they could be. According to Nike Website; the campaign has been a great success for the company who has since shown 2years of steady growth and global dominance. However, hard economic times have shown a slight decline in revenue & growth in In 2010 the company has seemed to recover showing slight growth and new emerging markets. (Nike Inc, ) The targeted individual represented in Nike s ads has been the same woman all over the world and still is today. (Nike Women, 2010)

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9 References (2007). Nike Inc. Retrieved November 13, 2010, from Nikebiz.com Web site: invest.nike.com/phoenix.zhtml?c=100529&p=irol-newsarticle&id= (2008). Nike Inc. Retrieved November 13, 2010, from Nikebiz.com Web site: pdf (2009). Nike Inc. Retrieved November 13, 2010, from Nikebiz.com Web site: invest.nike.com/phoenix.zhtml?c=100529&p=irol-newsarticle&id= (2010). Nike Inc. Retrieved November 13, 2010, from Nikebiz.com Web site: (2010). Nike women. Retrieved November 13, 2010, from Nike Women Web site: Dr. Frank Harber. (2009). Selected Topics in Management (Harvard Business Publishing, Ed.). Harvard Business Publishing.

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