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    A Public Relations Approach

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    Akshat Chaturvedi
    Nike's mission is to lead in corporate citizenship by caring for their employees, consumers, and those who provide services. They create athletic footwear and apparel through subsidiaries. Their main products began with running shoes in 1963 and now include Air Jordan basketball shoes. Celebrity endorsements promote their products. While very successful, issues around their labor practices have generated criticisms. The document recommends increasing communication about labor improvements and establishing a stronger presence in affordable and women's shoes to improve perceptions and increase US sales.

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    A Public Relations Approach

    Uploaded by

    Akshat Chaturvedi
    133 views33 pages
    Nike's mission is to lead in corporate citizenship by caring for their employees, consumers, and those who provide services. They create athletic footwear and apparel through subsidiaries. Their main products began with running shoes in 1963 and now include Air Jordan basketball shoes. Celebrity endorsements promote their products. While very successful, issues around their labor practices have generated criticisms. The document recommends increasing communication about labor improvements and establishing a stronger presence in affordable and women's shoes to improve perceptions and increase US sales.

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    Nike's mission is to lead in corporate citizenship by caring for their employees, consumers, and those who provide services. They create athletic footwear and apparel through subsidiaries. Their main products began with running shoes in 1963 and now include Air Jordan basketball shoes. Celebrity endorsements promote their products. While very successful, issues around their labor practices have generated criticisms. The document recommends increasing communication about labor improvements and establishing a stronger presence in affordable and women's shoes to improve perceptions and increase US sales.

    Copyright:

    Attribution Non-Commercial (BY-NC)
    Download as PPT, PDF, TXT or read online from Scribd
    Download as ppt, pdf, or txt
    133 views33 pages

    A Public Relations Approach

    Uploaded by

    Akshat Chaturvedi
    Nike's mission is to lead in corporate citizenship by caring for their employees, consumers, and those who provide services. They create athletic footwear and apparel through subsidiaries. Their main products began with running shoes in 1963 and now include Air Jordan basketball shoes. Celebrity endorsements promote their products. While very successful, issues around their labor practices have generated criticisms. The document recommends increasing communication about labor improvements and establishing a stronger presence in affordable and women's shoes to improve perceptions and increase US sales.

    Copyright:

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    Download as ppt, pdf, or txt
    of 33

    NIKE

    A Public Relations Approach

    Robert Albright Jessica Joye Suzanne Little

    Matt Minchew Jason Waller Megan Wilson

    Mission Statement
    To lead in corporate citizenship through proactive programs that reflect caring for the world family of Nike, our teammates, our consumers, and those who provide services for Nike

    What Nike Does


    Create authentic athletic footwear, apparel, equipment and accessories for sports and fitness enthusiasts Through subsidiaries, design and sell a line of mens and womens dress and casual shoes and accessories

    Principle Products
    Began with long distance running shoes in 1963 Past 17 years: Air Jordan basketball shoes Wide range of shoes, apparel and equipment

    Our Heroes
    Michael Jordan Tiger Woods Michael Johnson Mia Hamm Celebrity endorsements lend credibility and notoriety to products

    http://www.nikebiz.com/story/hero_1.shtml

    Financial Indicator
    A growth company that has not grown Impact of specific products (Air Jordan's, teenage market)
    3 Month Stock Performance

    Brand and Logos


    The Swoosh only cost $35 Memorable, simple in form, workable in all sizes, invokes a strong signal

    Nike Dominance
    Comparison of Annual Revenue
    10

    2001 Annual Sales (In Billions)

    9 8 7 6 5 4 3 2 1 0

    Nike

    Fila

    Reebok

    New Balance

    Adidas

    Corporation

    Athletic Shoe Market Share, 2000


    Athletic Shoe Market Share, 2000
    Timberland 2.9% K-Swiss 3.6% New Balance 9.4% Asics 2.1% Saucony 1.4% Nike 39.2%

    Reebok 10.9% Adidas 15.1%

    STRENGTHS
    Strong and meaningful response to labor criticisms High quality products and good overall reputation Phil Knights management and leadership Brand recognition and effective marketing

    WEAKNESSES
    Poor communication of labor practices Insufficient line of affordable shoes Uninformed factory workers

    Nikes Overall Reputation


    Nike's Overall Reputation
    40.00% 35.00% 30.00% 25.00% 20.00% 15.00% 10.00% 5.00% 0.00%

    Well Below Average Above Well No Below Average Average Above Opinion Average Average

    Nike Compared to Competition


    Nike Compared to Competition
    35.00% 30.00% 25.00% 20.00% 15.00% 10.00% 5.00% 0.00%
    Well Below Average Above Well No Below Average Average Above Opinion Average Average

    Fairness of Nikes Labor Practices


    Fairness of Nike's Labor Practices
    35.00% 30.00% 25.00% 20.00% 15.00% 10.00% 5.00% 0.00%
    Well Below Average Above Well No Below Average Average Above Opinion Average Average

    Quality of Nikes Products


    Quality of Nike's Products
    45.00% 40.00% 35.00% 30.00% 25.00% 20.00% 15.00% 10.00% 5.00% 0.00%

    Well Below Average Above Well No Below Average Average Above Opinion Average Average

    OPPORTUNITIES
    Increased sales due to the strengthening economy More positive public perception of Nikes social responsibility Growth through increased presence in low- to mid-priced shoe market

    THREATS
    Increased awareness of human rights Growing competition Competitors attracting female consumers Mounting disapproval of alleged corporatization of college athletics

    Recommended Action
    A Closer Look At Labor Practices And Potential Sales

    OBJECTIVE 1
    To increase positive public perception of Nikes labor practices by 20% by April 16, 2003

    STRATEGY 1-1
    Increase communication of positive steps Nike is taking concerning labor practices Key Publics: Media Consumers (esp.university students)

    TACTICS
    Create fact sheets outlining minimum wage discrepancies among countries Circulate Letters to the Editor highlighting positive aspects of Nikes labor practices Bring a visible Nike representative to college campuses

    TACTICS
    Create focus groups to assess Nikes labor practices Distribute a video news release promoting Nikes efforts in the global community

    STRATEGY 1-2
    Make changes to improve Nikes current labor conditions Key Publics: Foreign government agencies Nike employees Social activist organizations

    TACTICS
    Create an anonymous system to protect whistleblowers Specify and inform employees of their rights and responsibilities under the Nike code of conduct Provide employees with time and money to enroll in Nikes educational programs Ensure surprise visits are a surprise

    EVALUATION
    Repeat surveys at six month intervals to gauge public perception Revisit with focus groups to record their opinions of improvements

    OBJECTIVE 2
    To increase American shoe sales by $100 million by April 16, 2003

    STRATEGY 2-1
    Establish a better presence in the affordable shoe market

    Key Publics: Media Consumers only willing to spend less than $85

    TACTICS
    Develop advertising tactics to promote Nikes Presto line of shoes ($60-$85) Aggressively target budget consumers through sales promotions and discounts on mid-priced shoes Build a stronger relationship with moderately priced retailers through sales associates Increase number of Nike outlet stores offering discounted merchandise

    STRATEGY 2-2
    Establish a competitive presence among female consumers

    Key Publics: Media Female consumers(potential and real)

    TACTICS
    Create advertisements that showcase Nikes female shoes by featuring professional athletes and non-celebrity females who use Nike products Develop a shoe named for a celebrity female athlete, such as Mia Hamm, comparable to Air Jordans Actively pursue more female athletes for endorsements and advertisements by extending competitive contract offers

    EVALUATION
    Measure growth of domestic shoe sales at six month intervals Separately record sales of midpriced shoes and womens shoes

    QUESTIONS?

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