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 TABLE OF CONTENTS

INTRODUCTION: ……………………………………………………............1

QUESTION 01:........................................................................................................1
Question 02:..........................................................................................................4
Question 03:..........................................................................................................6
Conclusion:...........................................................................................................8

REFERENCES: ……………………………………………………………….9

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INTRODUCTION:
Nike was founded in the year 1964. Bill Bowerman is the inventor of the company. Nike one
of the major suppliers of sports shoes. It is also one of the major manufactures of various
equipment. The young enable consumers and athletes are the target customers of Nike. They
offered their customers a huge amount of variety in which they prefer quality and colours for
their customers. They are showing positive trend and impact on their target market. It also
has its stores all around the world.

QUESTION 01:
A. Nike is an innovative company:

Nike is an innovative company because it is the most successful company or organization that
has an innovative culture. One might think that various companies that sell sneakers,
sportswear, and different related product by a good marketing plan. But the multinational
sporting goods manufacturers "Nike" shows that not in this case. Nike is an innovative
company that retained its competitive edge is by instantly adopted new technology and
strategies to innovate new goods for their customers or target market according to their needs.
Nike collaborates with different technological giants. When the new technology continues for
market entrance then Nike finds new ways to adopt these technologies to get benefits. So,
their innovation drives the business results in the fast-paced or innovative business world and
competitive marketing environment. Here are two examples that show that innovation term
for Nike. [ CITATION pro18 \l 2057 ]

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Example:

 In the year 2009, the patents of Nike were doubled that surpassing its competitor
"Adidas. So, by making worth patent innovation.
 Nike also shows collaboration with "Hewlett Packard" in which they test how 3D
printers make good quality shoes for their customers and enhance the concept of
innovation.

B. Role of four business functions of Nike:

Here are the four business functions of Nike company that they performed in the management
term.

1. Planning:

Planning is the process in which Nike define their mission and some important
methods to achieve their goals. Their planning becomes in several ways in which Nike
company and rather other related businesses require some part of planning to increase their
revenue and generate profit at the end of each year. Another section of the Nike company’s
planning is the section in which they formed different policies. The planning of recruitment,
hiring, evaluating, and training all done by under this management function of the company.

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 2. Organizing:

Nike sets its internal structure of the company by organizing function of management.
Nike focuses on division the activities before coordination, and find a way of their tasks will
be performed? The management of Nike is responsible for organizing the annual general
meetings in which all their stakeholders are discussed about future planning.

3. Leading:

Directing people in which they perform their specific duties by influencing behaviour
through different incentives and motivation or satisfaction levels. It is essential to maintain a
healthy and innovative organization culture within Nike. Individuals can forward their
information by discussing them to lead their operations in the company. By the point of view
of Nike, leading is not only the term in which anyone holds power. It is the key to success.

4. Controlling:

Nike's controlling management function is that consider the establishment of

performance standards by the specific goals of the company. If their performance is not
matched with the specific objective of a firm, then Nike tries to rearrange their particular
aspects of work by controlling internal and external factors that are responsible to manage the
company's performance.

QUESTION 02:
A. Level of products:

There are three levels of products that can be identified when Nike can innovate their
"Lebron 17 basketball shoes" the first and most common are the core customer value. Nike
design their product by passing through this level and asked some questions from their
potential customers or target market.

 What is the consumer want to consume or buy?

 What is the core problem of customers?
 What does the buyer seek?

So, Nike identified the core problem by evaluating the accurate need of customers. their core
problem is that they want the high quality of basketball shoes in which they can easily play

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with long term benefits. [ CITATION Max15 \l 2057 ] Nike derives its core problem then design
their product according to customer requirements. The second level of Kotler that Nike drive
is the actual product. Nike achieves some core benefit by fulfilling the actual needs of
customers after evaluating the core problem. Nike developed some components about their
product “Lebron 17 Basketball shoes” in which;

 Features of the product.

 Design of shoes.
 Quality level for their customers.
 Packaging.
 Brand name (Lebron 17 basketball shoes of Nike).

Nike relates all these factors with the core customer's value. The third level of product in
which Nike complete the production of their “Lebron 17 basketball shoes” is augmented
product. In this stage, Nike evaluates the feedback of its product because this level rounds all
other levels of product. At this level, Nike focus on these aspects.

 Warranty of shoes.
 After-sale service.
 Instructions that hoe product is used.

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  Product support for the customers.

B. Targeting strategies of Nike:

Here are four targeting strategies for Nike.

 Selecting potential customers.

 Segmented the market with suitable segmentations.
 Determine the product offered in a particular segment.
 Positioning themselves to fulfil the needs of customers.

QUESTION 03:
A. Marketing segmentation of Nike:

There are four main categories of Nike’s marketing segmentation;

 Demographic (age, gender and race) segmentation.

 Psychographic (personal behaviour) segmentation.
 Geographic (regional) segmentation
 Behavioural (personal influences) segmentation

For demographic segmentation, Nike has included different ages people, gender, and based
on the different targeted financial status of customers. And when they discuss the gender base
then there are three types of categories. Men's product, women's product, and the Kid's
products. Nike also promotes their sales by cutting its price change to reduce the cost.

For geographic segmentation, Nike had their store in the worldwide.it also understands the
culture of different countries and has their different lifestyle habits. Nike manufactured
different products in many counties according to their culture and needs.[ CITATION MBA20 \l
2057 ]

For psychographic segmentation, Nike provides its variety of products that rely on their
interest and meets the performance standards. The mission of Nike company clearly shows
that they are trying to meet the needs of their customers.

For behavioural segmentation, Nike provides options to its customers by their active lifestyle
of footwear and clothing behavioural[ CITATION Sye17 \l 2057 ] part.

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Targeting:

 Nik's target audience is people who use sports stuff for jogging and for those
people who wear clothes for fashion.
 They divide their target market into three different group (Men, Women, and
Kid's products).
 Nike notices the change and produces items that fulfil the customer's needs, for
example, they innovate comfortable footwear and clothes for people.

B. Positioning:

The marketing positioning of Nike company tells that Nike positions itself in the same
market with competitors like Puma. Nike has also made its positioning statement. The reason
is that Nike produces based on the needs and wants of the customer as they research and
improve their product. In society, there are strong positioning in the achievement of quality
sports.

It relates to the marketing mix of Nike company. Because Nike positioned their brand
to develop a high-quality product with the affordable price of various country's customers.
They promote themselves by different mediums (online as well as offline). Nike has many
stores in a different region of worldwide to fulfil the Place concept of the marketing mix.

C. Marketing Mix elements of Nike:

Nike uses a combination of different tactics and strategies for marketing. With the
reference to their 4P's of marketing.

 Product: Nike has a wide range of products to fulfil the needs of customers. There are
three categories in which Nike develop their products.
 Footwear and clothing
 Equipment and accessories of Nike.
 Price: The company use “skimming and competitive pricing strategy” to normally
target the upper or middle class.
 Place: It is an important element for Nike. They perform them all operation of selling
the products in the different stores worldwide and also use the online platform to
direct selling.
 Promotion: Nike uses a proper mix of online and offline medium to promote their
products by creating some world-class advertisement.
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CONCLUSION:
Nike is an innovative company because it is one of the major companies that use
innovative technology by collaborating with the existing technological aspects. The main
product of Nike is "Lebron 17 basketball shoe" that develops after identifying the core
problem of customers. Nike's positioning statement helps them to finds the target market and
fulfil the needs of customers. Their main target audience is those people who regularly
exercise and wearing clothes for fashion. Nike uses a skimming and competitive pricing
strategy and promotes its product on both online and offline channels.

REFERENCES:

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Claessens, M., 2015. THREE LEVELS OF PRODUCT – CORE VALUE, ACTUAL PRODUCT, AUGMENTED
PRODUCT. [Online]
Available at: https://marketing-insider.eu/three-levels-of-product/

MBA Skool Team, 2020. Nike Marketing Mix (4Ps) Strategy. [Online]
Available at: https://www.mbaskool.com/marketing-mix/products/16893-nike.html

Syed Zaid Ali, 2017. Nike's Segmentation Targeting Positioning Marketing Strategy. [Online]
Available at: https://www.slideshare.net/ZaidAli42/nikes-segmentation-targeting-positioning-
marketing-strategy

Team, p., 2018. Enterprise Insights: How Nike Stays Innovative. [Online]
Available at: https://proov.io/blog/enterprise-insights-nike-stays-innovative/#:~:text=In%20addition
%20to%20integrating%20innovative,manufacturing%20and%20supply%20chain
%20process.&text=The%20commitment%20to%20sustainability%20is,the%20products%20Nike
%20is%20releasing.