What are the pros, cons and risks associated with the Nike’s core marketing strategy?
Nike’s core marketing strategy is tag lined as “Pyramid of Influence”. This marketing strategy helps Nike gain competitive advantage over the competitors. Nike’s core marketing strategy is tag lined as “Pyramid of Influence” Nike heavily depends on the successful athletes for marketing and selling its products. Professional athletes such as Tiger wood, Michael Jordan, Lance Armstrong and many other influential athletes. Nike believes that by teaming up with the influential athletes they can enter into the mind of consumers.
As there are many advantages of enlisting high profile athletes to sell products, there is also negative impact on this. In 1994 Nike teamed up with Brazil national team and gained popularity only because Brazil had won the cup. If Brazil had lost the tournament, the outcome would have been totally different. The action and attitude of Nike’s chosen spokespersons could bring the impacts on its promotional strategies.
For instance, it will attract the fans of a high profile athlete to purchase the products if Nike uses the athlete as endorser. On the other side of the coin, if the athlete were caught in drug addicted or any immoral attitude, it will impact the customers not to buy Nike’s products. As a result, Nike’s sales, revenue and profit will be severely hampered. The risks involved of Nike’s core marketing strategy are not many, but though few, the impact of the risks are costly. One of the risks on its core strategy is to stick to the idea on depending too much on the high profile athletes. This strategy is beneficial but costly. It generated Nike an immense profit. However, consumers are now more conscious and in future they may not be influenced by an athlete. They may prefer to buy products they think is suitable to them. * If you were Adidas, how would you compete with Nike?
In order to be a winner of this competition, I would use co-branding strategy. I will make Adidas and Reebok into one company and easily drive Nike out from the market. Moreover, owing to the acquisition the accumulated wealth will enable me to team up with the high profile athletes to brand my products (Though I will not just focus on one strategy).
* With a portfolio as diverse as Google’s, what are the company’s core brand values? * The article reveals Google’s core values in one sentence in quote “To organize the world information and make it universally accessible and useful”. Since its operation Google has been trying its level best to offer both users and the advertisers the best result in the cyber world. In other words, Google core value is customized result for its users and stakeholders. Google management believes that information should be readily available be shared with all walks of people anytime and anywhere. Google understands its users and constantly trying to provide the best tool to its advertiser’s better tools to target their ads. * What’s next for Google? Is it doing the right thing taking on Microsoft with the concept of cloud computing, and Apple in the fight for smart phones?
Cloud computing is not a recent inclusion in the world of web, nor it is quite old. With cloud computing, several employees of a company can do their tasks in one platform; they do not need separate computer for several tasks now. Microsoft implemented cloud computing in the web world before Google and received accolades for their wonderful services. However, little delay may it be, Google launched Gmail six years ago and it has led to the acceptance of Web-based e-mail even in business environments. Google incorporated Google apps, a suite of Web-based applications including word processing, spreadsheets, calendaring and more.
This effort has targeted Microsoft consumer to switch their mind to Google Aps premier and Gmail. “Going Google” a user can access a lot through the web browser instead of using expensive infrastructure or software. Google did not invest even a dime on the advertisement rather it provided what a customer wants at a cost effective price. As a result, it drew more consumers and gave a tough fight to Microsoft. There is a difference between a smart phone and a normal cell phone. We already know what cell phone is and what it does-receive and send phone calls and messages. Smart phone has more functions than that of normal cell phones.
It can send and receive e-mails, can open word applications and run by operating system. Apple is quite popular in manufacturing i-phone for some time and it is still running. With growing demand for smart phone in the market, Google launched Android, a mobile operating system. Though people still demand Apple, they acknowledge the benefits from Android. In future it is likely that Android beat i-phone as Android is free open sourced development. Besides, Apple’s i-phone is supported only by AT&T while most of the telecommunication companies support Android. As Google’s goal is to reach as many people as they can, it can influence billions of users towards Android. Based on the analysis above, I can say with certainty that Google is doing the right thing taking on Microsoft for cloud computing and Apple for Smart Phones.