Nike Business Presentation Outline

Topic: Nike marketing strategy, social responsibility, and diversity. Specific Purpose: To inform my audience about the marketing strategy, environmental and social commitment and diversity of Nike company Brief: In my presentation, I will be talking about Nike’s marketing strategy and its social responsibility MARKETING A) INTRODUCTION §       Preview – Because Nike’s success largely depends on its shrewd marketing strategy, I will be explaining to you the importance of marketing to Nike and introducing what marketing strategy Nike is currently deploying. B)  BODY 1. Marketing is very important to its viability and profitability a.

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Since Nike is a consumer product company, it must respond to market changes through aggressive marketing. * If fail to anticipate accurately and respond in timely manner to market changes, Nike could experience material adverse effects on sales and profitability. b. Nike must stay domestically and globally competitive to other large companies such as Puma or Addidas. c. As a result, Nike takes marketing issues very seriously. Nike has been increasingly investing into marketing. (Refer to chart) * Nike experienced a substantial increase in marketing investment in the FY of 07-08, largely because of the Olympic Games 2008. Demand creation in FY 2009 is $2,351. 4 mil. , increased 2% in compare with FY 08 2. Nike is successfully deploying the favorable brand image strategy a. Favorable brand image * Associates with a distinctive logo and advertising slogan “Just do it” * Advertise itself as a high quality and expensive product company. * Promotion: Nike contracts with high profile athletes and actively sponsors sport events to promote its brand. For example: * Michael Jordan: in 2007, the Jordan brand, now a separate Nike subsidiary with its own building, grossed about $800 million. Tiger Woods: in 2000, Nike agreed to a multi-year deal with Woods worth a reported $105 million (It can be said that Nike is successfully approaching the market by its shrewd marketing strategy. Now, I’ll be talking about Nike Social responsibility) SOCIAL RESPONSIBILITY INTRODUCTION §       Preview: Nike is a leading socially responsible company. I’ll be exploring Nike’s community investment and environmental commitment. (First, I’ll be talking about community investment) BODY I. Nike has a long history of engagement in communities around the world, investing in their backyards, key markets and manufacturing communities. . In FY07-09, Nike has directly invested in community $168. 8 million - Set the goal of $315 million of contributions for FY11 - Involves contributing expertise and philanthropic activity to the community. 2. To achieve its community investment strategy, Nike has developed 2 core approaches: a. Focus on creating new models to provide young people access to the power of sport (to unleash their confidence, leadership, health, education or employment) - The Nike Foundation (separate nonprofit organization): focuses on developing adolescent girls to bring positive changes into community. They has committed more than $100 mil to benefit adolescent girls. b. Promote philanthropic activities and create financial flows that ensure long-term success - Nike manages a portfolio of investment that have triggered donations from consumers to expand its initial investment. - Notable projects: Livestrong, Human Race, Hurley H20 water initiative… (Not only is Nike socially responsible but also Nike is environmentally responsible)    BODY 1. Highly committed to sustainable development - To help focus effort and resources where company can make the most impact, Nike developed its own North Star to define sustainable development. . To achieve its goal, Nike has broken it into a number of smaller attainable steps: a. Product design: * Internally, Nike mobilizes its human resources to develop closed-loop product. * Externally, Nike actively posts unresolved problems and requests solutions from outside investors, universities and companies. b. Climate and energy: As a co-founding member of Business for Innovative Climate and Energy Policy (BICEP), Nike and its partners have committed to strategic collaboration to push for US energy and legislation and rule making. c. Water: Nike aims to contract with factories where water is abundant enough to support it operations. * Nike also collaborates with factories to improve efficiency of water-utilizing * Nike encourages its suppliers’ adherence to high quality standards for all of their production. (Nike itself is a diverse company) BODY 1. Diversity and inclusion are key to drive creativity and innovation: - Grows their competitive advantage, recruit - In 2006, Nike appointed its first VP of Diversity. - In 2008, Nike formed a global diversity and inclusion team focused on three areas: a. Engaging employees b. Providing business consultation . Developing innovative tools, models and designs 2. Diversity and inclusion statistics a. Gender diversity: * Global work force is half-male, half-female * Overall management is 60% male and 40% female. b. Ethnicity diversity: c. 55% of its work force is Caucasian, 22% is African American, 13% is Hipic, 9% is Asian/Pacific islander and 1% is American Indian. d. Supplier diversity: national and regional partners on its suppliers effort, including the National Minority Supplier development council, the Oregon Association of Minority Entrepreneurs and the Women’s business Enterprise National Council.

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