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  • Essay / Marketing Strategies Between Adidas and Nike

    Industry Overview Companies in the sports industry face intense competition. Today's businesses and retailers must be both stylish and functional to survive in the face of competition. Within the sports industry, Adidas and Nike are two prominent names worldwide. Adidas and Nike are the most important brands in the minds of customers. Say no to plagiarism. Get a tailor-made essay on “Why Violent Video Games Should Not Be Banned”? Get the original essay Nike tells you to “do it,” while Adidas tells you “impossible is nothing.” One is for swoosh addicts, while the other is for stripe lovers. Nike's product mainly caters to the children's and women's footwear, running, cross-training and basketball industries. On the other hand, Adidas mainly deals with athletics, tennis and football. Comparison of Strategies Adidas and Nike leverage and use the same platform for marketing strategies with different implementation approaches. Both organizations focus greatly on technology and strive to innovate and produce new products. Focus of Strategies Nike focuses on the United States market, while Adidas focuses on the European market. Production Strategies When it comes to production, Nike does not have production factories, as it only promotes, distributes and designs its products, but it outsources its operations to harsh Asian countries, such as Korea and Taiwan, which outsources its production plants to Vietnam, Indonesia and China. On the other hand, Adidas has a production facility in Germany where they have adopted Nike's outsourcing approach by subcontracting to countries in Asia. Marketing StrategiesAdidas and Nike follow a premium pricing strategy which refers to an approach where companies charge higher prices for their products. Nike and Adidas have faced intense competition. For example, during the 2010 World Cup: “Write the Future” campaign was launched by Nike, a 3-minute advert in which celebrities featured, and received a massive response from customers on YouTube. On the other hand, Adidas responded with a 2-minute video featuring stars such as Daft Punk and Snoop Dogg in an important shot from the Star Wars film. There are approximately nine Nike-sponsored teams and twelve Adidas-sponsored teams. In marketing strategies, Nike focuses on the domestic market, while Adidas focuses on the international market. To gain global recognition, Nike focused on football, while Adidas dominates the global market, mainly football which is defined as the "global sport". offers customization to gain a competitive advantage. On the other hand, Adidas tries to reduce costs and production times to be more successful and stay on the market. Nike employs overseas production factories to reduce production costs and Adidas offers low wages to reduce production costs. Nike has improved its electronic sites. with personalized shoe options; while Adidas increases its advertising and marketing budgets. Short videos are advertised on YouTube to attract consumers' attention and promote the technology used in manufacturing. Nike has dominated marketing and advertising strategies in the sportswear industry. However, Adidas has tried to expand its market into sports clothing and equipment. Additionally, like most global brands, Nike also has separate Facebook pages for each.