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NIKE <br>INTRO, SUPPLY CHAIN, MANUFATURE, COST STRUCTURE, MARKET STRUCTURE
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Nikejust do it. Presented bY Ali ul Haq & rutba Ali
introduction • Founded by Bill & Phil knight, originally named Blue Ribbon Sports • Products – shoes, apparel, sports equipment's etc. • HQ – Beaverton, Oregon • Annual Revenue – 37.4 Billion USD • Slogan – “Just do it” • Logo -
Manufacturing process • Mostly their footwear did not manufacture in USA. • Leading Manufacturer of Nike is China and Vietnam each accounting for 36% of the total manufactured worldwide. • They have 600 companies with more then 800000 employees. • Nike follows a vertically integrated model for the manufacture of its footwear.
Nike Supply Chain • Nike uses an effective supply chain management system. • They sell their produce to Retail stores, and their major subsidiaries are: • Converse • Cole Haan holdings • Nike Hockey • Hurley • The supply chain management system of Nike is implemented on i2 software which cost $40 million dollars. • Nike uses SAP, and ERP as an information system to gain control over its production planning.
Cost structure • In past ten years, the COGS(cost of goods sold) of NIKE increased From $16540 - $40035
Market Structure • The Company have Oligopoly market structure. • Nike have many direct & indirect competitors. • There are many footwear company such as: • Adidas • Puma • Armour • They all have separate market share & brand name.
Covid Effect on NIKE • During the Covid period, Footwear face down fall up-to 4%. • Nike shipment fell to more than 50% in Covid.