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Business Strategy and SWOT Analysis of Nike

Executive Summary.

Nike is a Among the leading company on the planet which generally activated in design, development and global market with high quality of equipment, footwear and accessory products. Nike is one the biggest seller of athletic footwear and apparel on the planet. The Nike is got the best position in the market to go with the approach of athletic market. The company is excavate into any niche in relates with sports market as well as technical breakthroughs, retailing, management of sports and sports promotions. Nike is currently going into the particular market of the Pakistan. This is the best time for Nike to introduce its women's footwear, apparel and equipment for the women's of Pakistan because the women's are receiving freedom in Pakistan. Pakistan is already one of the biggest supplier for the Nike's soccer. History of Nike's.

In 1962, two people from the University of Oregon created a undersized company with the name of Blue Ribbon. Within the 1972, the company transformed his name and became into the market with the name of Nike. In today's situation, Nike owns amenities in Oregon, Tennessee, Netherlands and the North Carolina. It also employed in leased services for 15 Nike-towns, more than 80 Nike Factory Stores, 2 NIKE goddess boutiques plus more than 100 sales and administrative offices. There are just about 23, 000 people engaged by the Nike, wide-reaching. The company's first year sales didn't cross $ 10, 000 however, its present revenues exceed well over$10billion.

Nike research lab is frequently pursuing modernization in neuro-scientific sports. The study work in the lab is circulated into three categories including biomechanics, physiology and sensory/perceptual attributes. The researches main purpose is to targets differentiating factors like geography, sexual category, age and level of skill.

Products of Nike can largely be scattered into two categories as footwear and equipment. The footwear has been sub characterized into various product lines including sports culture, running, basketball and soccer. Nike does their business in an exceedingly customer slanting market. Which means that the requirement for the Nike's goods seriously depends on the attractiveness of the different fitness actions. The business adjusts incessantly their product mix in direct to meet demands. It manages its business cautiously, leading in hostile marketing styles and pioneering products.

Nike Mission statement.

"our mission is to bring inspiration and and innovation to every athlete on earth"

"if u have body, u are an athlete"

(My strategic plan, 2008)

Nike as Innovative Company.

According to (S. Parkash Sethi, 2003) Nike is one of the highly enterprunual and innovative company that is running on several ways it took all the relevancy and utilitarian in every purposes its aims to one type fits all Nike gets the hi-tech and high quality footwear and athletic sports equipment for everyone seasons.

Business Plan.

Pakistan is the most passionate country on the globe in conditions of sports. It's the time for Nike to introduce his footwear and apparel for women's because women's of the Pakistan are now participating shoulder to shoulder with men in every fields of life. Most significant challenges confronted ladies in Pakistan in the beginning of 1990s: rousingly practical literacy, attainment usage of service opportunities in any way levels in the economic, promoting revolutionize in the sensitivity of women's roles and status, and getting hold of a public vote both outside and inside of the political process. Kiran khan and Robab Naz are thinking about role module for Pakistani women's. After the getting ranking in international ranking now Pakistani women's cricket is also very popular in the Pakistan.

SWOT analysis.

According to (Bohim, 2008) Examining an organization internal and external environmental is essential along the way of strategic planning the swot analysis which includes the analysis strength, weakness, opportunities and threats investigates both internal and external as well as negative and positive factors of your corporation on the basis of swot analysis a marketing strategy can be deverlped using corporate strengths as well as avoiding corporate weaknesses to enable a business to advantages from future opportunities with regards of future risk.



Brand Name

Dependent on footwear sale.


Don't have Nike's own retailers.

Famous Spokespersons.

Doesn't able to capture the local market like international market.

Gradually growth

Strong Research and development department.



Jumped into recycling.

Currency fluctuation

Sunglasses and jewellery

By the competitors alternative brands

Maintaing e-co friendly envirement

Companies financial status


Market Segmentation.

"Market Segmentation is the procedure of identifying different group of users with in market who could possibly be targeted with a separate products or marketing programs. "(Michael j croft n. d )

Market Size.

"Pakistan with population of over 140 million has a demand of 220 million pairs of shoes annually. "

(Daily times, 2003)

Pakistan have the population of 140 million and the Women's in that are 47. 5% of the total.


Nike's targeted location is the Pakistani market particularly women's markets so they need to design the merchandise in line with the needs and of the Pakistani women's.


Nike's targeted gender are the women's in the Pakistan that are the 47. 5% of the full total population this is the market for the Nike's and the Pakistani women's aren't quite definitely use to of exercise so they need to be very focused.

Age Group.

Nike's targeted customers are from all the group fellows. The products must be varied out of every group the mostly used customers are the teenagers between 13 to 25.


In Pakistan the majority of the Muslims and the other religions like Christians and Hindus are likewise have the customers in Pakistan. Therefore the company needs to be care full the norms and values of the religion.

Buying Power.

The economy of the Pakistan is not strong therefore the company must set their prices at that level where majority of folks are willing to accept that product.


The education level is not fully up to standard but now a day's Pakistan sloly and slowly but surely going on the bitterness' and people can now under to comprehend the importance of health and safety.

Cultural Influence and Business.

"Culture is the part of human action that is socially as opposed to gentacally transmitted. It comprises the theory by which we perceive and interpret the entire world, symbols we use to communicate thsese idieas, and institution which permit individuals to be socialised and fulfill their needs"(David Needle 1994 )

The culture of the Pakistan is very rich and the business needs to go through the culture of Pakistan where women's are not mostly permitted to wear tide dress and so the company needs to understand the professionals and norms of this culture and design the merchandise based on the needs of this culture.

PEST Analysis.

http://www. learnmarketing. net/pestmarketing. jpg

(Source, ; website)

According to (Management Bluffers 2000) Now a day's environmental is changing day by day and its reached there where it wasn't before constantly changing environmentally friendly make mangers job is so tough more recently. That's why the PEST analysis pays to and simple tool for the manager where they can track environmentally friendly changes impacts on the business it offers the social, Political, Economical, and technological. It is difficult for others to resist comparison with (a) an inept user and (b) vermin to be eliminated.


"Countries have both market and non-market environment. The market environment involves the interaction between households( or individuals ) and companies to allocate resources, free from governmental ownership or control. The non-market government agencies and government owned business ). (Johan D, Daniel, lee 1998)

According to the current political situation of the Pakistan is wanting to stable the economy of the country if Nike's introduce new products in to the market the market condition will be more better because the Nike's has the brand name in the footwear industry.


"Economics factors are affect the purchasing power of potential customer and firms cost of capital"(John William, Curtis, 2006)

Nike's must consider the financial factor as a primary role in Pakistan. During the year of 2008 Pak rupee value is decreased and Pakistan is facing the lender crisis as well so company needs to have an extremely strong capital to handle these situation. The business needs to consider the following steps.

Current economic system in the Pakistan.

Exchange rate and stability.

Business cycle.

Economic rate of growth

Rate of unemployment

Rate of Inflation.

Social Factor.

Social factors includes the demography of the people. How the people behave to towards the products and What exactly are the norms and value of respective countries. In Pakistan women's are not allowed to venture out for exercise so company needs to give the awareness and offer the facilities to the women's of Pakistan.

Technological Factor.

According to blab bulb is must be consider

New purchasing mechanism

New production technology

New distribution mechanism

New approach to working

Opportunities for services to sell

The Pakistan is developing country therefore the trend of online shopping is not so much popular in Pakistan still people go to the market for shopping so and distribution method is also same like people wish to by through suppliers chain.


"No firm can exists in vacuum"(Lay son, 1998)

It is very very very important to the company to learn who are their potential opponents and the actual strategies they are using to capture the market as the CEO Philip kotler says a quite that" business is a war without bullets". Nike's main competition are in the Pakistan market are




And local Firms

http://www. psfk. com/wp-content/uploads/HLIC/1ac79b884a0c8da1796d12e024fce542. jpg

Although Nike is one of the biggest company on earth in soccer and footwear with a high brand name but its rival company Addidas giving really very tough amount of time in china addidas dominate china with 60% shares and Nikes is 2% behind the addidas however in Pakistan culture people are mostly brand oriented and Nike has already been working in soccer industry in Pakistan so Nike has competitive advantage that Nike is contributing throughout the market of the Pakistan.

To introduce the new product into the market the business needs to analyse the the porter five forces as well to compete with rivals the business needs to understand and make a good strategy for these forces.

Marketing Mix.

" The set of tools that management can use to influence sales"(Philip Kotler)

Every targeted market needs to be considered a exceptional marketing mix to convince the needs of the beleaguered consumer to achieve the organizations goal the strategy must be accompanied by the each one of the each and every 4p and Because these four ps will be the basics of the strategies that to achieve the firms goals. Nike also must follows this strategy to enter into the Market of Pakistan.


Nike's Product according of Pakistan market is the women's footwear and apparel Nike's must design the product as the demand of the market in Pakistan and needs to retain in mind the cultural barriers that are faced by the women's of Pakistan.


According to(Stafanie Hoffmen 2005) Price is a potential marketing mix since it has the direct effect on the consumer, economy and the company as well. The price is major indicator about the quality of the product. Because of depressed economy and like other developing countries folks of Pakistan buying power is not so strong 98% people are living average level life so Nike's needs to set that price for the merchandise that are acceptable by a lot of the population.

Place or Distribution.

Place or distribution strategies are concern with "making product available when and where customer want them"(Charlas W lamb, 2009 )

In Pakistan the regions of capturing where the more output the business get is the key cities of Pakistan like Karachi, Lahore, Islamabad. They are the key markets for the Nike's to be captured. And needs to be the access able for the clients.


"Promotion or Marketing communication is the element of marketing mix used to inform and persuade the targeted audience to buy or use and organization products promotion is the element in the marketing mix that communicates the key message to targeted audience"(Richard barker, Gorge, nd )

In Pakistan Nike's gets the best chance for promotion to work with the Pakistani women's hero's like Robab and Kiran khan and the Pakistani women's cricket team players to market and products and the brand in the country. The best method of advertising and promotion in Pakistan is electronic media.



In current situation Pakistan market is niche for girls footwear and apparel. According to the research. It is strongly recommended that Nike's requires a very strong and tactical technique for Pakistan because in Pakistan women's are getting rights but still that is clearly a conservative country. Pakistan is an Islamic state where women's aren't permitted to wear tides and bikinis and also in Pakistan only in big cities there are separate exercise clubs for the women's so Nike's must also develop health clubs and have a part in spreading the awareness of medical issues. Pakistan market is good market but more than 80% population is under the poverty level so price needs to consider most in this.

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