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Social Organization: case study: Nike

Social Organization: case study: Nike

Nike Presentation Breakdown:
SLIDE 1:
Nike is recognized as one of the largest brands for designing, manufacturing and distributing a variety of
athletic footwear, apparel, equipment and accessories.
*Nike was established on January 25 1964 in Oregon, which is where the current headquarters is located,
*founded by former olympian and track coach Billing Bowerman and and his athlete Phil Knight who
came up with the idea after he was complaining of the clumsiness of athlete shoes and wanted to create
something better. It originated as Blue Ribbon Sports.
*Looking at Nike Now:
there are over 1000 stores worldwide and 297 within the US, with California having the largest number
with 47 stores throughout the state. The largest Nike in the world is located in London as a flagship store
with over 4 floors
SLIDE 2:
*Globalization fits with Nike in many different ways, one of the ideas i want to focus on is marketing and
branding.
* People all over the world know Nike regardless of differences of culture or language barriers, if they see
a swoosh they know the brand.
* They are able to build this recognition through different sources of connections and choice of
marketing, specifically through endorsements of sports and athletes which brings people of different
outlooks to the brand
* For example, Cristiano Ronaldo, worldwide known soccer player has a 1 billion dollar lifetime deal
with Nike called CR7, which draws in fans from around the world, who watch soccer and support him to
the brand bringing in different streams of consumers and expansion of brand recognition.
*They also extended outreach beyond athletes to the fashion world,
collabing with high end brands such as louis vuitton, jacquesmues, dior, COMME des GARÇONS, offwhite.
*Collabing with brands such as these reaches a different group of consumers to Nike, beyond just
athletics, tapping into luxury.
Example 2:
*Going along with the types of clothing that Nike offers, a big aspect of the brand and marketing is that it
accommodates all different types of people.
*For example in their sizing they have big and tall, extended sizing, kids, men and women and even a
maternity line. They also have a line for people who practice the hijab and need modest sports/swimwear
clothing.
*One specific line Nike has is the FLYEASE collection which was derived from a 16 year old boy who
had cerebral palsy and wanted shoes that were easy-entry. These are shoes without laces and are easy to
put on shoes for those with disabilities or need accommodations.
* Nike uses globalization in the aspect of market adaptation and consumer engagement to create a name
for itself.
SLIDE 3:
*Nike has over 83,000 employees and has many different divisions from corporate level to retail within
the company system.
*Focusing in on retail stores management, there is a main manager called a “head coach” and under them
they have assistant managers called “Assistant Coaches” and there is a coach for every department at
Nike, like Visuals, Back House, Consumer Experience, Launches, Marketing and more.
* Each AM had a lead or a specialist that the Sales Associates or “Athletes” report to. There is a teambased organization structure that is used within the company.
*Speaking from my personal experience and being in the fashion industry and modeling for Nike I was
able to see how the company does marketing, e-comm and production looking at the creative team
specalization
* Nike shoots all e-comm out of Los Angeles in the Nike LA Studio and has many different departments
within the building. They have a main floor of production which has a right side of 12 bays that shoot
photos for the website. The left side has big sets that shoot video. There is also an upper level with more
bays and office spaces.
*Focusing in on the creative team specialization there are head managers of production that are not
physically on set but all approvals and final edits go through them. Next is the managers on the set who
everyone working in the bays reports too and leads morning meetings.
*Under them are the creative directors, each assigned to a bay and they have a team of a photographer,
editor, assistant stylist, hair and makeup 2 to 4 models in each bay with a set number of clothes that are
shot.
* There is also a “back office” that helps with pulling pieces and organizing and creating the racks for
production.
*Nike’s creative team showcases specialization allowing for company innovation and efficiency for
production.
SLIDE 4:
*Looking into Nike production and inventories and talking to a friend who was a manager at Nike, it was
noticed that there is overproduction that occurs with “trendy shoes” and causes them to sit on the shelf.
*For example when Jordan 1s were really popular around 2020 there was a high demand causing the price
increase, after the wave of them had passed, Nike still kept producing them as if they were “high demand”
and this causes them to be sitting at shelves, and then later passed down to lower tier stores and lose
value.
*This allows Nike’s many competitors such as adidas, FILA, sketchers and more to grasp consumers
attention with new products that haven’t been seen.
*A solution to this issue is to look at former trends, and relaunch what people are looking forward to
seeing again, look into what was popular and bring it out instead of just producing the same thing over
and over. Relaunching shoes from the 2000’s that people could not get when they were kids, would be
drawn to the brand to have that opportunity to get again versus getting the same pair of dunks that have
been in every store for a few years.

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