Background of Addidas

http://www.fragrancex.com/products/_bid_Adidas-am-cid_perfume-am-lid_A__brand_history.html

In 1925, in a small German village, the world got it's first taste of Adidas. It was there, in a village by the name of Herzogenaurach, located 12 miles to the north and the west of Nuremberg, that those simple three stripes were brought to life by adidas' founder, Adolf "Adi" Dassler. Adi created adidas after realizing the need for performance athletic shoes. Adidas began small, producing soccer and running shoes, which ironically enough are still the main products that adidas is known for. Adidas has continued to gain momentum through the years. Many attribute this to adidas' quality, styling and reputation. Adidas is currently the largest supplier of athletic shoes in Europe. Adidas ranks second worldwide, with their products selling in almost 200 countries. In 1994 alone, adidas sales totaled 3 billion dollars. In late 1995, adidas went public with its stock. It was a tremendous success and continues to trade internationally. Adidas posted an amazing 40% increase in net sales in the first half of 1997. The Dassler family has a rich heritage in shoes. Adi's brother, Rudolf went on to create the puma brand in 1948 after a dispute with Adi. And, another Adi Dassler, who just happens to be the grandson of the founder of adidas, has launched his own shoe company, A. D. One. which specializes in adventure and sub-urban footware.

http://malaysia.ahk.de/mitglieder/malaysia-mitgliederliste/a-c/adidas-malaysia-sdn-bhd/

adidas was incorporated in Germany in 1949 by Adolf Dassler in Herzogenaurach, Germany. A name that stands for competence in all sectors of sports around the globe. The permanent passion for innovation, to give athletes the best products to support their ambitions, has turned adidas into a global powerhouse and market leader, making us one of the worlds most widely recognized brand symbols, the three stripes of adidas.

With the incorporation of adidas Malaysia in 1994, and over the years, the adidas brand continued to go through major product introductions, technological advancements and on enhanced brand positioning, making the three stripes brand a credible and premiere sports brand in the world.

adidas Malaysia has its head office in Plaza Damansara and a warehouse in Shah Alam and a staff strength of over 150 employees (including finance, marketing, sales, retail, warehousing, procurement, IT).

The brand attitude of “Impossible Is Nothing” encapsulates the vision and goal of

adidas Malaysia in continuing to capture the essence of being the leader in the sporting goods market in Malaysia.

Background of Nike

http://xroads.virginia.edu/~class/am483_97/projects/hincker/nikhist.html

The Nike athletic machine began as a small distributing outfit located in the trunk of Phil Knight's car. From these rather inauspicious beginnings, Knight's brainchild grew to become the shoe and athletic company that would come to define many aspects of popular culture and myriad varieties of 'cool.'

Nike emanated from two sources: Bill Bowerman's quest for lighter, more durable racing shoes for his Oregon runners, and Knight's search for a way to make a living without having to give up his love of athletics. Bowerman coached track at the University of Oregon where Phil Knight ran in 1959. Bowerman's desire for better quality running shoes clearly influenced Knight in his search for a marketing strategy. Between them, the seed of the most influential sporting company grew.

The story goes like this: while getting his MBA at Stanford in the early '60s, Knight took a class with Frank Shallenberger. The semester-long project was to devise a small business, including a marketing plan. Synthesizing Bowerman's attention to quality running shoes and the burgeoning opinion that high-quality/low cost products could be produced in Japan and shipped to the U.S. for distribution, Knight found his market niche. Shallenberger thought the idea interesting, but certainly no business jackpot. Nothing more became of Knight's project.

Cut to 1963. Phil Knight traveled to Japan on a world-tour, filled with the wanderlust of young men seeking a way to delay the inevitable call of professional life. Seemingly on a whim, Knight scheduled an interview with a Japanese running shoe manufacturer, Tiger--a subsidiary of the Onitsuka Company. Presenting himself as the representative of an American distributor interested in selling Tiger shoes to American runners, Knight told the businessmen of his interest in their product. Blue Ribbon Sports--the name Knight thought of moments after being asked who he represented--was born. The Tiger executives liked what they heard and Knight placed his first order for Tigers soon thereafter.

By 1964, Knight had sold $8,000 worth of Tigers and placed an order for more. Coach Bowerman and Knight worked together, but ended up hiring a full-time salesman, Jeff Johnson. After cresting $1 million in sales and riding the wave of the success, Knight et. al. devised the Nike name and trademark Swoosh in 1971.

By the late '70s, Blue Ribbon Sports officially became Nike and went from $10 million to $270 million in sales. Katz (1994) describes the success via Nike's placement within the matrix of the fitness revolution: 'the idea of exercise and game-playing ceased to be something the average American did for fun,' instead Americans turned to working out as a cultural signifier of status. Clearly, the circumstances

surrounding the shift are not this simple; it is one of the aims of this project to discover other generators of popular attention to health.

If Nike didn't start the fitness revolution, Knight says, "We were at least right there. And we sure rode it for one hell of a ride" (Katz, 66). The 80s and 90s would yield greater and greater profits as Nike began to assume the appearance of athletic juggernaut, rather than the underdog of old. "Advertising Age" named Nike the 1996 Marketer of the Year, citing the "ubiquitous swoosh...was more recognized and coveted by consumers than any other sports brand--arguably any brand" (Jensen, 12/96). That same year Nike's revenues were a staggering $6.74 billion. Expecting $8 billion sales in fiscal 1997, Nike has targeted $12 billion in sales by the year 2000.

http://www.fundinguniverse.com/company-histories/NIKE-Inc-Company-History.html

1962: Philip H. Knight founds Blue Ribbon Sports (BRS) to import Japanese running shoes. 1963: BRS takes its first delivery of 200 shoes from Onitsuka Tiger Co. 1964: BRS becomes partnership between Knight and William Bowerman. 1966: The company's first retail outlet opens. 1968: Company is incorporated; the Bowerman-designed Cortez shoe becomes a big seller. 1971: BRS begins manufacturing its own products overseas, through subcontractors; the Swoosh trademark and the Nike brand are introduced. 1972: At the 1972 U.S. Olympic Trials, the Nike brand is promoted for the first time; company enters its first foreign market, Canada. 1978: Company changes its name to Nike, Inc. 1979: First line of clothing is launched and the Nike Air shoe cushioning device debuts. 1980: Nike goes public. 1981: Nike International, Ltd. is created to spearhead overseas push. 1985: Company signs Michael Jordan to endorse a version of its Air shoe--the 'Air Jordan.' 1988: Cole Haan, maker of casual and dress shoes, is acquired; 'Just Do It' slogan debuts. 1990: First NikeTown retail outlet opens in Portland, Oregon. 1991: Revenues reach $3 billion. 1994: Company acquires Canstar Sports Inc., the leading maker of skates and hockey equipment in the world, later renamed Bauer Nike Hockey Inc. 1995: Company signs golfer Tiger Woods to a 20-year, $40 million endorsement deal. 1996: The Nike equipment division is created. 1999: Company begins selling its products directly to consumers via its web site.

Difference between Nike and Adidas

http://www.golflink.com/list_4573_nike-puma-adidas-soccer-shoes.html

NIKE

As of August 2009, Nike offers about 15 types of soccer shoes, ranging in price from $30-$190. The newest offering is the Nike Total90 Laser II FG LTD Soccer Cleat (retail $190). The soccer shoes come in a variety of colors, designs and sizes, while many also feature Nike's special Nike ID customizable feature. This feature allows online shoppers to select materials and colors, while customizing the fit for their particular shoes. Nike shoes are renowned for their lightweight nature and durability. The shoes come in indoor and outdoor models, though Nike's indoor offerings are somewhat limited.

ADIDAS

Adidas, in comparison, offers approximately 50 models of soccer shoes, including a bevy of indoor and outdoor models. The shoes range in price from $55-$220, with indoor shoes typically retailing for slightly less than their outdoor counterparts. Adidas' many soccer cleats come in a variety of designs, colors, and sizes, though they don't offer the online customizable feature as Nike does. Many Adidas shoes come equipped with PowerPulse, which Adidas touts as aiding in power, swerve and control.

http://www.soc.duke.edu/~s142tm17/compare.htm

Nike adidas-Solomon

Headquarters Beaverton, OR USA Herzogenaurach, Germany

Major Markets

Basketball, Cross-training, Running, Women and Children’s shoes

Soccer, Tennis, Athletics

Key Sponsorships

Michael Jordan; Mia Hamm; Tiger Woods; Brazil Soccer

New York Yankees; University of Tennessee; Kobe Bryant

Strategies � Domestic market focus

� Shifted focus to soccer in order to gain international recognition

� Started athlete sponsorship frenzy

� Has created new look shoes to excite "bored customers"

� Nike Team Sports

� Changes shoe designs frequently to stay ahead of competitors

� Customized products (Nike ID)

� Uses overseas manufacturing factories to cut production costs.

� Perfected its internet site with custom footwear options

� Has lead the industry in advertising and marketing strategies

� European market focus

� Adidas dominates the world market, specifically the soccer market which is considered the "world’s sport."

� Sponsors professional athletes and athletic teams in response to Nike’s marketing technique

� Tries to cut production time and cost in order to be more efficient

� Uses low wage labor to cut production costs

� Has enhanced marketing and advertising budget

� Has recently tried to expand its market to sports equipment and apparel

Outsourcing � Nike is not a production company; almost all shoes are outsourced; the home office in Beaverton designs, develops and markets the goods

� Subcontractors in Taiwan and Korea contract to other Asian countries for production

� Assembly factories in Taiwan, Korea, China, Indonesia and Vietnam produce the shoes.

� Nike’s trading company is the Nissho Iwai Corporation

� Adidas outsourced its production but the design and development process is based in Germany.

� In 1993, Adidas moved its production overseas to Asia in order stay competitive in the industry.

 

 

Fashion show of Nike

Fashion Show of Adidas