Serving Customers in Global Markets - Business Model of Nike and Marketing Plan for Pro Hijab

This report discusses Nike's business model for Pro Hijab, which targets Muslim female athletes, and provides recommendations for developing a marketing plan for the UK market. Nike's customer segment model, business innovation model, mixed response model, and new market model are discussed in detail.

SERVING
CUSTOMERS IN
GLOBAL MARKETS
MN5006QA
Contents

TASK...............................................................................................................................................3
Business Model of Nike...............................................................................................................3
Recommendation for developing marketing plan to Nike for Pro Hijab.....................................4
CONCLUSION................................................................................................................................6
REFERENCES................................................................................................................................7

INTRODUCTION
Business innovation is one of the important key factor in defining success of any business
organisation. It is important to bring creativity and innovation to existing products in order to
expand or promote growth to company (Jansen, Steenbakkers and Jägers, 2017). It contributes in
remaining competitive in dynamic market. This report is based on Nike, world’s leading
sportswear company. This report will cover the business models that Nike had opted in
promoting and developing Pro –Hijab. In addition to that, it will also cover recommendation to
Nike in formulating marketing plan for Pro Hijab in UK.
TASK
Business Model of Nike
The core aims for any business organisation if to earn profit along with remain competitive in
market. In case study of Pro Hijab case study. Nike is focusing on providing Hijab to cover
female ahletetes while working out or playing sports. This keeps them attached to their culture
and tradition. As there are many companies that offers Hijab but Nike wanted to serve different
to their female athletes. As Nike did market study and have conversation with different athletes
and coaches in order to better unde4rstand their needs. This strategy makes Nike in uplifting its
brand value in for of pro Hijab. Following are some business models of Nike.
 Customer segment model – This model was effectively help Nike in building brand value
as it targets Muslim female athletes in general and major focus on Middle east athletes. It
had conducted a market research in which it deeply understands the needs of Muslim
female athletes. The main focus of Nike is providing better quality of Hijab to Muslim
athletes. It has opted segmentation strategy in which it can save cost of unnecessary of
targeting non-essential customer.
 Business Innovation Model – This model is opted by Nike in order to create willingness
to buy their Pro Hijab. This business model provides framework which helps in
identifying, advancing and implementing ideas to business in order to make company
more efficient (French, 2017). Nike did a market analysis which helps in better
understanding of their target customers and making a product that fulfils customer’s
expectation. This innovation model helps Nike in becoming more productive and
efficient company.

 Mixed Response Model – By conducing proper research, Nike plans attracted in mixed
response. As Pro Hijab is providing with a better alternative compare to old traditional
cotton Hijab which was not comfortable in playing sports. Its main aim is to provide an
alternative that is comfortable as well as in highlighting religion of Muslim Tradition.
 New market model – As Nike is popular for its sportswear category and it analyse market
and from interpretation, it wants to enter in new segment market Muslim Hijab wear.
Along with profit making, it wanted to render better quality of product to female athlete
in order to increase their potential. The Muslim segment was unattended and Nike had
taken advantage of bringing new Hijab which provides comfortable to female athletes
while playing sports.
This concept of bringing sports Hijab opposed people and some people are ready to
boycott Nike products as they believe that company focus more on profit rather than
needs because of its high pricing. This opposition adversely affects the performance of
company but many female athletes opposed this criticism. They said that proper fitting of
Hijab provides comfortable to athletes.
Recommendation for developing marketing plan to Nike for Pro Hijab
In every country there are many Muslim women athletes who represents their nation.
Marketing plan is the base as it helps in defining success. It is the roadmap or blueprint that
can drive Nike in creating awareness and making Pro Hijab as an essential wear in Muslim
clothing. The marketing plan must be formulated according to culture and demand of UK.
Nike have to analyse all its competitors who are offering similar product and compare their
product with Pro Hijab in order to find uniqueness the marketing plan must pitch Muslim
athlete in any sports stream such as soccer, badminton or in weightlifting. It should include
how their products is different from other company’s Hijab in terms of quality,
manufacturing process and material used along with pricing (Homebuilt and Valek, 2018).
This will create curiosity among Muslim athletes to have a look on their product. Company
can display their Pro Hijab in every outlet along with facilitating home delivery service by
their official website in order to make it convenient for women. In addition to that, company
can also put some discount and other cashback offers to attract and seek potential customers

of UK. The promotion strategy should be opted is digital marketing as it is cost effective
method to reach wider audience. This will benefit both customer and company as customer
can better quality product from a well-known brand and on the other hand, company can be
benefitted by having more customer in a newer segment (Chernev, 2020). It can grab
opportunity in UK market by providing Pro Hijab.

CONCLUSION
From the above project report, it was concluded that there are various business opportunities by
bringing new innovation or entering in new market segment. The strategy that Nike is opted is
well structured as it will help Muslim athletes to wear a premium and comfortable Hijab and
eliminate cotton Hijab. Its main aim is to help Muslim athlete in a different way but have to face
criticism at its earlier stage but many women athletes came into support of Nike and opposed
criticism and that helps company in capturing larger market in Saudi Arabia. As in UK, Nike
have to deeply understand the market along with assessing strengths and weaknesses of its
competitors.

REFERENCES
Books and Journals
Jansen, W., Steenbakkers, W. and Jägers, H., 2017. New business models for the knowledge
economy. Routledge.
French, J., 2017. The importance of segmentation in business expansion.(pp. 25-40). Springer,
Singapore.
Fotiadis, A., Mombeuil, C. and Valek, N.S., 2018. Designing and implementing a marketing
plan. In The Emerald Handbook of Entrepreneurship. Emerald Publishing Limited.
Chernev, A., 2020. The marketing plan handbook. Cerebellum Press.