Marketing Strategies and Their Impact on Nike's Success

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Desklib provides past papers and solved assignments for students. This report analyzes Nike's marketing strategies.
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The Role of Marketing: Case Study of Nike (Task 1)
Actual Words: 2000
Reference Style: Harvard
Student Name:
Author’s Note:
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Table of Contents
Introduction......................................................................................................................................3
1. Discuss the marketing role in an organisation.............................................................................3
2. Analyze the marketing structure of selected organisation...........................................................4
3. An overview of the marketing procedure....................................................................................6
4. Influences of marketing role and interconnects other departments.............................................7
Conclusion.......................................................................................................................................8
References........................................................................................................................................9
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TASK 1
Introduction
In this report, I have selected Nike as multinational company. The report will discuss how Nike
utilizes the marketing strategy to attain the entire business objectives. Nike is the leading
international producer and wholesaler of apparel, equipment as well as sport shoes. This position
in market is partly an outcome of efficient and effective operations management. To make their
achievement work, Nike’s managers should constantly examine as well as develop the strategies
that are utilized within their strategic decision regions of operations management (Nike, 2019).
These regions are relevant towards major decisions in managing smooth decisions and
productivity, which efficiently will address the business objectives and goals.
1. Discuss the marketing role in an organisation
Marketing is an important method towards the success of Nike’s business. Marketing strategy
engages packaging, researching and presenting the products and services towards the consumers.
As opined by Zhou et al. (2012), good marketing movements support to drive the process of
selling and better inform the consumer about the business policy. Here, we will discuss the
functions of marketing with Nike’s team members to recognize their role in selling the products
and services.
Design of goods and services- Their main function of marketing is to design best products for the
consumers and provide best services. To deliver the best products, their management deals with
design of Nike’s athletic products and other footwear’s. According to Erdoğmuş and Cicek
(2012), the main objective of operational management is to make sure that all the product
designs are aligned with directorial abilities and production aims. In this area, Nike mainly aims
on the designed basis for their higher technology and recent marketplace preferences.
Quality Management- Nike’s management highlights on their products quality to attain the
organisation objectives and aims (Nike, 2019). In this marketing area, the main objective is on
the way to assure the prospects of consumers about the quality of manufactured product. On the
other hand, management of this company must be addressed that concern through deliver high
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quality standards in their products. Their management mainly follows total quality management
(TQM) with the manufacture of sport utensils, apparel and shoes.
Capacity and procedure strategy- In this marketing region, Nike’s management would prioritize
streamlining the products and affectivity in production. The focus is to make sure that effective,
efficient and adequate production must be delivered in the manufactured products (Calo-
Fernández and Martínez-Hurtado, 2012). In case of Nike, operational leaders apply constant
development strategies towards help the organisation to attain the manufacture objectives and
requirement base on the market dynamics.
Position– In case of Nike, location is the major apprehension in their marketing region. Their
management is to focus on the product efficiency and optimize prices in their suppliers, workers
and the objective marketplace. On the other hand, the leaders integrate a commercial strategy,
which selects the facility in production location. These production locations are developed based
on process and proximity towards the main important markets. For instance, the company has
dealers in sport shoes within the region of South Asia, as it is the cost advantage region (Nike,
2019).
Strategy and designing - Nike’s marketing administration contracts with beautiful design with
own amenities. As discussed by Kumar et al. (2012), their leaders are to be relevant with the
commercial strategy and design to attain the company-oriented amenities only. For instance,
company utilizes office layout design where the employee may move simply. The factories,
which manufacture athletic apparel, shoes and equipments, are not under control of Nike in terms
of layout strategy and design.
2. Analyze the marketing structure of selected organisation
Nike’s directorial configuration mainly imitates on the capabilities and production in its
operations. An organisation’s arrangement is the work of art and structure design is applied to
interconnect between groups, employees and the business divisions. In case of Nike, the
marketing structure emphasizes on the requirements to address the differences between regional
markets (Figurska and Matuska, 2013). These types of differences are connected to particular
demands of focus consumers. However, Nike has built its marketing structure to allow several
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adjustments in dealing with the marketing differences. The following characteristics are notable
in marketing structure of Nike:
Global corporate leadership – Nike’s marketing structure has international corporate leadership
that engages the corporate leaders. As discussed by Nobre and Silva (2014), the managers have
workplaces within organisation’s headquarters in the region of UK and USA. They determine to
develop international marketing configuration for Nike. However, international marketing team
delivers athletic shoes to attract the sports-oriented people around the world. By utilizing
marketing structure, decisions are simply applied throughout the organisation.
Semi-autonomous geographic divisions- Geographical divisions are the main marketing structure
of Nike. The organisation’s operations are separated into several segments based on regional
markets (Nike, 2019). Every regional manager optimizes their operations within the regional
apparel, equipments and sport shoes. Nike’s marketing configuration has subsequent provincial
divisions such as UK, Japan, China and North America.
International divisions for brand licensing and converse - Nike’s marketing structure has two
international separations: brand licensing and converse brand. Individual international brand is
mainly accountable for running the global processes of converse that is deal with subsidiary and
sport shoes of Nike. While one more international division is accountable for permitting the
brand image of Nike (Nojavan and Zare, 2013). This character of marketing structure provides
control for the converse operations and brand licensing.
Two different marketing roles
Phil knight’s impact on the marketing strategy
In Nike’s marketing structure, Phil Knight has played an important role to motivate their
employees and all over productivity. In his leadership, the company is always focused to deliver
the best products towards their existing consumers. While the external brand consumers favor
reflect the interior culture felt by workers, brand image becomes a main source of competitive
advantage. In case of Nike, they are an organisation that is built on innovation and being the best.
Knight has put new process for motivating the employees and they must do their best in
company’s production (Nike, 2019). Knight has also followed the distribution strategy. The
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marketing strategy of Nike has embraced by several organisations, which may either give them a
market frame or establish them protect the market frontrunner.
The marketing department of Nike is mainly responsible for promoting the ideas, mission and
products of the firm, finding new consumers and reminding new consumers that you are in the
business. It arranges all types of activities that they are within the business (Borland and
Lindgreen, 2013). This may comprises of a particular person or a group of people performing
within a hierarchal system who mainly responsible for bringing the item to get the main attention
of their consumers.
Chief Marketing officer- This is the main person who is the top of pyramid and is in charge of
marketing department. In case of Nike, CMO’s main responsibility is to take the important
decision to develop the marketing strategy and running the marketing department (Nike, 2019).
He/she is also answerable to the Board of director about the outcomes of marketing strategies. In
this position, he/she is responsible for all the marketing strategies, which are implemented and
developed. With his/her tasks, he supports the VP and MD of the organisation.
Marketing manager- Marketing manager performs under vice president in marketing and
supports him/her with the integration of all types of marketing strategies (Baltes, 2015). In case
of Nike, marketing mangers is also accountable for managing other employees of the division.
Besides, there may be one or different marketing leaders depending on the requirements and size
of the business.
3. An overview of the marketing procedure
Marketing is usually distinct as the communal method in which several groups and individuals
obtain what they require by exchanging and developing services and foodstuffs with others. This
procedure engages assessment, implementation, planning and programs administration, which
are made keenly towards to make easy for relocating the values with consumers to attain the
business objectives. In Nike, the skills in marketing are the main evident for acknowledging
authority of its brand and logo (Nike, 2019). Nike has modified marketing strategy through their
activity of improving better items. Marketing’s process and concept have been focused on its
relationship with few well-liked names within the generous sector.
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As cited by Nobre and Silva (2014), organisation understands that successful as well as effective
advertising is the most prominent factor to develop the whole process of marketing. It is usually
delivered the best products and services to attract new and accessible consumers. However,
primary achievement of organisation advertising initiatives and strategies was carried by
technical suppliers to deliver the running basketball shoes. These types of proposals will be
applying on well-known athletes who are generally distress with their insufficient equipments.
Thus, implementing of those items has allowed Nike toward turn out to be a foremost company
within the production through their innovation and item improvement (Baker, 2014). In
connection with the marketing process, they are not gives athletic equipments and shoes but
market a sports culture in way of life. The organisation occurs with more cares about the
consumers as they care of full bodies because it would not encourage sales but promote sport
shoes for beneficial of every people strategies (Baltes, 2015). Besides, major components in the
marketing process are target on manufactured goods innovation and development, making new
items.
Importance of marketing environment-
Each business, it is important to develop the best marketing surroundings to attain the
organisation aim (Rogers 2016). It is the future existence of an organization where profits and
positioning depend on its external and internal surroundings. The business environment is the
most dynamic features of any company. To operate and remain in the market for long, Nike has
recognized and analyzed the marketing surroundings to get the leading position in market. The
main advantageous for Nike is to go through a new-fangled market. Recently, Nike is targeting
more youth generation and women (Thompson et al., 2014). Nike is acquired converse towards
increasing demand from generation Y for classical and retro footwear. Their management has
started aggressive marketing in the direction of women consumers by making Nike Goddess
stored and generating yoga shoes for women in an attempt to appeal health conscious women
strategies (Baltes, 2015). In recent time, people are more conscious about brand. This provides
Nike benefits over their competitors as its logo and name is recognized globally.
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4. Influences of marketing role and interconnects other departments
Marketing is planned regulations that underpin a good number activity of any industry. This is
an important component of commercial policy as communicate within the commercial diagram
(Lovelock and Patterson, 2015). In Nike, their marketing department would require to perform
closely with production department to make sure that:
Adequate development and research is intended to satisfy recent and future consumer
requirements.
The product may be produced to the design and quality specification laid down by
different consumer’s strategies (Baltes, 2015).
The orders are generated for marketing that may meet for delivering the products.
Marketing division would put the deadline, which can make bigger the abilities of manufacture
section (Kotler et al., 2015). Marketers will wish to obtain items from the markets as probable to
make sure the spirited advantage must be obtained. In Finance departments, the advertising
division would require in the direction of perform intimately with economics section to make
sure that there must be a sufficient financial plan to convene the requirements for endorsement,
distribution as well as research. However, the economics departments have an entire company
succinct to make sure that every industrial control the monetary abilities strategies (Baltes,
2015). Their management will desire to met every departments towards perform their owed
budget. On the other hand, advertising section is probable towards focus on sales quantity as well
as structure of marketing share.
Conclusion
This report productively portrays main function of marketing as well as relationship of other
organisation roles. From this report, it will be stated that marketing is the main application within
the selected organisation i.e. Nike. The company has recognized the importance of consumer
relationships and they are trying to obtain an innovative approach in the direction of marketing
strategy in their business. The report aims on the role of marketing strategy with the marketing
functions and their connections with other departments of that company.
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References
Baker, M.J., 2014. Marketing strategy and management. Macmillan International Higher
Education.
Baltes, L.P., 2015. Content marketing-the fundamental tool of digital marketing. Bulletin of the
Transilvania University of Brasov. Economic Sciences. Series V, 8(2), p.111.
Borland, H. and Lindgreen, A., 2013. Sustainability, epistemology, ecocentric business, and
marketing strategy: Ideology, reality, and vision. Journal of Business Ethics, 117(1), pp.173-187.
Calo-Fernández, B. and Martínez-Hurtado, J., 2012. Biosimilars: company strategies to capture
value from the biologics market. Pharmaceuticals, 5(12), pp.1393-1408.
Erdoğmuş, İ.E. and Cicek, M., 2012. The impact of social media marketing on brand
loyalty. Procedia-Social and Behavioral Sciences, 58, pp.1353-1360.
Figurska, I. and Matuska, E., 2013. EMPLOYER BRANDING AS A HUMAN RESOURCES
MANAGEMENT STRATEGY. Human Resources Management & Ergonomics, 7(2).
Kotler, P., Burton, S., Deans, K., Brown, L. and Armstrong, G., 2015. Marketing. Pearson
Higher Education AU.
Kumar, V., Rahman, Z., Kazmi, A.A. and Goyal, P., 2012. Evolution of sustainability as
marketing strategy: Beginning of new era. Procedia-Social and Behavioral Sciences, 37, pp.482-
489.
Lovelock, C. and Patterson, P., 2015. Services marketing. Pearson Australia.
Nike, (2019). [online] Available at: https://www.nike.com/ [Accessed 21 Feb. 2019].
Nobre, H. and Silva, D., 2014. Social network marketing strategy and SME strategy
benefits. Journal of Transnational Management, 19(2), pp.138-151.
Nobre, H. and Silva, D., 2014. Social network marketing strategy and SME strategy
benefits. Journal of Transnational Management, 19(2), pp.138-151.
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Nojavan, S. and Zare, K., 2013. Risk-based optimal bidding strategy of generation company in
day-ahead electricity market using information gap decision theory. International Journal of
Electrical Power & Energy Systems, 48, pp.83-92.
Rogers, D., 2016. The big four British banks: Organisation, strategy and the future. Springer.
Thompson, A.J., Martin, A.J., Gee, S. and Eagleman, A.N., 2014. Examining the Development
of a Social Media Strategy for a National Sport Organisation. Journal of Applied Sport
Management, 6(2).
Zhou, L., Wu, A. and Barnes, B.R., 2012. The effects of early internationalization on
performance outcomes in young international ventures: the mediating role of marketing
capabilities. Journal of International Marketing, 20(4), pp.25-45.
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