Nike's Business Environment: Organizational Functions and Objectives

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This report provides an analysis of the business environment surrounding Nike, focusing on different types of organizations, including public, private, and voluntary sectors, and their respective purposes. It examines the scope and size of these sectors, using Nike, UK Sports, and Sobell Leisure Centre as examples. The report also explores the relationships between various organizational functions such as production, finance, marketing, HRM, information technology, and sales, and how these functions link to the overall objectives and structure of an organization. It concludes by emphasizing the importance of understanding the business environment for achieving profitability and sustainability, highlighting the use of frameworks and tools for evaluating strengths and weaknesses.
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Business and the
Business Environment
Nike
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Table of Contents
INTRODUCTION...........................................................................................................................3
Types and purpose of different sport organisations...............................................................3
Scope and size of different types business sectors................................................................4
Relationship between different organisational functions.......................................................6
PART 2(Covered in PPT)................................................................................................................7
CONCLUSION................................................................................................................................7
REFERENCES................................................................................................................................8
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INTRODUCTION
Business environment is concerned with all such factors which is impacting the entire
operations of business environment that includes competitors, stakeholders, suppliers,
government, industry trends and so on. There are various types of which that are operating in the
market and they can be profitable and non-profitable depends upon the nature and the type of
business. There is not the stable business environment and the changing business environment
leads to create the risk and opportunities fr the given business. In part-1, various types of
organisation will be discussed with its purpose for various sport company. This report also
analyse the interrelation among the various department of business enterprises which are
operating their business in the given market
PART 1
Types and purpose of different sport organisations
Various business organisation are operating in the sport industry which are illustrated below:
Public sectors- These are the type of business firms which are owned and control by the
government bodies as these are the business which are operating their business in the public
sector. Their main aim is to offer the better services to their citizen with no interest in profits. For
instance, UK sports is the company which is operating in the public sector which are given
below:
Purpose- The main consideration of such business is to make the better use of scare resources
by which they can increase the entire productivity of the business at minimum cost.
Legal construction
Central government- In these type of business, public organisation are totally managed
and controlled by the central government and they are funded through the treasury
collection.
State government- There are few department with in the business who are completely
controlled by the public company and there is not such interference of state government.
Local government- This is the aspects in which the municipal corporation has all the
right to ensures the better serveries and ear more profit for the welfare of the local people.
Private sectors- These are the business which are owned and managed by the owner of the
company itself as there is no such control of government in various business operations. They
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basically work with the sole aim of generating more profitability and growth by which they can
sustain in the market in long run. For example, Admiral sportswear is a private company which
is dealing in sports.
Purpose- The min purpose is to make more money from the available investment and
employees which public sector.
Legal construction
Sole proprietor: This is the type of business which is run by two or more people who
come together in order to share their profit and looses on agreed basis.
Partnership: This is the legal entity in which people own the business and personally
accountable for all their debts.
Voluntary sectors- These are the company that are formed with the sole aim to create the social
impact instead of making profitability. This is also known as the third sector of the company.
These are not the national and local government. For example, Sobell leisure is the voluntary
sport company.
Purpose- The main consideration is to serve the society and provide the lives as they want.
Legal construction
An incorporated Association: Their main consideration is not make money as the small
group of people work and this is easy to establish.
Trust: It is the firm which is formed by the group of people and all the funds is being
funded by the trustees and people.
Scope and size of different types business sectors.
Private company- Nike
Background- The organisation was founded in 1964 by Bill Bowerman. They opened
their first retail in which they provide various products in 1966. After some time they had
launched the brand Nike in 1972. Due to the ethical practices the organisation has seen an
immense growth in the market.
Services – Nike is a brand which design and develops various products. The organisation
has six categories in which there are different products. It includes footwear, Nike
basketball, clothing etc.
Size – Nike has employed various 73,300 workers worldwide. It is a sportswear brand
which is established in United States.
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Stockholders – There are various shareholders of Nike it includes employees, general
public etc. On the other hand, the majority of shares is hold by Phil Knight, Mark Parker,
Vanguard Group Corporation.
Mission- The mission of Nike is to expand the business by doing everything potential.
There are various innovations in which the organisation has been indulged.
Vision – The main Vision of Nike is to place the world where everybody is athlete and
carry on their life with the joy of movement.
Public company- UK sports
Background – It is a government agency which helps in managing the Olympic sport in
the region like UK. It was established in 1996 in the Olympics during a movement which
is called rock bottom.
Services - It is sport agency which invests in the Olympic and Paralympic sport. There
are various world class partnerships which is establish by this organisation to help UK
attain future success.
Size – It is one of the major public company which employed approximately 4345,400
employees in the sports industry of UK.
Stockholders – Most of the shares is hold by the general public in the initial public
offering.
Mission- The overall vision is to work with various partners to make the Olympic and
Paralympic sport most successful in UK.
Vision - The main vision is to become champion by lifting various opportunities in the
sports industry. They can benefit various nations with the services.
Voluntary company- Sobell leisure centre
Background – Sober leisure centre is the heart of London. It is a spots centre which
provides various gym facilitates to the individuals.
Services – It is one of the huge gym which provides various services to the general
public. There are 12 centre all across UK.
Size – There are various employees which are volunteered to wok in this centre.
Stockholders – It is a voluntary organisation there is no established shareholders of the
company.
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Mission – The main mission of the centre is to make various individuals more active
towards the fitness.
Vision – The vision of the centre is to work for the betterment of the society.
Relationship between different organisational functions
When an organisation is operating various business task so it is vital to analyse the
relationship in various functional areas. This is significant to manage appropriate by which an
organisation can reach to their desired results. All department of the business firms are depends
up on another.
Production and finance- the production unit is the area which is concerned for
producing goods and services with the proper availability of raw material, machine,
equipment and so on. They require sufficient budget as well. Thus finance department
ensures the appropriate budget for the production department so that they can combine
offer the better product.
Marketing and HRM- In this, marketing unit concerned for the effective advertising and
promotion of commodities by which they can attract the large group of customer is the
target market. For this, they need the marketer who have the convincing quality. In this
context, HR manager is liable to get the deserving candidate who can advertise their
goods in larger scale.
Information technology and sales- Information technology is the unit which is relate to
the technical task within the company for communicating so they give access to the sales
person by which they can make the strategy in order to set the sales pitch, they use the
innovative technology in order to better serve the market.
Link the organisational functions to the objective and structure of organisation.
Structure of the company are basically depends upon the function of the company as
they main objective is the serve the customer at its best. In context to Nike, they operating their
business in structural business which affects the objective of the company by limiting the
innovation and collaboration in the market. In order to enhance the overall productivity f the
company, they must have the effective management and flow of actions so that each task can be
completed in an appropriate manner. This particular organisation offer the goods with utmost
quality and ensuing the control within the organisation. Nike has maintain their consistency by
offering the sufficient amount of goods and also monitor its performance within the business.
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When the employee is known about its task and role to do then they can effectively achieve the
effectiveness within the organisation. An organisation is ensuring the better functionality in
setting the objectives and structure by which Nike can reach to their desired objectives with the
aim of completing the certain task with responsibility and effectiveness.
PART 2(Covered in PPT)
CONCLUSION
From the above report, it has concluded that business environment is vast factor which
includes various business through which the business can become more profitable in the market.
On the other hand, there will be brief discussion about types and purpose of different
organisation. Along with that, there will be brief discussion about scope and size of different
types of business sector. For further instance, there are various frameworks and tools which can
help the organisation to evaluate various strengths and weakness appropriately. In this report it
has also analysed that there is interrelation of strength and weakness with external factors.
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REFERENCES
Books and Journals
Alazzawi, A.A., 2019. Brand personality dimensions of Nike sportswear-an empirical analysis.
Journal of Business and Retail Management Research, 13(4).
Borts, A.I., 2018. Nike, inc.-athletic footwear and apparrel (Doctoral dissertation).
Childs, M. and Jin, B., 2018. Nike: An innovation journey. In Product innovation in the global
fashion industry (pp. 79-111). Palgrave Pivot, New York.
DOMINGUEZ, L., 2020. Nike vs. Adidas. International Relations Journal 2020, (39), p.37.
Harper, S., 2021. Ethics and Social Responsibility in Business, Communication, and Social
Media. Ethics.
Hoffman, A.N., Gold, N. and Curtin, C., 2019. Nike, Inc.: Late Arrival to the “Athleisure-wear”
Trend. Rotterdam School of Management, Erasmus University.
Hollensen, S., Kotler, P. and Opresnik, M.O., 2022. Metaverse–the new marketing universe.
Journal of Business Strategy.
Jin, W., 2022, January. Nike’s Relation with Non-government-organizations. In 2021
International Conference on Public Art and Human Development (ICPAHD 2021) (pp.
1132-1135). Atlantis Press.
Kapoutsis, I. and Lampaki, A., 2021. Business in the swamp: The power dynamics of corporate
political activity. Organizational Dynamics, p.100838.
Kim, M., 2020. How Phil Knight made Nike a leader in the sport industry: Examining the
success factors. Sport in Society, 23(9), pp.1512-1523.
Liu, X., Ma, L. and Zhou, Y., 2021, September. Supply Chain Management of Nike. In 2021
International Conference on E-Commerce and E-Management (ICECEM) (pp. 437-
441). IEEE.
Morrison, J., 2020. The Global business environment: towards sustainability?. Red Globe Press.
Murfree, J.R., Burpo, B.M. and Hambrick, M.E., 2020. Nike and the Balancing Act Between
Social Justice and Selling Products. SAGE Publications: SAGE Business Cases
Originals.
Padmanabhan, P. and Swain, A.K., 2020. HAS THE OBJECTIVE OF THE CORPORATE
FIRM CHANGED OVER TIME?. Journal of International Business Research, 19(2),
pp.1-9.
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