Nike and Adidas Essay Example | Topics and Well Written Essays - 500 words

Nike and Adidas - Essay Example Umbro, Hurley as well as Cole Haan are owned by Nike whereas Reebok, Tylor and Rockport are owned by Adidas. As introduced above, Nike and Adidas are the most popular companies in the world that produce sportswear. Both of their popularity is so significant in the world that they are perceived as household names. Both companies have also the same targets; their target involves people who love sports. Just like Nike, Adidas has also an international awareness because of its sponsorship to professional athletes as well as athletic teams. Adidas cuts its production cost by using low wage labor. The strategies used by the two sports giants in order to win more customers are very similar. For instance, it is evident that both are working extensively towards reducing their costs of production. It is also evident that they both take part in sponsoring different professionals and sports. Additionally, it is also evident that they produced different designs of sportswear so as to capture the interest of their customers. Nike is widely known in the world of not only their sponsorship, but also because of their expansion of their target market to individuals who participate in basketball as well as running. This is evidenced by the contract it signed with a famous basket ball player, Michael Jordan so that he can be its spokesperson. Additionally, it also signed a seven year contract with tennis player Serena Wiulliams so that he can market it in the world. Unlike in the past in which their market was solely domestic (the U.S.), their market has expanded internationally. In addition to changing shoe designs frequently, Nike has also created new appearance of shoes to capture the attention of the bored customers so as to stay ahead of its competitors. In addition to Nike using oversees factories in producing its products; it also maintains a close relationship with its suppliers so as to minimize costs as much as