NIKE (studying the problems which it is facing)

Essay by dejizUniversity, Master'sA, February 2006

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Nike Sprints ahead of the competition,

Yet has a long Way to Run

A- How would you describe the buying behavior of consumers with respect to athletic footwear:

Buying Behavior is the decision processes and acts of people involved in buying and using products.

Consumer Buying Behavior refers to the buying behavior of the ultimate consumer. A firm needs to analyze buying behavior for:

- Buyer's reactions to a firms marketing strategy has a great impact on the firm's success.

- The marketing concept stresses that a firm should create a Marketing Mix that satisfies (gives utility to) customers, therefore need to analyze the what, where, when and how consumers buy.

- Marketers can better predict how consumers will respond to marketing strategies.

Types of consumer buying behavior are determined by:

. Level of Involvement in purchase decision.

. Importance and intensity of interest in a product in a particular situation.

Buyers level of involvement determines why he/she is motivated to seek information about a certain product and brand but virtually ignores others.

The decision processes and acts of individuals involved in buying and using products are based on two determinants: interpersonal influences and personal influences.


As per this Nike case we are treating, we can conclude that consumer behavior proved to be more influenced by the 'product-focused campaigns' lead by competitors than Nike's 'mood and athletes campaigns', in fact, Nike lost a significant market share in the advantage of competitors Reebok and Adidas.

Therefore, this non-product focused concept did not stimulate the consumer needs that showed more concern to product rather than brand.

Moreover, Nike's products are considered to have higher prices relative to their competitors. According to Nike, the prices are realistic given the nature of the products they offer to consumers, but at times, consumers may...