Continuities and changes of religion in Sub-saharan Africa Essay Example for Free

Continuities and changes of religion in Sub-saharan Africa Essay Sub-saharan Africa has undergone changes with religion such as the changing of religious affiliation to Christianity and the practices of cosmology and ontology, however, Sub-saharan Africa has also remained constant with their thoughts being focused on various beliefs like a creator and evil. Christianity was predominantly the main religion in Sub-saharan Africa opposed to the Muslims of North Africa. Christianity in the Americas slowly began to send out missionaries to spread the Gospel and build churches in Africa. The people began to form their daily lives and rituals accordingly and the population of Christians rose from about 9% to around 63% over the years from the 1900s to modern day. Missions in Africa is most definitely something that Christians in other part of the world have focused on. It seems to be a more targeted area for its other religious practices such as cosmology and ontology. Cosmology and Ontology are more philosophical beliefs in nature, evolution, and the way the world works. In Africa, many small tribes are closed off from communication outside of their tribe, and have practiced certain beliefs for hundreds of years. This belief system tends to lean towards the more relaxed religion and allows freedom for the people in those tribes to do what they want as long as it is parallel to what is right in nature. Everything in this philosophical study is that of nature. Nature is considered holy and worthy of worship. Cosmology and Ontology are how Sub-Saharan Africans attempted to explain our complex world in the simplest way possible that makes sense to them. There were also other beliefs that Sub-saharan Africans developed over time such as the belief in evil beings and eternal paradise. Sub-saharan Africans soon realized that there needed to be some kind of an explanation for what happens when you die, or what evil is. These details did not necessarily help form a new religion, but rather simply added on top of the religions already in place in the Sub-saharan region. In the Niger-congo area, there was a common belief in spirits, a creator of the universe rather than evolution. In other areas, there was the belief in the worship and idolization of ones personal gods whom they gave thanks to and credited much of their life to. These tribes lived their lives to please their gods in order to win favor and win a long and prosperous life. This is also something that was seen in Ancient Greece where Greek Mythology and the worship of gods took place. These people too, lived to please the gods to live a good life. In conclusion, Sub-saharan African has undergone changes in religion such as Christianity and Cosmology, but there was also factors that remained constant throughout the existence of Sub-saharan Africa such as little tribes who believe in pleasing personal gods.

Nursing Ethics Essay Example for Free

Nursing Ethics Essay What is personal ethics? Many people have their own perceptions and definition of what personal ethics are. When speaking about personal ethics this topic deals with what an individual believes to be morally right or wrong. Personal ethics comes from what one was taught by child by their caregiver whether it was mom, dad, grandmother, grandfather, aunt, or uncle. Since these ethics were instilled in us as children by our caregivers we carried these ethics into our daily lives and the decisions that we made. As a child my mother main focus was to make sure I knew right from wrong. As a parent she just didn’t say that something was wrong, but she told me why it was wrong. I think this is the most important aspect when understanding ethics and why people make the decisions they make. I think it is important to hold personal ethical views so when one is being faced with a challenging moral issue they will be able to efficiently handle the situation. My mother and grandmother based their ethical views according to their religious background. Both my mother and grandmother are Christian ministers and their views were guided from the Bible. As a nurse I make ethical decisions every day. Some of these ethical decisions are easy and some not quite so easy; however, my decision is based upon how I was taught and my personal beliefs and what is the best outcome for the patient. I think as a nurse I am still learning and can always make room for improvement. My personal ethics are constantly being tested as a nurse and the decision I make not only influences patients but also my peers. As a nursing manager in my facility it is my job that I make good ethical decisions because I have other nurses looking at me to make concrete decisions in some cases. Values are a person’s principles or standards of behaviors. My value is what I consider to be important in life. What is important to me may not be important to someone else. This is what I had to consider in the world of nursing. I  would come to accept that everyone is different and though they are different and values are different we both should be able to respect one’s views and decisions. This is important so that we may achieve our primary goal of purpose which is to care for the patient. My values and beliefs are rooted and grounded in my Christian background. Values that I was taught as a child was â€Å"do unto other as you would have them do unto you†. Simply put to treat people how you want to be treated. This causes a sort of immediate feedback for creating our moral standards and making ethical decisions (Scivicque, 2007). As a manager, I have learned how to be humble, and listening and learning from others. Another important value that was instilled in me as a child was to share and to be grateful for what you have. This I come to realize that I being a young woman most women my age have not accomplished the things that I have. By knowing this I do not take my career for granted. I enjoy my co-workers and patients that I work with. I enjoy overall caring for people and watching them thrive towards their highest potential. An example of an ethical dilemma I might encounter in the nursing field is the giving of blood to a Jehovah Witness. According to a Jehovah Witness’ beliefs they do not believe in administering blood or blood products for life-saving measures. The ethical dilemma is what do you do in an emergency situation? What if their beliefs go against everything you stand for? M best response in this situation is to focus on the patient as a whole. As a nurse we have to care for the patient physically, spiritually, mentally, and socially. Physically the patient would need a blood transfusion, but spiritually the patient will decline due to beliefs. I think this is the perfect opportunity to educate the patient of the risk and benefits of receiving the blood transfusion. As a nurse I take my job very seriously. While I’m working I ask myself what if these patients were my family members. How can I be present with the patient and listen to their concerns without judging them as a person? These are all questions I have to ask myself when providing care to my patients. I am not a perfect nurse by far but I am striving to be the best versatile nurse I can be to ensure that my patients reach their optimal level of wellness. References Scivicque, C. (2007). Developing Personal Ethics. Retrieved from http://suite101.com/article/developing-personal-ethics-a34018

Loreals New Product Development Strategy Marketing Essay

Loreals New Product Development Strategy Marketing Essay This report is based on LOreals new product development strategy and the way they have successfully managed to achieve considerable market shares through consistent RD efforts. The case continues with an insight into LOreals innovations that have been a success among the diverse segments of the global market. LOreal has not only followed a comprehensive, long term RD strategy that has resulted in creating innovative break through products like Fructis, but it has also tried to maintain its balance between RD and marketing interface. Company overview LOreal UK is the Groups fourth largest subsidiary in Europe and fifth in the world and has been present in the UK for 75 years. Also A significant player in the UK cosmetics market, turnover in 2006 reached  £626 million and 67% of women in the UK use one or more LOreal product. Approximately 170 million units were produced at the Llantrisant factory in 2006 and nearly 70% of the factory output is exported. overseas Recent investments have included a biological waste water treatment plant and more efficient heating, ventilation and lighting systems.The new distribution centre adjacent to the factory covers an area of over 18,000m2 and can house up to 10 million products and 300 people are employed at the factory. 25% of the permanent staff has worked for LOreal for over 20 years. (www.loreal.co.uk) Introduction Innovation is the most crucial stage for a company and it carries significant risk in the context of product failures that might occur right after their launch in the market. The product failure rate can be as low as 30% and as high as 90% in this regard. (Antil, J.1988). The global market is characterised by different taste patterns of consumers. Therefore in the face of rapidly changing consumer tastes, technology and competition, companies should continuously provide the global market with new products that satisfy all segments of the market. This requires systematic Research Development and innovation by companies in order to create successful products that have a considerable market demand. In the case of LOreal, the company has always tried to be innovating through their RD efforts. The case sites the example of LOreals Feria range that was exclusively innovated for Asian people. Product innovation is a complex task and it requires careful planning by the company based on the above mentioned factors. Today the global market is a fiercely competitive environment in which the important target for companies is to capture increasing returns to scale while minimizing / lowering costs of production with great speed and flexibility (Kotabe, 1990). LOreal as an international chain tries to achieve these targets through its consistent RD innovations in order to create products that are marketable throughout all international market. LOreals RD innovation expends about 20% more for new product development as compared to its competitors such as Procter Gamble and Unilever, occupying number one position in the market. Why is new innovation so important for a company like LOreal LOreal is a well established company in fashion business and in order to maintain its superior standing in the global market, it has to concentrate on the strategies it employs for innovation. The speed at which fashion markets change is very high, with very short product life cycles. Many fashion items have product cycles as short as half a year, or even a few weeks. Consumers preferences depend on the season, on the social and cultural environment and on the effects of previous marketing communication for fashion items or substitute products (Mintel, 2005). Responding in a timely way to these changing demands is vital for success. Moreover, without new products, firms will certainly be at a stand still And Research also highlights that early entry of new products can result in competitive advantage and long term market dominance. The characteristics of the fashion industry require companies to make strategic choices about factors such as quality, speed, technology, price and flexibility: these factors define the positioning of a company (Abell, 1993). Drawing upon the information provided in the case study, it can be suggested that LOreal operates in the top end of the fashion market with clear market positioning. LOreals targeted market segments can be characterised as fashion trend-setters, and these are the customers in the high and medium segments. They demand products with innovative styles, with top-level quality by scientists and designers that have built the reputation of powerful brands. It should be noticed that firms that operate in the mass segment which targets fashion followers tend to imitate the high performing products of top brands like LOreal and therefore the competitive advantage of top brands recedes over time, making product lifecycle short. Given the high quality expected of its products and the short product life cycle prevailing in fashion, LOreal has adopted a vertical integration, which afforded it a full control of quality and operations (Erica Stefania, 2004). Therefore, innovation is a critical and complex process that has a direct impact on the companys prestige, which justifies the importance of such developments. Therefore LOreal has to come up with such innovations that not only appeal to the various segments of the global market, but also enhance the companys position once they penetrate the market. hence LOreal would have to invest heavily in the launch of new products and be confident about the effectiveness, marketability and practicality of these products.. Moreover, successful innovation is likely to earn LOreal a superior market share and turnover, increasing the value of the company. Also, LOreal has been a front line of fashion and in order to keep up with the expectations of its consumers, the company has to lay in line new formulas that are carefully researched and tested for their effectiveness. For e.g. when the Japanese people were tired of having black hair and required an alternative to western hair colours due to their poor results, LOreal came up with an effective new hair formula that first bleached their hair and then dyed them according to their desirable colour. Therefore it is clear that in order for a company like LOreal, operating in a volatile and turbulent fashion industry, to create a sustainable competitive advantage should have a fast innovative product development cycle. Because LOreal tries to grab the maximum market share through the introduction of innovative products that are not only different but also cater to the different segments of the international market. Problems of managing Innovation and has LOreal solved these problems In order to launch new products successfully, companies like LOreal have to spend a great deal of time and energy in research and development. Thinking profitable/effective new ideas and implementing them are the core issues to be addressed and in this regard LOreals RD performs the task of coming up with successful innovations while the implementation lies in the hands of how these innovations are marketed. If LOreal launches a new product that cannot be marketed effectively, the RD efforts would be marked as inefficient and useless. Before launching or marketing any new product locally or internationally, a company has to be sure that its innovation would be differentiated from other products and is based on consumers preferences. Such ideas are most likely initiated by marketing and then RD takes over the task. Once the RD process is complete, the launch of new product requires the companys scientists/engineers to observe the market reality and employ different ways of marketing their product. Any negligence in this context would not only result in product failures once they are launched, but would also harm the companys image. For companies like LOreal which continue to thrive on innovation because good ties between marketing and RD to perform their activities during the process of launching innovative products in the global market. However, reality appears a bit complex because studies have shown that RD and marketing tend to have different perceptions and interpretations of the characteristics of a new product, particularly in terms of its technical innovation and the extent to which it affects the established consumption patterns. In reality, marketing perceives a more critical role of a new product for positioning in a market segment than RD. Also marketing perceives a higher degree of customization of individual products than RD. Wang and von Tunzelmann (1997) However, the need for long-term innovation always exists and the scientists need to be given some independence to design new formulas that are not unveiled unless desired. The different views of innovation-marketing are influenced by their different personality, cultural background, time orientation, ambiguity, tolerance and level of detail of language used (Griffin and Hauser, 1996). Therefore for companies like LOreal the innovation-marketing interface needs to be managed in such a way that it satisfies both the needs of innovation as well as marketing. According to a study conducted by Wang in 1997 the innovation and marketing functions were found to have collaborated in accomplishing tasks in three areas. * Conceptual development, identifying and evaluating relevant information * Strategic development, market positioning and product differentiation * Implementation, Internal and external communication. For LOreal these three functions are an important consideration in the process of innovation without which innovations might involve a high degree of risk, resulting in product failures. Once the concept for new product is developed through thorough research, LOreal focuses on identifying its target market segments for effective market positioning followed by laying a much greater emphasis on differentiating its products from its competitors like Procter Gamble and Unilever. Therefore it has to maintain a careful balance between creative innovation-marketing. An important link also exists between the innovation-marketing management. For instance, a strong mismatch between what is desired by customers and what is developed by LOreal would reduce the companys ability to predict market response to its new product. This would result in a reduced level of confidence on the effectiveness of marketing (Shankar, 1999). Therefore, in this context, a clear understanding of customer needs would be helpful in determining a companys innovation timing. This means that by effective management of innovation and marketing interfaces, firms can come up with better strategies both in terms of resource allocation and entry timing. It has been seen that most companies that spend great deal of time and effort on innovation to come up with new ideas, have created such products that resulted in a technological break-through, captivating a huge market share. In case of LOreal, the company has been spending a lot on its innovation department, (spending about 20% greater than its competitors). LOreal employs 2500 chemists, biologists, pharmacists and the companys RD aims to deliver 2000 new ideas to its marketers in order to launch 2000 new products annually. It not only has to develop successful ideas, but also find a perfect marketing strategy that addresses the target markets for the new products, their positioning, sales, market share and profit goals at initial stages. It therefore tries to maintain the balance between creative innovation marketing. The company not only analyzes the marketability of its new products but also tests its effectiveness through its careful innovation process. For e.g. when the marketers desired a fruit based shampoo for the European market, LOreals RD took over the task and it took the company 10 years to come up with Fructis, which captured LOreal a 28% share in the European market alone. This was, in fact, a result of the long term RD efforts of the company and LOreal tries to follow a three-level strategy for efficient management of innovation to marketing interface. Also the company launched a sun lotion exclusively for children, the Ambre Solaire Childrens Sun Lotion, which took three years for its launch and development. Therefore LOreal has tried to solve most of the problems resulting from an imbalanced innovation-marketing interface and needs to lay a greater emphasis on satisfying the individual needs of innovation and marketing respectively. It needs to continue by having a clear focus of the technological innovations and fashion trends. LOreal takes on the new product development screening task during its innovation phase when the company evaluates ideas generated from its own advanced research and whatever is being done externally (outside the company). LOreal makes sure that in order to boost the excitement of its products among consumers it needs to evaluate the effectiveness of its new formulas and offer a clear benefit to the consumers in order to get it accepted by the masses. It was this new product development screening process that resulted in the launch of Ambre Solaire childrens sun lotion by LOreal after three years of full research, thus, coming up with a formula that offered maximum protection to childrens delicate skin that instilled the confidence of their parents in the new product. LOreal has tried to launch its products which are characterized by these thorough screening processes, and it has succeeded to a considerable extent. However, during the screening process LOreal also needs to make sure that its new product developments are consistent with the companys objectives, that they are feasible in terms of product design and are suitable for the identified target markets. CONCLUSION After analysing this case in great detail, both in terms of marketing literature and practical application, it can be undersood that global companies like LOreal have to keep in line with the technological changes as they bring about marked product or process design transformations. Innovation plays a significant role in this regard, without which any new formula/idea is unable to be processed into a tangible new product. This requires professional scientists/engineers to be hired by companies and LOreal expends a great deal on hiring such professionals who can come up with effective, innovative and marketable ideas. The need to respond quickly to the dynamic global market forces requires companies to integrate rapidly to the perceptions and needs of both product developers and potential consumers Therefore, in todays fierce global competition, it is tough to differentiate. products and companies are required to have sufficient knowledge about their target markets/segments locally as well as internationally. Therefore product screening is another important process that needs to be carried out by companies in order to have a closer look at competitive products and evaluate their own product demand and LOreal seems to stand out in this regard as it employs professionals who carefully monitor competitors products in great detail. All this needs to be synchronized with an effective marketing strategy that is in balance with innovation functions of the company, which eventually builds up new products image in the various targeted segments, hence, boosting the companys prestige. It is not easy to gain customer satisfaction without long term effort.

The Real World Of Technology B Essay -- essays research papers fc

In her book, The Real World of Technology (1999), Ursula M. Franklin argues that technology has a disruptive effect on humanity. If left-unchecked technology will eventually destroy society as we know it. Franklin illustrates her point by focusing on the effects technology has had on society and cultures in the past. She uses examples from China before the Common Era to the Roman Empire, with a majority of examples coming form the last one hundred and fifty years. Such as the Industrial Revolution and the invention of electronic mail. Franklin contends that for society's sake, people must question everything before accepting new technologies into their world. In the book, Franklin's argument urges people to come together and participate in public reviews and discuss or question technological practices that lead to a world that is designed for technology and not for society. The Real World Of Technology attempts to show how society is affected by every new invention that comes onto th e market and supposedly makes life more easy going and hassle free while making work more productive and profitable. The lectures argue that 'technology has built the house in which we live'; (Franklin, p.1) and that this house is continually changing and being renovated. There is very little human activity outside of the house, and all in habitants are affected by the 'design of the house, by the division of its space, by the location of its doors and walls.'; (p.1). Franklin claims that; rarely does society step outside of the house to live, when compared with generations past. The goal for leaving the house is not to enter the natural environment, because in Franklin's terms 'environment essentially means what is around us… that constructed, manufactured, built environment that is the day-in-day-out [sic] setting of much of the contemporary world of technology.'; (p.89). Nature today is seen as a construct instead of as a 'force or entity with its own dynamics.'; (p.85). Th e book claims that society vies nature the same way as society views infrastructure as 'something that is there to accommodate us, to facilitate or be part of our lives, subject to our planning.'; (p.85). Franklin writes in-depth about infrastructure and especially technological infrastructure. She claims that since the Industrial Revolution, corporations as well as governments using public funds... ... to realize that the influx of technology and society's greater dependence of it may just be another step of evolution. Just as humans grew out of the ape and the hammer out of the twig, so to may the children and their tools of tomorrow grow to become something greater than even we can imagine. The Real World of Technology presents a lot of relevant issues with today's world. The points made about the environment illuminate a serious problem and the use of Franklin's redemptive technologies are what is needed if there will be any correcting of the damage done. While The Real World of Technology provides useful insights into technology's past and the role it has had on shaping our current way of being. The glimpses into the future are less useful. Franklin can not help but have a biased view of the world to come because she only has the world that she has lived in to use as a comparison and model. The society of the future however, cannot and should not be used to make comparison s, for it will be a society like no other-one that the people of today could not even imagine. Works Cited Franklin, Ursula M. The Real World of Technology. Toronto: House of Anansi Press Limited, 1999 ed.

Buddhism Essay -- essays research papers fc

The origin, traditional Buddhism began in the 6th century BC with the historical personage born Siddhartha Gautama, but better known by a variety of titles including Shakyammi, Tathagata, or most commonly Buddha, the enlightened one. The legend of the Buddha’s life has acquired plenty of variations and embellishments over the years, but the basic facts are accepted as traditional, including the dates of his birth and death (563-489 BC by Western reckoning, 624-544 according to Sri Lankan tradition). The story of Buddha’s birth is encrusted with myth and fable as that of any God-figure in human history. For instance, he is said to have issued from his mother’s womb stating that his cycle of rebirths was about to end. Again, some Buddhists devoutly accept the fables as we in the west accept Christmas narratives, while others choose to focus on the truths beneath the myths. We do know with some certainty that the Buddha was born to a royal family in northern India, in the foothills of what is now Nepal. Siddhartha Gautama led a sheltered existence in the court of his father, Shuddhodana, the king of the Shakya clan, who shielded him from any knowledge of human suffering or religions of the time. Soon after his birth a soothsayer named Asita predicted that he would become either the emperor of all India or if the "Four Passing Sights" should come to pass he would renounced the world and would become the greatest spiritual leader the world has ever known. Shuddhodana, Gautama, a member of the warrior-ruler caste, preferred the royal vocation and provided his son with three palaces located so that his son would not experience the dramatic seasonal changes. He placed at his son disposal anywhere from 10,000 to 40,000 dancing girls to keep his mind firmly rooted in the "real" world. He also gave orders that his son should never see t he sick, the aged, dead bodies, and nor should a monk be allowed near his son. But, as so often happens when manipulative fathers groom their sons to take over the family business, Siddhartha rebelled. At 16 he married a beautiful young princess named Yasodhara, by whom he fathered a son, Rahula. Over the ensuing years Gautama, was shielded from the facts of the real world. But legend states the gods intervened with what is now called the "Four Passin... ...He then continued to meditate for a total of 49 days, for it was at this time all Buddhist down through the ages believed, Gautama, first experienced Nirvana: the goal of Buddhism; it means freedom from karma; extinction of all craving; the realization of the true nature of the mind. This is the closest thing in Buddhism to the western world’s idea of salvation, the ultimate goal of all religious faiths. Traditionally, the accounts were committed to writing in Sanskrit and in Pali, a Sanskrit derived Indian dialect within 100 years of the Buddha’s death, but modern scholars places the dates closer to the 2nd and 1st century BC. The written records of his sermons and dialogues are known as sutras. Unlike other major religions of the world the concept of a divine being, as in, Hinduism’s Atman-Brahman, Judaism’s Yahweh, and Islam’s Allah, Buddhism does not proclaim any worship of any god. Buddhist believes that the divine being, per say, is not something you believe in, or worship, or can describe but instead something you experience. Bibliography 1. http://buddhism.about.com/ 2. http://www.buddhanet.net/ 3. http://en.wikipedia.org/wiki/Buddhism

Stephen Hawking Essay -- Stephen Hawking biography Essays

If you casually mention the name Stephen Hawking in conversation, you are likely to get a number of reactions from people.Some people know him from cameo appearances in movies or TV shows like The Big Bang Theory. Others have leafed through his popular book, A Brief History of Time. People recognize him as an outspoken representative for the disabled, and a leader of the scientific community.But how many people know him for his research? Professor Hawking has certainly lived an impressive life, and he is an inspiring public figure.With all the distractions surrounding Professor Hawking, most people forget about the groundbreaking discoveries that he has helped develop in the science of Cosmology.Through this essay, I hope to share some of his scientific work the reader. Like with any story, we must begin at the beginning.Stephen William Hawking was born on January 8, 1942, exactly 300 years after the death of Galileo.He came from a relatively modest background.His family did have a rather strong academic tradition though.Both of his parents had attended and graduated from Oxford, and his father, Frank, was appointed Head of the Division of Parasitology at the National Institute of Medical Research after the end of World War II.His family lived in the small town of St. Albans.When Stephen was 10 he was sent to St. Albans School, a private school with an excellent academic reputation.Stephen was naturally gifted and remained near the top of his class.He ran with a small group of friends who were all good students and they spent a great deal of time discussing intellectual matters.Hawking graduated from St Albans and was admitted to Oxford on a scholarship1. Many scholars are surprised to hear that Hawking did his undergrad... ...agraph comes from White & Gribbin pgs. 175-182 15) The preceding paragraph comes from Hawking pgs. 139-146 16) The preceding quote comes from White & Gribbin pgs. 187-188 Sources: - Hawking, Stephen. (1988). A Brief History of Time. New York: Bantam Books. (pp 191). - Hawking, Stephen & Ellis, George. (1973). The Large Scale Structure of Space-time. Cambridge: Cambridge University Press. (pp 364). - White, Michael & Gribbin, John. (1992). Stephen Hawking: A Life in Science. New York: Dutton. (pp 293). - Hawking, Stephen. Does God Play Dice?. Public Lecture http://www.hawking.org.uk/pdf/dice.pdf - Hawking, Stephen. Space and Time Warps. Public Lecture http://www.hawking.org.uk/pdf/warp.pdf - Hawking, Stephen. The Beginning of Time. Public Lecture http://www.hawking.org.uk/pdf/bot.pdf

Nike Company Analysis

Nike Inc. International Strategic Marketing 8 Prepared for: 22-03-2009 Prepared by: Table of contents Case summary3 Analysis Growth strategy4 Competitor Analysis6 SWOT analysis8 Five forces model9 Nike Case Summary Nike is a major publicly traded sportswear and equipment supplier based in the United States. It is the world's leading supplier of athletic shoes and apparel, and a major manufacturer of sports equipment. They have a market share in the United States exceeding 40%. Nike also distributes its products outside the US. In 140 countries, Nike sells products through independent retailers , distributors etc. In the ever changing markets, Nike is facing multiple challenges to remain market leader. Foot Locker was always a great partner for Nike. Foot Locker, as the world’s largest footwear retailer, was an perfect way for Nike to distribute and introduce their new products. But Foot Locker wants to meet consumer demands. So Foot Locker said that they would reduce the more expensive Nike shoes, and focus on more midpriced shoes. This caused a break in the close relationship between Nike and Foot Locker. Nike is basically a distributor. They do not produce their products by themselves. Nike’s products are manufactured by third parties. So the main focus at Nike is on R and marketing. Innovation, and making the consumer actually want the product is key for Nike. Nike products are manufactured in Southeast Asia. The producer of Nike products are independent contractors where Nike does not own any of. The main reason why Nike products are manufactured in these countries is because of the low wages. Low cost labor significantly increases the gross margin on their products. These low wage countries had some significant downsides, thought . When the working conditions, as well as allegations of abuse and harassment became public (done by activists) Nike suffered serious bad publicity. For a company that heavily relies on marketing and PR, this is a serious problem. While Nike tried to neglect these allegations, activist continued to blame Nike. Because the focus at Nike is heavily at marketing and R, Nike always tries to create the right image for the consumer. They do this by constantly innovating (such as the Nike+ series), and attaching famous sports players to the brand. Players such as Tiger Woods, Roger Federer and Wayne Rooney. The last years Nike sees that competitions is catching up and in several segments demand is decreasing. While these are all external factors that influence the company, Nike remains stable in terms of sales, gross margin and operating profit (increased to 10,2 percent in 2002, from 9,3 percent in 2001). While Nike remains to have positive numbers, the industry growth is hard to predict. While, for example, women casual tennis footwear sees an explosive growth, premium priced athletic shoes is clearly declining. Also competition is not standing still. The main competitors of Nike are New Balance, Adidas, and Reebok. New Balance is a company focused on athletic sports. They operate in the market segments of running, walking , tennis basketball etc. Along with this, New Balance expanded their target market by acquiring Dunham Bootmakers. With this they were now also on the market of outdoors such as hiking, boat shoes and sandals. Another acquisition of New Balance took place in 2001 with PF Flyers which gave them acces to the casual market. Another competitor, Adidas, is the world’s number two on footwear and apparel worldwide. Adidas is very much comparable to Nike. With high end technology, and important sponsors. The last of the very important competitors is Reebok. Reebok is the largest growing company. The company changed of strategy when they got the exclusive NFL deal and stated sponsoring the in-field gear of NBA teams. The challenge for Nike is to remain ahead of the competition, continue to be innovative and make sure their image stays on top. Analysis Nike and its subsidiaries are selling an extensive line of sports products throughout the world. Nike is competing in the market with Adidas, Reebok, New Balance and many other brands. [pic] Growth Strategy Nike operates in several market segments. Within these segments Nike is always looking for ways to grow. Nike is an international company that makes sure they can sell their products in the best possible way. That is why Nike today has several different retail possibilities such as Nike factory outlets, Nike stores and others. In April 2002 Nike acquired the Hurley International and gained access to the market segment for surfing, skateboarding and other youth lifestyle extreme sports. Nike was already selling different products under brand names such as Bauer. But still Nike’s core business was athletic running shoes. But growth in sales in 2003 was not very large. Only the women tennis casual footwear was experiencing significant growth. But this was due to the fact that the casual lifestyle segment was gaining popularity at that moment. So Nike decided to shift some of its main focus to other markets in the casual market. The casual market is the market with the most potential growth according to analysts, but weak growth in equipment (basketball , running etc). The growth in the casual market takes place in the non-performance segment. Thus Nike has to adapt to the fact that Nike can also be seen as a fashion object. Nowadays Nike is still the company with the most market share not only in the US, but also globally. And with making innovations in the consumer market, Nike was able to increase the market share. An example is the ‘Air-Jordan shoe line ’ which became extremely popular. Nike should stay focused in analyzing the changing demands of consumers in order to maintain the market share. The Air Jordan shoe line were very popular, but when Jordan retired Nike should be ready to come up with a successor. Also, the company should not be afraid to shift to other markets. The casual non-performance market is clearly growing, and in the athletic market (Nike’s core business) growth is clearly declining. Internally, Nike should keep their focus on marketing and R, which is their strength. Nike does not produce its own products. Nike clearly made some mistakes in the past by hiring independent contractors they have no influence over. [pic] Nike has clearly suffered with the image of sweatshops in Southeast Asian countries. Because Nike does not produce the products by their own factories, they heavily rely on the image consumer has of the company. R is also a heavy factor for Nike. Nike is the global leader on the market, but they have to come up with constant new ideas product development and maintaining a high level of research in the desires of the consumer, Heinz will maintain successful. Competitor Analysis The market where Nike in is operating is high competitive. The athletic footwear, apparel and equipment segments are intensely competitive all around the world. Main competitors are the German-based Adidas, New Balance Athletic Shoe Inc and REEBOK. Adidas-Salamon AG The well known ‘three stripes’ Adidas is popular all around the world. Just like Nike, is Adidas producing all kind of products, most of them related to sports. Adidas is one of the largest competitors in the industry. One of the flagships of Adidas is still the ‘old-style’ sneakers (See picture). Also Adidas is working with sport stars in their marketing campaigns, in order to increase brand awareness and revenues. In 2002, this lead to an overall market share of 11% and global sales with a revenue of almost $7 billion. REEBOK In comparison with Nike and Adidas is REEBOK also producing casual clothes. With the brands Greg Norman, Rockport and Ralph Lauren, the company is selling casual clothes. Since 2000, the company is competing again with Nike. With the return of Paul Fireman, operating activities increased and Reebok was able to compete again. The company’s marketing budget for 2003 was reported to be $40 million. A high percentage of this amount is going to the basketball world. Reebok is sponsoring a lot of teams in the NBA in order to create brand awareness. Since 2005, Reebok is part of Adidas. New Balance Athletic Shoes For many years this company was working with the same shoe outlets. The shoe outlets were successful, but New Balance wanted more. Therefore the company decided in 2000 to include independently owned retail stores. In this stores, more products could be sold. By the end of 2002, New Balance was distributing their products to over 90 independent retail stores. With this new corporate strategy, the company was able to increase sales with 25% in 2001 and 2002. SWOT Analysis Nike Strenghts Brand awareness Nike is the most well known sports brand in the world. Everyone knows the Nike logo (the ‘Swoosh’) and the brand is popular because of its premium quality, design and image. Product range The company is offering many products on the market and therefore can compete in many segments. Because of the global market, Nike can produce on economies of scale. Nike does not own any factories, but chooses the cheapest location to produce (almost always Asia). When a cheaper location is found, Nike can easily switch because it does not own the factory. Research & development Nike is famous because of the nice design, and innovative products. Because the company is producing many products, a high amount of R is invested. But this money is worth it. Nike is always able to come up with innovative designs of clothes and products. Weaknesses Production circumstances Because of negative publicity, a lot of people nowadays associate Nike with bad working conditions for the people who manufacture the products. Child labor, unhealthy factories and dangerous work, all contributed to this image what some people have from Nike. The ethical responsibilities from Nike are important in order to create brand loyalty. Opportunities Product development Coming up with innovative products can be really profitable. Or producing so called ‘high profit’ margin products like watches and sunglasses. Threats Competition The market where Nike is in operating is very competitive. Especially the shoe market, has a lot of competition. Therefore Nike should stay focused on innovation, price/value ratio, marketing and customer service. Economic situation Most of Nike’s products are higher priced then comparable products. This mainly because of the brand image. When there is a recession, consumers are more persuaded to buy cheaper, comparable products from a different producer. 5-Forces Model [pic] The power of suppliers is low. For most products, Nike is using simple raw materials. These materials are available with many suppliers. Also Nike is famous for replacing its production many times. Nike produces the products, where it is the cheapest. [pic] The power of customers is also low. Because most of the sales are B2C, the buyers cannot concentrate and have low power. Only threat is that customers, can easily switch to other (comparable) products. pic] The threat of new entrants is low to moderate. The market is high competitive and dominated by a few large players. First of all, a high amount of investment is required. It is not cheap to produce such a high quantity of shoes, like Nike is doing. Next to this, the costs for R and marketing are extremely high. Therefore we can conclude, that a possible new entrant must possess over a lot o f capital, patience and qualities. [pic] The threat of substitutes is medium. Although the ‘switching costs’ for consumers are not there, Nike is noticing high brand loyalty. This is mainly because of the brand image, quality and with the shoes, the level of comfort. But consumers are price sensitive and are seeking for high value with their sports clothes and related products. In times of economic recession, consumers are seeking for ways in order to save money. This can be, searching for alternative brands. Therefore Nike must closely the monitor the consumer market and the domestic economy. [pic] The rivalry in the industry is high. Exit barriers are quite high, therefore the same players are already for a long time competing in the market. ———————– Market Share 2008