Tuesday, June 11, 2019
Marketing and Branding Strategies Research Proposal
Marketing and Branding Strategies - Research Proposal ExampleMoreover, Nike controls around half of the sports foot wear and apparels market and the combined position of Adidas and Reebok will make them able to attain almost the same market share as that of the Nike. Thus the merger will strengthen the competitive powerfulness of Adidas and Reebok.The combined company wont want to cut its own bottom line by launching a price war. Others, however, think consumers may see to a greater extent products and aggressive marketing from smaller players in the industry as they work to protect their shares. (Petrecca, and Howard). The mergers are often welcomed by the consumers because of their anticipation of good quality products for cheaper prices. The inability to reduce prices may reflect as a weakness of merger among the public.Any time two opponents join forces, there is a tendency to limp competing - a concept that looks good on paper but can be deadly in-market (Howard). It is qui te possible that the lack of competition and trust among the companies may force them to reduce their expenditure on advertisement like activities which will negatively impact the marketing activities of both the companies. Moreover, the reduced marketing lean by these companies will open the doors widely for the competitors like Nike.The companies say they have already identified about $150 m... Hence these companies will get an hazard to spent more moneys in other markets where previously these companies spent less for advertisements. ThreatsOften when former rivals join forces there is a tendency to try to form product lines so they dont go head-to-head. The real danger may be in trying to reposition one brand or a nonher to not compete. ... Both brands could be diluted in the process. (Petrecca, and Howard) The decreased competition between these companies will force them to reduce their activities which may result in spoiling of their habitual products in the market. Benef it of the merging Uniting two of the worlds top sports companies and creating a much stronger challenge to Nike, particularly on the global giants home turf the acme North American market that accounts for about half of the categorys sales worldwide. (Petrecca and Howard) It is not possible for either Adidas or Reebok to challenge the supremacy of Nike in North American markets. But the merger made them capable of raising stiff challenges to Nike in these markets as well.Possible marketing strategiesRetailers are in an advantageous position because of the probability to deal with products two famous brands. Adidas which dominates the soccer shoes market have contracts with David Beckham like soccer personalities whereas Reebok has contracts with global basketball stars like Yao Ming (Petrecca, and Howard). Thus they can lend oneself these sports personalities in a complementary manner conduct their marketing strategies effectively.In short, the merger between Reebok and Adidas mad e them capable to compete effectively with their main competitor Nike. Works Cited1. Howard, Theresa. USA TODAY. 2005. Adidas, Reebok lace up for
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