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Nike SWOT Analysis

Here is a detailed SWOT analysis of Nike covering strengths, weaknesses, opportunities and threats.

Published by MBA Skool Team in Lifestyle and Retail category Last Updated: June 01, 2023Read time:

Nike Strengths

  1. Nike is the world’s leading brand for sports shoes and apparel having a a global presence including USA, UK, Asia and most of the countries across the world
  2. It has been recognized many times by fortune magazines on “100 best companies to work for”
  3. Nike is listed among 50 most innovative corporate companies world over
  4. Nike differentiates by making innovative products which has global recognition
  5. Effective business relationship-building is done by the company globally which has help its brand equity
  6. It has launched many other products in collaboration with companies e.g. launched music player, Nike watches etc.
  7. Nike is a leading 'top of the mind' brand with excellent innovative advertising and branding
  8. Exclusive shops all over the world apart from availability through multi-brand retail stores
  9. It is ranked among the top companies for climate-friendly companies
  10. Nike associates itself with leading international sports teams, players and events and the campaigns are often very well received world over.
  11. It has been constantly been involved sponsorship of sports events and teams across various sports
  12. Nike has several star celebrity brand ambassadors from various sports like football, golf, NBA, Baseball etc. including Michael Jordan, Ronaldinho, Ronaldo, Neymar, Mbappe, Sampras, Agassi etc. which consolidates its branding in various sports
  13. Nike has more than 70,000 employees across the world making it one of the biggest employers globally
  14. Nike's Swoosh logo is one of most recognized brand elements in the world

Above are the strengths in the SWOT Analysis of Nike. The strengths of Nike looks at the key internal factors of its business which gives it competitive advantage in the market and strengthens its position.

Nike Weaknesses

  1. The Nike company faced allegations of labor and wage laws with employees, poor working conditions etc.
  2. Constant competition means limited market share growth for the company
  3. Nike is seen as a sports apparel and footwear brand but not a fashion giant 

These were the weaknesses in the Nike SWOT Analysis. The weaknesses of a brand are certain aspects of its business which it can improve.

Nike Opportunities

  1. Product expansion in areas like more concentration in sunglasses, sportswear etc. which gives high profit
  2. Nike can open their stores in tier 2 cities in emerging economies as well
  3. Enhance brand visibility by opening sports academies across the world for nurturing talent
  4. Nike can tap the online opportunities to reach out to as many customers as possible
  5. Nike can expand into fashion segment alongside sportswear 

Above we covered the opportunities in Nike SWOT Analysis. The opportunities for any brand can include prospects of future growth.

Nike Threats

  1. Footwear market is so competitive, major competition from other brands
  2. As it is an international brand currency fluctuations of countries affects the business of Nike
  3. Fake imitations and replicas often cause a problem for a brand like Nike
  4. Adaption of new techniques and innovation by other brands
  5. During pandemic, a lot of sports and outdoor activities were affected leading to impact on sales of footwear and apparel

The threats in the SWOT Analysis of Nike are as mentioned above. The threats for any business can be external factors which can negatively impact its business.

Hence this concludes the Nike SWOT analysis.

About Nike

The table below gives the brand overview along with its target market, segmentation, positioning & USP

Nike Overview
Parent Company

Nike Inc

Category

Apparel, Sports Equipment and Accessories

Sector

Lifestyle and Retail

Tagline/ Slogan

Just do it

USP

Nike shoes that are made for professional athletes across sports worldwide

Nike STP
Segmentation

Sports enthusiasts

Target Market

Men, women and children from urban upper-middle and upper class

Positioning

Nike offers high quality sports products at a high price which gives satisfaction and comfort


This article has been researched & authored by the Content & Research Team which comprises of MBA students, management professionals, and industry experts. It has been reviewed & published by the MBA Skool Team. The content on MBA Skool has been created for educational & academic purpose only.

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