Recommendations of Nike Considered: An Environmental Sustainability Initiative Case Solution

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Recommendations of Nike Considered: An Environmental Sustainability Initiative Case Study Solution

RecommendationsOn the basis of above internal and external analysis of the company along with the evaluation of numerous alternatives, the company is suggested to consider alternative 3. As alternative 3 would enable the company to expand in global markets without any reduction in its regional earnings and any degeneration of its market position. The company might pursue alternative 1 which would enable the company to focus on prospective global markets rather than the local markets but as the company is extremely dependent on the regional markets with 90% of its shops in the United States, there fore pursuing option 1 would result in the substantial decrease in business's income.

Aletrnative-1: Expanding International Brick and Recommendations of Nike Considered: An Environmental Sustainability Initiative Case Solution Stores

International SegmentsThe company has a long term market position in US which can not be generated quickly in the new markets. The choice would help the company to expand in global markets along with the removal of concerns raised in its regional markets related to its variety.

Pros:

• Exploration of brand-new international markets.
• Increase in revenue from global markets.
• Removal of concerns related to diversity.
• Earnings diversification.
• Action towards being a strong global brand.

Cons:

• Loss of substantial earnings from the regional markets.
• Increase in competition.
• Differences in cultures might led to a failure of the brand name specifically in Asian nations.
• Low profits at initial levels.
• Boost in marketing expenditures to get market share.

Alternative-2: Introduction of Click and Recommendations of Nike Considered: An Environmental Sustainability Initiative Case Help Stores

With the increased patterns towards online shopping, the online shops like Amazon, Alibaba and so on might position a serious threat to the market share of company. In this situation the company might consider introducing Click and Recommendations of Nike Considered: An Environmental Sustainability Initiative Case Analysis stores. These shops with a low requirement of funds to settle would allow the company to reach international markets, without ending its domestic shops.

Pros:

• Low investment
• Reducing competition threat
• Access to the world markets
• Enlarging customer base
• Easy to handle
• Big Earnings
• Low Operating Costs
• Easy brand-new market entryway

Cons:

• Threat to the marketplace position
• Removal of brand name Individuality
• Removal of the terrific shop experience.
• Danger of decrease in elite sales.

Alternative-3: Expansion towards International Markets Without closing Domestic Stores

Another choice that the company might consider, is to broaden towards the worldwide markets without closing its domestic stores that adds to the major part of earnings of the business. The advantages and disadvantages related to Alternative 3 are given listed below;

Pros:

• Decreasing competition hazard
• Access to the world markets
• Increasing the size of customer base
• Large Profits
• Expedition of brand-new global markets.
• Boost in profits from international markets.
• Income diversity.
• Action towards being a strong international brand name.

Cons:

• Extension of problems associated with diversity.
• Distinctions in cultures could resulted in a failure of the brand name especially in Asian nations.
• Low profits at initial levels.
• Increase in marketing expenditures to get market share.



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