A SWOT diagram like this can be helpful for an athletic shoe company to analyze their market based on the basic SWOT components: strengths, weaknesses, opportunities, and threats.
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Very competitive organization. Founder and CEO is often quoted as saying that 'Business is war without bullets. ' Has a healthy dislike of is competitors. At the Atlanta Olympics, competitor went to the expense of sponsoring the games. This company did not. However this company sponsored the top athletes and gained valuable coverage.
Has no factories. It does not tie up cash in buildings and manufacturing workers. This makes a very lean organization. Strong at research and development, as is evidenced by its evolving and innovative product range. They then manufacture wherever they can produce high quality product at the lowest possible price. If prices rise, and products can be made more cheaply elsewhere (to the same or better specification), will move production.
Global brand. It is the number one sports brand in the World. Its famous 'Symbol' is instantly recognizable.
The organization does have a diversified range of sports products. However, the income of the business is still heavily dependent upon its share of the footwear market. This may leave it vulnerable if for any reason its market share erodes.
The retail sector is very price sensitive. Does have its own retailer. However, most of its income is derived from selling into retailers. Retailers tend to offer a very similar experience to the consumer. Can you tell one sports retailer from another?
Product development offers many opportunities. The brand is fiercely defended by its owners whom truly believe that it is not a fashion brand. However, like it or not, consumers that wear the product do not always buy it to participate in sport. Some would argue that in youth culture especially, it is a fashion brand. This creates its own opportunities, since product could become unfashionable before it wears out i.e. consumers need to replace shoes.
The business could also be developed internationally, building upon its strong global brand recognition. There are also global marketing events that can be utilized to support the brand such as the World Cup (soccer) and The Olympics.
As discussed above in weaknesses, the retail sector is becoming price competitive. This ultimately means that consumers are shopping around for a better deal.
The market for sports shoes and garments is very competitive.
Athletic Shoe Company SWOT Analysis