Nike Value Chain Analysis 2023

Nike Business Overview

Nike is a leading innovator in the footwear and apparel industry. Founded in 1964, the company designs develops, manufactures, and markets performance and lifestyle products, including shoes, apparel, equipment, and accessories for athletes at all levels of competition.

From its headquarters in Beaverton, Oregon, Nike has extended its reach all over the world with over 94 stores in 26 countries spanning North America, Europe, Asia Pacific, and Latin America.

In 2020, Nike achieved record revenues of over $37 billion as part of its three-year strategy to drive sustainable growth.

The brand focuses on delivering exceptional product performance through innovation and continuously strives to bring inspiration and innovation to every athlete in the world.

To achieve this goal, Nike invests heavily in technology such as 3D printing capabilities and advanced materials research while also partnering with professional athletes to ensure they are achieving their goals with top-of-the-line apparel designs.

By investing heavily in digital transformation initiatives such as artificial intelligence, machine learning applications, and data analytics platforms, Nike can provide consumers with a personalized shopping experience to get the most out of their purchases.

With this focus on customer insights at the core of its business model, Nike is well-positioned to remain competitive by delivering innovative solutions that meet consumer needs worldwide.

Nike Primary Activities

Nike, Inc. is a leading footwear, apparel, and sports brand that offers innovative products designed to inspire athletes worldwide.

Its primary activities include designing, developing, and marketing products focused on performance, innovation, and style.

The company’s portfolio of iconic brands includes Nike Air Max, Nike Free Flyknit, Nike SB Dunk Low Pro, and Converse Chuck Taylor All-Star.

Through its product design, engineering, and marketing initiatives, Nike strives to bring meaningful insights to athletes across the world by providing them with tailored experiences that enhance their performance.

From developing apps to designing shoes for athletes of all levels, Nike is committed to creating high-tech performance gear for its customers.

Nike Inbound Logistics

Nike’s inbound logistics strategy is designed to help provide the company with products of the highest quality and reliability.

Nike operates distribution centers across the United States, allowing for the efficient delivery of its products to its many retail partners and customers.

The company works closely with its suppliers to ensure lead times are as short as possible and that inventory can be tracked accurately.

To facilitate quick delivery times, Nike employs truckload services and small package delivery services, both operated by third-party providers.

This minimizes delays in product shipments and helps improve customer satisfaction.

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Additionally, Nike has implemented a goods receipt process certified by ISO 9001:2015 that ensures the accuracy of inventory tracking and timely shipment processing.

With these processes in place, Nike can consistently provide reliable service to its customers while ensuring their goods remain safe throughout the supply chain.

Nike Operations

Nike is a global leader in athletic apparel and footwear. The company was founded in 1964 when University of Oregon track athlete Phil Knight teamed up with his former coach Bill Bowerman to create the world’s first track and field shoe.

Since then, Nike has grown into one of the largest sports brands in the world, with more than 600 stores across six continents.

Today, Nike operates on a vertically integrated business model, encompassing every aspect of their operations, from product design and manufacturing to marketing and retailing.

Their product development process involves extensive research and testing of new materials and designs to ensure maximum performance and reliability.

They use advanced technologies such as 3D printing to develop better products faster while also utilizing sustainable practices to minimize their environmental impact.

From cutting-edge innovation to efficient production processes and responsible sourcing, Nike’s operations are designed to help them deliver on their mission of inspiring athletes everywhere.

Nike Outbound Logistics

Nike’s outbound logistics focuses on the efficient and effective delivery of its products to customers, retailers, and wholesalers.

The company has established a network of warehouses in strategic locations worldwide that receive products from Nike’s global suppliers.

From there, the product is carefully tracked and shipped directly to retailers or the customer’s doorstep.

Nike uses various transportation methods – air freight, ocean freight, road transport, and railway services – to ensure timely delivery with minimal cost and environmental impact.

In addition, special attention is given to ensuring the secure handling of all products throughout their journey.

Nike Marketing and Sales

Nike is one of the world’s leading sports brands, and its innovative marketing and sales strategies have been key to its success.

Nike uses a variety of marketing tactics, including digital, influencer, experiential, and traditional media campaigns, as well as strategic partnerships with sporting celebrities.

On the sales side, Nike has employed various tactics to increase their reach and visibility worldwide, such as partnering with retail stores and expanding its online presence through e-commerce sites.

Additionally, Nike offers discounts and loyalty rewards programs to incentivize shoppers to purchase their products while providing special promotions for students, veterans, and other groups.

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Nike Service

Nike is one of the world’s leading sports apparel, footwear, and equipment companies. With a commitment to delivering excellent products and services to its customers, Nike strives to provide innovative solutions that help athletes reach their full potential.

From groundbreaking performance gear and state-of-the-art apparel technology to expert repair services, Nike offers customers a wide range of helpful services designed to enhance their experience while they enjoy the brand’s products.

These services include Nike+ membership, which grants members access to exclusive product updates and discounts as well as exclusive training content.

Live Chat support, which helps customers find answers to their questions quickly; free shipping on orders over a certain amount; easy returns and exchanges; same-day delivery options in select cities; personalized size recommendations for apparel purchases; an extended warranty program for shoes and clothing; shoe customization through NikeID; complimentary engraving for some product purchases; reward points for loyal customers; personal stylists available with virtual appointments; 24/7 customer service support via email or phone; and highly sought after collaborations with famous musicians, movie stars, designers and more.

All of these features add up to an impeccable service package that solidifies Nike as one of the top providers of sportswear, footwear, and accessories in the world today.

Nike Support Activities

Nike Infrastructure

Nike is one of the world’s most recognizable and successful brands. The company’s success is due to its innovative structure, built on a foundation of strong infrastructure.

Nike has dedicated departments for product development, supply chain management, logistics, and legal.

It also has a strong digital presence, with millions of users engaging with Nike products through its website and mobile app.

In addition, Nike invests heavily in research and development, continually introducing new technology and processes that make it easy to engage with customers around the globe.

With an emphasis on sustainability, Nike utilizes the latest technologies to reduce waste while investing in green technology initiatives like renewable energy sources.

Investing in infrastructure ahead of demand enables Nike to respond quickly when needed, allowing them to stay ahead of its competition.

Nike Human Resource Management

Nike has long been known as one of the most innovative companies in the world, and its human resources management practices are no exception.

Nike has a sophisticated system of hiring, training, and retaining employees that helps foster a cohesive, diverse, and knowledgeable workforce that values creativity and skill.

The company takes great pride in creating an environment where employees are safe, secure, and appreciated for their contributions.

When it comes to hiring new personnel, Nike is highly selective to ensure that only the best applicants are chosen for positions within its organization.

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The company likes to recruit from diverse candidate pools to allow different perspectives and experiences to inform decision-making within its ranks.

Nike provides regular training sessions for all staff members to ensure that all personnel have up-to-date knowledge regarding legal issues or safety procedures.

This could include programs on conflict resolution techniques or sexual harassment prevention seminars.

In addition to offering strong employee benefits such as health insurance plans and paid time off, Nike also promotes a culture where individuals feel free to express themselves honestly and openly without fear of judgment or ridicule.

Company leaders strive to maintain an atmosphere of mutual respect whereby all team members are given opportunities to excel regardless of background or gender identity/orientation.

Last but not least, every worker is provided with meaningful recognition for hard work done well – be it through reward programs or public acknowledgments – so they always know their efforts are truly valued by the organization at-large.

Nike Technology Development

Nike has always been at the forefront of innovation and technology. The company’s commitment to technologically advanced products has taken them far in the world of sports and fitness, with their shoes, apparel, and equipment now seen as essential tools for athletes around the world.

Recently, they have pushed their tech even further with initiatives like Flyease—a design that helps people with disabilities more easily enter and exit athletic shoes.

Their Flyknit fabrics are incredibly light but durable; their React cushioning provides excellent energy return; their sustainability efforts reduce waste using recycled materials; and their 3D-printed midsoles allow for precise customization.

All of these advancements in technology help athletes become faster and stronger and inspire generations around the world.

Nike Procurement

Nike Procurement is a service that helps companies and organizations streamline their procurement processes.

Nike Procurement has been designed to seamlessly integrate with existing technologies, making purchasing and vendor management easier, faster, and more efficient.

Companies can take advantage of features such as streamlined invoices and order tracking, automated payment systems, budgeting capabilities, and custom analytics tools to keep their businesses running smoothly.

Additionally, Nike Procurement provides a user-friendly experience for all employees in the organization, allowing them to quickly access data about vendors, products, shipments, and payments.

With its intuitive dashboard and secure platform, Nike Procurement enables businesses to access all the information they need from one central hub.