Monday, July 21, 2008

midterm QUESTION 1

Research 1 company that makes use of E-commerce. Describe the nature of this company in 1-2 paragraphs.
Identify then, how does this company use e-commerce to achieve strategic advantage. Describe the benefits derived from this strategy.
Nike was first developed in Oregon by Phil Knight in the 1960s and founded in 1972. Nike is a major manufacturer of athletic shoes, apparel, and sports equipment. Nike markets its products under its own brand name as well as Air Jordan, Nike Golf, Team Starter, and under brands from wholly owned subsidiaries including Bauer, Cole Haan, Converse, and Hurley International. Nike's advertisement campaigns often incorporate new sporting ideology, which often involve sponsored athletes like Tiger Woods, Ronaldinho, and Michael Jordan. Nike is also well known for its strong sponsorship agreements with athletes, leagues and federations, as well many of the world?s soccer clubs. Of course, Nike is in a very competitive industry and must fight to keep a competitive advantage. Furthermore, Nike must also deal with ethical issues that arise from sweat shops that are located in third world countries. Nike's biggest competitors in the sporting world are Adidas,......
NIKE e-COMMERCE STRATEGIC ADVANTAGE

USA : New appointment to elevate Nike’s e-commerce strategyOctober 26, 2006
Signaling an elevated commitment to e-commerce as part of the company's global growth strategies, Nike Inc announced that industry veteran Chris Shimojima is joining the company in the newly created position of Vice President, Global E-Commerce, reporting to company President and CEO Mark Parker. Shimojima will be responsible for driving an integrated global e-commerce strategy for the Nike brand and Nike, Inc. subsidiaries,including Converse and Cole Haan.Shimojima joins the company from Sears, where he most recently was Vice President and General Manager of Sears/Kmart Customer Direct. Prior to joining Sears in 2002, Shimojima held a number of senior marketing positions for companies such as Prudential Financial, Kozmo.com, AT&T Consumer Communication Services and Pepsi-Cola. At Sears, Shimojima led strong revenue and profit growth in the company's direct businesses."Chris is an experienced general manager who understands how to build strong consumer relationships," Parker said. "Our e-commerce sites represent an incredible opportunity, a way to build deeper consumer connections and support the overall growth of Nike and our Nike Inc brand portfolio. Chris will accelerate our efforts to create an integrated global e-commerce strategy across our portfolio and deliver consistent and compelling brand experiences for consumers."Nike has been a leader in creating unique personalized shopping experiences for consumers through innovative sites such asNike iD, which gives consumers the opportunity to design their own Nike product. Nike also recently relaunched its global nikestore.com e-commerce site with new leading-edge technology.

The changes -- designed to introduce deeper product storytelling, faster functionality, and enhanced customer service -- encompass the first major renovation of Nike's online store since its launch in 1999. The result is a new, more dynamic online shopping experience, in which the common conventions of e-commerce are adapted to the unique character of the Nike brand. The site offers more than 30,000 products.In his new role, Shimojima will work closely with Nike's global retail team, led by Vice President Elliott Hill, to create an integrated and consistent experience across all Nike direct retail channels. Nike's direct retail includes Niketown, NikeWomen and Nike Factory Stores worldwide.

Nike Inc
BENEFITS:
a. enhance customer service globally
b. deeper product storytelling
c. faster functionality
d. improved deeper consumer connection

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