Chap.(12)- Supply Chain Management

Nike has admitted that its Chinese supply chain is suffering from a lack of transparency, problems with wages and the use of underage workers. This month the sportswear manufacturer published its first country-specific supply chain report, revealing some problems the company is having. China is the companies largest sourcing area, with 180 manufacturers contracted to produce goods, including footwear. Nike found out the top three problems in management in China were: inefficient compliance with the company code of conduct; a lack of training and awareness of the code; and poor communication of factory standards by suppliers to workers. Nike's factories in China employee more than 210,000 civilians. Problems identified in the report included fake factory documents, 167 cases of workers with "incorrect identification" and two current cases of workers under Nike's minimum age of 18. A 15 year old girl was found working in one of Nike footwear supplier. Nike suppliers were also slow to increase wages in response to laws.

Chap.(12)- Supply Chain Management

This is a short film on how Nike runs its logistics center. It shows the warehouse techniques and technology use by the company.

Chap.(9)- Product Concepts

The Nike Hindsight glasses design uses Fresnel lenses, which were originally made for lighthouses and provide a wide aperture and short focal length. Even though the lenses reduce image quality, the idea is that since they are located only on the sides of the glasses, little clarity is lost in the process as the eye only detects motion in that area. Nike designed the glasses for cyclists, but the design could be handy in a more wide range of activities where detecting motion beyond the usual 180 degrees would prove advantageous. People such as marathon runners to track and field athletes could benefit from a few extra seconds of warning the glasses afford.

Chap.(8)- Decision Support System

Pay less Shoe Source has inked an agreement with Exeter Brands Group, a subsidiary of Nike, to jointly make a new brand of athletic shoes for women. The Tailwind brand was on shelves in spring 2007. The shoe will combine contemporary fashion styling with technical athletic performance. The shoes was retail for under $35 and are available at stores and online. As part of the partnership, Exeter and Pay less will together market the Tailwind brand.

Chap.(8)- Marketing Research

Nike marketing research offers a comprehensive analysis of the organization, its business segments, and competitors. It analyzes the business and marketing strategies adopted by the company, to gain a competitive edge in today's industry. Nike also evaluates the strengths of the company and the opportunities presented in the market. Nike gives immense help to management consultants, analysts, market research organizations and corporate advisers.

Chap.(7)- Segmentation

Nike will continue its brand segmentation and will attempt to beef uo its women's business next year with a broader product line and an extensive print campaign addressing women's issues to break in February magazines and continue through the year and beyond. Nike hopes to build relevance and market share with college females. Reebok stronghold in this area that has become like a stepchild recently, due to Nike's focus on and absolute domination of the teen market. Nike Women's concept shops are also showing up more in sporting goods, specialty and department stores across the country.

Chap.(7)- Targeting Markets

Nike's target market is still active people who enjoy high-quality sporting goods, especially footwear. The company targets top-line revenue growth to $23 billion by fiscal 2011 based on growth in its brand portfolio. It is up from $15 billion in fiscal 2006. Over the next five years, the company anticipates 75 percent of this growth will be made by the Nike brand and will be driven by a consumer defined category strategy. Nike focus on creating premium consumer experiences built on product innovation, brand leadership and elevated retail presence. Nike is targeting further geographic expansion and farther marketing penetration in all regions. Through disciplined operating management, the company still continues to target long-range mid-teen earnings per share growth.