What are th pros,cons, and risks associated with nike''s core marketing strategy?
Answers
Nike follows the idea of 'pyramid of influence'. It creates its brand image by positioning itself strategically and using celebrity marketing as the core marketing strategy.
Pros: The managers can systematize the processes and refine their skills if there is a repeatable model. A clearly defined target audience which comprises of athletes, sports enthusiasts, well to do and brand conscious customers. This enables them to take up target-centric ad campaigns. It appeals to their emotions, this helps to promote it as a brand of allegiance and loyalty. Geographic segmentation is used to promote its brand and products. It delivers only one kind of product.
Cons: Its main focus is on the production of high products with cutting edge technology. It concentrates on selling them at competitive prices. The lower and middle classes in the society are not given much importance.
Risks: The influence of spokespersons and intense competition pose a risk to their strategies. A continuous change in the demands and choices of the consumers and the international expansion may also pose a danger to their strategies.