For that reason, Under Armour apparels can be copied very easily, which is not a good image for the company. Nike and Adidas are tow companies that are doing their best to get market share in the industry while under Armour has already great resources, wholesales, independent sales, end customers all over the world. The core competencies of Under Armour I could come up with are first; the CEO Kevin plank was a former athlete so he knows the industry very well. Second, they have products development and a lot of innovations. The company is also very successful in performance and market campaign.
Exercise land option in Montreal to: a. Sell immediately for quick profit b. Build a conference center 3. Attract more leisure travelers Analysis: 1. Upgrade one or both of the hotels to upscale status * GR already have good service to meet customer’s expectation for luxury hotels * Demand for upscale hotels is growing at a faster rate than mid.
| Degree of product differentiation | Rivals in the entertainment-diversified industry strive to achieve unique, original, and/or exclusive product differentiation to increase market share. | Product innovation | This industry is subject to emerging technologies, especially within multi-media (graphics, audio, video, animation techniques) and its delivery (phone, tablet, internet). Delivering first-to-market products and services drives brand. | Demand-supply conditions | This industry, regardless of economic conditions, is always in demand. This is evidenced by an industry wide average yearly growth rate in sales of 2.6%.
Overall sales increased to $11.7B, there was a 22% increase in profitability, and its stock price increased 43%. How did this happen? Well, in 2011 there were approximately 17,000 stores open worldwide, and about 10,800 solely in the United States. Having more stores provided Starbucks with more customers and supporters thus, increasing sales. With the rising amount of customers in outside countries, Starbucks continued to gain worldwide acknowledgment, also influencing on the major growths in sales, stock price, and profitability.
b. Marketing/Promotion & Brand Management: Under Armour has always taken a keen interest in marketing and promotion. From 2009 to 2015 Under Armour’s marketing budget has doubled from 108 million to 246 million. Like many of the other major sports apparel brands, Under Armour has focused on professional athlete endorsements signing lucrative deals with athletes ranging from Tom Brady to Bryce Harper. To expand its brand awareness Under Armour is rapidly becoming the clothing of choice for many college and professional teams. Just last year the University of Miami made the switch from Nike to Under Armour.
Big companies try to capture the whole market, whereas small businesses target a specific niche. More importantly, there are a few dominant players (i.e. Nike, Adidas, Under Armour) that already have a significant grasp of the market. Since the sportswear industry is a mature market, companies try to expand their customer base by spending a large amount of cash flow on product innovation, advertisement, and sponsorship. The companies especially try to attract customers from competitors, making the competition even more intense
With a strong Canadian economy and a higher influx of business travelers, particularly from the US, flight demands will continue to rise. The business expansions from the US into the Canadian market place (retail and finance at the forefront) make it particularly attractive for frequent business travel with such close geographic proximity. These factors combined with lower governmental regulations then other places in the world make it attractive for new entrants to take the risk of launching into the pool. If a new entrant is able to break into the market offering lower rates then it could pose a significant threat to an already competitive pool. Porter airlines can be an example of how a niche small airline can come into a competitive market and steal market share from a dominant national like Air Canada.
1. Porter Five Force Analysis Porter Five Force | Intensity | Competitive Rivalry Within The Industry | Medium To High | Bargaining Power Of Customers | Medium | Threat Of New Entrants | Medium | Bargaining Power Of Suppliers | Low To Medium | Threat Of Substitute Products | Low | Competitive Rivalry Within The Industry - Nike, Adidas pose threat and Under Amour does not hold patents * Under Armour faces intense competition from the likes of Nike and Adidas as well as newer players. * Nike and Adidas, which have considerably larger resources at their disposal, are making a play within the performance apparel market to gain market share in this upcoming product category. * These larger companies could leverage their strong brand recognition and marketing efforts to enhance their presence in international markets (outside North America) where Under Armour has a limited presence. UA derives only 6% of its revenues from the international markets.
Topic: Are Canadian marketers and businesses competitive internationally, and prepared to deal with the challenges of the global marketplace? Identify magazine or academic articles, books, and other sources that argue the “yes” and “no” sides and develop your own position on the matter. Although Canadian companies are now facing big challenges in the international marketplace from strong competitors like USA, UK, China, and India; Canadian firms still have many competitive advantages if they respond quickly to this challenge by designing their operations to deliver a suite of capabilities as well as increasing agility, mass customization capacity, capitalizing on market niches and innovation. (State of Advanced Manufacturing: A Canadian Perspective Emerging Trends in Advanced Manufacturing, 2012) In general, Canadian manufactures are trying to increase their agility responding the changes in customers’ demand and profitability by adapting production volumes, varying their production mixes, and adjusting the location of certain production within their production footprint. By expand mass customization capabilities; companies can achieve a competitive advantage by delivering unique product according to customers’ wants and needs while still maintaining the cost efficiency of large-scale production.
Because of the difficulty in measuring and seeing these costs, they are often forgotten, consequently leav-ing the economic and societal impacts of tourist segments look more beneficial than they perhaps are (Mathieson and Wall, 1992). However, the Canadian tourist industry is one of the great resources to na-tional growth but some costs are followed. Therefore, the Canadian government must be careful when wanting to grow the tourism industry. Nevertheless, if Canada were to increase international visitation by just 5% to keep pace and follow the global rate of tourist growth, in turn Canada would