This paper is continuation of 111486 and also 111516 so its critical that the writer reference back to all
this other papers to be able to complete this paper. The writer will have to clearly discuss each points in
the questions following closely the instructions in the questions. The writer must clearly respond to each
point using them as subheadings.
Identify an individual in your chosen organization to be interviewed who has knowledge of the questions
below and use the responses for the purposes of this week’s assignment or use information gathered
through last week’s interview if the person gave information patterning to the questions below. She or he
should be an individual who understands the organization’s strategic use of marketing activities to
achieve competitive advantage in the marketplace and is willing to meet with you to discuss these
initiatives. Complete the marketing function and strategy audit from information gathered in your
Marketing Function and Strategy Audit
each of the following main areas needs to be addressed as a part of this audit; the questions listed are
only guidelines to help you gather the essential information to assist in your analysis. It is important to
Marketing Audit 2
cover each particular topic, but in a way that is most meaningful for the organization that you have
When the questions result in a simple affirmative or negative answer, please elaborate on how you
reached your conclusion.
Nike, Inc is one of the multinational enterprises in the United States of America that designs and
also manufactures sports apparels, foot wares, equipments among other accessories. Its major
production subsidiary is Converse Inc, a company that specializes in designing and distribution
of casual apparels, foot ware, and other personal sports outfits. Hurley International Company,
specialiases in designing, marketing and distribution of sports ware and equipment for the youth.
Marketing Function Audit
Nike’s product line objective is based on performance oriented strategy that seeks to
manufacture foot ware’s and sports apparels that can endure the rigorous training and
competition pressures to achieve top most performance for their clients. For clients who purchase
the products for casual use, Nike Inc aims at providing the best apparels and foot wares that is
based on extensive research on personal performance and comfort.
Marketing Audit 3
Nike Inc product and brand overall strategy is mostly based on sports performance where a
major of its revenues are derived from. But the overall casual market for its products is far larger
than the sports market. More product branding and strategy should be focused on the casual
market to achieve higher sales on the emerging market.
Nike’s pricing objective are based on the competitive market that also aims at providing the best
sporting and casual foot ware and apparel in the market. Nike products are priced slightly higher
above its competitors due to its products higher quality and endurance aspects of its products. Its
pricing policy is based on value for the price offered but occasional its marketing strategists
conducts assessments on the overall market reaction to its prices in various parts of the world
using different sampling procedures especially in the US which provides almost 45% of its total
Nike’s Converse Inc specializes in designing and distribution of casual apparels, foot ware, and
other personal sports outfits for the general public and sportsmen while Hurley International
Company, specialiases in designing, marketing and distribution of sports ware and equipment for
the youth, colleges and other sports events for teenagers. Besides the wholesale customers, Nike
also sells directly to customers through the Direct Consumer Operations. Nike has a global
presence in most of the countries worldwide and its marketing strategy is very effective and
adequate. (Beverland, Napoli & Yakimova, 2007) Its product is available to most of its
consumers globally besides the normal orders that can be placed under the Direct Consumer
operations. (Hauser, 2007)
Marketing Audit 4
Nike has won the Emmy Award for best commercial on two occasions in the years 2000 and
- (Nike Annual Report, 2003) Its advertising objective is to create a trademark that is
associated with excellence performance in the track and field for athletes and other sportsmen
and women and also for casual use.
The advertising media for Nike is well chosen and effective. The decision to use sports
celebrities to market and promote its products and also to demonstrate the performance of their
technology and design is proving to be the best decision. Nike Inc signed in the NBA player
Mike Jordan, in the year 1984, and its revenues increased dramatically hence the introduction of
the Jordan brand name in one of its foot ware products. (Beverland, Napoli & Yakimova, 2007)
Nike adopted the internet and email marketing management technologies since its inception in
the early 2000 and it’s currently using the broadcast and narrowcast satellite communication
technologies to drive its multimedia marketing campaigns. (Schibrowsky, Peltier & Nill, 2007;
Szmigin, Canning & Reppel, 2005)
- Business mission
Nike business mission is clearly stated in market oriented terms and represented wholly by its
trademark in all its designs. (Nike Annual Report, 2013) In the year 2010, the value of its brand
alone was estimated to be worth more than $10.7 billion. Nike’s brand name is very feasible and
it actually leads its sales. Its trademark represents all its mission strategies and accomplishments.
Marketing Objectives and Goals
Marketing Audit 5
Nike’s marketing objectives and its goals are well stated, adequately enough to plan its
marketing and performance operations to facilitate global expansion and achieve highest returns.
Nike’s athletic foot wares for example, are aimed at providing specific athletic use and they have
been designed with the same purpose in mind. (Prahalad & Ramaswamy, 2004)
The company’s objective is appropriate given its competitive nature and huge resources and
opportunities available. These can be confirmed from its huge revenues that are derived from its
sales revenues and the popularity of its products. In the year 2012, Nike posted more than $24.1
billion dollars in its total revenues.
The management of Nike Inc has a clear strategy of achieving its marketing objectives. The US
forms its target segment with an estimated 45% of its entire revenues coming from the US alone;
its major strategies are tailored for the American market. Product positioning refers to the
development and marketing of the company’s products brand as the true and real images of the
company’s major product. (Kotler & Keller, 2012) To form an impressive strategy, Nike has
chosen a communication strategy that is unique and competitive to the nature of its products. The
use of sports celebrities as its promotion strategy has created an effective marketing strategy.
(Nike, 2014) Most of its customers view the Nike brand as an epitome of success something
which influences its pricing policy. (O D’Esopo & Almquist, 2007). It’s a process known as
brand equity and it occurs where the company’s loyal customers are even more willing to pay
much more to obtain their choice of product mostly because of its positioning in the market.
Marketing Audit 6
Beverland, M., Napoli, J. & Yakimova, R. (2007) Branding the business marketing offer:
Exploring brand attributes in business markets. Journal of Business & Industrial
Marketing, 22(6), 394–399.