"To keep the rules. But cruel."
Starting The Business
As Fred Smith and the Origins of FedEx, Philip Knight's first ideas about what would Nike Inc. came to him while he was at
School. While working on his master's degree from Stanford University, Knight - an accomplished runner during his studies at the University of
of Oregon - wrote an essay, a plan to overcome the monopoly of Adidas running shoe had been on the market. Hethought the way
to realize this was to employ cheap Japanese labor market to make a shoe better and cheaper.
The plan was put into action shortly after his graduation in 1962. Knight went to Japan to work with the executives of Onitsuka Tiger Meet
Co., a manufacturer of imitation Adidas runners (who as director of a company called Blue Ribbon Sports which do not
There is,) except in his head. Knight convinced Tiger to export their shoes in the U.S. even though Blue Ribbonand let them send the sample
so his staff could inspect.
Knight paid for the samples with the money from his father. He sent a few pairs of Bill Bowerman, Knight's track coach from his time at
the University of Oregon, who is interested in the venture. Knight and Bowerman became partners and put $ 500 each in the
Purchase of 200 pairs of Tigers. Blue Ribbon Sports was founded, and Knight began going to high school track and field events
Sales of shoesfrom the trunk of his car.
Sales amounted to $ 3 million U.S. dollars when Knight decided to dissolve the partnership with the Tigers in the early 1970's. Blue Ribbon began
Manufacture its own line and began selling its Nike line (after the Greek goddess of victory) on 1972. These first Nike shoes
were decorated with the now internationally recognizable swoosh logo - which Knight had been for $ 35 in order - and had the
Traction-improving "waffle soles", conceivedby Bowerman, while his wife with a waffle iron.
Building An Empire
Named Blue Ribbon success (Nike in 1978) during the 1970s and in the 80s are largely based on marketing will be attributed to Knight's
Strategy. He did not consider it on his Nike shoes if advertising push, but rather to let expert athletes to support his product.
Fortune smiled Knight as his partner Bill Bowerman became the coach of the American Olympic --Team and many of the best artists
decided as a team, shod their feet with Nikes. Of course, if the runners ran well, the shoes they wore were
highlighted. Steve Prefontaine, a bold and unconventional American record-holder, became the first spokesperson for Nike shoes.
After the injured tennis player John McEnroe's ankle, he began wearing a Nike three-quarter-top shoe, the turnover of this particular
Brand jumped from 10,000 pairsto over 1 million euros. As Knight had hoped, brought celebrity athlete endorsements success of
Company. Knight is also activated on a jogging boom, and convinced by clever marketing to consumers that they should only
Do the best of the best in the world.
The Air Jordan helped the company continue to thrive even in the 1980s. In its first year of the shoe has more than 100 million U.S. dollars.
Knight realized his initial goal of replacing Adidas as the number of a shoeManufacturers worldwide in 1986. Until then, total
had surpassed $ 1 billion. However, by neglecting the growing interest in aerobics shoes, would Nike have some face
Difficulties.
Because of problems and controversies
Sales dropped 18% from 1986 to 1987 as Reebok trendy, stylish aerobic shoes were asking much. Knight had
recognize that it would not meet the technical achievements of the Nike shoethose who made more appearance than performance. The
Nike Air was Knight's response to Reebok. It stimulates sales and put Nike back into the number one in 1990.
Corporate Monster that it had become, Nike was the object of public outrage in 1990, killed as stories of young people for their
Nike began circulating. It was believed that Nike was promoting the shoes too strong.
In the same year Jesse Jackson attacked Nike fornot with an Afro-Americans on its board or among the vice-president, despite
the fact that their customer base was black to a great extent. Jackson's Nike boycott lasted until a black board member was appointed.
In addition, there was a dispute about whether Knight's use of exploited Asian factory workers as cheap labor s.
Have imposed With all the bad press that has to Nike by these events, continue to sell Nike shoeswell. And
1993 The Sporting News voted Knight "the most powerful man in sport", although he was neither a player or a manager. Knight's
Marketing championship is commendable and is considered an important factor in his impressive achievements.