Business Plan
Institution Affiliation
Student’s name
Nike Business Plan
Executive summary
The business project is all about setting up of a unique design, innovating, manufacturing, marketing worldwide and selling of equipment, accessories, services and footwear as well as apparel. The business will be located Oregon near Beaverton in the metropolitan area of Portland. Its location in the centre will be essential for marketing enhancement. Apart from designing and manufacturing, it will be operating retail stores to enhance the smooth distribution of its products. Exhibition for new commodities from the company will create a room for customers to have an overview of the incoming product to the market which will be located at the centre. The exhibition will be operating free. Most athletics faces challenges, especially while running; for this case, it will be a good idea to come up with a good strategy of making footwear That will facilitate smooth running. Design of the shoe will have some air spaces to provide them with free air circulation while running. Also, if anyone will be interested in inquiring a unique design for his/her taste, we will make for him/her. The most area to concentrate will be of making footwear of different sizes.
Business overview
Mission
The mission of the company is to produce the right quality product that will be providing worldwide market competition. Creating world-class footwear for athletics and also for all the people. Provide new design for all our product fitting the dynamic World. To make people appreciate our product and avail to their premises at relatively pocket-friendly prices.
Vision
To remain in the world market as the most original, unique brand and connected to their clients.
Objectives
To design, improve and protect its position as the leading producer of the athletic brand globally. It was building a substantial market for its products at a faster rate and producing fitting products for men and women and a unisex and exploring demand for its products to meet all the World growing requirements. To strategies, it is management both nationally and internationally since it will be growing at a higher rate. To continue increasing in its rate of stock turnover through management that is proper for the better and fewer product.
Customers
Our primary target person for our product are athletics, for the local community in the country and the whole World. Since the business is located in the centre, distribution and access of the product to our customers will be easy.
Business model
Since the existing footwear producing company is owned and run by a board of director management and the land, belong to the up government, during remodelling an additional rent will be a requirement in expansion and operation processes.
Sales and marketing
Televisions are our first platform to advertise our product, and this we will be doing on the period we are heading for world marathon. Our target will be the New York marathon. Oregon university will be our priority to strengthen our sales. We will also be signing treaties with large organizations such as sports league to supply them with our product, through a campaign in the streets to our products. To break monotony, we will be changing our brands frequently to suit the dynamic World for our clients. New media marketing will be essential to reach even marginalized customers, and it will include online platforms where customers will be ordering their product online. Sponsorship to people who are growing their talent will create a room to market our product. They will also include celebrity athletics university and college athletic teams and even professional teams. Public events where we will be exposing to offering our new brands. The exhibition will present a good marketing strategy where we will be inviting willing customers. Auctioneering will be an essential element for setting new prices to our newly designed products. The promotion will be offered to our clients to encourage them to buy more products.
Finances
To realize the set objectives and effecting the project, a tremendous amount of capital is required. Savings alone will not be enough capital to start and run the business and this will call for an extra source. The left option will be acquiring a long-term loan of about 10 years and profit ploughed back. To curb all the financial requirement needed, the business is anticipating to make sales worth $491,000 on its first year and the coming year rise to $567000 and on the 3rd year to be $655,000 by 4th year the business sales are expected to realize $13000 profit. It means that the business will be growing at an increasing rate, and there will be no problem with cash flow. The graph below shows the price at which the market will be growing
Startup summary
Since the business is existing and it wants to open up a new branch for its products in other areas, its capital will come from a ten-year loan and organization ploughed back to profit. The following chart shows the startup cost.
| STARTUP REQUIREMENTS | AMOUNT |
| Startup expenses | 1 |
| Premises renovation | $20,000 |
| Legal | $3,000 |
| Expensed equipment | $40,000 |
| Other | $1,000 |
| TOTAL | $64000
|
| Startup assets Long term assets | $65,000 |
| Other current assets Cash requires TOTAL
TOTAL REQUIREMENTS | $$12,000 $$70,000 $147,000
$211,000
|
Planning
The main focus is on the business operation strategies for the projected budget for the incoming years. Also, demand for the new market as well as assessment and competitive advantage are incorporated.
Critical strategies for the business
Bringing the accounting system in the organization and coming up with the program, for instance, volunteer program. Coming up with the board of director to ensure mutual needs for the business are met. The most reliable assets will that of our staff and management be a critical area.
Staff and team management
The chief executive officer will manage the transaction as the boss followed by the board of directors as the managers containing nine which its work is to elect new members to the organization, they are responsible for managing the business. Their meeting will be presided by president of the board or Secretary From board of directors, it will be followed by board of officers. From board of officer bellow, it is board advisors whom will be recommended by the board of directors. Below them are the board committees which comprises of budget, investment, market and statement of the vision. From board of committees are the executive director whom are elected by board of directors. Other members of the organization are key staff, education coordinator, program coordinator, office manager development officer and finally development assistant in charge of sending renewal letter and responding to phone and other duties.
Business approach
The business has a target of making sure that all athletics and all persons, in general, enjoy the brand of their product as well as ensuring all its customers are satisfied in terms of the quality they are going to offer. They will also ensure they stick to their mission and program. The support from the leading organization will provide with resources to curb all overhead cost making sure that all the grant provider sees their support to the directed programs.
Financial management
The business plans operations of a balanced budget that will include adequate fundraising, staffing and also for general expenditure. Apart from those sources, the business will be looking upon grants for particular projects and support of the exhibit. All sources of revenue will require accountability appropriately, and it will be used to outlay the following business policy. The director council subsidy operation to finance the administrative core via the annual budget.
Business Analysis
Risks and Opportunities (SWOT analysis)
(internal reason)
Strengths:
The biggest advantage of Nike is that it is an extremely competitive organization with its approach of “Just Do It” slogan for its brand epitomizing its attitude towards business. Nike is a global brand. It is the number one sports brand in the World. It is standing for high quality and innovative footwear. Nike is also known for its creative marketing. Nike ads are part of the pop culture an impressive achievement.
Weaknesses:
Nike manufactures its products using external sources that may affect the quality of their products. High Prices which make its products out of reach for many customers around the globe. Nike is heavily dependent on its footwear business to generate revenue.
Opportunities:
Nike has the unique advantage of offering value for money, and this can be leveraged to the hilt as the company begins to make inroads into the newer consumer segments, which want quality at an affordable price. Can also be able to be a fashion brand. Can be able to brand themselves as a responsible manufacturer of sportswear goods.
Threats:
Nike is exposed to the international nature of trade. It buys and sells in different currencies, and so costs and margins are not stable over long periods. The market for sports shoes and garments is very competitive. Competitors are developing alternative brands to take away Nike’s market share. Nike apparel is subject to large amounts of counterfeiting. Counterfeit Nike goods are available everywhere.
Reference
Appendices