Essay: Market environment

According to (2007) it states that the market environment is a marketing term and refers to factors and forces that affect a firm’s ability to build and maintain successful relationships with customers.
Factors such as social that deals with people’s values, demographic people’s age and race, economic factor such as income and inflation and technological factor such as production and product quality all affects Nikes marketing environment. Nike as a company is a very successful business but every business has certain things that may affect their brand or organisation. Some things can affect a company in a good way and some in a bad way. Nike has been around for around four decades and has changed its style every decade but never their target market. Nike has a demographic of men, women, and children.
Nikes competitors are Puma, New balance and Adidas. Adidas have currently branched out into more footwear products and are getting more popular every second. It is important that Nike is aware of this so they can continue their competitive advantage over them. Whereas if this were to change and Adidas becomes the top of the chain it would make a huge disadvantage change to Nike organisation as a whole. Nike and Apple announced a partnership bringing the worlds of sports and music together like never before with the launch of innovative Nike+iPod products. This affects Nikes brand in a positive way as they show that they are able to collaborate and design new product for customers in order to create the best for the new generation.
Anti-globalization groups took campaigns against Nike. Targeted by campaigners because it is the world’s best-selling brand and because initially it denied responsibility for any malpractice that may be taking place in its sub-contractor factories using sweatshops to produce footwear and causing child labour. This affected society as that government laws and regulations differ from country to country and this makes manufacturing of products very difficult challenge for the international companies like Nike these kinds of instances show that Nike has limited control over its contract manufacturers and could damage the company’s reputation.
Intermediaries are the companies like JD, Footlocker, Office, Schuh and Amazon that sell Nike footwear they help Nike as if customers cannot get to a Nike store or it is sold out in the Nike store, they are then able to purchase the trainers from an intermediary. This is also available online.

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