Abstract
This article helps to understand Nike's financial and operational situation. Firstly, the author conducted a value chain analysis of Nike and realized that Nike's core competitiveness lies in technology development and marketing. Then, an analysis was conducted on Nike's cost leadership strategy and differentiation strategy, and the advantages and disadvantages of Nike's were proposed. Secondly, based on the Porter Five Forces model, an analysis was conducted from five aspects: the threat of new entrants, the bargaining power of suppliers, the bargaining power of customers, the threat of substitutes, and industry competition. The fourth part conducts a ratio analysis of Nike Company. The author referred to its competitor Adidas and analyzed Nike's strengths and weaknesses by comparing its 2022 profitability ratios. Based on the above analysis, the author believes that Nike, as a leading enterprise in the sports industry, has maintained a positive development trend even after being hit by the epidemic. This article points out the shortcomings and areas worth learning from in Nike's production and operation activities and puts forward suggestions for other companies.
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