Introduction
Founded by Bavarian shoe designer Adi Dassler, Adidas is one of the world’s most recognized brands. From the 1950s through the 1970s, Adidas drove the world’s athletic shoe market with its product originality. During that time, Adidas grew exponentially from a small, German, family-owned business into a multi-billion dollar, global sporting goods enterprise. Building its brand on “passion for sport,” Adidas prides itself on an unrelenting work ethic, its strong international roots, and its active management style that helped establish several decades of industry leadership.
Armed with a goal to establish Adidas as the leading global sports brand, The company’s tradition of product excellence will play a key role in getting there. Adidas is well known throughout the world for its product range that extends from basketball, soccer, fitness and training shoes to bags and equipment. It is currently the number two sporting goods manufacturer in the world.
The company’s products are sold in over 160 countries, with Europe and North America accounting for 49% and 30% of business. Adidas distributes 90% of its products through retailers, while 8% is sold via its own retail outlets. In addition to its headquarters in Herzogenaurach, Germany, Adidas owns 114 global subsidiaries. The company manufactures athletic gear under other brand names, such as Salomon, TaylorMade-Adidas, and Reebok. The company also operates design studios and development departments at other locations around the world, corresponding to the related business activity.
1. PEST Analysis
PEST analysis stands for "Political, Economic, Social, and Technological analysis" and describes a framework of macro-environmental factors used in environmental scanning. It is a part of the external analysis when doing market research and gives a certain overview of the different macro-environmental factors that the company has to take into consideration. It is a useful strategic tool for...