SRI SHARADA INSTITUTE OF INDIAN MANAGEMENT - RESEARCH (NEW DELHI)

SATURDAY
DEVELOPMENT DAYS
PROJECT REPORT
ON
Nike

SUBMITTED BY SUBMITTED TO

ASHISH SHARMA 20090167 AND MAM SARTAJ KHERA

GHANSHYAM SINH JADEJA 20090121

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 PREFACE

A man can become perfect with a perfect knowledge and experience. As a student of business
management, we have studied many theories in the classroom but any professional degree is incomplete
without practical knowledge of concerned field.

And the same case is with management studies, management is incomplete without knowing practical
application of theories studied. I have experienced and understood the practical importance of these
theories on this training. More books and theoretical knowledge can’t help you in any field whether it is
management or technical. Only thing can help you is practical knowledge.

This development day provides a golden opportunity to the students for getting a perfect knowledge and
experience.

I come to know how the management of company is actually being done. How decisions are made? How
people behave and decide what to purchase?

As a part of my learning in management field and requirement of PGDM program, I have been given an
opportunity to grab practical knowledge in the area of marketing and I had selected “Nike” located in
ambience mall, vasant kunj,ph ll. I have made my best efforts to get knowledge and experience. During the
day, I had collected necessary information, and I present all the necessary information to understand well.

ACKNOWLEDGEMENT

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 It has been an enriching experience for me to undergo my SATURDAY project, which would have not been
possible without the goodwill and support of the people around. As a student of SRI SHARADA
INSTITUTE OF INDIAN MANAGEMENT (SRISIIM), VASANT KUNJ, I would like to express my sincere
thanks to all those who helped me during my development day programme.

Firstly I would like to express my sincere thanks to reverend SWAMI DR. PARTHSARTHY for there
blessings and well wishes.

I extend my sincere thanks to MRS. SARTAJ KHERA, Faculty Member, SRISIIM, NEW DELHI, for
having spared there valuable time with me and for all the guidance given in executing the project as per
requirements.

Last but not least, I would like to record my deepest sense of gratitude to my friends for their support and
constant encouragement.

However, I accept the sole responsibility for any possible error of omission and would be extremely grateful
to the readers of this project report if they bring such mistakes to my notice.

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 DECLARATION

we, ASHISH SHARMA AND JADEJA GHANSHYAM SINH, hereby declare that the report
on “Saturday development day entitled “layout and design of Nike showroom’’ is a
result of my own work and my indebtedness to other work publications, if any, have been
duly acknowledged.

Place: new delhi Signature

Date:

(ASHISH SHARMA)

(GHANSHYAMSINH N JADEJA)

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 Nike
Nike, Inc. (pronounced /ˈnaɪkiː/) (NYSE: NKE) is a major publicly
traded sportswear and equipment supplier based in the United States. The company
is headquartered near Beaverton, Oregon, which is part of the Portland metropolitan
area. It is the world's leading supplier of athletic shoes and apparel[4] and a major
manufacturer of sports equipment with revenue in excess of US$18.6 billion in its
fiscal year 2008 (ending May 31, 2008). As of 2008, it employed more than 30,000
people worldwide. Nike and Precision Castparts are the only Fortune 500 companies
headquartered in the state of Oregon, according toThe Oregonian.

The company was founded in January 1964 as Blue Ribbon Sports by Bill

Bowerman and Philip Knight,[] and officially became Nike, Inc. in 1978. The company
takes its name from Nike (Greek Νίκη pronounced [níːkɛː]), the Greek goddess of
victory. Nike markets its products under its own brand as well as Nike Golf, Nike
Pro, Nike+, Air Jordan, Nike Skateboarding and subsidiaries including Cole
Haan, Hurley International, Umbro and Converse. Nike also owned Bauer Hockey
(later renamed Nike Bauer) between 1995 and 2008 In addition to manufacturing
sportswear and equipment, the company operates retail stores under the Niketown
name. Nike sponsors many high profile athletes and sports teams around the world,
with the highly recognized trademarks of "Just do it" and the Swoosh logo.
Origins and history

Nike, originally known as Blue Ribbon Sports, was founded by University of

Oregon track athlete Philip Knight and his coach Bill Bowerman in January 1964.
The company initially operated as a distributor for Japanese shoe maker Onitsuka
Tiger (now ASICS), making most sales at track meets out of Knight's automobile

The company's profits grew quickly, and in 1966, BRS opened its first retail store,
located on Pico Boulevard in Santa Monica, California. By 1971, the relationship
between BRS and Onitsuka Tiger was nearing an end. BRS prepared to launch its
own line of footwear, which would bear the newly designed Swoosh by Carolyn
Davidson. The Swoosh was first used by Nike in June 1971, and was registered with
the U.S. Patent and Trademark Office on January 22, 1974.

The first shoe sold to the public to carry this design was a soccer shoe named Nike,
which was released in the summer of 1971. In February 1972, BRS introduced its
first line of Nike shoes, with the name Nike derived from the Greek goddess of
victory. In 1978, BRS, Inc. officially renamed itself to Nike, Inc.. Beginning with Ilie

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Năstase, the first professional athlete to sign with BRS/Nike, the sponsorship of
athletes became a key marketing tool for the rapidly growing company.

The company's first self-designed product was based on Bowerman's "waffle"

design. After the University of Oregon resurfaced the track at Hayward Field,
Bowerman began experimenting with different potential outsoles that would grip the
new urethane track more effectively. His efforts were rewarded one Sunday morning
when he poured liquid urethane into his wife's waffle iron. Bowerman developed and
refined the so-called 'waffle' sole which would evolve into the now-iconic Waffle
Trainer in 1974.

By 1980, Nike had reached a 50% market share in the U.S. athletic shoe market,
and the company went public in December of that year. Its growth was due largely to
'word-of-foot' advertising (to quote a Nike print ad from the late 1970s), rather than
television ads. Nike's first national television commercials ran in October 1982 during
the broadcast of the New York Marathon. The ads were created by Portland-based
advertising agency Wieden+Kennedy, which had formed several months earlier in
April 1982.

Together, Nike and Wieden+Kennedy have created many print and television
advertisements and the agency continues to be Nike's primary today. It was agency
co-founder Dan Wieden who coined the now-famous slogan "Just Do It" for a 1988
Nike ad campaign, which was chosen by Advertising Age as one of the top five ad
slogans of the 20th century, and the campaign has been enshrined in theSmithsonian
Institution. San Franciscan Walt Stack was featured in Nike's first "Just Do It"
advertisement that debuted on July 1, 1988. Wieden credits the inspiration for the
slogan to "Let’s do it", the last words spoken by Gary Gilmore before he was
executed.

Throughout the 1980s, Nike expanded its product line to include many other sports
and regions throughout the world
Acquisitions

 As of November 2008, Nike, Inc. owns four key subsidiaries: Cole

Haan, Hurley International, Converse Inc. and Umbro.
 Nike's first acquisition was the upscale footwear company Cole Haan in 1988.
 In February 2002, Nike bought surf apparel company Hurley
International from founder Bob Hurley
 In July 2003, Nike paid US$305 million to acquire Converse Inc., makers of
the iconic Chuck Taylor All Stars

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 On March 3, 2008, Nike acquired sports apparel supplier Umbro, known as
the manufacturers of the England national football team's kits, in a deal said to be
worth £285 million (about US$600 million).
 Other subsidiaries previously owned and subsequently sold by Nike include
Bauer Hockey and Starter.
Products

A Nike brand athletic shoe

A pair of Nike Air Jordan I basketball shoes

Nike produces a wide range of sports equipment. Their first products were track
running shoes. They currently also make shoes, jerseys, shorts, baselayersetc. for a
wide range of sports including track and field, baseball, ice
hockey, tennis, association football (soccer), lacrosse, basketball and cricket. Nike
Air Max is a line of shoes first released by Nike, Inc. in 1987. The most recent
additions to their line are the Nike 6.0, Nike NYX, and Nike SB shoes, designed
for skateboarding. Nike has recently introduced cricket shoes, called Air Zoom
Yorker, designed to be 30% lighter than their competitors' In 2008, Nike introduced
the Air Jordan XX3, a high-performance basketball shoe designed with the
environment in mind.

Nike sells an assortment of products, including shoes and apparel for sports

activities like associatio football, basketball, running, combat sports, tennis,American
football, athletics, golf and cross training for men, women, and children. Nike also
sells shoes for outdoor activities such as tennis, golf,skateboarding, association

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football, baseball, Americanfootball, cycling, volleyball, wrestling, cheerleading,
aquatic activities, auto racing and other athletic and recreational uses. Nike is well
known and popular in youth culture, chav culture and hip hop culture as they
supply urban fashion clothing. Nike recently teamed up with Apple Inc. to produce
the Nike+ product which monitors a runner's performance via a radio device in the
shoe which links to the iPod nano. While the product generates useful statistics, it
has been criticized by researchers who were able to identify users' RFID devices
from 60 feet (18 m) away using small, concealable intelligence motes in a wireless
sensor network.

In 2004, they launched the SPARQ Training Program/Division.

Some of Nike's newest shoes contain Flywire and Lunarlite Foam. These are

materials used to reduce the weight of many types of shoes.

The 2010 Nike Pro Combat jersey collection will be worn by Miami, Alabama, Boise
State, Florida, Ohio State, Oregon State, TCU, Virginia Tech, West Virginia and
Pittsburgh. Teams will wear these jerseys in key match ups as well as any time the
athletic department deems necessary.
Headquarters

Nike's world headquarters are surrounded by the city of Beaverton, but are
within unincorporated Washington County. The city attempted to forcibly annex
Nike's headquarters, which led to a lawsuit by Nike, and lobbying by the company
that ultimately ended in Oregon Senate Bill 887 of 2005. Under that bill's terms,
Beaverton is specifically barred from forcibly annexing the land that Nike
and Columbia Sportswear occupy in unincorporated Washington County for 35
years, while Electro Scientific Industriesand Tektronix get that same protection for 30
years anufacturing

Nike has contracted with more than 700 shops around the world and has offices
located in 45 countries outside the United States. Most of the factories are located in
Asia, including Indonesia, China, Taiwan, India, Thailand, Vietnam, Pakistan,
Philippines, and Malaysia. Nike is hesitant to disclose information about the contract
companies it works with. However, due to harsh criticism from some organizations
like CorpWatch, Nike has disclosed information about its contract factories in its
Corporate Governance Report.

Human rights concerns

Nike has been criticized for contracting with factories in countries such as
China, Vietnam, Indonesia and Mexico. Vietnam Labour Watch, an activist group,
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has documented that factories contracted by Nike have violated minimum wage and
overtime laws in Vietnam as late as 1996, although Nike claims that this practice has
been halted. The company has been subject to much critical coverage of the often
poor working conditions and exploitation of cheap overseas labor employed in
the free trade zones where their goods are typically manufactured. Sources of this
criticism includeNaomi Klein's book No Logo and Michael Moore's documentaries.

Nike has been criticized about ads which referred to empowering women in the U.S.
while engaging in practices in East Asian factories which somefelt disempowered
women.

During the 1990s, Nike faced criticism for use of child labor
in Cambodia and Pakistan in factories it contracted to manufacture soccer balls.
Although Nike took action to curb or at least reduce the practice of child labor, they
continue to contract their production to companies that operate in areas where
inadequate regulation and monitoring make it hard to ensure that child labor is not
being used.

In 2001 a BBC documentary uncovered occurrences of child labor and poor working
conditions in a Cambodian factory used by Nike. In the documentary, six girls were
focused on, all of whom worked seven days a week, often 16 hours a day.

Campaigns have been taken up by many colleges and universities, especially anti-

globalisation groups as well as several anti-sweatshop groups such as the United
Students Against Sweatshops. Despite these campaigns, however, Nike's annual
revenues have increased from US$6.4 billion in 1996 to nearly US$17 billion in 2007,
according to the company's annual reports.

A July 2008 investigation by Australian Channel 7 News found a large number of

cases involving forced labour in one of the biggest Nike apparel factories. The
factory located in Malaysia was filmed by an undercover crew who found instances
of squalid living conditions and forced labour. Nike have since stated that they will
take corrective action to ensure the continued abuse does not occur.

Nike also caused controversy during the 2008 Olympics in Beijing, China, when their

sponsored Chinese athlete, Liu Xiang, withdrew from the Olympic 110 metre hurdles,
leaving the track after a false start by another competitor. Lui claimed that he
withdrew due an ankle injury. However, an anonymous message was posted on the
internet, purportedly from a source close to Nike, claiming that the corporation had
forced Liu to withdraw as he was unlikely to win, thereby tarnishing their image. Nike
responded by announcing that "we have immediately asked relevant [Chinese]
government departments to investigate those that started the rumour".

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Environmental record

The consistently growing textile industry often negatively impacts the environment.

Because Nike is a large participant in this manufacturing, many of their processes
negatively contribute to the environment. One way the expanding textile industry
affects the environment is by increasing its water deficit, climate change, pollution,
and fossil fuel and raw material consumption. In addition to this, today's electronic
textile plants spend significant amounts of energy, while also producing a throw-
away mindset due to trends founded upon fast fashion and cheap clothing.

Although these combined effects can negatively alter the environment, Nike tries to
counteract their influence with different projects. According to a New England-based
environmental organisation Clean Air-Cool Planet, Nike ranks among the top 3
companies (out of 56) on a survey conducted about climate-friendly companies. Nike
has also been praised for its Nike Grind program (which closes theproduct lifecycle)
by groups like Climate Counts. In addition to this, one campaign that Nike began for
Earth Day 2008 was a commercial that featured Steve Nash wearing Nike's Trash
Talk Shoe, a shoe that had been constructed in February 2008 from pieces of
leather and synthetic leather waste that derived from the factory floor. The Trash
Talk Shoe also featured a sole composed of ground-up rubber from a shoe recycling
program. Nike claims this is the first performance basketball shoe that has been
created from manufacturing waste, but it only produced 5,000 pairs for sale.

Another project Nike has begun is called Nike's Reuse-A-Shoe program. This
program, started in 1993, is Nike's longest-running program that benefits both the
environment and the community by collecting old athletic shoes of any type in order
to process and recycle them. The material that is created from the recycled shoes is
then used to help create sports surfaces, such as basketball courts, running tracks,
and playgrounds.

A project through UNC found worker exposure to toxic isocyanates and other

chemicals in footwear factories in Thailand. In addition to inhalation, dermal
exposure was the biggest problem found. This could result in allergic reactions
including asthmatic reactions.
Marketing strategy

Nike's marketing strategy is an important component of the company's success. Nike

is positioned as a premium-brand, selling well-designed and expensive products.
Nike lures customers with a marketing strategy centering around a brand image
which is attained by distinctive logo and the advertising slogan: "Just do it". Nike
promotes its products by sponsorship agreements with celebrity athletes,
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professional teams and college athletic teams. However, Nike's marketing
mix contains many elements besides promotion. These are summarised below.

Advertising
In 1982, Nike aired its first national television ads, created by newly formed ad
agency Wieden+Kennedy, during the New York Marathon. This was the beginning of
a successful partnership between Nike and W+K that remains intact today. The
Cannes Advertising Festival has named Nike its Advertiser of the Year on two
separate occasions, the first and only company to receive that honor twice (1994,
2003).

Nike also has earned the Emmy Award for best commercial twice since the award
was first created in the 1990s. The first was for "The Morning After," a satirical look
at what a runner might face on the morning of January 1, 2000 if every dire
prediction about Y2K came to fruition. The second Emmy for advertising earned by
Nike was for a 2002 spot called "Move," which featured a series of famous and
everyday athletes in a stream of athletic pursuits.

In addition to garnering awards, Nike advertising has generated its fair share of
controversy:

Beatles song
Nike was the focus of criticism for its use of the Beatles song "Revolution" in a
1987 commercial, against the wishes of Apple Records, the Beatles' recording
company. Nike paid US$250,000 toCapitol Records Inc., which held the North
American licensing rights to the Beatles' recordings, for the right to use the Beatles'
rendition for a year.

Apple sued Nike Inc., Capitol Records Inc., EMI Records Inc.

and Wieden+Kennedy advertising agency for $15 million. Capitol-EMI countered by
saying the lawsuit was 'groundless' because Capitol had licensed the use of
"Revolution" with the "active support and encouragement of Yoko Ono Lennon, a
shareholder and director of Apple."

According to a November 9, 1989 article in the Los Angeles Daily News, "a tangle of
lawsuits between the Beatles and their American and British record companies has
been settled." One condition of the out-of-court settlement was that terms of the

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agreement would be kept secret. The settlement was reached among the three
parties involved: George Harrison, Paul McCartney, Ringo Starr; Yoko Ono; and
Apple, EMI and Capitol Records. A spokesman for Yoko Ono noted, "It's such a
confusing myriad of issues that even people who have been close to the principals
have a difficult time grasping it. Attorneys on both sides of the Atlantic have probably
put their children through college on this."

Nike discontinued airing ads featuring "Revolution" in March 1988. Yoko Ono later
gave permission to Nike to use John Lennon's "Instant Karma" in another
advertisement.
Minor Threat advertisement
In late June 2005, Nike received criticism from Ian MacKaye, owner of Dischord
Records, guitarist/vocalist for Fugazi & The Evens, and front-man of defunct punk
band Minor Threat, for appropriating imagery and text from Minor Threat's 1981 self-
titled album's cover art in a flyer promoting Nike Skateboarding's 2005 East Coast
demo tour.
On June 27, Nike Skateboarding's website issued an apology to Dischord, Minor
Threat, and fans of both and announced that they tried to remove and dispose of all
flyers. They state that the people who designed it were skateboarders and Minor
Threat fans themselves who created the advertisement out of respect and
appreciation for the band. The dispute was eventually settled out of court between
Nike & Minor Threat. The exact details of the settlement have never been disclosed.
Chinese-themed advertisement
In 2004, an ad about LeBron James beating cartoon martial arts masters and slaying
a Chinese dragon in martial arts offended Chinese authorities, who called the ad
blasphemous and insulting to national dignity and the dragon. The advertisement
was later banned in China. In early 2007 the ad was reinstated in China for unknown
reasons.

Sponsorship

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Niketown at Oxford Street, London

Main article: Nike sponsorships

Nike pays top athletes in many different sports to use their products
and promote/advertise their technology and design.

Nike's first professional athlete endorser was Romanian tennis player Ilie Năstase,
and the company's first track endorser was distance running legend Steve
Prefontaine. Prefontaine was the prized pupil of the company's co-founder Bill
Bowerman while he coached at the University of Oregon. Today, the Steve
Prefontaine Building is named in his honor at Nike's corporate headquarters.

Besides Prefontaine, Nike has sponsored many other successful track & field
athletes over the years such as Carl Lewis, Jackie Joyner-Kersee andSebastian
Coe. However, it was the signing of basketball player Michael Jordan in 1984, with
his subsequent promotion of Nike over the course of his storied career with Spike
Lee as Mars Blackmon, that proved to be one of the biggest boosts to Nike's
publicity and sales.

During the past 20 years especially, Nike has been one of the major
clothing/footwear sponsors for leading tennis players. Some of the more successful
tennis players currently or formerly sponsored by Nike include: James Blake, Jim
Courier, Roger Federer, Lleyton Hewitt, Juan Martín del Potro, Andre Agassi, Rafael
Nadal, Pete Sampras, Marion Bartoli, Lindsay Davenport, Daniela Hantuchová, Mary
Pierce, Maria Sharapova, Serena Williams.

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Rafael Nadal is currently sponsored by Nike, Inc. (Note the swoosh under the
player's head)

Nike is also the official kit sponsor for the Indian cricket team for 5 years, from 2006
till end of 2010. Nike beat Adidas and Puma by bidding highest (US$43 Million total).

Nike also sponsors some of the leading clubs in world football, such as the Brazil
National Team, Portugal National Team, Netherlands National Team, US National
Team,ManchesterUnited, Arsenal, FCBarcelona, Inter
Milan, Juventus, Shakhtar, Porto, Steaua, Red Star, Boca Juniors, Corinthians, Club
América, Aston Villa, Celtic andPSV Eindhoven. Nike will also sponsor Dundee
United from summer 2009.

Nike sponsors several of the world's top golf players, including Tiger Woods, Trevor

Immelman and Paul Casey.

Nike also sponsors various minor events including Hoop It Up (high school
basketball) and The Golden West Invitational (high school track and field). Nike uses
web sites as a promotional tool to cover these events. Nike also has several
websites for individual sports, including nikebasketball.com, nikefootball.com, and
nikerunning.com.

NIKE's Direct Competitors

NIKE's competitors, the other leading athletic footwear and apparel manufacturers,
faced similar dilemmas and problems related to their own e-commerce strategies.
Because these competitors were smaller and less powerful than NIKE, they were
even more reliant on their traditional retail partners for sales. These companies
possessed little or no experience selling goods directly to the consumer market
and treaded lightly in their initial forays into e-commerce.

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By late 1999, virtually all of NIKE's major competitors (Adidas, Converse,
Reebok and New Balance) had established websites with detailed product
information, store locators, and editorial content on selected athletes or events.
Each competitor, however, took a slightly different approach to the strategy
and operation of its e-commerce capabilities. Converse offered no e-
commerce functionality or specific information on acquiring its products on-line.
Adidas and Reebok each offered limited product lines at full retail prices to their
internet customers. New Balance adopted a hybrid approach, allowing
customers to select any current product and then directing them to the websites
of its affiliated retailers (both real-world and internet-only) who carried that product.

NIKE's competitors were generally more willing than NIKE to allow retailers to
sell their products over the internet. The competitors did not exert as much
control over the end retail experience as NIKE did and granted more flexibility
to their internet retail partners. Reebok allowed both on-line only and bricks-
and-mortars retailers to offer their full product lines (frequently at discounted
prices) on their websites. New Balance was slightly more protective of both product
offerings and pricing, but not nearly to NIKE's level of excluding internet retailers
from entire product lines. Adidas was the only major competitor who had taken a
similar position to NIKE, severely restricting sale of product online.

The Nike "Swoosh" is a design created in 1971 by Carolyn Davidson, a graphic

design student at Portland State University. She met Phil Knight while he was
teaching accounting classes and she started doing some freelance work for his
company, Blue Ribbon Sports (BRS).

There must be very few people who do not recognize the Nike Swoosh logo.
With a big arsenal of superstars such as Michael Jordan, LeBron James,
Andre Agassi, Shane Warne, Maria Sharapova, Venus and Serena Williams.
This list is pretty long. The company takes its name from the Greek goddess of
victory, Nike. 

BRS needed a new brand for a new line of athletic footwear it was preparing to
introduce in 1972. Knight approached Davidson for design ideas, and she agreed to
provide them, charging a rate of $2 per hour.

In June 1971, Davidson presented a number of design options to Knight and other
BRS executives, and they ultimately selected the mark now known globally as the
Swoosh. Davidson submitted a bill for $35 for her work. (In 1983, Knight gave
Davidson a gold Swoosh ring and an envelope filled with Nike stock to express his
gratitude.)

The logo represents the wing of the Greek Goddess.The Nike logo is a classic case
of a company gradually simplifying its corporate identity as its frame increases. The
company's first logo appeared in 1971, when the word "Nike," the Greek goddess of
victory, was printed in orange over the outline of a checkmark, the sign of a positive

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mark. Used as a motif on sports shoes since the 1970s, this checkmark is now so
recognizable that the company name itself has became superfluous.

The solid corporate logo design check was registered as a trademark in 1995. The
Nike logo design is an abstract wing, designed by Carolyn Davidson, was an
appropriate and meaningful symbol for a company that marketed running shoes. The
"JUST DO IT" slogan and logo design campaign communicated such a strong point
of view to their target market that the meaning for the logo design symbol evolved
into a battle cry and the way of life for an entire generation. Isn't it amazing how a
small symbol we call a logo design can make a company into a huge success.

Basic Retail Floor Plans

A well-planned retail store layout allows a retailer to maximize the sales for each
square foot of the allocated selling space within the store.

Store layouts generally show the size and location of each department, any
permanent structures, fixture locations and customer traffic patterns.

Each floor plan and store layout will depend on the type of products sold, the building
location and how much the business can afford to put into the overall store design.

Below are a few basic store layouts.

Straight Floor Plan

Straight Floor Plan

The straight floor plan is an excellent store layout for most any type of retail store. It
makes use of the walls and fixtures to create small spaces within the retail store. The
straight floor plan is one of the most economical store designs.

Diagonal Floor Plan

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Diagonal Floor Plan
The diagonal floor plan is a good store layout for self-service types of retail stores. It
offers excellent visibility for cashiers and customers. The diagonal floor plan invites
movement and traffic flow to the retail store.

Angular Floor Plan

Angular Floor Plan

The angular floor plan is best used for high-end specialty stores. The curves and
angles of fixtures and walls makes for a more expensive store design. However, the
soft angles create better traffic flow throughout the retail store.
Geometric Floor Plan

Geometric Floor Plan

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The geometric floor plan is a suitable store design for clothing and apparel shops. It
uses racks and fixtures to create an interesting and out-of-the-ordinary type of store
design without a high cost.
Mixed Floor Plan

Mixed Floor Plan

The mixed floor plan incorporates the straight, diagonal and angular floor plans to
create the most functional store design. The layout moves traffic towards the walls
and back of the store.By adopting several parts of its previous interior design with its
character, this small Sportswear store has paid an honor to its heritage of the space.
Indeed, the project concerned about restoring several of its elements such as the
floor, ornaments and handles from the previous interior design. In accordance, some
of its original facade remains and are refreshed. The colors, materials and
even sports books have nicely provided a Nike tone of Nike Sportswear products.
Tags: layout and design of nike, osaka design architecture, desain home, desain
nike,furniture stores toronto japanese style

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NIKE utilized a large in-house sales force to sell its products through a number of different
types of stores - multi-sport general athletic department stores, specialty athletic
department store retailers and general-purpose shoe stores. Despite the company's origins
selling shoes straight to track runners from the back of Phil Knight's car, NIKE had not been
very interested in direct-to- consumer sales. The company did not have a meaningful catalog
or mail-order business and had opened only a handful of its own stores, called
NIKETowns. Even these NIKE-owned stores were seen more as a marketing and brand-
building effort than a meaningful source of sales.

The retail market for athletic footwear and apparel was extremely fragmented. (Exhibits 2, 3
and 4) The top ten sporting goods retailers represented a mere 14% of total U.S.
sales. Because these retailers were so small, they had been slow to implement sophisticated
technology to track purchases and inventory, leading to frequent stockouts and misallocations
of inventories. NIKE had suffered in the past from imperfect information concerning
retailers' inventory levels and was hopeful that better methods of inventory monitoring would
be found.

NIKE's 40% market share in U.S. athletic footwear gave it additional influence with the
merchants who carried their products. The company encouraged advance planning from its
retail partners - nearly 90% of the orders it received from retailers were for future
deliveries nine months out. As a result, NIKE was able to plan manufacturing and distribution
far in advance to meet its guaranteed future sales. NIKE was also able to negotiate favorable
contract terms with its retailers, including display characteristics, inventory levels, and other
details that affected the consumer experience.

The company distributed most of its own products from its factories to retail stores or
retailer distribution centers. The distribution process was extremely complex; a retailer's
monthly order of 300,000 pairs of shoes could involve over 50 different models being shipped
to 100 different locations. In the late 90s, NIKE invested over $1 billion in several large
regional distribution centers to replace its numerous smaller centers. NIKE also started
providing discounts to retailers who managed their own distribution right from the NIKE
Factory, thus avoiding the need to go through a NIKE distribution center at all. NIKE tried
to keep inventories to a bare

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