(*IMPORTANT NOTE*-PLEASE USE THE ATTACHED SOURCES AS WELL AS THE RESOURCES AT THE BOTTOM OF THE WORD DOC AS THESE ARE WHAT I AM USING. ALSO, PLEASE USE AS MANY AS 5 OTHER SOURCES OF YOUR OWN. I WILL BE USING YOUR PROVIDED CONTENT TO COMPAIR WITH MY OWN TO ENSURE MY WORK IS SOLID AND UNIFORMITY IN THIS WAY WILL HELP WITH MY INTENDED EFFORTS. THANKS!)
(THE BELOW INSTRUCTIONS ARE THE SAME AS THE INSTRUCTIONS ON THE ATTACHED WORD DOC AND ARE MORE LEGIBLE THERE )
Abstract:
This research report is somewhat of a simulation. Putting yourself in the shoes of a business manager working for the company Nike, asses the prospects and risks of entering Nike into the Chinese market.
Objective:
The objective of this report is to assess the prospects for Nike to enter business in the Chinese market. I am looking to analyze the benefits, draw backs, and risks of Nike entering the Chinese market and come up with a projection to do so.
• Introduction
o Briefly Identify Nike’s line of business and identify Chin and their position towards business from other countries.
o Explain what Nike does, and the nature of the marketing and selling of apparel and footwear in China
o Present your overall assessment of prospects for your Nike’s business project in China. The rest of the presentation will provide the argument and evidence to support this assessment.
• Country Assessment
o Analyze the prospects of Nike’s marketing and selling of apparel and footwear in the Chines market. Some topics to consider analyzing and assessing based on Nike’s planning to market and sell apparel and footwear in China are the following; you might assess topics such as:
the prospects for political and economic stability,
prospects for financial crisis,
likely future changes in the exchange rate,
tariff barriers, market size,
demographic factors (aging population, large middle class, etc.),
relevant trade agreements,
union issues, etc.
Identifying the risk of entering a foreign market:
Go through the following Assessing Prospects for Balance of Payments Chart and identify where China falls( fixed/flexible, large/small, high/low). This will help to identify how risky it is to go into business in the country.
Flexibility of Exchange Rate Fixed Flexible
Size of Current Account Deficit Large Small
Size of Budge Deficit Large Small
Amount of Foreign Reserves Small Large
Amount of Foreign Debt Large Small
Political Risk High Low
Contagion Effect Large Small
All assessments of China should be relevant to Nike marketing and selling apparel and footwear. You might add as you discuss each point, “this is relevant to the success of Nike’s project because… “
• Project Assessment
o Given your country analysis, provide a more detailed assessment of the prospects for Nike that you are assessing. Please note that you do not need to discuss all of the topics in the following list – only those that are most relevant to Nike marketing and selling apparel and footwear in China. In this section, you should discuss such topics as:
1) mode of entry – exporting, joint venture, acquisition, etc., and explain why you chose that mode of entry
2) Nike’s strategy in the country (standardization vs. localization, etc.)
3) Nike’s marketing mix (how you will use the 4 P’s(product, price, place, promotion) to market your product) if needed use this link for 4p’s info ( The 4 Ps (investopedia.com) )
4) global production and supply chain issues (whether manufacturing plants will be centralized or dispersed, etc.)
5) whether bargaining with the host country government or local joint venture partners will be an issue
6) whether Corporate Social Responsibility issues will be a factor in the company’s strategy
7) Any considerations related to Global Human Resource Management issues (for instance, how you will deal with differences in “Power Distance” or “Uncertainty Avoidance”, etc.).
Note: you do not need to cover ALL of these topics, just the ones that are relevant to Nike entering China’s market. Use key concepts to country assessment (financial and trade issues), site selection analysis, bargaining, global production and supply chain management, marketing, and strategy.
• Conclusion
o Elaborate further on the overall assessment and provide specific recommendations to Nike related to the marketing and selling of apparel and footwear.
Resources
https://www.state.gov/countries-areas/china/
https://www-portal-euromonitor-com.ezproxy1.lib.asu.edu/portal/analysis/tab
