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Explain why the company (Nike) has adopted a DTC supply chain strategy.

May 25, 2022
Christopher R. Teeple

Overview
In this assignment, you will write a report with your analysis of a DTC distribution strategy for an executive-level management team.
Instructions
Respond to the following scenario as you complete your report:
You have been hired as a consultant by Adidas to analyze Nike’s direct-to-consumer (DTC) distribution strategy to determine if Adidas should develop a similar competitive strategy.
Nike, the U.S. sportswear giant, has been working to bring its manufacturing process closer to the point-of-sale, and concurrently adopting a direct-to-consumer strategy with a focus on owning the experience. Selling direct-to-consumer, commonly referred to as DTC or D2C, means you are selling your products directly to your end customers.
Write a management report analyzing Nike’s supply chain strategy for Adidas’ executives. Include the following:
Explain why the company (Nike) has adopted a DTC supply chain strategy.
What are the advantages or disadvantages of a DTC supply chain strategy to Nike?
Why does a DTC strategy boost profitability?
Analyze the importance of the Internet and social media as related to the company’s (Nike’s) supply chain strategy.
In your analysis, consider not only today’s marketplace but also look ahead 10 years into the future. For example, what advantage does Nike gain against its competition by having a DTC supply chain strategy?
Analyze how the company’s (Nike’s) DTC strategy satisfies customers.
For example, what advantage does the company gain from connecting directly with its customers?
Recommend steps for the company (Nike) to continue to grow its DTC strategy.
Consider providing recommendations in the areas of organizational structure, technological investments, digital strategy, and customer relationship management.
Recommend steps for the company (Adidas) to effectively grow its DTC strategy.
Consider providing recommendations in the areas of organizational structure, technological investments, digital strategy, and customer relationship management.
Submission Requirements
Your assignment should also meet the following requirements:
Format: Submit a professional and well-organized Word document.
Length: 5–6 double-spaced pages.
Font and font size: Times New Roman, 12 point.
APA format: Use current APA style and formatting for in-text citations and references.
References: 3–4 sources are required. As the basis for your research, you can use any of the resources noted in this course, in the Capella library, and on the Internet.
Note: Attributing sources in your professional and academic work throughout this course and your program supports your analysis and conclusions and demonstrates ethical behavior and academic honesty. Following APA rules for attributing sources provides consistency and ensures that readers can locate original sources if desired.
Note: Use of additional resources will assist in achieving distinguished level ratings.
Before submission, refer to the scoring guide for insight into the grading criteria for this assignment.
By successfully completing this assignment, you will demonstrate your proficiency in the following course competencies and scoring guide criteria:
Competency 1: Examine how a supply chain supports an organizational strategy.
Explain why the company has adopted a DTC supply chain strategy.
Competency 2: Assess how to improve supply chain efficiencies.
Recommend steps for the company to continue to grow its DTC strategy.
Recommend steps for the company to effectively grow its DTC strategy.
Competency 3: Analyze supply chain systems to meet customer demands.
Analyze the importance of the Internet and social media as related to the company’s supply chain strategy.
Analyze how the company’s DTC strategy satisfies customers.
Competency 4: Communicate in a professional manner that is consistent with the expectations for supply chain managers and participants.
Convey purpose in an appropriate tone and style, incorporating supporting evidence and adhering to organizational, professional, and scholarly writing standards.

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