Nike’s DTC Distribution Strategy

Write a 5-6 page report for an executive-level management team about whether Adidas should develop a similar DTC competitive strategy to Nike’s.

Introduction

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. A report is to be presented to the executive management team of Adidas with your analysis. 

Overview

In this assessment, 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’re selling your products directly to your end customers.

Write a management report analyzing Nike’s supply chain strategy for Adidas’ executives. Include the following:

  • Analyze why the company (Nike) has adopted a DTC supply chain strategy by explaining the advantages and disadvantages and the impact of this strategy on its profitability.
  • Analyze the importance of the Internet and social media (to Nike) and compare today’s marketplace to a future marketplace advantage.
  • Analyze how the company’s (Nike’s) DTC strategy satisfies customers and discuss the advantages of this type of competitive distribution strategy.
  • Recommend steps for the company (Nike) to continue to grow its DTC strategy and support with cited sources in areas of organizational structure, technological investments, digital strategy, and customer relationship management.
  • Recommend steps for the company (Adidas) to effectively grow its DTC strategy and support with cited sources in areas of organizational structure, technological investments, digital strategy, and customer relationship management.

Submission Requirements

Your assessment 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. See Evidence and APA for help if you need it.
  • 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 assessment.

Competencies Measured

By successfully completing this assessment, you will demonstrate your proficiency in the following course competencies and assessment 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 in order to meet customer demands.
    • Analyze how the company’s DTC strategy satisfies customers.
    • Analyze the importance of the Internet and social media as related to the company’s supply chain strategy.
  • 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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