Growth of the Sports Apparel Indsustry and Nike's Company Overview

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The world`s sports apparel industry is expected to grow and eventually exceed $ 126 billion by the year 2015. This is mainly due to a noticeable trend towards a healthier and more active life-style. Older demographic segments, as well as women representatives mainly accommodate the change. The global sports clothing industry is heavily fragmented with many different companies competing in it. Such brands range from basic discount brands to largely distinct high-end fashion names. Even the bigger already well-established brands have to change and adapt in order to keep up with the fluctuating needs of both wholesale and retail customers. This is extremely difficult, as consumers’ demands are becoming more and more versatile in terms of comfortable and functional apparel. This means that companies have to produce new styles of sport equipment to match those specific requirements. And pursuing such a strategy will ultimately preserve companies` market share in the industry. The sports apparel industry is comprised of various enterprises which are responsible for the manufacturing and retailing of sport apparel, accessories and equipment such as running and training apparel, golf wear, baseball apparel and merchandise, soccer and basketball uniforms etc. The industry is so diverse in terms of market players, that the top 5 companies hold approximately 22% of the whole market. More and more companies partner up with fashion designers in order to come up with new appealing clothing styles and widen their product lines. This is surely a good thing, as consumption is bound to increase due to the recent trend of substituting formal and uncomfortable clothes in the office with more casual and sporty ones. Sport Apparel Industry Today ... ... middle of paper ... ...formance. In 2010 Nike launched its Pro Combat jersey collection, affiliated with numerous universities in the US such as: Miami, Alabama, Florida, Ohio, Texas, Pittsburg, Oregon, Virginia etc. 1.4 Market Share Sports giant Nike is the leading player in the global athletic footwear market with an estimated market share of about 20%. The company is well positioned to grow its market share in the long run. Factors that are expected to benefit its position account of factors such as high growth rate in footwear sales, a strong competitive position and rapid growth in key footwear markets. The global athletic footwear market is forecast to grow at a rate of 1.8% to reach $84.4 billion in 2018. Growth is expected to be driven by factors such rising population, increasing disposable incomes, rising health awareness and launch of innovative footwear designs and technology.
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