Should Nike launch a Sugar-free Chewing Gum?

Market Potential For a New Product Launch

Should Nike launch a Sugar-free Chewing Gum?

Introduction

Before any company launches a product it first carries out market

research in order to find out if the new product will work, make a

profit for the company and increase the companies' market share. In

this coursework I intend to carry out secondary market research in

order to decide how feasible it would be for Nike to launch a new

range of sugar-free chewing gum.

The reason for using secondary and not primary research is mainly

because secondary research tends to be far cheaper to collect than

primary research. It is also easier to find and can be gathered

faster.

By gathering relevant information from several sources I will be able

to get an overall view of the chewing-gum market. I will look at

market shares, market growth, market size, competitors, health issues

and all other relevant issues in order to make an educated decision as

to whether Nike should launch a new range of sugar-free chewing gum.

Brand Image

This is relevant when deciding whether to launch a new product because

a company's brand image can give a new product a helping hand in its

early stages as a new product on the market. If a company has a good

brand image and it launches a new product under the same brand name

then that new product will inevitably gain that brand image which will

more or less guarantee the products success providing all other issues

of the product are fairly decent. E.g. Its taste and cost.

Nike is the largest manufacturer of sports and fitness footwear,

apparel, equipment and accessory products in the world (Source:

www.business.com). It employs around 22,000 people in the US and

Europe and has sales of an estimated $15 billion a year. Nike spends

around $1.13 billion on advertising every year (Source: www.philly.com)

to create a 'cool' brand image that appeals to young people

everywhere. This 'cool' brand image is also shown with the companies