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Posted: January 26th, 2025
Footwear is a human made outer covering of foot. When the human beings came into existence, they were required to protect themselves from, cold dampness, dust, heat, and roughness of ground while standing, walking or even running. So they originate shoes for the protection of their feet. It is conventionally made out of leather but the aforesaid can be made with synthetic material. The importance of footwear is highly realised in western and other countries, so the footwear industry developed in full motion that originated companies like Nike, Adidas, Puma, Reebok etc.
In recent years, there has been a temperament for the footwear sector in the developing world to become successful in exporting to industrially advanced countries. Local markets in developing countries for domestically produced footwear have also grown. These latest trends have resulted in the entrenchment of relatively large scale and capital intensive plants. Domestic enterprises with less access to technical information have thus tended to adopt manufacturing methods similar to those in ‘turn-key’ factories, at the expense of technologies more suitable to local conditions, especially at low scales of production. In western countries especially in Europe, the footwear industry has declined in the last few years. While in 2005, there were about 27.000 firms engaged in footwear industry; in 2008 there were only 24.000. Along with the number of firms, the direct employment has also decreased. The only factors that remained almost steady were production value and the value added at factor cost.
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In the United States, the annual shoe industry revenue recorded in 2012 was $48 billion. There are around 29.000 shoe stores in the United States and the footwear industry employs about 189.000 people. Due to increasing imports, these figures are also declining. The only way of staying alive in the shoe market is to establish a presence in niche markets.
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“Nike, originally known as Blue Ribbon Sports (BRS), was founded by University of Oregon track athlete Philip Knight and his coach Bill Bower man in January 1964. They and the people they hired evolved and grew the company that became Nike from a U.S.-based footwear distributor to a global marketer of athletic footwear, apparel and equipment that is unrivalled in the world.”
Headquarters: – Washington County, Oregon, United States
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Founded: – 1964 (as Blue Ribbon Sports)
1978 (as Nike, Inc.)
Employees: – 38000(May 2011)
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Website: – www.nike.com
“Just Do It.” The famous Nike slogan came from a rather unknown source – revel killer Gary Gilmore, who received the death penalty for killing two people in Utah, United States in July, 1976. He was asked if he had any last words. “Let’s do it,” he said. When Dan Wieden was asked to create a tagline for Nike, suddenly Gilmore’s words just seemed to fit. “Let’s” was changed to “Just” to add a dash of intensity.
In 1970 they introduced first line of footwear with a waffle sole and named it “Moon Shoe” and it was a big hit. At that time Nike’s market share and sales increased dramatically. During this period for the first time they sponsored Italian football team.
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Adidas Inc. is a German manufacturer, a marketer of athletic shoes and sports apparel. Adidas was founded in 1948 and was named after its founder, Adolf (Adi) Dassler. His aim was to provide athletes with the best possible sports gear and equipment. For over eight decades the Adidas Group has been part of sports on every level, providing state of the art sports: – apparel, footwear and accessories. Today, the Adidas Group is an international leader in the sporting goods business and offers an outspread portfolio of sporting goods.
Headquarters: – Herzogenaurach, Germany
Founded: – 1924 as Gebrüder Dassler Schuhfabrik
(registered in 1949 as Adidas)
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Employees: – 42540(Dec 2010)
Website: – www.adidas-group.com
“Impossible is Nothing”, represents the attitude that the company has been trying to inculcate in its customers. Through this slogan the customers are constantly reminded of that anyone can achieve the impossible, taking into account the products of Adidas. The slogan brings out endurance and hope for the customers that Adidas brings out best for the athletes.
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Puma is a major German Multinational Company that produces high end athletic shoes. The Company is known for its football shoes and accessories and has sponsored acclaimed footballers. The Company was formed in 1924 as Gebrüder Dassler Schuhfabrik by Rudolf Dassler and Adolf. In 1948, Rudolf Dassler formed his own shoes company called “PUMA Schuhfabrik Rudolf Dassler”.
Headquarters: – Herzogenaurach, Germany
Founded: – 1924 as Gebrüder Dassler Schuhfabrik
(registered in 1948)
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Employees: – 9310(Dec 2010)
Website: – www.puma.com
The Puma logo has an image of a leaping Puma, an animal otherwise called a cougar, a panther or a mountain lion. Active both day and night, it is a powerful beast and an expert hunter that can jump to maximum of 20 feet high in a single bounce. By incorporating the creature in the Puma logo, the company has summarized the complete meaning of its product into a powerful identity. The Puma logo itself characterises the brand’s reliability and its product.
Soon after the company is founded, Rudolf Dassler successfully made a football boot with screw-in studs, in association with experts, such as Sepp Herberger. The successful launch of the “SUPER ATOM,” the world’s first ever screw-in boot, which Dassler launches in 1952.
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Reebok is a United Kingdom based ancestor company which was founded to provide athletes with a shoe which could assist in running fast. So, in the 1890s, Joseph William Foster innovated shoes with spikes in them. By 1895, he was in business making shoes; and before long his developing company, J.W. Foster and Sons created an international clientele of different athletes. The family owned business majestically made the running shoes worn in the 1924 Summer Games by the athletes celebrated in the film “Chariots of Fire.”It is a subsidiary of Adidas since 2005.
Headquarters: – Canton, Massachusetts, US
Founded: – 1895 (as J.W. Foster and Sons) in England, United Kingdom
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Parent Company: – Adidas
Website: – www.reebok.com
The original Reebok logo depicts the Union Jack, depicting the company’s bashful beginnings in Bolton, England in 1895.But in order to link the brand with youth market they brought a new logo i.e., RBK in 2001. Celebrating the 50th anniversary of the success in 2008, Reebok brought back its original brand identity from RBK to Reebok.
“In 1982, Reebok introduced the first athletic shoe designed especially for women; a shoe for a hot new fitness exercise called aerobic dance. In 2004, Reebok became the world’s leading producer of hockey apparel and equipment with its acquisition of The Hockey Company.
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The graphs showcase the market share of top Companies in the market and also the growth trends over the past few years. This firms fight for market share through non price competition ,on strategies such as strengthening brand image and product proliferation. It is crucial to note that Adidas acquired Reebok in 2005, despite the brands have kept their corresponding names. The merger is an endeavour by Adidas to gain a concrete footing in the United States and to challenge market leader Nike. However, if you conjoin sales volume of both the brands they combine for less than Nike’s total. Also very interesting is the “Others” grouping that accounts for 40% market share.
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