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Adidas Case Study
General External Environment
Demographic Segment
The Adidas Case Study was interesting from the standpoint that the company
missed a great opportunity to maintain and consolidate its hold on the sports
performance shoe market. Adidas has always viewed itself as a genuine sporting
goods company that catered to the middle-aged, male demographic. After reading
the case study, it was painfully obvious that Adidas management was oblivious
to shift in market demographics that took shape in the late 1970s and early
80s. Since 1920, Adidas dominated the performance shoe market by catering to
this demographic on a global scale, but by the 1980s, market share in the large
North American footwear market went from a high of 70% down to only 4% in 1992.
The case study is a classic example of the Icarus Paradox; the company’s
success will ultimately breed its failure; Adidas rested on its laurels and
believed that their customer demographic would always associate their product
as the genuine article. ... It was estimated in the case study that the sporting goods market would
be worth $55 billion in 1998 (up from $43 billion in 1992).
Approximate Word count = 889 Approximate Pages = 3.6 (250 words per page double spaced)
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