Marketing Essay Example
Marketing Essay Example

Marketing Essay Example

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  • Pages: 12 (3194 words)
  • Published: February 22, 2018
  • Type: Analysis
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The text discusses the relationship between leadership and brand image in the context of Nikkei. The focus is on evaluating the impact of Phil Knight's leadership on Nike's brand image. The analysis considers both internal factors within the Nike work culture and external factors such as customers, media, and the community. By studying Nike's brand image and leadership, valuable insights can be gained to improve companies' brands.

Phil Knight, the former CEO of Nike, played a crucial role in building the brand and creating a strong company culture. The brand is currently the most valuable name in the sports industry, worth over ten billion dollars. Under Phil's strategic leadership, Nike embraced innovation and advertising, positioning itself as a cutting-edge company. The impact of Phil Knight and Bill Bowerman on Nike's success is evident. However, the exte

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nt of their influence on the brand's image internally and externally is still unknown.

This study will not only be valuable for Nike but also for other companies looking to understand how the leadership of key individuals affects brand perception from both the company and consumer perspectives. It will also help determine the type of leader that is most suitable for a company seeking an improved brand image, as well as how the leader's communication within the company affects [the] brand image.
The focus of the study is to distinguish between the internal and external perception of Nikkei's brand image. This will be based on factors such as identity, work culture, organizational communication, and understanding of the brand by its members. In his book "Just Do It: The Nikkei Spirit in the Corporate World," Donald Katz explores the origins of Nikkei and examines

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past decisions that led the company to become a leader in sports. One significant observation made by Katz during his time with Phil Knight is Knight's strong sense of identity, association, and ownership with the brand itself. This same sense of identity is also strongly felt by organizational members, employees, and athletes sponsored by Nikkei.

Organizational members with Nikkei embody the true essence of athletics and extend their team experience to being part of the Nikkei team. Even after leaving high school or college sports, there remains a desire to be part of something impactful and exciting. Nikkei members strongly identify with this desire for belonging and fully embrace it.

In addition, according to a study published in CIW-L Journal of Undergraduate Research XVI (2013), Nikkei is considered a winning team. The name itself means victory in Greek. Many endorsed athletes have a winning reputation and share a passion for their sport that aligns well with Nikkei without compromising their own values.An executive at Nikkei has emphasized the influence of Michael Jordan on the company's values, stating that he holds them accountable. The brand of Nikkei is closely associated with Knight, who demonstrates sacrifice, genuine love, and boundless passion for the brand. Some have humorously suggested that employees at Nikkei have Swooshes instead of platelets in their blood. There is a strong sense of integration among organizational members with Nikkei, its logo, concept, and slogans. This integration is vital because it influences how individuals associate themselves with the brand. The work culture at Nikkei embodies competition, mirroring the nature of sports it supports. Emotion is infused into everyday work life similar to competitive sports. Unlike other businesses

where sporting metaphors are commonly used in managerial vocabulary (such as "quarterbacking" a committee), Nikkei fully embraces a multifaceted sports metaphor throughout its operations.The text describes the concept of careers as being like sports movements, with work weeks and fiscal quarters compared to big games. In 1993, it was widely known within Nikkei that the head coach of the company was considered "the most powerful man". The work environment at Nikkei is likened to a field or arena, creating a sense of game or athletic competition. Extensive research shows that Nikkei has built a culture promoting success through teamwork and hard work. The ethos of "There Is No Finish Line" deeply resonates within the company, as competitors never settle for mediocrity and any complacency is seen as an opportunity for opponents to strike. Phil Knight, the head coach of this organizational team, compares his dedication to corporate success with parental worry for his children. The strong emotional connection to Nikkei fuels their constant desire to win.

Phil Knight communicates in a brash and direct manner, knowing what he wants to achieve and expecting support from others. Similar to Nine's slogan, Nikkei operates with a "Just do it" mentality, valuing quick decision making. Members are aware that Nikkei's products are superior to competitors' and carry themselves with subtle arrogance typical of highly competitive athletes (Goldman and Passion 1998).Knight is renowned for his concise and direct communication style. His enigmatic nature adds to his mysterious persona, creating an aura of wonder around him. Communication at the company relies on corporate stories that showcase moments of glory within Nikkei. These tales, featuring Phil Knight and Bill Borrower, embody the

management ideology and reinforce company policies. Typically, these stories are shared through word-of-mouth among members and passed down by older members.

Corporate employees and executives at Nikkei deeply devote themselves to the brand and understand its significance. The founder, Phil Knight, has instilled this same passion in others through his own fervor for Nikkei. This stems from his strong belief in winning and being part of something impactful. Knight's awareness of Nikkei's success originates from when he conceived the concept while writing a college paper at the University of Oregon (Katz 1994). At that time, he had a vision of what a prosperous business could become. Over time, this vision became a reality as it propelled Nikkei to soar above all competitors in the sports world.

However, during the 1992 summer Olympics in Barcelona, devotion to Nikkei reached another level. Several sponsored athletes such as Jordan, Barley, Robinson, Stockton Pippin, and Mulling refused to wear the official Olympic Jackets due to their display of Rebook emblem (Katz 1994:16).Throughout the Olympics, athletes contacted Phil Knight multiple times to express their loyalty exclusively to Nikkei (Katz 1994, 17). This decision was not influenced by Knight, other athletes, or executives; rather, it stemmed from an emotional connection to the brand and what it represented. Nikkei is not just a brand but also a symbol that surpasses others in terms of honor, privilege, and prestige. When considering the customer's perspective, the perception of a brand often differs from its intended identity due to various factors. Companies are generally satisfied with their brand management as long as they can present their brand in a way that is perceived as somewhat close to

or reasonably ideal for most people. The perception of Nikkei by customers and the general public is best described using the Brand Personality Scale, which assesses 42 items. These responses were then grouped into five clusters for further analysis based on affordability: severe criticism through highly favorable opinions with varying degrees of moderation in between. Cluster one views Nikkei as nearly perfect; contemporary, successful, charming, original – exuding power and energy. However this group questions the reliability and tenderness of the brand.Cluster two predominantly regards Nikkei as a valuable brand but not particularly reliable. In general, Nikkei is perceived as somewhat current, successful, and innovative. It possesses an element of allure and triumph, although it struggles to be sincere or dependable in the eyes of some individuals (Nana and Unique 2009, 13).

Cluster three considers Nikkei as a brand lacking distinctive attributes, reliability, and glamour. Their perceptions align closely with those in cluster two (Nana and Unique 2009, 13).

Cluster four criticizes Nikkei by asserting that it lacks any attributes at all. They view the brand primarily as down-to-earth but devoid of excitement (Nana and Unique 2009, 13).

Lastly, cluster five perceives Nikkei as a valuable yet unglamorous brand. They generally share similar perspectives with clusters two and three regarding Nikkei's success, energy, and up-to-dateness.However,others do not consider Nikkei to be the most honest brand.Perceptions may arise due to factors such as lack of transparency in operations or questionable working conditions in developing countries (Nana and Unique 2009,16). These characteristics accurately describe Nikkei in an unbiased manner.However,Nikkei also possesses intangible qualities that evoke an emotional response.There is a natural attraction towards Nikkei.When contemplating the image of Nikkei both

consumers and non-consumers instantly associate the brand with various thoughts, emotions,and experiences.The connection formed between individuals and the Nikkei brand is immediate, triggered by the Nikkei name, Swoosh logo, and other emblems. This familiarity stems from Nikkei's distinctive and recognizable image. A crucial contributor to Nikkei's cultural impact is its association with sponsored athletes. When thinking of a Nikkei athlete, Michael Jordan often comes to mind as he has become the face of the brand. His endorsement of Nines shoes and appearance in commercials caused a surge in demand for Nikkei footwear. The iconic Nikkei Swoosh symbolizes athletic excellence across all sports, representing victory. Throughout different generations, successful athletes who have worn Nikkei shoes, apparel, and equipment have been closely associated with the brand. Brand loyalty towards Nikkei often begins at a young age due to the influence of role models, particularly professional athletes. Children observe these athletes wearing Nikkei and performing at an exceptional level which leads them to associate themselves with that specific athlete and become loyal to the brand.The desire to idolize sports figures transitions from an emotional basis to a familiar one when it comes to purchasing decisions. As people mature, the reason for their purchase may change while the product or brand remains the same. However, at the core of it all, emotion still remains the driving force behind why the Nikkei brand is purchased (Katz, 1994). This emotion is masked by factors such as familiarity, performance, price, or availability. Media plays a crucial role in this process and is deeply tied to culture. It connects individuals and influences their perception of brands. While some media sources are credible and

based on truth, others are not. Advertising also significantly shapes brand perception. Nikkei has gained a reputation for producing engaging commercials and print advertisements that capture the attention of individuals from all walks of life - young and old, athletes and non-athletes alike. Nikkei's advertising emphasizes words like strength, speed, innovation, technology, clutch, and winning (Goldman and Passion 1998, 49). Despite being dominant in the industry,
Nikkei aims to present itself as the underdog embodying the spirit of David (Goldman and Passion 1998,
45). This positioning resonates with consumers as rooting for
the underdog is generally desirable.Nikkei effectively taps into people's emotions by featuring Michael Jordan in their trusted commercials. These advertisements are encouraging and inspiring, speaking directly to consumers who eagerly absorb every word. Nikkei strategically creates commercials that incorporate amazement, determination, and relatability for both idolizing MS and connecting with the average Joe. The company finds a balance between seriousness and humor (Goldman and Passion 1998, 49). In one advertisement, Jordan challenges others to doubt and disrespect him, claiming he can still fly despite his age and speed (Goldman and Passion 1998, 50). This commercial captures emotion, reflection, and attitude (Goldman and Passion 1998), aligning with the theme of winning - "Just do it" -and rising above. However, while media is a powerful communication tool, Nike has limited control over it. When uncontrollable media negatively impacts both consumers and non-consumers, it affects Nike's overall image. Sponsored Nike athletes may encounter unglamorous or disrespectful moments on and off the field such as injuries, scandals, mediocre performances or financial/moral troubles (Goldman and Passion 1998). As these athletes represent the Nike brand, their actions reflect on Nike itself which

can harm its desired image. Nike can address these incidents after they occur rather than preventing them to manage their impact.Consumer values also influence decision-making, as one survey participant confessed to being aware of Nike's involvement with sweatshops yet still purchasing their products due to personal preference (Goldman and Passion 1998). According to Salter-Morning and Stranded (2007, 416), consumers acknowledge Nikkei's shortcomings and recognize that the brand does not meet its idealistic standards. However, despite holding a negative attitude towards the brand, individuals continue to buy and use Nikkei products. The emotional connection they have with the brand seems to disconnect during the act of purchase. This allows Nikkei to operate without constraints, knowing that consumers will remain loyal and desire their products.

Nikkei's leadership and brand image are closely intertwined. Companies like Nikkei, which have established themselves as leaders in their respective industries, achieve this by focusing on delivering superior customer value aligned with specific value disciplines: operational excellence, customer intimacy, or product leadership (Treaty and Wireman 1993). In terms of product leadership, Nikkei has excelled through innovation and establishing itself as the top contender in the footwear industry. Scott Bedbugs recounts how Nikkei was groundbreaking in terms of branding practices even when it operated as the third athletic footwear brand in 1987 but acted as if it were at the helm.The company implemented new ideas, game-changing innovations, and incorporated profitable creative assets into their business. They showcased their progress through the development of the "Just Do It" campaign, expansion through new product creation and communication programs, and the establishment of retail concept stores like Nikkei Town. The continuous leadership of Phil Knight and Bill

Borrower, both athletes themselves, contributed to the company's success. Borrower introduced the concept of Jogging to society, which became a massive hit for athletes and fitness enthusiasts alike. Nikkei has always been focused on maintaining a leading position in the industry.

Now that Borrower has passed away and Knight is no longer the CEO but has taken on the role of chairman, leadership continues through their legacy and Knight's guidance. Company leaders like current CEO Mark Parker and brand president Charles Denton have carried on this legacy within the Nikkei system under Knight's leadership. This allows them to understand Nikkei's vision without starting from scratch. Their goal is to ensure that the brand stays on track in line with Phil Knight's impact as he played a crucial role in shaping and developing the company, much like a potter molds clay into a beautiful work of art.The commitment of Nikkei's employees to finding innovative ways to work sustains the company's ability to innovate products for customers. When the internal culture experienced by employees mirrors the external brand preferred by consumers, the brand becomes a strong competitive advantage. Nikkei's brand identity revolves around being innovative and striving for excellence.

Corporate leaders within the company follow Knight's establishment of a standard, which is deeply embedded in the company's DNA. The business platform is built on meeting athletes' needs, allowing for a connection between customers and valuable products. The power of the brand plays a crucial role at a deeper level.

It is essential for each leader throughout Nikkei to embody and communicate the brand identity while sustaining it with both employees and customers. This leadership of the brand has become an

integral part of their identity as an organization. Over time, this approach creates leaders who stand out from competitors in their industry.

Nikkei maintains a consistent global brand image while targeting various markets. Through Nine's marketing mix and product concepts, fitness and performance remain dynamic worldwide. Different pricing strategies, communication methods, and distribution outlets are used to emphasize local athletes and popular sports in different regions.The Nikkei brand image can be seen not only in the traditional sports market of the US, but also in other continents and markets. The marketing mix may differ depending on geographical location, but the overall concept remains consistent. Each advertisement and aspect of the marketing plan reflects the same fitness and performance image. This strategy is referred to as pattern standardization by Nikkei, which reinforces core principles within the company. Despite focusing on different aspects in various regions, Nikkei acknowledges that these goals can all be achieved through their overarching theme that surpasses cultural and geographic barriers.

Nikkei's product leadership and company leadership strive for functional innovation while establishing connections with individuals worldwide, leading to sustained success for the brand image. The relationship between leadership and brand image is evident in Nikkei's advertising and promotional efforts, as shown by research findings. While no study has definitively proven a 100% correlation between Nine's leadership and brand image, it is widely recognized that leadership plays a crucial role in shaping brand identity.

Brand identity serves as the foundation for brand image since it forms the basis for an accurate perception of a brand. Strategic leadership plays a vital role in developing this brand identity by considering elements such as capabilities, personality, purpose, culture, values,

community, and image.During the identity creation phase, careful planning and adjustment are necessary to achieve the ultimate goal. The brand's potential and future direction may be unclear at this stage. If the characteristics of the brand are not aligned with each other, conflicts and confusion can arise. Nikkei has achieved success by finding a harmonious combination that complements its brand.

In 2009, Nana and Unique conducted research on how people perceive brand image. Their study found that Nikkei's leadership indirectly influenced the establishment of a strong brand identity, evoking specific personalities among participants. Nine's leadership strategically created personalities associated with the brand, such as successful, charming, and exciting. Marketing strategies that appealed to participants were successful, while those that associated the brand with less desirable personalities did not meet expectations.

It is possible that Nikkei's perception of their own brand was not directly influenced by Nine's branding techniques or leadership but by unrealistic or uninformed individuals. This is because brand identity (the company's ideal perception) and brand image (the thoughts of consumers or outsiders) are two distinct topics. However, both require leadership for their development.Brand identity is characterized by hands-on, direct, and controlled leadership, whereas brand image is a reflection of the quality of leadership during the development of brand identity. Nikkei has had strong leadership since its inception, and analyzing its branding trends with leadership as an active component helps comprehend its past and future image. Due to limited existing research on Nikkei's leadership and brand image, further investigation is necessary. As the study on branding continues, there are few specific details available regarding Nikkei. Understanding what aspects they can control versus those beyond their control

will assist Nikkei in realigning their leadership and marketing efforts for improved efficiency and effectiveness. Leadership has been found to significantly influence brand identity. The objective is to align appropriate leadership with the desired brand identity, fostering strategic congruence between identity and image over time. Although brand image may be influenced, it cannot be fully controlled. Consequently, dedicating time to establishing a masterful and transparent brand identity proves more fruitful than chasing ever-changing and intangible factors like brand image. Nikkei strives for transparency which is also valued by its consumers. By prioritizing transparent brand identity alongside Nine's leadership in embracing their true essence, perceptions of Nikkei will gradually shift towards greater alignment with transparency

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