THE RISE OF THE DAVID: a PUMA vs the GIANTS.PRESENTED BY: Rajdyuti Dasgupta<br />
A BRIEF HISTORY:<br />After World War II, brothers <br />Adolf & Rudolf Dassler, co-founders of GebruderDasslerSchuhfabrik...
THE STRATEGIES: ADIDAS<br />CORE COMPETENCY: <br />ADIDAS has been known for its technically advanced shoes & has grown by...
In 1984 Los Angeles Olympics,124 out of 140 nations wore Adidas<br />IN 1984,124 OUT OF 140 COMPETING NATIONS IN LOS ANGEL...
STRATEGIES ADOPTED TO TURN ADIDAS AROUND FROM BANKRUPTCY<br />REASON: Failure to keep up with fashion trends. It was posit...
REPOSITIONING: TO WORK ON ITS IMAGE.<br />
        THE 2008 BEIJING OLYMPICS:<br />                         OFFICIAL SPORTSWEAR PARTNER.<br />
REPOSITIONING STRATEGY:<br />DIVESTITURE (A Defensive Strategy) :<br />In 2005 Adidas sold the Salomon group for less than...
…contd.<br />ACQUISITION OF REEBOK:<br /> Announced in 2005 & completed in 2006<br />This acquisition gave Adidas the nece...
ADIDAS ORIGINALS STORES OPENED IN 2001….<br />
FOUNDED BY RUDOLF DASSLER IN 1948.<br />WORN BY:<br />DIEGO MARADONA.<br />BRUNO CONTI.<br />MARTINA NAVRATILOVA.<br />BOR...
WOES OF PUMA:<br />Just lile ADIDAS , PUMA did not keep up with the trends of the changing markets & quickly lost its posi...
Joining of Jochen Zeitz-1990youngest CEO in 1993.<br />VISION : “To turn Puma into the world’s most desirable sports lifes...
PHASE 1 (1993-1997)<br />Restructuring.<br />Retrenchment.<br />Moving production to Asia.<br />Several warehouses were re...
Phase 2 (1998-2001) & 3 (2002-2005)<br />Phase 2 concentrated on creating a new image for Puma,via marketing and product d...
PROMOTION: ads were placed in magazines such as Vogue. New lines were created for running biking skateboarding and tennis....
PHASE 4 (2006-2010)<br />Expanding Puma into further new products & segments as well as new brands and new markets.<br />S...
PPR ORGANIZATIONAL CHART AS OF DEC 31ST 2006.<br />
PPR BUYS PUMA IN A $7 BILLION DEAL…<br />Paris based PPR acquired a controlling stake in Puma via its subsidiary Sapardis ...
THANK YOU<br />
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The Rise Of The David

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  1. 1. THE RISE OF THE DAVID: a PUMA vs the GIANTS.PRESENTED BY: Rajdyuti Dasgupta<br />
  2. 2. A BRIEF HISTORY:<br />After World War II, brothers <br />Adolf & Rudolf Dassler, co-founders of GebruderDasslerSchuhfabrik,had a falling out & went their separate ways.Adolf using a combination of his nickname “ADI” & the first 3 letters of their last name,foundedADIDAS.Rudolf started his own company &,after deciding that Ruda dint sound great, called it PUMA.<br />
  3. 3. THE STRATEGIES: ADIDAS<br />CORE COMPETENCY: <br />ADIDAS has been known for its technically advanced shoes & has grown by consistently being a major player at world sporting events such as the Olympic games & the Football World Cup.<br />ADIDAS shoes was the most popular brand worn in the entire Football Worldcup,1952.<br />It was the only shoe brand worn by the entire Football World Cup in 1962.<br />.<br />
  4. 4. In 1984 Los Angeles Olympics,124 out of 140 nations wore Adidas<br />IN 1984,124 OUT OF 140 COMPETING NATIONS IN LOS ANGELES OLYMICS WORE ADIDAS.<br />WINNING<br />259<br />GOLD MEDALS!<br />IN 1985 ADIDAS WAS THE SHOE OF CHOICE FOR 11 OUT OF 17 EUROPEAN BASKETBALL TEAMS.<br />
  5. 5. STRATEGIES ADOPTED TO TURN ADIDAS AROUND FROM BANKRUPTCY<br />REASON: Failure to keep up with fashion trends. It was positioned to be for the more serious athlete but failed to attract the fashion conscious youth.<br />MEASURES:<br />1). Made English the official language.<br />2). Put Americans & other foreigners in top posts<br />3). RELATED DIVERSIFICATION BY ACQUISITION:<br /> Acquired the winter sports equipment company Salomon which was also the owner of the Golf company TaylorMade.<br />
  6. 6. REPOSITIONING: TO WORK ON ITS IMAGE.<br />
  7. 7. THE 2008 BEIJING OLYMPICS:<br /> OFFICIAL SPORTSWEAR PARTNER.<br />
  8. 8. REPOSITIONING STRATEGY:<br />DIVESTITURE (A Defensive Strategy) :<br />In 2005 Adidas sold the Salomon group for less than half the 1997 purchase price, while keeping the profitable golf equipment company Taylormade.<br />PARTNERSHIP with Porsche design created to launch a premium line for luxury sports products as sports shoes and apparel.<br />Contd…<br />
  9. 9.
  10. 10. …contd.<br />ACQUISITION OF REEBOK:<br /> Announced in 2005 & completed in 2006<br />This acquisition gave Adidas the necessary foothold in the US market.<br />ENHANCED PROMOTION:<br />Reebok had endorsement deals with American NBA & NFL.<br />As of 2006-07 season all NBA (men’s & women’s) all leagues would carry the logo for 11 years!<br />
  11. 11. ADIDAS ORIGINALS STORES OPENED IN 2001….<br />
  12. 12. FOUNDED BY RUDOLF DASSLER IN 1948.<br />WORN BY:<br />DIEGO MARADONA.<br />BRUNO CONTI.<br />MARTINA NAVRATILOVA.<br />BORIS BECKER.<br />THOUGH ALWAYS A BIT SLOW IN GETTING ENDORSEMENTS (THAN ADIDAS) FROM ENTIRE TEAMS,IT DID WELL TILL 1980S…<br />
  13. 13. WOES OF PUMA:<br />Just lile ADIDAS , PUMA did not keep up with the trends of the changing markets & quickly lost its position as a top sports footwear company.<br />There after puma shoes could only be found at discount prices & Puma began writing losses in 1986.<br />By 1989 the Dassler family sold its inherited shares to the trade group Cosa Liebermann<br />By early 1990 it was in a debt of $100 million & close to bankruptcy.<br />
  14. 14. Joining of Jochen Zeitz-1990youngest CEO in 1993.<br />VISION : “To turn Puma into the world’s most desirable sports lifestyle brand”<br />
  15. 15. PHASE 1 (1993-1997)<br />Restructuring.<br />Retrenchment.<br />Moving production to Asia.<br />Several warehouses were replaced by central distribution center.<br />
  16. 16. Phase 2 (1998-2001) & 3 (2002-2005)<br />Phase 2 concentrated on creating a new image for Puma,via marketing and product development,which would be the main driving force behind further growth.<br />Phase 3 focused on exploring the potential of the brand. New styles and designs were constantly being released.<br />
  17. 17. PROMOTION: ads were placed in magazines such as Vogue. New lines were created for running biking skateboarding and tennis.<br />ASSOCIATION: MANY African teams chose Puma as sponsor.<br />Cameroon went on to win the African Nations Cup 2000.<br />2002- Italian National Team,<br />Jamaican Olympics team.<br />2005- Swedish Team.<br />ACQUISITION: Acuired 25% stake in LogoAthletic in 1999 which had contracts with NFL.<br />REPOSITIONING: to keep their stylish image, shoes and fashion should not be found everywhere and only in limited quantities.<br />
  18. 18. PHASE 4 (2006-2010)<br />Expanding Puma into further new products & segments as well as new brands and new markets.<br />Sports partnership with Ducati.<br />Moved deeper into the luxury segment by including a golf collection<br />
  19. 19.
  20. 20. PPR ORGANIZATIONAL CHART AS OF DEC 31ST 2006.<br />
  21. 21. PPR BUYS PUMA IN A $7 BILLION DEAL…<br />Paris based PPR acquired a controlling stake in Puma via its subsidiary Sapardis which bought a 21% stake in Puma.<br /> PPR is the 3rd largest liuxury brand in the world and the takeover was a friendly one.<br />
  22. 22. THANK YOU<br />

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