COMM 200: Gaming Experiential Learning (10 pts.)
Throughout this quarter we have discussed topics relating to culture and communication such as selection, perception, and interpretation. Write a two-page paper on your experiences, decisions, and the conflicts that arise when you engage in the game, Inside Disaster: http://www.insidedisaster.com/experience/Main.html. This interactive experience takes you into the Haiti earthquake that happened in 2010. You will be describe your experiences as a gamer and turn in your paper discussing your gaming experience on Moodle by Saturday, February 18, 11 pm.
Creating your gaming experiential learning paper:
1. Play Inside Disaster as all three of the different characters.
2. What challenges did each character face? How did you feel while playing the game as each character?
3. Take notes on the communication, goals, and interactions you see while playing Inside Disaster.
4. What did you learn about Haiti and the 2010 earthquake?
5. Discuss the story and perspectives of this game.
6. What were your thoughts and experiences of gaming before this assignment? How is this game different or similar to games you have previously played? Your papers should be two pages., double-spaced, 12 pt. font. Citations are encouraged.
Page 1
Group 4: Mark Keck Contribution
Instructor Merriman
MGMT479
February 9, 2017
Under Armour Strategic Audit (Team Suggestions)
Under Armour Current Situation
Current Financial Performance
18.1% increase net revenue over 2008, US$856,411,000
.71% decrease in gross margin in 2009 (attributed to liquidation of shoe inventory)
78% market share in the performance apparel clothing segment (UA created the segment)
94% of revenue generated from Canadian and domestic markets
Sports apparel industry down 4.3% as a whole due to recession
Strategic Position
Brand Mission:
“To make all athletes better through passion, science and the relentless pursuit of innovation.”
Objectives
Launch and establish a running shoe line to capture some of the $5 billion running shoe segment, and at least 3% of the $31 billion international branded footwear market
Strategies
Keep retail pricing aligned with competitors in apparel and foot wear
Policies
Strategic Managers
Board of Directors
8 Person Board of Directors including:
Kevin A. Plank, Chairman of the Board of Directors
Top Management
Kevin A. Plank, President & CEO
Wayne A. Marino, COO; Brad Dickerson, CFO
Henry B. Stafford, Senior VP of Apparel
Gene McCarthy, Senior VP of Footwear
Dan J. Sawall, VP of Retail
John S. Rogers, VP/General Manager of E-Commerce
J. Scott Plank, Executive VP Domestic and Global Business Development
External Environment
Natural Environment
Societal Environment
Sports apparel market is highly correlated to disposable income, recession had an industry wide negative net effect to revenues, recession ending
Primary target consumers for Under Armour are 15 to 25 year-old males. However recent trends show increases in female ...
COMM 200 Gaming Experiential Learning (10 pts.)Throughout thi.docx
1. COMM 200: Gaming Experiential Learning (10 pts.)
Throughout this quarter we have discussed topics relating to
culture and communication such as selection, perception, and
interpretation. Write a two-page paper on your experiences,
decisions, and the conflicts that arise when you engage in the
game, Inside Disaster:
http://www.insidedisaster.com/experience/Main.html. This
interactive experience takes you into the Haiti earthquake that
happened in 2010. You will be describe your experiences as a
gamer and turn in your paper discussing your gaming
experience on Moodle by Saturday, February 18, 11 pm.
Creating your gaming experiential learning paper:
1. Play Inside Disaster as all three of the different characters.
2. What challenges did each character face? How did you feel
while playing the game as each character?
3. Take notes on the communication, goals, and interactions you
see while playing Inside Disaster.
4. What did you learn about Haiti and the 2010 earthquake?
5. Discuss the story and perspectives of this game.
6. What were your thoughts and experiences of gaming before
this assignment? How is this game different or similar to games
you have previously played? Your papers should be two pages.,
double-spaced, 12 pt. font. Citations are encouraged.
Page 1
Group 4: Mark Keck Contribution
Instructor Merriman
MGMT479
February 9, 2017
Under Armour Strategic Audit (Team Suggestions)
2. Under Armour Current Situation
Current Financial Performance
18.1% increase net revenue over 2008, US$856,411,000
.71% decrease in gross margin in 2009 (attributed to liquidation
of shoe inventory)
78% market share in the performance apparel clothing segment
(UA created the segment)
94% of revenue generated from Canadian and domestic markets
Sports apparel industry down 4.3% as a whole due to recession
Strategic Position
Brand Mission:
“To make all athletes better through passion, science and the
relentless pursuit of innovation.”
Objectives
Launch and establish a running shoe line to capture some of the
$5 billion running shoe segment, and at least 3% of the $31
billion international branded footwear market
Strategies
Keep retail pricing aligned with competitors in apparel and foot
wear
Policies
Strategic Managers
Board of Directors
8 Person Board of Directors including:
Kevin A. Plank, Chairman of the Board of Directors
Top Management
Kevin A. Plank, President & CEO
Wayne A. Marino, COO; Brad Dickerson, CFO
Henry B. Stafford, Senior VP of Apparel
Gene McCarthy, Senior VP of Footwear
Dan J. Sawall, VP of Retail
3. John S. Rogers, VP/General Manager of E-Commerce
J. Scott Plank, Executive VP Domestic and Global Business
Development
External Environment
Natural Environment
Societal Environment
Sports apparel market is highly correlated to disposable income,
recession had an industry wide negative net effect to revenues,
recession ending
Primary target consumers for Under Armour are 15 to 25 year-
old males. However recent trends show increases in female and
older age segment of the sporting apparel and gear market
Task Environment
Rivalry
Though Under Armour controls 78% of market share in
performance sports apparel, rivalry is intense because the
market is fragmented by Nike, Addidas and Champion who are
large competitors.
The switching cost is fairly low at consumer and retail level
with all major competitors already controlling shelf space at
retail and the relatively low cost to consumers for purchasing
the sports apparel.
Manufacturing is outsourced by all competitors eliminating
drastic differences in product or product manufacturing quality.
Brand identity is a big factor in rivalry as some people favor
brands and the product is branded. Under Armour established
the segment of apparel, but Nike has much larger brand equity.
Performance sports apparel is an under-developed segment
globally
Under Armour wants to be a competitor in the larger, more
competitive branded footwear segment worth $31 billion
annually
Threat of Substitutes
Under Armour and its largest competitors have brand equity to
4. create price inelasticity. Consumers prefer and place value on
Under Armour brand. There are substitutes for the performance
sports apparel products, but none offer the same benefits of
temperature control, and weight advantage.
Buyer Power
Buyer Power is of little significance to the overall sale of goods
because individual consumers do not form large centralized
buying groups. Retailers may play a part through exclusivity
agreements, but consumers dictate different brands due to brand
preference at retail as well. Buying Power exerted by large
organizations like the NFL, MLB, or NCAA, can create a shift
in the balance of advertising power by shifting consumer brand
preference (co-branding).
Supplier Power
Supplier power can be exerted by suppliers of Under Armour.
Performance sports apparel brands all outsource the
manufacturing of their products. The sporting apparel and gear
industry seems to work on outsourcing of manufacturing.
Threats of New Entrants
Outsourcing of manufacturing allows for any existing sports
brand to enter the segment of performance sports apparel.
Outsourcing of athletic branded footwear also makes entry into
the branded footwear segment relatively simple for a large
product brand. All trade barriers and agreements affect major
sports brands the same in regards to importing outsourced
manufactured goods. Entry by new companies would be more
difficult because of the time needed and capital for advertising
to develop a consumer brand.
Internal Environment
Corporate Structure
Under Armour’s CEO and Chairman of the Board of Directors
started the company as a college athlete, that designed a new
undershirt to help him stay cooler, wick sweat, and minimize
weight. The company’s humble beginning started with a
$17,000 personal investment and with the support influencer
5. athletes and Hollywood has grown into one of the most
recognizable names in sporting goods. Under Armour is now a
publically traded company operated in the United States,
headquartered in Baltimore, Maryland.
Company Culture
Under Armour was built and continues to operate with the
influences of football. The organization uses football terms to
describe daily activities (Ex. Huddles, manage the clock, and
execute the play). The culture is aggressive and highly
competitive much like in football, with Under Armour seeking
an offensive position to take on larger competition like Nike.
Corporate Resources
Marketing
The market for sports apparel and gear is primarily young
males, and sports oriented and/or the active and health
conscious consumer. Females and older people are beginning to
uptrend in the purchase of sports apparel and gear, however the
primary target consumer for Under Armour is 15 to 25-year-old
males.
Under Armour uses professional athletes as influencers for
consumer groups. Under Armour spends its marketing budget on
athlete influencers (endorsements), print, digital and television
ads, and payments to college teams to wear Under Armour
products.
Advertising Campaigns were: “Protect this House”, “Click-
Clack, I Think You Hear Us Coming”, “Athletes Run”, and
“Protect This House, I Will”
78% of revenues were generated inside the US in 2009
Retail Channels consisted of Dick’s Sporting Goods and Sports
Authority accounting for 30% of wholesale distribution. Also
sold products through a variety of sporting goods stores.
Distribution channels included independent and specialty
retailers, institutional athletic departments, leagues and teams,
Under Armour Stores and a company website.
6. Finance
Revenues for the company are reported in four segments:
apparel, footwear, accessories, and licensing. Under Armour
experienced a .71% decrease in gross profit margin due to
liquidation of shoe inventory. Under Armour historically
experiences strong 3rd and 4th quarters due to seasonality (fall
football season).
R&D
Operations
Manufacturing is outsourced largely by contract to
manufacturers in Asia and Latin America. A procurement team
evaluates potential manufacturers verifying quality, social
responsibility, and financial strength before contracting.
Manufacturers procure raw materials for production. Under
Armour warehouses finished goods in one of two storage
facilities.
Under Armour also operates a 17,000 square foot manufacturing
facility in Maryland. The purpose of the small facility is to
provide fast, high quality products for high profile athletes
requiring special orders. The small facility’s expense of
operation in handled as a marketing expense.
Human Resources
Under Armour employs approximately 3,000 non-union
workers. Roughly half of Under Armour’s employees work in
the company owed production facility and Under Armour
company owned stores. The other half work in Under Armour
distribution facilities.
Analysis of Strategic Factors
SWOT Analysis Here
Will complete SWOT analysis by Monday evening.
Review of Current Missions and Objectives
7. Attempting to capture 3% of global branded footwear market
($31 billion)
Strategic Alternatives and Recommended Strategy
Strategic Alternatives
· Most importantly pursue a global presence for performance
sports apparel establishing Under Armour as the preferred brand
to Nike.
· Design a comfortable shoe as part of product offering, but to
not try to re-invent the wheel. A comfortable running shoe
designed to match the colors of existing Under Armour apparel.
· Allow building global brand for performance sports apparel to
establish Under Armour in the branded footwear market.
Recommended Strategy
Implementation
Evaluation and Control
MGMT479 Strategic Audit/MGMT479- Strategic Audit- Marcus
Keck.docx
Page 1
Group 4: Mark Keck Contribution
Instructor Merriman
MGMT479
February 9, 2017
Under Armour Strategic Audit (Team Suggestions)
Under Armour Current Situation
Current Financial Performance
18.1% increase net revenue over 2008, US$856,411,000
8. .71% decrease in gross margin in 2009 (attributed to liquidation
of shoe inventory)
78% market share in the performance apparel clothing segment
(UA created the segment)
94% of revenue generated from Canadian and domestic markets
Sports apparel industry down 4.3% as a whole due to recession
Strategic Position
Brand Mission:
“To make all athletes better through passion, science and the
relentless pursuit of innovation.”
Objectives
Launch and establish a running shoe line to capture some of the
$5 billion running shoe segment, and at least 3% of the $31
billion international branded footwear market
Strategies
Keep retail pricing aligned with competitors in apparel and foot
wear
Policies
Strategic Managers
Board of Directors
8 Person Board of Directors including:
Kevin A. Plank, Chairman of the Board of Directors
Top Management
Kevin A. Plank, President & CEO
Wayne A. Marino, COO; Brad Dickerson, CFO
Henry B. Stafford, Senior VP of Apparel
Gene McCarthy, Senior VP of Footwear
Dan J. Sawall, VP of Retail
John S. Rogers, VP/General Manager of E-Commerce
J. Scott Plank, Executive VP Domestic and Global Business
Development
9. External Environment
Natural Environment
Societal Environment
Sports apparel market is highly correlated to disposable income,
recession had an industry wide negative net effect to revenues,
recession ending
Primary target consumers for Under Armour are 15 to 25 year-
old males. However recent trends show increases in female and
older age segment of the sporting apparel and gear market
Task Environment
Rivalry
Though Under Armour controls 78% of market share in
performance sports apparel, rivalry is intense because the
market is fragmented by Nike, Addidas and Champion who are
large competitors.
The switching cost is fairly low at consumer and retail level
with all major competitors already controlling shelf space at
retail and the relatively low cost to consumers for purchasing
the sports apparel.
Manufacturing is outsourced by all competitors eliminating
drastic differences in product or product manufacturing quality.
Brand identity is a big factor in rivalry as some people favor
brands and the product is branded. Under Armour established
the segment of apparel, but Nike has much larger brand equity.
Performance sports apparel is an under-developed segment
globally
Under Armour wants to be a competitor in the larger, more
competitive branded footwear segment worth $31 billion
annually
Threat of Substitutes
Under Armour and its largest competitors have brand equity to
create price inelasticity. Consumers prefer and place value on
Under Armour brand. There are substitutes for the performance
sports apparel products, but none offer the same benefits of
10. temperature control, and weight advantage.
Buyer Power
Buyer Power is of little significance to the overall sale of goods
because individual consumers do not form large centralized
buying groups. Retailers may play a part through exclusivity
agreements, but consumers dictate different brands due to brand
preference at retail as well. Buying Power exerted by large
organizations like the NFL, MLB, or NCAA, can create a shift
in the balance of advertising power by shifting consumer brand
preference (co-branding).
Supplier Power
Supplier power can be exerted by suppliers of Under Armour.
Performance sports apparel brands all outsource the
manufacturing of their products. The sporting apparel and gear
industry seems to work on outsourcing of manufacturing.
Threats of New Entrants
Outsourcing of manufacturing allows for any existing sports
brand to enter the segment of performance sports apparel.
Outsourcing of athletic branded footwear also makes entry into
the branded footwear segment relatively simple for a large
product brand. All trade barriers and agreements affect major
sports brands the same in regards to importing outsourced
manufactured goods. Entry by new companies would be more
difficult because of the time needed and capital for advertising
to develop a consumer brand.
Internal Environment
Corporate Structure
Under Armour’s CEO and Chairman of the Board of Directors
started the company as a college athlete, that designed a new
undershirt to help him stay cooler, wick sweat, and minimize
weight. The company’s humble beginning started with a
$17,000 personal investment and with the support influencer
athletes and Hollywood has grown into one of the most
recognizable names in sporting goods. Under Armour is now a
publically traded company operated in the United States,
11. headquartered in Baltimore, Maryland.
Company Culture
Under Armour was built and continues to operate with the
influences of football. The organization uses football terms to
describe daily activities (Ex. Huddles, manage the clock, and
execute the play). The culture is aggressive and highly
competitive much like in football, with Under Armour seeking
an offensive position to take on larger competition like Nike.
Corporate Resources
Marketing
The market for sports apparel and gear is primarily young
males, and sports oriented and/or the active and health
conscious consumer. Females and older people are beginning to
uptrend in the purchase of sports apparel and gear, however the
primary target consumer for Under Armour is 15 to 25-year-old
males.
Under Armour uses professional athletes as influencers for
consumer groups. Under Armour spends its marketing budget on
athlete influencers (endorsements), print, digital and television
ads, and payments to college teams to wear Under Armour
products.
Advertising Campaigns were: “Protect this House”, “Click-
Clack, I Think You Hear Us Coming”, “Athletes Run”, and
“Protect This House, I Will”
78% of revenues were generated inside the US in 2009
Retail Channels consisted of Dick’s Sporting Goods and Sports
Authority accounting for 30% of wholesale distribution. Also
sold products through a variety of sporting goods stores.
Distribution channels included independent and specialty
retailers, institutional athletic departments, leagues and teams,
Under Armour Stores and a company website.
Finance
Revenues for the company are reported in four segments:
apparel, footwear, accessories, and licensing. Under Armour
12. experienced a .71% decrease in gross profit margin due to
liquidation of shoe inventory. Under Armour historically
experiences strong 3rd and 4th quarters due to seasonality (fall
football season).
R&D
Operations
Manufacturing is outsourced largely by contract to
manufacturers in Asia and Latin America. A procurement team
evaluates potential manufacturers verifying quality, social
responsibility, and financial strength before contracting.
Manufacturers procure raw materials for production. Under
Armour warehouses finished goods in one of two storage
facilities.
Under Armour also operates a 17,000 square foot manufacturing
facility in Maryland. The purpose of the small facility is to
provide fast, high quality products for high profile athletes
requiring special orders. The small facility’s expense of
operation in handled as a marketing expense.
Human Resources
Under Armour employs approximately 3,000 non-union
workers. Roughly half of Under Armour’s employees work in
the company owed production facility and Under Armour
company owned stores. The other half work in Under Armour
distribution facilities.
Analysis of Strategic Factors
SWOT Analysis Here
Will complete SWOT analysis by Monday evening.
Review of Current Missions and Objectives
Attempting to capture 3% of global branded footwear market
($31 billion)
13. Strategic Alternatives and Recommended Strategy
Strategic Alternatives
· Most importantly pursue a global presence for performance
sports apparel establishing Under Armour as the preferred brand
to Nike.
· Design a comfortable shoe as part of product offering, but to
not try to re-invent the wheel. A comfortable running shoe
designed to match the colors of existing Under Armour apparel.
· Allow building global brand for performance sports apparel to
establish Under Armour in the branded footwear market.
Recommended Strategy
Implementation
Evaluation and Control
MGMT479 Strategic Audit/MGMT479- Strategic Audit- Marcus
Keck(1).docx
Page 1
Group 4: Mark Keck Contribution
Instructor Merriman
MGMT479
February 9, 2017
Under Armour Strategic Audit (Team Suggestions)
Under Armour Current Situation
Current Financial Performance
18.1% increase net revenue over 2008, US$856,411,000
.71% decrease in gross margin in 2009 (attributed to liquidation
of shoe inventory)
78% market share in the performance apparel clothing segment
(UA created the segment)
14. 94% of revenue generated from Canadian and domestic markets
Sports apparel industry down 4.3% as a whole due to recession
Strategic Position
Brand Mission:
“To make all athletes better through passion, science and the
relentless pursuit of innovation.”
Objectives
Launch and establish a running shoe line to capture some of the
$5 billion running shoe segment, and at least 3% of the $31
billion international branded footwear market
Strategies
Keep retail pricing aligned with competitors in apparel and foot
wear
Policies
Strategic Managers
Board of Directors
8 Person Board of Directors including:
Kevin A. Plank, Chairman of the Board of Directors
Top Management
Kevin A. Plank, President & CEO
Wayne A. Marino, COO; Brad Dickerson, CFO
Henry B. Stafford, Senior VP of Apparel
Gene McCarthy, Senior VP of Footwear
Dan J. Sawall, VP of Retail
John S. Rogers, VP/General Manager of E-Commerce
J. Scott Plank, Executive VP Domestic and Global Business
Development
External Environment
Natural Environment
15. Societal Environment
Sports apparel market is highly correlated to disposable income,
recession had an industry wide negative net effect to revenues,
recession ending
Primary target consumers for Under Armour are 15 to 25 year-
old males. However recent trends show increases in female and
older age segment of the sporting apparel and gear market
Task Environment
Rivalry
Though Under Armour controls 78% of market share in
performance sports apparel, rivalry is intense because the
market is fragmented by Nike, Addidas and Champion who are
large competitors.
The switching cost is fairly low at consumer and retail level
with all major competitors already controlling shelf space at
retail and the relatively low cost to consumers for purchasing
the sports apparel.
Manufacturing is outsourced by all competitors eliminating
drastic differences in product or product manufacturing quality.
Brand identity is a big factor in rivalry as some people favor
brands and the product is branded. Under Armour established
the segment of apparel, but Nike has much larger brand equity.
Performance sports apparel is an under-developed segment
globally
Under Armour wants to be a competitor in the larger, more
competitive branded footwear segment worth $31 billion
annually
Threat of Substitutes
Under Armour and its largest competitors have brand equity to
create price inelasticity. Consumers prefer and place value on
Under Armour brand. There are substitutes for the performance
sports apparel products, but none offer the same benefits of
temperature control, and weight advantage.
Buyer Power
Buyer Power is of little significance to the overall sale of goods
because individual consumers do not form large centralized
16. buying groups. Retailers may play a part through exclusivity
agreements, but consumers dictate different brands due to brand
preference at retail as well. Buying Power exerted by large
organizations like the NFL, MLB, or NCAA, can create a shift
in the balance of advertising power by shifting consumer brand
preference (co-branding).
Supplier Power
Supplier power can be exerted by suppliers of Under Armour.
Performance sports apparel brands all outsource the
manufacturing of their products. The sporting apparel and gear
industry seems to work on outsourcing of manufacturing.
Threats of New Entrants
Outsourcing of manufacturing allows for any existing sports
brand to enter the segment of performance sports apparel.
Outsourcing of athletic branded footwear also makes entry into
the branded footwear segment relatively simple for a large
product brand. All trade barriers and agreements affect major
sports brands the same in regards to importing outsourced
manufactured goods. Entry by new companies would be more
difficult because of the time needed and capital for advertising
to develop a consumer brand.
Internal Environment
Corporate Structure
Under Armour’s CEO and Chairman of the Board of Directors
started the company as a college athlete, that designed a new
undershirt to help him stay cooler, wick sweat, and minimize
weight. The company’s humble beginning started with a
$17,000 personal investment and with the support influencer
athletes and Hollywood has grown into one of the most
recognizable names in sporting goods. Under Armour is now a
publically traded company operated in the United States,
headquartered in Baltimore, Maryland.
Company Culture
Under Armour was built and continues to operate with the
17. influences of football. The organization uses football terms to
describe daily activities (Ex. Huddles, manage the clock, and
execute the play). The culture is aggressive and highly
competitive much like in football, with Under Armour seeking
an offensive position to take on larger competition like Nike.
Corporate Resources
Marketing
The market for sports apparel and gear is primarily young
males, and sports oriented and/or the active and health
conscious consumer. Females and older people are beginning to
uptrend in the purchase of sports apparel and gear, however the
primary target consumer for Under Armour is 15 to 25-year-old
males.
Under Armour uses professional athletes as influencers for
consumer groups. Under Armour spends its marketing budget on
athlete influencers (endorsements), print, digital and television
ads, and payments to college teams to wear Under Armour
products.
Advertising Campaigns were: “Protect this House”, “Click-
Clack, I Think You Hear Us Coming”, “Athletes Run”, and
“Protect This House, I Will”
78% of revenues were generated inside the US in 2009
Retail Channels consisted of Dick’s Sporting Goods and Sports
Authority accounting for 30% of wholesale distribution. Also
sold products through a variety of sporting goods stores.
Distribution channels included independent and specialty
retailers, institutional athletic departments, leagues and teams,
Under Armour Stores and a company website.
Finance
Revenues for the company are reported in four segments:
apparel, footwear, accessories, and licensing. Under Armour
experienced a .71% decrease in gross profit margin due to
liquidation of shoe inventory. Under Armour historically
experiences strong 3rd and 4th quarters due to seasonality (fall
football season).
18. R&D
Operations
Manufacturing is outsourced largely by contract to
manufacturers in Asia and Latin America. A procurement team
evaluates potential manufacturers verifying quality, social
responsibility, and financial strength before contracting.
Manufacturers procure raw materials for production. Under
Armour warehouses finished goods in one of two storage
facilities.
Under Armour also operates a 17,000 square foot manufacturing
facility in Maryland. The purpose of the small facility is to
provide fast, high quality products for high profile athletes
requiring special orders. The small facility’s expense of
operation in handled as a marketing expense.
Human Resources
Under Armour employs approximately 3,000 non-union
workers. Roughly half of Under Armour’s employees work in
the company owed production facility and Under Armour
company owned stores. The other half work in Under Armour
distribution facilities.
Analysis of Strategic Factors
SWOT Analysis Here
Will complete SWOT analysis by Monday evening.
Review of Current Missions and Objectives
Attempting to capture 3% of global branded footwear market
($31 billion)
Strategic Alternatives and Recommended Strategy
Strategic Alternatives
· Most importantly pursue a global presence for performance
sports apparel establishing Under Armour as the preferred brand
19. to Nike.
· Design a comfortable shoe as part of product offering, but to
not try to re-invent the wheel. A comfortable running shoe
designed to match the colors of existing Under Armour apparel.
· Allow building global brand for performance sports apparel to
establish Under Armour in the branded footwear market.
Recommended Strategy
Implementation
Evaluation and Control
MGMT479 Strategic Audit/Under Armour-Stategic Audit-
Leonor Glz_.pptx
Case 20: Under Armour
Group 4: Leonor Gonzalez Lopez
Marcus Keck
Ayrizona Sharpe
Miko Smith
Background info:
Kevin A. Plank, founder and CEO of Under Armour (UA)
Incorporated in July 1996 Based in Baltimore, Maryland
Under Armour is engaged in the development, marketing and
distribution of branded performance apparel, footwear and
accessories for men, women and youth.
UA has 140 factory house stores in the USA. 10 brand house
20. stores in USA. The company sells its apparel, footwear, and
accessories through retailers, websites, and independent
distributors in certain European, Latin American, and Asia-
Pacific countries.
Current Situation:
Under Armour’s main focus is to “make all athletes better
through passion, design, and relentless pursuit of innovation”.
UA’s goal is to empower athletes everywhere, which is a
successful approach. The company is constantly putting out new
merchandise for consumers to outcompete their biggest
competitors.
UA’s objective is to have “universal guarantee of performance”.
Strategic Managers
Board of Directors:
8 Chairman
Including CEO, Kevin Plank
Top Management:
Kevin Plan, President & CEO
Wayne Marino, COO
Brand Dickerson, CFO
Henry Stafford, Senior Vice Pres. of Apparel
Gene McCarthy, Senior Vice Pres. of Footwear
Dan Sawal, Vice Pres. of Retail
John Rogers, Vice Pres. General Manager of E-Commerce
J. Scott Plank , Exec. VP Domestic & Global Business
Development
21. External Environment
Competitive rivalry: UA has two large rivals Nike and Adidas.
Both own a large portion of the market share.
The competitive rivalry within the industry is medium to high.
Bargaining power of suppliers.
The strength of suppliers bargaining power is low since UA is
able to manufacture productts in different countries.
Buyers bargaining power
Due to a significant presence of Under Armour’s product in
various retail stores in US has made the bargaining power of
consumers to be medium.
The Porter’s five forces model will be used to analyze the the
competitive dynamics of the sports apparel industry.
External Environment
Threats of new entrants:
a: The barriers to entry are strong due to the brand loyalty.
Companies require large amounts of capital in order to compete
since the sport apparel industry requires a large amount of
resources such as brand advertisement and endorsement.
22. Threats of substitute products:
a: Pressure from sellers of substitute products are high due to
significant increase in demand for performance apparel.
Internal Environment
Resources:
Brand name
Many product lines
Working strategy based on innovation technology.
Strategic marketing
Capabilities:
The influencers and contacts that Plank gained while at Fork
Union Military Academy
Football dominated the company’s product categories
Internal Environment
Core Competencies
The aggressive tone that Plank set to be competitive
The company vision “The athletic brand of this generation. And
Next.”
The brand mission “To make all athletes better through passion,
science and the relentless pursuit of innovation
Analysis of Strategic Factors: