1. Adidas in 2009: Has Corporate
Restructuring Increased Shareholder Value?
Assignment Questions
1. What is adidas’ corporate strategy? Was there a common strategic approach utilized in managing the
company’s lineup of sporting goods businesses prior to its 2005-2006 restructuring? Has the corporate
strategy changed with restructuring?
2. What is your evaluation of adidas’ line-up of businesses in 2009? What does a 9-cell industry
attractiveness/business strength matrix displaying adidas’ business units look like?
3. Does adidas’ business line-up exhibit good strategic fit? What value-chain match-ups exists? What
opportunities for skills transfer, cost sharing, or brand sharing are evident? Prior to its divestiture, what
kind of strategic fits existed between adidas’ core business and its Salomon business unit?
4. Has adidas’ business line-up exhibited good resource fit between 1998 and 2008? What have been
the financial characteristics of its major business segments during that time period? Which businesses
might have been considered cash hogs and cash cows?
5. Based on your analysis of adidas businesses, did the restructuring undertaken in 2005 and 2006
make sense? Does it appear the acquisition of Reebok International will produce higher returns for
shareholders? What strategic actions should adidas’ top management initiate to improve the company’s
financial and market performance now that restructuring is complete?
Case 11TEACHING NOTE