ORourke_Joshua_Milestone_Two.docx - Build a Better Running Shoe Joshua O'Rourke MBA-515 Milestone Two SWOT Analysis A SWOT analysis is simply a tool

ORourke_Joshua_Milestone_Two.docx - Build a Better Running...

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Build a Better Running Shoe Joshua O'Rourke MBA-515 Milestone Two
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SWOT Analysis A SWOT analysis is simply a tool used to assess areas where a company is performing well and identify those that a company need to build up (Harmon, 2019). The SWOT analysis should be used to determine a company’s strategy moving forward because it gives the company an awareness for its current state. For the purpose of this document, this SWOT analysis will focus on Under Armour’s distance running shoe specifically. This will include some of Under Armour’s company wide strengths, weaknesses, opportunities, and threats when those factors directly affect this segment of their products. Strengths Innovation. An ability to create new products or improve upon current products is the cornerstone of Under Armour. With technological breakthroughs for its products such as UA HOVR, Anafoam, UA Clutch Fit and Charged Cushioning Under Armour is always pushing for that next generation of products (Under Armour, 2017). Innovation allows a company to jump ahead of the competition. When Under Armour first appeared in 1996 with just a compression shirt with moisture wicking technology in the material, other brands were scrambling around to copy their product and produce their own (Shoeadmin, 2018). However, with legal barriers such as patents, these other are not able to copy Under Armour’s exact product, and therefore had to create inferior products. Under Armour’s strength of being able to create and improve its products allows it to be first to the new generation of products, and then prevent others from selling that same product. This ability to not just improve upon the company’s products but also prevent competition from improving makes innovation Under Armour’s greatest strength. 1
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Market demand. An insurmountable level of demand that no single company can satisfy. With close to 60 million people participating in a running event in the United States alone, the world demand that Under Armour operates in is substantially higher (Fuller). What having a demand this high allows Under Armour to do is charge higher prices for its products. Higher product prices mean an increase in net revenue which results in the ability to spend more on developing new technology for future products. The main purpose of any business is to make money. Being in a market with a demand like is a strength due its ability to generate the revenue required to keep up with the competition and in some cases get ahead of the competition. Price. When it comes to finding a decent pair of running shoes, there are plenty of cheap options on the market. But for the serious distance runner, a great pair of running shoes can get a bit pricey. This is where Under Armor can gain an edge compared to its main competition. Under Armour’s current top-of-the-line distance running shoe is the HOVR Infinite. It is the 2019 Runner’s World “Recommended” Award, and the only Under Armour running shoe to gain a Runner’s World award. Currently, it is available at only $120 (Men's UA HOVR™ Infinite
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