There are also cons to this marketing strategy Endorsements of major athletes

There are also cons to this marketing strategy

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There are also cons to this marketing strategy. Endorsements of major athletes is an expensive business which will have a great effect on the bottom line for a company like Nike. According to Barrabi, Michael Jordan was paid over $100 million dollars for endorsement deals by Nike in 2013 alone. A major risk of Nike's marketing strategy is that there can be issues with brand image if an athlete that is widely associated with the brand is shown to be involved in a scandal of any kind. The brand being so closely associated with one person may not always be the best approach. This was certainly true in 2011 when Tiger Woods was accused of being involved in a sex scandal. It not only damaged his reputation as a golfer but also the reputation of Nike as a company since they sponsored him. How to Compete With Adidas In order for Adidas to compete with Nike they must first begin by focusing resources on product development. The best course of action would be to gear the product development around one specific niche in the market, for example soccer boots, and perfect the item. After this is complete they must
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turn their attention to marketing this new product. A great place to start would be in emerging markets
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