Nike Just Do It Before There Was Nike

Nike Just Do It

Before There Was Nike 1948 -Bill Bowerman is hired as University of Oregon’s track coach (1948 -1973) n 1957 -Bowerman meets Phil Knight, a runner on his track team n 1962 -Knight writes research paper at Stanford, goes on trip, and Blue Ribbon Sports is born n

Before There Was Nike cont. n n 1963 -Knight’s first shipment of Tiger arrives, 200 pairs of shoes 1964 -Knight and Bowerman team up in Blue Ribbon Sports (BRS) 1968 -First BRS store opened in Eugene, OR 1970 -Bowerman experiments with wife’s waffle maker, forever changing running shoes

Nike Is Born 1971 -Swoosh is created for a fee of $35 n 1971 -Jeff Johnson has a dream n 1973 -Steve Prefontaine becomes first major track athlete to wear Nike n 1976 -Nike shoes are seen on most athletes in Olympic time trials n 1978 -John Mc. Enroe signs with Nike n

Nike Is Evolving n n n 1979 -Nike Air cushioning is created 1981 -BRS merges with Nike 1984 -58 Nike-supported athletes take home 65 medals in L. A. Olympics 1985 -Nike signs Michael Jordan, AIR JORDAN is born 1988 -Just Do It ad is born 1990 -Present-Nike stores started opening, Nike World in Oregon, Nike Town in Oregon (1990) and New York (1996)

Nike Is Evolving cont. 1998 -Knight commits Nike to enforcing more strict manufacturing safety n 1999 -Co-founder Bill Bowerman dies n 2000 -Nike develops Swift Suit for Sydney Games n 2003 -International sales exceed U. S. sales n

How Is Nike Made? Knight decides to outsource and market n Japan-South Korea and Taiwan-Indonesia and China (1990) n Indonesia minimum wage barely $1 (1991) n Things got bumpy; foreign strikes and newspaper articles lead to Jeff Ballinger n

Jeff Ballinger vs Nike n n Labor activist hired to run Asian-American Free Labor Association office in Indonesia Ballinger felt that Nike mistreated foreign employees Spent years publishing information against Nike Went mostly unnoticed until the 1990 s, coincided with the strikes and people started paying attention

Outcry And Results n n n Government raised min. wage from 2100 to 2500 rupiah (roughly $1. 25) 1992 -Workers wages compared to Michael Jordan’s endorsement contract, it would take 44, 492 years to make the equivalent Protestors started assembling at events such as the Olympics and the opening of new Nike stores Doonesbury comic strip Michael Jordan and Jerry Rice hit by media

Andrew Young Knight hires Andrew Young in 1997 n Basically said they are doing good but need to do better n What about wages? n

1998 Nike was losing popularity n 1, 600 worker layoff n Schools started denying Nike as athletic supplier and students started protesting n Knight changes attitude n

How Is Nike Doing Now? Named “Advertiser of The Year” by the Cannes Advertising Festival (2003) n Phil Knight steps down as CEO but remains the chairman n Annual revenue over $12. 3 billion (2004) n Annual revenue of $13. 7 billion (2005) up 12% over previous year n