Challenges, Barriers and Key Issues
Female fitness has been considered as all those activities that women engage in so as to keep fit; these encompass all the activities in the gym as well as walking and running outdoors. By taking up this definition Nike is in the process of launching its new product which targets women fitness. The company is faced with new challenges as it sets out to launch its new product in the market. These challenges are briefly examined below.
The New Challenges
A Strong Market Orientation
The first challenge that Nike faces is the one arising from the shift in its focus from being product oriented to being market oriented. This shift in focus will call for corresponding shifts in strategies as well in the management style. If the launching of the new product is to have any impact then there is a need for a strong market orientation to be carried out. In order to achieve this Nike will have to go an extra mile and ensure that it has a good relationship with key customers with influence in product launching issues. Nike will also have to match contemporary market scene and position itself well to manage new markets.
Aware of Product Life Cycle
Nike will also be faced with the challenge of carefully and accurately analysing the market attitude (customer attitudes and needs) as this will determine product life cycle. This knowledge will enable Nike to concurrently develop products which can easily give way for speed entry of new products should there be a need for such a case due to shift in market attitude.
Supply Chain Development
Nike will be faced with another challenge of developing a supply chain that will ensure a smooth flow of its products. Due to the shift in the market orientation the old means of product distribution will no longer be valid. Actually, the old means of distributing products by creating stores within store is reported to be problematic thus the need to come up with an effective supply chain that will see the products distributed effectively to the market.
Providing Effective Semi-Virtual Team
Another challenge that Nike faces is developing an effective semi virtual team which will be much longer lasting. To achieve this Nike is faced with the challenge of seeking the right people to the team and assign roles and responsibilities correctly and appropriately. Interdepartmental conflicts are likely to surface as staff from different departments will be brought together. This presents Nike with the challenge of acquiring effective members and managing the team’s culture as they endeavour to launch the female products.
Other challenges which are foreseen to be likely obstacles to the success of launching the female products are: (1) the challenge of meeting unsatisfied demand by venturing into new market through increasing the company’s revenue. (2) Another challenge likely to be met is that of maintaining the existing Nike image in the new products to be launched. (3) Nike will also need to take into consideration factors such as functional costs when calculating the profitable price margins. The company will also need to ensure that R&D and marketer will provide the effective process and strategy respectively.