Nike’s strategy evaluation

2. Written Assignment 1: Strategy categorisation (20%)

You are required to submit an individually prepared report of up to 600 words in response to the questions below [list of organisations TBC in class in week 1].

•           Briefly state the organisation’s strategy in approximately 35 words, based on your application of Collis and Rukstad’s methodology

•           Categorise the organisation’s strategy, using at least two appropriate models and frameworks

            U51035 Module Guide

3. Written Assignment 1: Strategy evaluation (60%)

You are required to submit an individually prepared report of up to 1800 words which analyses and evaluates the business strategy of an organisation from the list agreed in class in week 1.

Assignment Task

Select an organisation from the list provided [week 1] and evaluate its strategy:

•           Briefly re-state the organisation’s strategy in approximately 35 words, based on your application of Collis and Rukstad’s methodology

•           Critically evaluate the organisation’s strategy. This should include its long term objectives, the position within the competitive environment, and the resources and capabilities of the organisation as well as the suitability, acceptability and feasibility of the strategy.


In 1972, Philip Knight and Bill Bowerman founded Nike Inc. a sports and fitness enterprise. Nike has its center of operations based in Beaverton, Oregon. Over the years Nike has expanded to become a global entity with approximately one million employees operating on six continents. The employees include suppliers, shippers, retailers and service providers. The company is involved in manufacturing as well as a marketing of its products. The diversity that exists in the company has enabled it to evolve and achieve vast economies of scale. The company has subsidiary entities such as Converse and Hurley International (Hanrahan). The company investments require strategic management efforts that lead to achievement of viable business with improved labor approaches. The Nike organization has its bases on use of technology and design to produce high-performance sportswear that is fashionable to expand its pool of potential customers (Hanrahan). This paper contains a detailed review of various Nike reports and research findings to evaluate strategy used by Nike Inc.

Collis and Rukstad state that companies that lack simple and clear statements of strategy face the possibility of encountering failure of the executive strategy. The two authors advocate for a 35 or fewer word summary of the company strategy. The statement is supposed to capture the strategy and consequently offer motivation and energize company members to work in achieving the long-term financial performance of the company (Collis and Rukstad). Additionally, Collis and Rustad state that executives and major employees are oftenly frustrated when a company lacks a clear strategy to be followed in its line of business.

Nike’s strategy according to the Collis and Rukstad’s methodology

The Nike Inc. strategy can be stated as follows with regards to the Collis and Rukstad’s methodology. “The focus of the company is to create the world’s most advanced products for customers across the world by changing the approach of the company to corporate responsibility in the modern marketplace” (Nike, Inc.).

Evaluation of Nike’s strategy

Company strategies show the direction of an organization and help managers to add value in areas of product diversity, geographical coverage and consumer expectations (Payne). A clear evaluation of an organization’s strategy is essential because it makes it easier to formulate strategy since executives know what to expect, and implementation becomes simpler because the importance of the strategy can be easily communicated to everyone in the company (Collis and Rukstad). Clarity in mission statements is an important aspect of a company’s strategy. Collis and Rukstad state that the mission statement describes the underlying motivation for the company engaging in business as well as the contribution the company is willing to make to the community….

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