The Origin Story of Nike

Activity 1: Let's Get Started! (Warm-up)

  • What are your initial thoughts or associations with the brand 'Nike'? How has it impacted sports or fashion globally?
  • Nike started with a focus on running shoes. What challenges might early entrepreneurs in the athletic footwear industry have faced?
  • Beyond just selling products, what makes a company an enduring 'iconic brand'? What long-term vision or diverse strategies are involved?

Activity 2: New words and phrases

Let's explore some key terms and phrases related to the sports industry, branding, and the founding story of Nike. Understanding these will help you discuss the topic more effectively.

1. Entrepreneur (noun): A person who organizes, operates, and assumes the risk for a business venture, typically demonstrating initiative and innovation.

Example: Phil Knight, a visionary entrepreneur, co-founded Nike with a passion for running and innovative footwear.

2. Innovation (noun): The introduction of new methods, ideas, or products; a new idea, method, or device.

Example: Nike's early success was driven by continuous innovation in shoe design, such as the Waffle Trainer.

3. Brand Identity (noun phrase): The visible elements of a brand, such as color, design, and logo, that together identify and distinguish the brand in consumers' minds.

Example: The iconic "Swoosh" logo is a cornerstone of Nike's strong and recognizable brand identity worldwide.

4. Endorsement (noun): A public statement or action made by a prominent person or organization expressing support for a product, service, or brand.

Example: Athlete endorsements played a crucial role in Nike's marketing strategy, boosting its credibility and appeal.

5. Marketing Campaign (noun phrase): A coordinated series of promotional efforts designed to achieve a specific business goal, such as increasing sales or brand awareness.

Example: Nike's "Just Do It" marketing campaign became a global phenomenon, inspiring millions and solidifying its brand message.

6. Supply Chain (noun phrase): The sequence of processes involved in the production and distribution of a commodity, from the raw material to the final consumer.

Example: Nike developed a sophisticated global supply chain to manufacture and distribute its vast range of athletic products efficiently.

7. Global Market (noun phrase): The worldwide market for goods and services, often characterized by international trade and competition.

Example: Nike's ambition from the start was to compete and dominate in the global market for athletic footwear and apparel.

8. Brand Loyalty (noun phrase): The tendency of some consumers to continue buying products or services from the same brand over time, often due to positive experiences, trust, and emotional connection.

Example: Through consistent quality and powerful messaging, Nike has cultivated immense brand loyalty among athletes and consumers alike.

Activity 3: Reading - Nike: From a Trunk to a Global Empire

Read the following passage about the early days of Nike and its transformation into a global sports giant, focusing on key innovations and business strategies that built its success. Pay attention to the concepts discussed.

The story of Nike, Inc., the world's leading supplier of athletic shoes and apparel, begins with a simple idea and an ambitious vision. In 1964, University of Oregon track athlete Phil Knight and his coach, Bill Bowerman, founded Blue Ribbon Sports (BRS). Knight, a middle-distance runner, saw an opportunity to import high-quality, low-cost running shoes from Japan to compete with the dominant German brands. Bowerman, known for his relentless pursuit of lighter, faster, and more durable running shoes, provided the innovative design expertise. Their initial business model involved selling shoes out of the trunk of Knight's car at track meets, a testament to their early entrepreneurial spirit.

BRS quickly gained a reputation for offering superior running shoes. A pivotal moment came in 1971 when the company decided to manufacture its own line of footwear. They needed a new name and a logo. Jeff Johnson, BRS's first full-time employee, suggested "Nike," named after the Greek goddess of victory. The iconic "Swoosh" logo was designed by Carolyn Davidson, a graphic design student, for a mere $35. This new brand identity was crucial as the company prepared to launch its innovative products.

Bowerman's inventive spirit led to groundbreaking designs. One famous example is the "Waffle Trainer," created in 1974. The idea reportedly came to Bowerman while he was eating breakfast and observed the grooves on his wife's waffle iron, realizing they could provide superior traction on running tracks. This innovation, along with others, gave Nike a significant competitive edge. The company's marketing strategy also began to evolve, focusing on athlete endorsement. Signing prominent athletes to wear and promote their shoes became a cornerstone of Nike's approach, connecting their brand with peak performance and success.

The late 1970s and 1980s saw Nike's rapid expansion into a global market. The launch of the "Air" cushioning technology in 1979 and the signing of basketball superstar Michael Jordan in 1984, leading to the creation of the Air Jordan line, propelled Nike into unprecedented levels of brand recognition and market penetration. The "Just Do It" marketing campaign, launched in 1988, became one of the most recognizable slogans in advertising history, resonating with a broad audience beyond just athletes. Through relentless innovation, strategic marketing campaigns, a focus on brand identity, and cultivating strong brand loyalty, Nike transformed from a small distributor into a global sports and lifestyle empire, demonstrating the power of combining athletic performance with aspirational branding.

Activity 4: Discussion

Now, let's discuss the following questions about the broader themes inspired by Nike's story. Use insights from the reading passage and your own thoughts to answer.

  • How do new ideas help a company lead its market?
  • Why are a strong brand and good marketing important for global success?
  • How do celebrity partnerships change how people see a brand?
  • What are the big challenges and chances in moving products worldwide?
  • How do businesses keep customers loyal for many years?