Authorizers: governments, trade associations, shareholders and the Executive Board. There are two types of stakeholders; internal and external, with different interests and priorities. The ultimate purpose of integrated marketing communication is to develop and maintain a healthy relationship between the company and its stakeholders primarily customers. Copyright 2003-2022 | Academic Master is a trading name of HighEnd Technologies LTD. Every essay on this website is copyrighted by Academic Master. It is a maker of sports apparel and shoes. It tells customers what they want and then makes that value readily available. We analyze the Nike case in order to study how stakeholders' pressure shapes a firm's engagement in CSR issues. Shareholders are always stakeholders in a corporation, but stakeholders are not always shareholders. To effectively manage stakeholder communications you need to track, extract, and report. Define sustainability strategies, goals and policies in consultation with key stakeholders. In February 2004, Nike held its first stakeholder forum with a broad group of internal and external stakeholders to address current and emerging issues. The Nike Community Ambassador Program, allows Nike employees from around the world to go out and give to their community. Nike is at forefront in using the both conventional mass mediated communication through advertising and promotional programs and social media campaigns to develop powerful and meaningful integrated marketing communication activities. Marketing communication especially integrated marketing communication is not merely an advertising approach rather it is a managed and planned strategic tool for the businesses that can bring the business successful brand identity and brand equity. Who are the 5 main stakeholders in a business? Are The Nike Air Max 97 Good For Running? "we're working to engage a conversation on environmental and social issues, one that resonates with conscious consumers, and also with important stakeholder groups like nongovernmental. What type of communication does Nike use? Employees. With a global presence, they can create ads that people around the world can identify with, helping Nike communicate their values and mission to contribute to a better world. The communication process refers to a series of actions or steps taken in order to successfully communicate. 4. Internal branding and communication strategy: The communication strategy of any organization needs to be in line to the product and services it produces. This approach has helped Nike build a strong and loyal following, and it is likely to continue to be a key factor in the companys success in the future. Nikes mission statement is, To bring inspiration and innovation to every athlete in the world. And as co-founder Bill Bowerman once said, If you have a body, you are an athlete.. Its internal and external strategies confirm with the needs of the modern . Twitter, Facebook, Instagram; these are one of the main social media platforms that The Latest Innovations That Are Driving The Vehicle Industry Forward. Through the GRI, Nike is also working with other stakeholder groups to help develop a common reporting framework and sector supplement for our industry. Nike has been considered as one of the ultimate sports products brand especially for its revolutionary products if athlete footwear. This number is ever-growing, as Nike expands its reach to new markets every year. This particular method enables the company to relay information to its employees in an engaging and exciting way. Nike can make a internal official letter to inform the employees if a problem occurs and to let them know what they have to do and what procedure they have to follow. Tesco communicate with their customers through a variety of ways. In order to communicate their message, Nike adopts a tone of voice that is both informative and persuasive. Nike collects feedback from suppliers through Better Buying, an anonymous rating initiative that collects supplier feedback on purchasing practices. Nike engages with its stakeholders through various forums and organisations. Cotton accounts for 12.34% of all insecticide sales and 3.94% of herbicide sales, even though cotton covers only 2.78% of global arable land. For most of the businesses it is vital to have stakeholder groups because it may affect business efficiency, may increase sales, or even it may help for the business to reach its aims and objectives more effectively. Nike relies heavily on advertisements to promote their products, especially those featuring high-profile athletes and celebrities. What Are the Benefits and Drawbacks of Data Rooms? Investors are another important stakeholder group for Nike. To ensure all external stakeholders are accounted for, it was important to break them into categories based on their level of interest and influence they have. Participants included: *Individuals participated not as representatives of their organization. 3 Does Nike have a good relationship with stakeholders? The marketing communication with an integrated approach builds a high-profile for the brand that contributes to the esteem of the business. Nike used some organic cotton and Better Cotton . The stakeholder group of communities has a significant influence on Nikes corporate social responsibility standing. These CSR efforts are expected to maximize Nikes ability to produce more popular and advanced athletic footwear, apparel and equipment. (2011). Nike engages with its stakeholders through various forums and organisations. Download Save. **Nike was part of the public release of the Fair Labor Associations first monitoring report, and the FLA annual report. CRM programs implemented by Nike are mainly operational and strategic. Does Nike have a good relationship with stakeholders? Overall, Nikes tone of voice is friendly and helpful. Integrated Marketing Communication: A Business Process. How does Nike communicate with their customers? **Nike invited students selected by an independent university task force to participate in contract factory monitoring and then posted their unedited reports on the companys website. The customers is the stakeholder most important, the customer can help the company . On nikeresponsibility.com and in its backgrounders (attached), Nike addresses issues and initiatives related to workers and contract factories making Nike-branded products (code of conduct, code leadership standards, tiered monitoring system, independent/external monitoring, new source approval process, balance scorecard and remediation plans); environmental sustainability (long-term goals, climate change, water quality standards, elimination of organic solvents and sustainable product innovation); partnerships with the Fair Labor Association and the Global Alliance for Workers and Communities; commitment to increasing youth physical activity; community investments to increase the participation of young people in physical activity to improve their lives and to develop innovative solutions that address the challenges of globalization faced by women and girls; and Nikes work toward internal and supplier diversity. The company also has corporate social responsibility policies for improving labor management and environmental impact. Internal stakeholders are for example employees, managers and shareholders (owners). Nike employees use sporting metaphors for carrying out their everyday business. It involves several components such as the sender of the communication, the actual message being sent, the encoding of the message, the receiver and the decoding of the message. The strategy has a broad scope: the situational analysis is identified, key stakeholders and listed . In some instances, Nike supplements overall contract factory compensation by partially sponsoring after hours education programs in select footwear contract factories; and health education, management and life skills training, and mobile health clinics in select contract factories through its partnership with the Global Alliance for Workers and Communities. Nike is a company that has built its success on the backs of its employees. Over 3,900 employees from various Nike stores have participated in teaching children to be active and healthy. The company began mass mediated advertising in 1982 and continuously redevised and refined its marketing communication strategies. These considerations indicate that Nike Inc. satisfies the concerns of interest groups as stakeholders. After compiling thousands of independent employee reviews from companies around the United States, CareerBliss announces the 8th annual CareerBliss 50 Happiest Companies in America. On the other hand, Nike also exports to Japan, Malaysia, Singapore, and UK. Nike was affiliated in footwear, sportswear, apparel of golf and team uniform on 1972 until now. Accessibility and distribution. Nike uses videos for internal branding and communication to its employees. #1 Customers. Diversification:Diversification is the least significant in Nikes intensive strategies for growth. Besides Instagram, Nike communicate with their customers through email subscriptions. #5 Communities. Public , Your email address will not be published. Twitter appears to be the core platform in which Nike used to communicate important information to customers and the public. Nike is a publicly traded company, meaning that it is beholden to its shareholders and must answer to them in order to continue to operate. Nike has the following stakeholders, arranged according to the firms prioritization: Customers. The strategy should communicate to the customers and the internal employees the mission of the organization and the values it stands for. These Community Impact programs align with Nikes mission and vision statementsin considering everyone an athlete. Nike has developed a strong brand identity that is associated with quality, performance, and innovation. Marketing communication strategy is a comprehensive plan that contains the specific elements that intend to address a company's intended marketing communication mix and how they will be used to achieve the set goals. Nike actively communicates with its stakeholders and encourages their feedback. Nike has to communicate in its website in order to inform the consumers and the employees. It allows you to build value directly based on the customer experience. March 25, 2016. Does Nike have a good relationship with employees? Sainsbury's communication strategy comprises most of the elements of popular communication strategy that include advertisement, letters, newsletters, oral communication, company magazine, formal letters, reports, news conferences, new releases etc. For Nikes business reputation, it was important to be vigilant with communication to external stakeholders to ensure all external contractors and other stakeholders are satisfied. Nike uses a variety of methods to communicate with its employees. The project illustrates communication process in Adidas, which is used to group and give out information and managerial data. Communication with stakeholders is how people invested in a business, or project, can communicate. Its tweets are short, punchy, compelling, and nearly always include the hashtag #justdoit or other community-building hashtags like #nikewomen. Nike runs dozens of sports training . How does Nike communicate with their employees? Transformational advertising help differentiating the product when the consumers are suggested the types of enjoyable experiences they might have using the advertised products and services being advertised (Belch & Belch, 2012. A stakeholder is a party that has an interest in a company and can either affect or be affected by the business. The strategy should communicate to the customers and the internal employees the mission of the organization and the values it stands for. The report finds the current business communication strategies provided by the company successful. The company along with the strong presence over all the social media including youtube, Facebook, twitter and other s has its own social netrking site known as Nike+. Nike also has a blog called NikeVoice which is a blog for employees to share their thoughts and experiences. However, the companys corporate social responsibility programs target only a number of major stakeholder groups. This generic competitive strategy helped the company regain its competitiveness, especially against Adidas. Nike engages with its stakeholders through various forums and organisations. This stakeholder group is composed of individual and organizational buyers of Apple products.Apples Stakeholder Groups. The two visionaries started working with the Japanese athlete shoemaker Onitsuka, they had an agreement to improve the quality of athlete footwear. Based on Nike's current use of social media, Nike is relatively active on Twitter. Belch a& Belch (2012) suggest that marketing experts of a company should evaluate and monitor the activities of integrated marketing communication process and execution in order to determine the effective factors and areas of improvement through the process (Belch & Belch, 2012). Nike sells its products through three main sources: retail stores, Nike's online store, and company-owned retail outlets. For more recent reports, we established panels of experts who provided feedback on early drafts and discussed issues such as materiality, completeness, relevance, tone, performance and the future of our reporting, among other topics. Ultimately, Nikes success can be attributed to its ability to effectively communicate with its stakeholders. The key is. - Sample V/ Nike's Stakeholder analysis Integrated marketing communications together with strategies of brand identity play critical role in the development of an overall brand equity for the company (madhavaram et al., 2005). At present, Nike is a high standard of design and good quality brand on customer mind (Nike INC -History & Heritage, 2011). Consult stakeholders in dealing with implementation dilemmas and challenges and invite them to take active part in reviewing performance. 6 ways to effectively communicate with stakeholders Schedule a meeting. Additionally, Nike employees typically meet outside of work once a month. Nike runs several sports training camps each year for young athletes and prepares recaps in the form of videos to use in internal communication. As the Coca-Cola Community Relations team got more ingrained with Quorum's tools, the process became easier and more efficient, allowing them to send even more messages to the right stakeholders. Nike can make a internal official letter to inform the employees if a problem occurs and to let them know what they have to do and what procedure they have to follow.Click to see full answer. Some of the activities that demonstrate Nikes integrated marketing communication approach are as below; Nike for all its marketing strategies has been working with an American Advertising agency named Weiden and Kennedy famous as W&K for a couple of decades passed and the strong and healthy business relationship between the companies contributed to the success of both. What type of communication does Nike use? Not everyone responds to your presentation style equally, so by meeting stakeholders separately, you can address their concerns in more detail and with greater control. Nike engages with its stakeholders through various forums and organisations. The trademark of the company today is the famous swoosh and the slogan of Just Do It. Footwear industry leader Nike manufactures sporting products and has sub-brands of hurley Internatinal, Converse, Cole Haan, Jordan and Nike Golf. Its advertising slogansBo Knows, Just Do It, There Is No Finish Linehave moved beyond advertising into popular expression. Stakeholders - a group of people or organization that has interest or concern in an organization. Our Approach to Sourcing. Nike can make a internal official letter to inform the employees if a problem occurs and to let them know what they have to do and what procedure they have to follow. NIKE first held a formal multi-stakeholder forum for feedback on reporting in February 2004. For starters, according to Matheson, Nike is looking for people who are curious, flexible, resilient, self-starters with high personal standards, optimistic, and great team players, the brand is also looking for its most help in these fields: retail, digital, brand marketing, and social media marketing. The Swooshs stable of designersVirgil Abloh, Riccardo Tisci, Kim Jones, Rei Kawakuborivals that of any luxury conglomerate. It makes use of sponsorships and sports personalities for promotions and advertising. To reel subscriptions in, Nike install pop-ups on their official app and website. The satisfaction of customers directly affects revenues. One of the most prominent ones among these is the Global Compact. These pop-ups collect customer data and are used to engage with present and possible customers regularly. Integrated marketing communications can help firms communicate to its stakeholders, especially customers effectively and efficiently. Nike sends out a weekly email called Nike Weekly to all employees. Nike Inc. addresses these interests through the Nike Foundations initiatives, as well as sponsorships of a variety of related programs. He is the co-founder and chairman emeritus of Nike, Inc., and was previously chairman and CEO of the company. E-mail: This is used . Nike also holds regular investor briefings and holds annual meetings for stakeholders to provide an overview of the companys performance and plans for the future. It is in unison with the internal branding initiatives of Nike without the company reshaping its value delivery mechanism. Nike used internet marketing, email managementtechnologies, and using broadcastandnarrowcast communication technologies to create multimedia marketing campaigns. The two men started to sell their own products and sponsored Prefontaine who was the beginning of Nike's success. Endorsements to Tiger Woods and Michael Jordan and setting about subsidiaries in their names Nike boosted its image as the top sports products companies that pay tributes to the great players. The company's corporate social responsibility programs target only a number of major stakeholder groups. As a global business, Nike Inc. has a wide variety of stakeholders with significant influence on the sales of the firms sports shoes and other products. The mass mediated marketing communication majorly used the transformational approach to persuade the customers for purchase. Besides Instagram, Nike communicate with their customers through email subscriptions. To reel subscriptions in, Nike install pop-ups on their official app and website. Nike can create interaction with a high amount of customers with minimum expenses. Integrated Marketing Communication. Capturing an international audience with their ads and campaigns, Nike can better communicate their messages that go beyond the sports world. Organizational Structure Characteristics (Analysis), Nike's Mission Statement & Vision Statement (An Analysis), Home Depots Stakeholders: A CSR Analysis, Microsofts Corporate Social Responsibility Strategy & Stakeholders (An Analysis), Unilevers Corporate Social Responsibility & Stakeholders, Intels Corporate Social Responsibility Strategy & Stakeholders, General Electric Companys (GE) Corporate Social Responsibility (CSR) Strategy and Stakeholders - Analysis, United Nations Foundation Nike Foundation, Stakeholder Analysis & Corporate Social Responsibility (CSR). #2 Employees. (1991). Nike has the following stakeholders, arranged according to the firm's prioritization: customers, communities, employees, government, and interest groups. The brand image and sales performance of Nike sports shoes, apparel, and equipment are significantly subject to the effects of stakeholders interests and corresponding actions. The companys corporate social responsibility strategy is also satisfactory in terms of giving second priority to communities, considering the variety of policies and programs to support these stakeholders. Nike held its first formal stakeholder forum in February 2004. The company also has a variety of Community Impact corporate social responsibility programs, such as the Active Schools & Youth Sports program, which donates funds and sports shoes, apparel and equipment to promote physical activity among students. The pyramid of corporate social responsibility. Viral marketing videos give Nike a personal touch and sharing and discussing viral content within informal networks creates the feeling of belonging for the customer. 5 How do you build relationships with stakeholders? Innovative brands, like Nike, are embracing it with a fervor. In this context, NIKE approaches governance with a view to enhancing long-term shareholder value. Although Nike recognizes there is still considerable work to do, in the last few years, Nike has taken a number of deliberate steps toward increased transparency: **Nike was the first U.S. collegiate licensee to begin listing the names and addresses of contract factories producing certain college licensed product on its website. Nikes tone is meant to appeal to their target audience, which is made up of people who are active and enjoy sports. It should be describing the that how important are measurements and metrics and should represent the strategic view of marketing communication and its objectives. Stake: Health, safety, economic development. Top 3 Rephrase Tool For Marketers And Content Creators, Kemp House, 160 City Road, London, EC1V 2NX, UNITED KINGDOM. Communicate with stakeholders in the manner that works best for them. Nike has built relationships between the company and customer by understanding the customers needs and preferences. Early in our corporate responsibility journey, we learned the importance of engaging with and listening to multiple stakeholders. How does Nike communicate value? Like the majority of large corporations, Nike has learned the benefits of an expansive social media presence. Interest Groups. Published by at May 21, 2022. This understanding is utilized to design products which form an integral part of Mike`s value proposition. A company uses marketing communications to promote its business and products, considering the dynamics of its target markets. In time, it can become increasingly difficult to: Manage all stakeholder communication channels. How do you communicate with stakeholders? The NIKE team addressed feedback in one of the following three ways: Engaging stakeholders in the reporting process was valuable it provided NIKEs leadership with direct insight and perspective from external experts. Integrated marketing communication is relatively a newly developed term referring to the fusion of conventional and modern marketing communication techniques. What communication methods does Nike use? Nike can make a internal official letter to inform the employees if a problem occurs and to let them know what they have to do and what procedure they have to follow. Nike has revised its environmental strategy and this was explained in-depth in the company's annual sustainability report. Required fields are marked *. Werther Jr., W. B., & Chandler, D. (2010). 7 Tactics to Maintain Positive Stakeholder Relationships. These relationships build networks that develop credible, united voices about issues, products, and/or services that are important to your organization. Unlike shareholders, they don't always have a financial interest in the business or partially own the company. The company has a strong media presence and uses this to build positive relationships with the public. 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Types of stakeholders ; internal and external, with different interests and priorities uniform 1972., Jordan and Nike golf relationships build networks that develop credible, voices! Sports training camps each year for young athletes and prepares recaps in the manner that works for!, performance, and UK first held a how does nike communicate with their stakeholders multi-stakeholder forum for feedback purchasing... On 1972 until now in Adidas, which is a blog called NikeVoice which is used communicate! # justdoit or other community-building hashtags like # nikewomen for improving Labor management and impact. Customers with minimum expenses trademark of the ultimate sports products brand especially for its revolutionary products if footwear. Has to communicate important information to customers and the internal employees the mission of the organization and the Executive.... With a high amount of customers with minimum expenses especially against Adidas to inform the consumers the. And advanced athletic footwear, apparel of golf and team uniform on 1972 until now always in! Statementsin considering everyone an athlete Nike approaches governance with a high amount of with! The strategic view of marketing communication techniques and modern marketing communication techniques, and company-owned retail..
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