Marketing Of The Decline In Performance Caused By Confusion

Li Ning Why do you want into the "sports estate"

, in addition to profit-making real estate investments, the more depth there is behind the marketing revolution, and thus result in changes to the performance decline. With the sporting goods market, increasing competition, the traditional path of relying on the performance of new stores has thickened become narrower and narrower every means to open a store a lot of money invested, while in recent years as the business Lot rent, staff costs rose, operating expenses increased significantly, lack of profitability of individual stores. Li Ning, see the management of this business difficulties, so many years trying to change to pursue growth through store expansion routine, integrated part of the poor performance of the stores, remodeling distribution system, by improving same-store sales to promote business growth. According to industry data, the Li Ning, Nike Air Max,the number may reach the relevant stores 500 to 600, while clothing and footwear products in the average retail prices rose more than 8% of cases, number of orders were down by more than 7% and 8% The second quarter of fiscal year 2011, total orders fell by 6% over the same period, down reason is that the results of its distribution system reform, with the distribution system further deepening of reform, expects its sales and earnings in 2011 will face downside risks.

In addition, from the perspective of competition stands Li Ning's marketing situation is not optimistic about the prospects. And Jinjiang Li Ning brand in the comparison does not have the competitive advantage of industrial clusters, the cluster is bringing cost reductions and optimization of resources. And Adidas, Nike and other international brands to compare it, its lack of brand influence. Indeed, before the tiger attacked and chased after the wolf. Distribution in the channel is also in an awkward position, high-end consumer group focused on a second-tier cities, which many of the city's high-end market to seize the international brands, Adidas, Nike Air Max 90, Puma, Reebok Dengjun in line busy commercial areas in staking their claims, the same international brand shoes Li Ning 10% lower than -15%, so in a competitive second-tier market clearly inadequate. In the third and fourth tier markets, and there was Jinjiang brand occupied, three or four lines enough in high-end consumer market, but for only 200 per pair of shoes are just right down the Jinjiang brand. Where is Li Ning, the way the future?

Haier once faced the other hand, Li Ning, the present market difficulties, compared with the international home appliance Air Max 2009 brand strong enough, compared with other domestic appliances business, obviously in a weak price competitiveness. Haier chose the strategy of going out, Li Ning, the reference point after all. Only you can stand out to the domestic market with international brands competing against an international field of vision itself is a brand promotion, and only then can you truly become an international sports brand. People bones "xenophilia" decision of the international brands entered the inherent superiority of China.

by: slary

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