Reebok Analysis

Reebok Mutual Fund Analysis

MGT/521

November 18, 2011

Stephen McCann

Reebok Mutual Fund Analysis

Reebok was first established as a companion company by the two grandsons of Joseph William Foster, who originally started J.W. Foster and Sons, a shoe company, in the 1890’s out of the United Kingdom. After increased sales and growth, Reebok went public in 1985. Reebok also owns other companies in footwear and apparel. Reebok uses innovative technology and a great marketing campaign to keep up the companies’ success (Reebok Online, 2011). I will do a Strength, Weakness, Opportunities, and Trust (SWOT) analysis on the company in order to help my clients figure out if this is a good company to invest in.

Reebok has many strengths and well as weaknesses. The strengths of the company are; its’ large size, a strong brand name, long lasting brand name, advertising with popular celebrities, direct female marketing, unique and innovative products, cost advantage, customer loyalty, great marketing campaigns, steady growth, and multiple brand strategy. Reebok has been expanding since its beginning in the 1890’s. They have acquired many different brands in apparel and footwear. Reebok was very innovative to go directly after women with their marketing campaigns which was innovative due to the fact that many other rival companies often over looked women as a key population to increase sales. They also came out with the Pump, Easy Tone, and Zig technology. The weaknesses in the SWOT analysis are a weakened economy, high reliance on retail stores to sell products, a shift in the core consumer group, mixed marketing campaigns, overseas labor violations, dependence on one specific product for most of revenue (footwear), competition, a weak management team and low online presence. I think Reeboks strengths outweigh their weaknesses (Wikiswot, 2011).

The opportunities at Reebok are relative advertising, establishing clear objectives, contracts with professional...