Corporate Level Strategy of Nike

The corporate level strategy of Nike is a very compelling discussion.  Diversification among the brand is obviously a major tool.  Nike products are the typical example of moderate-high, related constrained diversification.  This reveals that more than half of revenues come from major business fields.  Also, it is proof that all businesses share product, technological, and distribution linkages.  

The major product that yields the biggest share of income is shoes and apparel.  With minor products, the company uses the same distribution channels, technological, and other resources.  Their primary product focus is athletic footwear designed for specific-sport and/or leisure uses. 

Nike must pay close attention to manufacturing and supply chain diversification also.  Recent global economic crisis and uncertainties increased importance of such diversification.   This enables Nike to get the best deals and decrease risks. 

Supplier diversity is a very important part of the success a business generates.  Due to Nike’s customers being on a worldwide scale, the company must create a very broad base of suppliers in order to generate the revenues they are aiming for.