Reebok (www.reebok.com and www.adidas-group.com) specializes in the design, marketing and distribution of sports and fitness products, including footwear, apparel and accessories, as well as footwear and apparel for non-athletic use. In August 2005, Adidas bought Reebok for US$3.8 billion, giving the company about 20 per cent of the US market and the potential to challenge market leader Nike.

Questions

1. Which of the internationalization theories best explains Adidas’s acquisition of Reebok?

2. What could be the motives behind Adidas’s acquisition of Reebok?

3. Which of the three internationalization theories is best for explaining whether Reebok follows the establishment of its retailers, e.g. Foot Locker, in international markets?

4. Is Reebok able to adopt its US marketing approach (connecting to the youth segment through famous rappers, like 50 Cent) in other international markets?

Transcribed Image Text:

Reebok ERB