Question
its an case study you have to answer one question *the question is below The U.S. athletic footwear market is likely to grow slowly from
its an case study you have to answer one question *the question is below
The U.S. athletic footwear market is likely to grow slowly from during 2012 to -2015 and be, characterized by good volume sales and falling prices, according to a recently published report from Mintel International (www.mintel.com). It projects annual growth of less than 3 percent, before inflation. This is due to factors such as overly complex manufacturer/retailer relationships that sap brand loyalty and foster excessive bargain hunting, a slow- growth economy, and competition from brown- shoe manufacturers of shoes of other types as the previously distinct line between athletic and brown other shoes becomes blurred. Alongside this, weak retail pricing is likely to lead to more of a two-tier marketan upscale shoe market for those most dedicated to athletic shoes (young males) and those with higher levels of discretionary income, and a mass market for the rest of the nation. One bright spot revealed by Mintel's consumer research is that respondents overwhelmingly agree that they are willing to "spend money on good sneakers."
Jim Davis, CEO of New Balance Athletic Shoe, Inc., is trying to appeal to those consumers Mintel's research is talking about.New Balance rose quickly starting in the mid-1990s to be the third -largest seller of athletic shoes. Its strategy mirrored Nike's in launching the largest possible number of shoe styles and selling primarily through specialty athletic shoe stores and sporting goods stores. A big difference, however, was that New Balance created an upscale brand image that aimed to attract a greater number of 35- to 64-year-olds. Times are changing, however, and New Balance is learning that it must also change to keep improving its market growth and profits.
Discuss how the marketing management decision action that you recommend to Jim Davis is influenced by the scaling technique that you suggested earlier and by the findings of that research
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