Brand Analysis: Why Nike Is The Most Popular Brand In Kuwait

Problem statement

Discuss about Brand analysis and why do I think the brand Nike is the most popular brand in Kuwait.

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Nike Inc. was founded in 1962 by Bill Bowerman and Phil Knight as a partnership under the name of Blue Ribbon Sports. The main goal of the company is to provide high quality of products on low cost to the customers. Nike has a big influence on fashion industry global and in Kuwait.  People of Kuwait have great trust over the brand of Nike that is why they prefer products of Nike.

The problem that this research will be going through and discussing is to see how the brand of Nike has changed the market in fashion industry and how it has affected the youth in Kuwait.  

The major reason behind writing this research is to see that how customer moves from other brand to Nike Brand. Also it is made to recognize how successful is Nike working by attracting number of customers of Kuwait.

The major objective of this research is to identify the role of Nike in Kuwait and to explore the reason why people of Kuwait prefer Nike’s product over other brands.

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  1. Social interaction
  2. Brand recognition
  3. Specific target market
  4. Brand associations
  5. High quality

The research hypothesis for this research is mentioned below:

H1: If a Nike advertise a latest product with quality on social media, it is more likely that people will buy it in Kuwait.

H2: If there is a positive relation between corporate social responsibility and organization, then customers will prefer the products of Nike.

H3: If Nike sells its product with high quality in low range in Kuwait, there is a higher chance that people will buy the product of Nike due to increased brand awareness

Social media

“Applications and website such as Facebook, Instagram, Snapchat and Twitter permit users to share content in social networking.” (Durmaz, 2014)

Corporate social responsibility (CSR)

CSR is an initiative to measure and take liability for the effect of company on environmental and social well being (Freeman and Hasnaoui, 2011).

In summary, the role of brand has significant impact in increasing the sales and revenues of the company. Brand recognition is the extent in which the target market of Nike is capable to know the brand due to its attributes. People of Kuwait are aware of the brand of Nike (Brohi, Prithiani, Abbas, Bhutto and Chawla, 2016).

Important factors 

Brand recognition

According to Keller, (2016), the brand recognition is the tool in which the target market of the organization is able to identify the brand due to its quality. The role of social media in brand recognition is huge as present brands with huge reach and never ending communication possibilities (Taaffe, Geunes and Romeijn, 2008). It permits brands to appear in to a world and amplify their brand awareness among people (Gul, Shahzad and Khan, 2014).

Specific Target Market

The target market of Nike is specific and it is the leading sports footwear and apparel company in the world. The high performance athletic gear of Nike is mostly targeted at professional athletes (Tanveer and Lodhi, 2016). The age group of 15 to 40 is being targeted by the company to promote its product. The company is more advanced in innovating new products and services to develop athletic potential (Koltapehi, Khajehpour, Forotagheh and Hosseini, 2015).

Rationale for the research

High quality products

The company is provided numbers of quality products to the people of Kuwait that being the major reason why people prefer products of Nike in Kuwait. According to French and Smith, (2013), The role of brand associations covers under this heading because it is considered as the set of remembered features that helps to describe the information to the customers (Sasmita and Mohd Suki, 2015).

The above mentioned factors are enhancing the importance of Nike Brand especially in Sports field. Brand awareness is the major reason behind liking of Nike Product in Kuwait. The company is provided number of athlete products with high quality in low range for the purpose of keeping the world fit (Karjalainen and Snelders, 2010).

H1: If a Nike advertise a latest product with quality on social media, it is more likely that people will buy it in Kuwait.

It has been found from the research that Kuwait is a modern society and believes in high quality products. the people of Kuwait are group people and the culture of the country is more effective that is why the influence on each other a lot more in comparison of other countries.  Hence, social media has a high impact on their people (Kapferer, 2012). People of Kuwait are always eager to try new things.

H2: If there is a positive relation between corporate social responsibility and organization, then customers will prefer the products of Nike.

The strategy of Nike is to outsourcing the production to the ‘third world’ countries that enable it to develop lower cost products and channel these savings into marketing campaigns as well as innovative designs. Along with that the company has a worldwide workforce of around 100 employees who are entirely dedicated to increasing innovation of policies and practices of the company to be in line with their Corporate Social Responsibility.

H3: If Nike sells its product with high quality in low range in Kuwait, there is a higher chance that people will buy the product of Nike due to increased brand awareness

Nike is most preferable brand by the people of Kuwait due to its durability product with reasonable prices. It is vital for the company to maintain the image of the company by offering high range of quality products to the customers which will be helpful in amplifying the brand awareness.

Nike is promoting its products and services via social media networking in Kuwait which become the major reason behind more selling products in the country. Promotion is the component of the marketing mix of any company. It has been found that nowadays Nike maintains a Facebook page for every running product specification promotions, sub-brand, and featuring events in a specific sporting activity and offering the latest information regarding the latest game of endorsed athletes.  The company spread information about the latest products and discounted price to the customers via using social media networking tool.

In brief, five vital factors are identified Social interaction Brand recognition, Specific target market, Brand associations and High quality. These factors have significant role in increasing the sales of Nike and attracting the people of Kuwait towards the brand.  

Objectives

Participants and number of samples

The population of this topic is the entire sportsman in Kuwait National Football Team who is currently practicing over there for playing football at national level. Random sampling method will be selected and there will be 30 samples from my population to be questioned.

Research design 

The research design for this research would neither experimental nor descriptive. Probability sampling strategy is taken as it is mentioned that the population will be KNFT who are currently practicing over there. There will be three levels of measurements in the question of survey. First one will be asking question about their age which is ration scale, second one will be considered as the ordinary scale by which that requires to be responded by ranking and the last one is nominal scale by asking their gender (dos Santos, dos Santos Grecco, Mol and Carvalho, 2009).

Survey questions

The survey questions are designed from every factor and they are made in three various styles, which are near to closed ended questions, likert scale questions and multiple choice questions. (Questionnaire in the Appendix)

Factor 1:

Specific target market

Q1: Closed ended question

Q2: Likert Scale

Factor 2:

Brand recognition

Q3: Multiple choice

Q4: closed ended question

Factor 3:

Social interaction  

Q5: Multiple choice

Q6: Multiple choice

Factor 4:

Brand associations

Q7: Multiple choice

Q8: Multiple choice

Factor 5:

High quality products  

Q9: Multiple choice

Q10: Multiple choice

Reliability: the reliability is considered as the tools which need to be constant. Hence, this research regularly uses survey in the form of tool to gather the information. These surveys will be provided to the football team in Kuwait with the random sampling method. The reliability of t he research is increased by removing the inefficient questions, opting huge sample size and standardized instructions.

Validity: it refers the tool that evaluates that what is should be there to make research more reliable and trustworthy. Validity is considered as the test result not the test itself. It has a huge range from low to high (Csikszentmihalyi and Larson, 2014). The survey questions will be given to the football team of Kuwait National Football Team which is sports club of Kuwait. It would have the random sampling method in which entire population has opportunity to get selected. The questions are designed in clear way so that one could ot face the issue of misunderstanding. It is the responsibility of the researcher to make the questions understandable for them.

Relationship: A valid test of the research questions should be reliable but a reliable test does not require being valid.

Pilot studies refer that questionnaire must be approved by the supervisor in more efficient manner before giving out the questionnaires. It is required for the valid study to analyze each answers of questions and in case of any wrong parts in the questionnaire that need to edited or amended. In case of any issues regarding understanding the questions, it is the responsibility of the researcher to fix them and bring clarity among questions. However, there are no issues in the questionnaire as he questions aware understandable and clear to understand, so it is not required to make changes.

The research cannot force anyone to give answer the survey and the researcher has taken permission from the head of Kuwait National Football Team sports club. The confidentially is maintained during colleting the information regarding the research topic. The researcher had informed all participants that their personal information will be vanished after getting response of the questionnaire. The researcher made ensure that there is no involvement of polices and religious party. The questions are not move beyond the privacy of the respondent. There is no discrimination in entire research and equal opportunity has been given to population by using random sampling method. In order to search ot the concern of questions, it is better to ask a team member to search and fix these concerns.  

Factors identified

The questionnaire will be gathered after being responded in this research. The excel sheet will be used to analyze the data in more sufficient manner in which the formula of sum, average, mix and max will be applied. By this way the outcomes will be more accurate in comparison of the manual calculations.

Implication:

Enhancing sales of Nike Businesses: the sale of Nike will be increased with the help of this research as it would be helpful to understand the taste of the customer towards the sports products. they will get efficient knowledge about different factors that will impact the decisions making process of the decision making process of the customer of Kuwait.

Marketing: it has been found that the role of social media marketing tool is huge in promoting the business of Nike in Kuwait as most of people of this country get latest knowledge reading this brand with the help of social media.

Increase Brand Awareness: This research will be facilitated in understanding the interest of people towards purchasing the sportswear in Kuwait. It will increase the brand awareness among people of Kuwait that will certainly accountable for increasing the revenues of the compan

Limitation:

Time bound: the time limit for this research is limited which is being the major reason of some difficulties in executing the research. Random sampling method has been chosen for reducing the impact of this limitation.

Limitation of population: This report is focusing on football player of Kuwait National Football sport club so other sport clubs are not involved in this population size.

Refutation: It would not be possible that everyone in sport club is ready to give response of questions; some of them might be busy in some other work.

References 

Brohi, H., Prithiani, J., Abbas, Z., Bhutto, A.H. and Chawla, S.K., 2016. Strategic Marketing Plan of Nike.

Csikszentmihalyi, M. and Larson, R., 2014. Validity and reliability of the experience-sampling method. In Flow and the foundations of positive psychology (pp. 35-54). Springer Netherlands.

dos Santos, I.J.A.L., dos Santos Grecco, C.H., Mol, A.C.A. and Carvalho, P.V.R., 2009. The use of questionnaire and virtual reality in the verification of the human factors issues in the design of nuclear control desk. International Journal of Industrial Ergonomics, 39(1), pp.159-166.

Durmaz, L., 2014. The role of social media in fashion industry’, how fashion blogging encourages two-way communication, 12(1), pp. 3-12.

Freeman, I. and Hasnaoui, A., 2011. The meaning of corporate social responsibility: The vision of four nations. Journal of Business Ethics, 10(3), pp.419-443.

French, A. and Smith, G., 2013. Measuring brand association strength: a consumer based brand equity approach. European Journal of Marketing, 47(8), pp.1356-1367.

Gul, M. S. H., Shahzad, H & Khan, IM 2014, ‘The relationship of social media with fashion consciousness and consumer buying behavior’, Journal of managementt info, 2(1)pp. 24-45.

Kapferer, J.N., 2012. The new strategic brand management: Advanced insights and strategic thinking. Kogan page publishers.

Karjalainen, T.M. and Snelders, D., 2010. Designing visual recognition for the brand. Journal of Product Innovation Management, 27(1), pp.6-22.

Keller, K.L., 2016. Reflections on customer-based brand equity: perspectives, progress, and priorities”, AMS review, 6(1-2), pp.1-16.

Koltapehi, M.P., Khajehpour, A., Forotagheh, E.A. and Hosseini, M., 2015. Surveying the Impediments of Sports Equipment Marketing (Sales and Export of Sports Equipment). Turkish Journal of Scientific Research. 2(3), pp.76-81.

Sasmita, J. and Mohd Suki, N., 2015. Young consumers’ insights on brand equity: Effects of brand association, brand loyalty, brand awareness, and brand image. International Journal of Retail & Distribution Management, 43(3), pp.276-292.

Taaffe, K., Geunes, J. and Romeijn, H.E., 2008. Target market selection and marketing effort under uncertainty: The selective newsvendor. European Journal of Operational Research, 189(3), pp.987-1003.

Tanveer, Z. and Lodhi, R.N., 2016. The Effect of Brand Equity on Customer Satisfaction: An Empirical Study Based on David Aaker’s Brand Equity Model. IUP Journal of Brand Management, 13(3), p.43.