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Under Amour Swot

Autor:   •  January 2, 2017  •  Case Study  •  623 Words (3 Pages)  •  600 Views

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Under Armour can has the strengths of efficient operations to improve the products quality and distribution network which require a blend physical location metric and strategies qualities. Under Armour has their own physical outlets combine with the wholesale with distribution network to sell their products. Under Armour can maintain their high quality performance apparel with their own strategy quality to keep all the athletes have their best performance when wearing Under Armour’s performance apparel. All the products are effective and professional athletes are willing to use their products. The unique products development keep performance apparel fashionable to increase the use of athletes and remain key player of sports apparel among the competitors. Under Armour is pursuing a worldwide scope via regionalization that there are increase of 100% revenue from foreign sales other than Canada. Primary sales of Under Armour are archived through wholesale distribution to the retailers and licensing to distributors for them to get their sales.

In the other words, the weakness of Under Armour is their ability to obtain patent protection for its products is limited. They cannot protect their intellectual property rights for their products in global market because Under Armour does not have  a patent on material used in its products and every country have their own law and regulation of proprietary products rights and intellectual property rights which is differ from United States. Besides, with operating in a highly competitive industry of sports where the dominant competitors have significant breadth of the market coverage that is difficult to find an entry point because the main competitors have been advertising and establishing distributors channel and marketing agreement for their own products.

The opportunities for Under Armour Company is their products are offered through the company websites and retailers and company stores in United States. The stores not only located in United States but also located in Australia, New Zealand, Europe, South Africa and Japan. Under Armour had create their own websites for consumer to purchase their products from official online stores which can increase their sales from all around the world through shipping the products to the countries. The called SAP system invested by Under Armour which is the key to company ability to add products to its list of offerings, as allows Under Armour to manage a more diverse inventory and to ship directly to distributors. In order to facilitate its international expansion, Under Armour hired several new executives with expertise in international business such as the most notably one is Peter Mohrer. The lack of proprietary product rights and intellectual property rights in foreign countries can be change by the successful of differentiation strategy for the products rights. Under Armour heavily reliance with only few party suppliers and manufactures could adversely affect the long -term sustainability of the firm so for the specific problem faced by Under Armour have to get differentiation strategy to differ their products with strengthen the bargaining power to the manufacturer.

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