Explain Nikes value chain Why can they charge more than thei

Explain Nike\'s value chain.

Why can they charge more than their competitors?

Explain what it means to say that the consumers are in control of marketing communications. Provide an example from your own experience that supports the contention that marcom is becoming increasingly consumer-centric.

Solution

The value chain of Nike consists of primary and secondary activities.

Primary Activities:

Secondary activities:

It is true that the customers control the marketing activities. This is true because the customers have become very intelligent and they expect very specific things from the brands. So to keep the customers happy the companies have to come up with the marketing campaigns and at the same time reach a wider audience.

The example is Samsung: They always create their marketing campaign targeting the problems faced by the normal people and how their technology can solve their problem. They market their smartphones and tell why the youth should trust and buy their product in a very catchy way. This is very customer-centric because they are not just talking about the product but on how it can help people in many ways.