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Merger Of Nike And Converse In 2003 Essay

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Nike Converse Merger 2003 One of the biggest mergers witnessed in the 21st century is the one that happened between two popular footwear companies, Nike and Converse, in the year 2003. It was a historic deal for two important reasons, the price involved and the pedigree of the two giants in the industry. Affirming Nike’s confidence about the deal, Nike’s president, Tom Clarke said Tom Clarke said, ''Converse is one of the strongest footwear brands in the world, with a great heritage and a long history of success”, (Wayne, 2003). Looking back 16 years, the same brand, Converse, under Nike’s management, has astronomically boomed in acceptance, recording a very high sales in many regions across the world and that has in no small measure added to Nike’s revenue. For instance, in the year 2015, Nike recorded a remarkable growth of 28% increase worth of $538 from the first and the second quarter of the year much owing to Converse brand (Syminton, 2015). So, looking at the merger today, it can be said to a mutually-benefiting deal which has had a positive impact on both sides.

Nike success in the business of sports wears and branding could be traced to many factors, one of which is the company’s social responsibility statement and actions...

The company’s mission statement reads, ‘To bring inspiration and innovation to every athlete in the world’ with the tagline. ‘if you have a body, you are an athlete’. (“About Nike”). This further confirms that the company’s target transcends the sporting world; it is committed to reaching everybody in the world.
The mission is the core value that guides Nike in every area of its business activities as it is seen reflected in its decision makings and endeavors. For instance, the popular footwear company’s recruitment policy is centered around effective leadership. It has a guiding principle called Manager Manifesto, the policy’s core principles are to lead, coach, drive, and inspire. In one of its recent job advertisement for the post of Supply Chain Experts, the company demonstrated the manager manifesto further to clarified the roles expected from his intending managers, stating the company’s ideal manager is expected to possess strong leadership, have a strong mindset, look to end-to-end across the value chain and think from the consumer. (“Supply Chain”)

Absolutely, Nike’s mission that is highly disposed to advancing the cause of humanity has…

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