We think: if
Nike decided to lower the price of products cheap nike air max shoes sold in China, the average
price of high domestic brands such as Li Ning, Kappa, and other
short-term are the most affected, because the second and third tier
cities, some consumers may turn to select resistant grams.
Long-term effects: fear of being against domestic heap nike air max 2012 small and medium sized
brands.Just before the conference call, Nike had just announced in May a
"five-year plan" is expected in Greater China revenue growth of 10% or
more. Analysts, Anta Magang dealers see this plan the first time, feel a
little surprised. Because from February 2009 to February 2010, Nike's
revenue in Greater China and 12.77 billion U.S. dollars, also fell by
4%. "Now the proposed increase of 10%, this is a radical plan." Magang
said.
He was to believe that Nike will certainly be some new
initiatives launched. He wrote in his blog, for example, Nike will
market and the third line for the second-tier market low-priced products
accordingly, from the hands of domestic brands to capture market share,
"This is Li Ning and Anta, and all sporting goods manufacturers are a
terrible thing. "
We think that if Nike can successfully
penetrate the second and third tier cities, part of the brand image of
domestic brands in general may be out of the market. We believe that 3.5
billion annual marketing budget of -5 million small and medium brands
in the country and less likely to Nike, Li Ning and Anta (these
marketing costs each year over 10 billion) competition. Despite the
short term may suffer cheap nike air max 90
a heavy blow, but we have a marketing budget that substantial domestic
brands should be able to resist, "reached the" low-end market, Nike,
Anta is still our first choice in the industry