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Status quo and development of sports product industry in china-to li ning’s case

Luyao Wang,Keqi Lv

Department of Physical Education,Wuhan University of Science and Technology,Wuhan,China

Introduction :Beijing 2008 Olympic games and China’s accession to the WTO status brings out the opportunities and challenges on sporting goods market in this rapidly growing economy.Be confronted with great needs from home and abroad,sporting goods companies in our country still have many problems on the marketing management.Overall,scale and sales of our sporting goods enterprises are very low,basically belong to small and medium enterprises.There are still many problems in product development and brand value.

Methods:In this study,literature、Fieldwork and methods of mathematical statistics;the paper of the Chinese sporting goods industry leading enterprises-Li-Ning Company to study.

Results:

1.Introduction:Current Situation of China Sporting Goods Industry.(1)Lack of R & D investment,poor innovation.(2)Low brand value and brand consciousness.(3)small scale and weak competition.(4)be relatively backwards in terms of standard construction.

2.Methods:SWOT analysis of Li Ning Spordng Goods Co.(1)SWOT Analysis.①strengths.scale economy,90% of China’s sports goods enterprises are small and medium enterprises,it is easy for Li Ning to develop scale economy when competing with these enterprises,As of the end of 2006,the turnover of Li Ning Company amounted to 3.18 billion,sales of self-owned brand products increased by 35.7%,amounted to 3.168 billion,accounting for 99.6% of the total turnover.②weakness.Technology,There is a great gap in technology between Li Ning and international enterprises like adidas and NIKE.③Opportunity.China has successfully hosted the Olympic Games and will host the 2010 Guangzhou Asian Games,this will inevitably have a profound impact on sport goods industry and this is the best Opportunity to develop sport goods industry.④threat.The top ten of global sporting goods companies all entered Chinese market,These companies occupied the high-end sporting goods market in China,such as adidas,NIKE,kappa and so on.It is great threat and impact on China’s sporting goods companies.(2)Li Ning’s Strategy.SO Strategy:Rely on advantages and opportunities;WO Strategy:Use strengths and overcome weaknesses;ST Strategy:Depend on strengths and avoid threats;WT Strategy:Reduce the weaknesses and avoid threats.

Discussion /Conclusion :3.Results:Li Ning’s strategy with sport goods industry development.(1)Participate actively in developing standards.Li Ning cooperate with SATRA which is international top R & D and certification agency.SATRA’s technical standards and test methods is accepted by world,SATRA will consult the views of member companies when it develop international standards.Becoming member companies of SATRA,Li Ning Company from passive receiver of international standards become to maker;(2)Brand position.“Anything is possible.”Li Ning perform consistently its core of brand and accurate brand position in China and all parts of world;(3)Accelerate technological innovation in China Sporting Goods Industry.Technology,especially high-tech is the core element of the sporting goods competition,Differences of technical ability is an important reason for the differences of competitive strength;(4)strengthen connections among domestic enterprises,enhance intensivism in sporting goods industry.Form the industrial brand which leading enterprises is core combining with up and down-trend firms’brand.or form“wheel-type”industrial brand which leading enterprises is core around with many small and middle enterprises. V7o81HyeBgJ/mgKNf+Fz5IxtVjEP+dXoTQdf6zMVafouUU9V0V0mctmeihRWIuDJ

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