Description
We have just signed Under Armour as a new client. Under Armour CEO Kevin Plank has asked you to do a complete industry and competitive analysis of the Performance Sports Apparel industry, and help him determine the path forward. The company has been amazingly successful, but company representatives are worried about the future. The competition is fierce; the industry is changing, and the world is different than it was two years ago.
Your job is to conduct an industry, competitor, and company analysis for Under Armour. And, of course, our value-added dimension is the specific recommendations, with brilliant justification based on your strategic analysis that we make to our clients. Your job is to identify 3 major strategic issues that are facing Under Armour. You must appeal to the External and Internal analysis that you conducted to explain *why* these are strategic issues and *how* Under Armour should respond to them. After identifying 3 issues, make a single strategic recommendation for the firm. Note: The strategic recommendation may not address all 3 issues, but it should address the primary issue that you have identified.
Grading Rubric
Executive Summary, Issues & Recommendation (35 Points)
Executive Summary Summarizing the Entire Document……………….…………………………………… 5 Points
Identify and Describe 3 Major Issues:
Issue #1 + justification (reference to appendix) ……..…………………………………..……….……………….. 7.5 Points
Issue #2 + justification (reference to appendix) …………………………………………..……….……………… 7.5 Points
Issue #3 + justification (reference to appendix) …………………………………………..…….………………….7.5 Points
Form 1 Key Recommendation:
Recommendation (including strategic implementation; can cover more than one issue) …………………..……..…………… 7.5 Points
Appendix: Industry and Competitive Analysis (65 Points)
External Analysis: Analysis of the Macro environment, Industry, & Competitors
A.PESTEL Analysis (+ takeaway) ………………..………………………………………………….…… 5 Points
B.Dominant Economic Characteristics that shape the industry (+ takeaway)….………………………. 5 Points
ØMarket Size and Growth Rate
ØScope of Competitive Rivalry
ØTrends in Product Innovation
ØEconomies of Scale
ØLearning/Experience Curve Effects
C.Five Forces Analysis (Weak/Moderate/Strong) (+ takeaway) ……………………..…..…………… 12 Points
1.Threat of New Entrants
2.Competition from Substitutes
3.Buyer Power
4.Supplier Power
5.Rivalry
D.Drivers of Change in the Industry (Driving Forces) (+ takeaway) .…………………..……………… 5 Points
ØIdentify at least 3 Drivers of Change; name the industry
E.Competitor Analysis (+ takeaway)
ØCompetitor Identification & Strategy (generic plus individual strategies)…………….……………………….………. 5 Points
ØKey Success Factors (at least 5)……………..……………….……………………………………………………8 Points
ØStrategic Group Map ………………………………………………………………………………………..……. 5 Points
Internal Analysis: Analysis of the Firm
A.SWOT Analysis (+ takeaway)……………………………………………………..……………………. 10 Points
B.Current Strategy (What generic strategy does the company follow? How do their functional strategies support the generic strategy?)………………………………………… 5 Points
C.Resources and Capabilities (What are the primary competitive resources and capabilities of the firm? Explain whether or not they are useful for enhancing competitive advantage) …… 5 Points
