Essays on Past Performance of Nike by Analyzing Their Sales Case Study

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Generally speaking, the paper "Past Performance of Nike by Analyzing Their Sales" is a good example of a marketing case study. The paper looks to present the past performance of Nike by analyzing their sales, past performance, expenditure and another aspect through which different resources were used. The paper then presents a future forecast and looks to delve on other aspect and issues through which the overall performance of the business can be improved. In addition to it, the review of marketing policies, strategies and overall performance is being evaluated and the manner in which the business has been able to ensure effectiveness in their dealings is being carried out. Trend Analysis The trend analysis for both the cities shows that an increase in expenditure on advertising connotes with an increase in sales in the future months.

The analysis shows that the business is able to gain from marketing activities and higher spending ensures that the benefits will be spread over the future months. The trend also highlights that the sales are seasonal a both Melbourne and Adelaide show similar pattern and change in sales.

This highlights that the demand for Nike shoes is uniform among different regions and ensures a better opportunity for growth in the future. The trend also highlights that advertising expenses have to be well planned as proper execution of strategy and having appropriate funds ensures that the business will be able to generate adequate returns through an increase in sales. Mean Total Monthly Sales in Melbourne = 3.5 + 3.8 + 4.8 + 6 + 8.6 + 4.2 + 3.8+ 4.9 + 6.2+ 3.5 + 7.8 + 8.7 = 65.8 Mean Sales = 65.8 / 12 = 5.483 Total Monthly Sales in Adelaide = 4.6 + 3.9 + 3.1 + 7.2 + 7.8 + 4.3 + 5.4 + 5.9 + 3.9+ 5 + 5.6 + 4.3 = 61 Mean Sales = 61 / 12 = 5.083 Correlation Correlation Coefficient for Melbourne = 0.016699505340919057 Correlation Coefficient for Adelaide = -0.21981843073281834 Analysis of Mean & Correlation The analysis of the data shows differentiated results for both the cities. It is seen that Melbourne shows a positive correlation which highlights that improvement in advertising expenses is having a positive impact on the performance through increased sales.

This will thereby look towards ensuring that better returns will be achieved through improved expenditure on advertising. In the case of Adelaide, it is seen that a negative correlation exist which shows that the business is not able to generate the same return with regard to the expenditure being made on advertising. This has thereby impacted the manner in which business sales take place and will lead to a negative impact on future potential. Analysis of Trend Analysis The trend analysis shows that the sales of Nike shoes are largely dependent on the advertising expenses which the management incurs.

If the management incurs high advertising expenses it transforms into better sales in the future. The sale which the business earns might not be seen in the same year in which the expenditure on advertising is made but is spread over different months. This shows that advertising expenses have a direct relation on sales and changes in advertising expenses have a direct relation on the sales in case of Melbourne but the same result is not achieved in case of Adelaide as the business is not able to generate the sale sales based on expenditure made on advertising. Review of Business Performance The past performance of the business shows that advertising expenses have a direct impact on the sales of Nike shoes.

Expenditure made by Nike on different months gets reflected in the next few months and shows the manner in which the sales increases when more advertising expenses are made. It is also analyzed that spending over a particular limit on advertising doesn’ t increase the sales which require proper planning and optimally choosing the amount of money which needs to be spent on advertising.

Having a proper mix and utilizing the expense properly helps to maximize the sales and ensures that money spent on advertising fetches high sales value (Business, 2011).


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