2012 Adidas’ Development Program
From this passage we know that Adidas has already absorbed experiences from the past, and at present, they affirm overstock levels with distributors every month in order to let the inventory fall into a rational level and Adidas will maintain double-digit sales growth this year.
Maintaining double-digit growth,
where is Adidas' confidence?Colin Currie's strength originates from Adidas' large spread in China in 2011.Adidas opened about 1000 new stores in great China region in 2011, and half of them were opened in Chinese smaller and middle-scale cities. The significance lies in that in China sporting goods market, the number of new outlets often equals to the company's new achievements. The progression of China's urbanization and modernization will let customers' spending power continue to enhance, which will set the stage for Adidas' double-digit increase performance.According to Adidas' development plan from 2010 to 2015, the total amount of 2500 new stores will be opened in great China area in the recent five years and at the same time the income should be maintained with double-digit annul growth.According to the figures released by Adidas, from January to September in 2011, the greater China area's general income was 900 million Euros, with 28% year-on-year sales increase and its various brands all realized double-digit sales growth. It is unquestionable that the newly added stores' accomplishments are earthshaking.Is it too optimistic? Colin Currie told the reporter that he really approves of the standpoint that along with China's urbanization and modernization, customers' spending power will continue to improve, which will set the stage for Adidas' double-digit sales increase.Ma Gang thinks that although they possess sufficient power, Adidas New Year's target of gaining double-digit income growth is still overly optimistic. He asked: "around 1000 Adidas new stores were opened this year, but could we open so many stores next year? Another question is that how about Adidas new stores' earning capacity actually".Before then, China native sporting companies intensely demanded distributors to order as much goods as possible so as to keep outstanding achievements' continuous increase. After dealers got these products, the listed companies' income digit was very good-looking, but actually these products were in dealers' warehouses and became inventory.This is the reason in the year 2009, Adidas got into trouble, and that year, high inventory businesses had to dispose them with large discounts, which resulted in earnings negative growth.Colin Currie declared that Adidas has already absorbed experiences from the year of 2009, and at present, we affirm overstock levels with distributors every month, so if there are any unusual phenomena, we will support distributors implement promotional activities so as to let inventory drop into a rational standard. He said: "my distributors told me that our sales level surpassed other rivals, which signifies that our goods were undoubtedly bought by customers and not lying in the storage". Normal 0 7.8 Å 0 2 false false false MicrosoftInternetExplorer4 /* Style Definitions */ table.MsoNormalTable {mso-style-name:nh<; mso-tstyle-rowband-size:0; mso-tstyle-colband-size:0; mso-style-noshow:yes; mso-style-parent:""; mso-padding-alt:0cm 5.4pt 0cm 5.4pt; mso-para-margin:0cm; mso-para-margin-bottom:.0001pt; mso-pagination:widow-orphan; font-size:10.0pt; font-family:"Times New Roman"; mso-fareast-font-family:"Times New Roman"; mso-ansi-language:#0400; mso-fareast-language:#0400; mso-bidi-language:#0400;}
Nike Free Run is provided by our company at the most competitive prices. Nike Free Run 2 offers the most affordable prices for all our shoes that we supply- visit us today to get in contact with us!
