ASICS: Chasing a 2020 Vision Harvard Case Solution & Analysis

ASICS: Chasing a 2020 Vision Case Study Solution

The case illustrates the strategic planning and initiatives of the ASICS company- A Tokyo based company that offers the footwear’s in the market and initially targeted the US market and its home markets. From its initiation, the company remain focused on offering the unique value and differentiated factors in order to develop the strong market value proposition and thus the competitive advantage. The Sports wear and footwear market is mainly held by Nike and ADIDAS as first and second leaders respectively, the other players including ASICS compete to achieve the third position in the market under the footwear market. Perhaps, due to strong competition and driving force of big giants it is very critical for the small or mod-tier companies to operate and achieve the third position in the market.

However, regardless of the strong competition, ASICS managed to attain the competitive position against Nike and ADDIDAS by designing the first ever Gel shoes that attracted the great eyeball and also helped the company in achieving its sales target for the period.Though the company has remain successful in competing with the big giant players of the US market, it still faces the issues of maintaining a strong competitive position along with strong brand recognition and brand awareness.

In order to deal with these issues, the management is planning to develop the global marketing strategy and incorporation of the digital informatics in the business so to cater the customer from both ends. In addition, ASICS is also planning to leverage its acquired application of runner keeper to create the value chain in the market.

ASICS Chasing a 2020 Vision Harvard Case Solution & Analysis

Keywords:  Brand Recognition, Brand awareness, value chain, Value proposition, competitive advantage


ASICS a sport wear company initially started its business in 1949, offering the sport wear shoes to Japanese’s market.Over the period of time with high quality and affordable pricing, the brand become popular and successful in the market. However due to inflated economic productivity and increase competition, the company strategically moved outside of the domain of japan offering the same sports wears to the market with the prime focus on US market. In 1988, the company launched its first Joggers with Gel technology to protect the athlete’s foot. The product became successful and generated great sales and brand awareness in the market.

Problem Statement

The ASICS aims to achieve the third position in the global sportswear business, with the strong and aggressive strategy of achieving the sales of 750 billion Yen.However, there are different business aspects that needs to be changed, leveraged and aligned in order to achieve the goal.The right strategic placement of each strategy is a challenge for the company.


Question: 1a- Product line Extension

Since The Company is facing the fierce competition in the US market along with European and the home market, the company has planned to launch the mid-tier product line for fun runners or casual runners. The move is strategically right, since with the analysis it has been found that the company is generating more profits from casual or fun runners as compared to serious runner. Though the strategy poises the risk of dilution of the brand image and positioning in the US market as it is sold as the premium shoe or high end shoes, the incorporation of the Mid-tier shoe range may disturb the existing brand strategy and positioning of the business in the mind of the customer.

However, in order to make the move effective, the company should launch the mid-tie product as not a direct but endorsed product of the parent company.Such may require to develop a different name of the product line with small endorsement of the company name on the product and in the advertisement. This will allow the customers to differentiate between the two different categories and hence will sustain the positioning and brand image of the ASICS in the market. (Aaker, 2010)

Question: 1b- Channels to market

In order to achieve the ultimate goal, the ASICS has planned to develop the direct customer reach strategy to develop the brand image and market awareness along with the strong brand equity. In order to do so, the company should establish the two side strategy in the market in which it develops strong relationship with the local distributors to promote its product while on other hand open up the retail stores in busy markets and highly populated areas like NYC , and in Europe Germany, UK, Spain. This will allow the company to attract more customer eyeballs and customer footfall. Both will allow the company to generate additional sales and also develop the market awareness and top of mind position in the mind of customers.In addition, in order to develop the attraction among the customer, the stores should be designed with the interactive LED screen that depicts the existing product line and success thus developing a consideration factor among the customers. (John, 2014)

Question: 1c- Communication

The company developed the ad campaign “WANT IT MORE” to communicate the customer the extensive product line offering to the customer, however, such has not been perceived rightly by the customers and hence nit offered the substantial edge in generating revenues. The company should discontinue the ad campaign and should launch a new ad campaign depicting the new product line of the ASICS To the mid-tier customers the ad campaign should be run aggressively In order to plunge deeply the essence and presence of the Mid0tierarnd in the mind of the customers.............

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