Inconsistent Shoe Quality from Nike IncGeneral CommentsDue to the continued number of complaints we have received each week since the launch of the new Jordan line shoes on November 1, 2008, we cannot help but be worried. Nike is currently the largest and most respected sportswear company in the world, but we could lose our respectable reputation if we don't fix this problem. In recent years our revenues have increased on average by approximately 8% per year; but recently, in the last 5 years, our revenue growth has slowed down and our competitors' revenues have increased significantly, earning more dividends in the market. With slower growth expected, we cannot afford to lose further business to our competitors. Therefore, immediate action must be taken to resolve this issue and maintain our reputation of being the best and at the top of the industry. Mission Statement At Nike, we are here to serve our customers and the community. We have been considered the best in the industry and we hope to continue to maintain this position by offering the best to our customers. The purpose of this report is to investigate complaints we have received about inconsistent shoe quality from Nike Inc. and find solutions and recommendations to resolve this issue. This report addresses the root cause of the issue, the implications arising from the issue, and the recommended action plan that our investigative team has arrived at. This report has been written to guide the reader through the problem, highlight the resulting implications, and recommend a solution to the problem. Background Nike Inc. was founded in 1964 by track athlete Phil Knight and his coach Bill Bowerman. The company initially started as a distributor for a Japanese shoe manufacturer called Onitsuka Tiger. Nike began selling its products at the Bowermans Dodge Caravan coach at sporting events such as track and field competitions or football games. With the support of top NCAA athletes in the Oregon area who wore Nike shoes, the shoes became very popular, and in 1966 the company became independent and opened its own retail store in Portland, Oregon. During the 1970s, the company's revenue increased rapidly and soon the company had professional athletes endorsing their products. With all the success and mainstream recognition, Nike Inc. has grown into the Fortune 500 company it is today. The problem of inconsistent shoe quality from Nike Inc..
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