Kevin Plank Essay

In 1996, Kevin Plank, a former football player for the University of Maryland, began a small-time operation called to a lower place outfit whose only purpose was to create superior shirts for athletes. He envisioned a shirt that would be cool during hot seasons, and domiciliate warmth on cold seasons. These apparels came to be called HeatGear, ColdGear, and AllSeasonGear. The technology involved in creating the shirts includes using a Lycra blend to proffer heat and warmth depending on the season.By regulating heat, athletes no continuing find themselves soaked in sweat during days of hard training. What started as a basement operation in Baltimore turned into a multi-billion business, and gave throw to the surgical process apparel sector. The fellowship currently holds at least 75 percent of the industry. It has ab out(a) fourteen thousand stores globally, with offices in Canada, Hong Kong, Amsterdam, among others. Aside from shirts, chthonian fit out now sells cleats, b oxer shorts, battling gloves, and sports bras. intimately a decade by and by its conception, infra Armour sold shares to the common in an initial public offering where stock prices rose to over $26 a piece. Marketing, labor & Growth The companys growth is partly attributed to its depressed marketing scarpers, which rely on cost-effectiveness and innovation rather than celebrity endorsements. Almost all of Under Armours products are manufactured afield in countries where labor costs are lower, such as Mexico and China. These strategies enables Under Armour to save millions of dollars.To sustain its growth, Under Armour looks into new markets to penetrate. The companys focus is currently on mens apparel, which gives it the probability to explore womens sports apparel. The company also believes in expanding into other markets in other countries to protect it from the effects of an unstable U. S. economy. Industry experts suggested that Under Armour, having no patent on its m oisture-wicking technology, should innovate and launch more retail stores to provide their products with more exposure. Going ForwardStudies made for the habiliment industry revealed that the performance apparel industry accounts for about a quarter of retail clothing sales in the United States last year. The biggest markets with the biggest potentials are those in the outdoor(prenominal) sports wear, as well as the Chinese consumers, according to experts. The trend is geared toward creating performance wear that has moisture wicking, bacteria-resistant, UV protection, and is eco-friendly. It was also found out that sales for athletic footwear rose three percent.Responding to this growth, Under Armour disclosed that in May 2008, it will launch a full-ad campaign for its cross-trainer shoes. The ad will use up to thirteen percent of its 2007 revenue. Under Armour has also aired a sixty-minute ad during the exceedingly gutter in February. Its shares dipped on investors concern of overspending on the marketing during the Super Bowl and the new shoes campaign. It remains to be seen whether Under Armours latest foray will become another success.