Introduction
Under Armour was founded in 1996 by Kevin Plank who was a football player. He
regularly experienced the discomfort from the cotton T-Shirt while he was a player;
therefor he came out of an idea that uses new technology to create a new T-shirt that
suitable for customers’ need. Plank successfully creates the T-shirt that is suitable for
athletes, providing a snug fit and remained drier ad lighter shirt. That is how Under
Armour started and in a short time, Under Armour is already no doubt one of the leading
sports brands in this competitive industry. Compare to Nike or Adidas, Under Armour is a
young and fast growing brand in the sports apparel industry, and this brand is growing fast.
External Environment- Five forces for sports brand industry
Threat of the new entrants- Medium
It is not that easy to get into the sports apparel industry, customer’s loyalty in this industry
is strong. Products may not be hard to produce but without brand image, it will be hard to
get business from other competitions. Then, the leading brands already have strong
distribution channel and network; it will have fewer opportunities to find the retailers or
sports team to work with.
Rivalry- High
There are plenty of successful brands in this industry, such as Nike, Adidas, Puma, and so
on. Besides those brands, in different sports apparel also has different competitors, such as
Footjoy in golf apparel, Salomon in skiwear. Competitors are competing not just price but
also the style, fashion, advertising endorser, and marketing skills.
