CHAPTER 6

Why Does Nike Compete with Nintendo?

“Nike’s greatest competition is Nintendo.”

As its growth rate slowed down, Nike, the world’s No. 1 sports product company in the past, designated companies like Nintendo, Sony, and Apple as new competitors. Why? Studying its customers’ behavior with spare time, Nike found that it fell behind in the competition as its customers favored easy exciting video games or entertainment in recent years. Nike defined its competitors for customers’ spare time from a customer’s perspective.

In the current platform business, occupying customers’ spare time, which is not much, translates to the revenue of the future. In that context, Nike needed to occupy customers’ spare time. (Monetization was an issue for later.) ...

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