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Under armour and • threat of new entrants
Under armour and • threat of new entrants




under armour and <li>threat of new entrants. Similarly, the emergence of smart watches can impact the sales of some accessories like Nike’s FuelBand in future. During the 1990s, sales of Nike’s running shoes were affected when many consumers started using suede based shoes made by generic shoe makers as casual wear. Any substitute product from other industries can easily impact the sales of products made by sports industry. Many people use running shoes and T-Shirts made by firms like Adidas and Nike during picnics and weekend outings due to the comfort. Firms in the sports industry too are aware of this reality and focus on producing trending looking apparel and shoes for general purpose use. As mentioned in the case study, 80 percent of the users of products made by sports industry are used by nonathletic consumers for different uses. Even though the products produced by firms in the sports industry belong to a niche category, they too can face threats from substitute products from other industries. the watch making industry is now suddenly impacted by the emergence of smart phones as time keeping tools. Products produced by firms in another industry can impact the incumbent firms in an industry. But the possibility of innovative being well received by customers despite the presence of strong competitors in the industry makes it attractive. Given the ease with which new players can enter the industry, the threat of new entrants is high for the sector. Many more players too can enter the sports industry with innovative technologies similar to Under Armour and SportHill and pose a threat to the existing players of the industry. These new products appealed to the athletes and university teams to an extent that they could easily carve out a niche for themselves quickly and start expanding into other areas faster. Similarly, Jim Hill of SportHill came up with a new athletic apparel design which can be used in any climate and for any sport. Kevin Plank of Under Armour came with up with an innovative technology to make sports apparel which can control the temperature of the athlete’s body during a workout. under armour and Companies which can come up with some innovative product meant for a specific sport or a breakthrough technological innovation can easily make their presence felt in the industry. Apparel, shoes, and other accessories used for one sport (E.g. Even though targeted mostly at sports enthusiasts, the industry is quite assorted as the products needed of one sport differ from that of the other. <img src= -->