Internal and External Analysis for New Balance Athletic Shoes Inc Essay

Internal and External Analysis for New Balance Athletic Shoes Inc - Essay Example Finally, the company lacks the emphasis required on design in order to achieve broader sales volumes. The information uncovered for this report will be discussed in relative detail in this report. New Balance currently maintains a somewhat conservative mentality when it comes to trying to reach potential customers. This is an attitude within the company that needs to change and should represent flexibility in thinking toward a change in the brand. Such changes would require small internal adjustments in promotion (and the overall sales budget) to make the product stand out in the minds’ of consumers. Currently, the company only maintains 58 percent brand recognition (Bowen, Huckman & Knoop, 2008), considerably lower than that of their rival competition, Nike and Reebok. However, dollar for dollar, the company’s advertising expenditures are nearly equal with Reebok but the return on this investment is significantly higher for Reebok. The more mature-minded consumer may not be the ideal candidate for the modern New Balance company when it comes to increasing sales volumes, the key to moving forward may lay in reaching a much broader and younger, progressive consum er audience. The company is currently working with a wide variety of different styles for production which should be an integral part of the company’s operations: A well-developed research and development team combined with marketing excellence that can reposition the product (based on budget restrictions) as a more progressive shoe company. It is suggested that marketing strategies should include focusing on this element of good business, illustrating to prospective customers that the company intends to stay around and means business. Such marketing changes, developed through an appropriate project management team, could unleash a brand new image for New Balance, suggesting that it, too, can weigh quality with