Superstar gymnast Simone Biles announced in April that she was cutting ties with Nike to sign a partnership with Athleta, saying she valued the women’s activewear brand for seeing her as a person, not just an athlete. Two years earlier, Athleta wooed sprinting champion Allyson Felix, who announced she was leaving Nike because it had failed to support her when she was pregnant.
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Discussion Questions:
- What is competition?
- What is the difference between direct and indirect competition?
- How would you describe the competition between Athleta and Nike?
- What is competitive advantage?
- What competitive advantage might Nike have over Athleta?
- What competitive advantage might Athleta have over Nike?
- What is product endorsement?
- How is Athleta’s approach to athlete endorsement different from Nike? Be prepared to discuss your answers in class.