Report Lining new brand strategy(李宁新品牌战略报告)

Report Li-Ning new brand strategy By

Dec. 22, 2011

Abstract

This report analyses the new brand strategy launched by LiNing Company in June 2010.The purpose of this report is to provide a direction of LiNing Company with the information through assessing the effectiveness of the new brand campaign. The results of the new brand strategy will be show after analysis .And the recommendation will be made to help establishing a new image of the company based on the assessment and analysis.

Executive summary

The report examines the market reaction to the new brand strategy of Li-Ning Company. The purpose of this report is to provide the board of directors with information necessary for assessing the effectiveness of the new brand campaign.

In June 2010, Li-Ning Company unveils its new brand image and changes its slogan into “make the change”.

We analyze the financial returns and performance of Li-Ning’s stock price in capital market. We arrive at a conclusion that it is a bad strategy and should be make the change.

Recommendations are given for the board of directors in planning the appropriate strategy. We suggest that elaborate market research should be making to find the true attention of customer combining qualitative analysis and quantitative study.

Contents

The development of LiNing (1)

Lining brand startup stage(1990~1992) (1)

Domestic high speed development stage (1993 ~1996) (1)

Strategic adjustment stage (1997 ~1998) (1)

Renaissance stage(1999 ~2001) (2)

Establish Brand System Stage (2002 ~ 2009) (2)

Brand Remodeling Stage (2010 ~) (3)

Introduction of the new brand strategy (4)

Analysis of the new brand strategy (5)

Conclusion and recommendation (8)

The development of LiNing

Lining brand startup stage(1990~1992)

Lining Company was launched in August 1990.At the same time, Lining became the only company that provided sports equipments for the Chinese delegation in 11th Asian games. In 1991, Lining sports goods company formally established in Guangdong. In the end of 1992, three branches established in Beijing, Guangdong. Because China’s sports goods market was not industrialized at that time , Lining could satisfy the public demand. A nd Li Ning ’s star effect ,all these make Lining brand succeed in the early 90s.

Domestic high speed development stage (1993 ~1996)

In 1993, Lining brand took the lead to establish franchise monopoly marketing system in China; In September 1994, Lining sports company set up; By the end of 1995, Lining Group was founded; In early 1996, the Group’s headquarter moved from Guangdong to Beijing. And from 1993 to 1996 , Lining brand’s sales income increased in more than 100% a year. In 1996, its total income is 670 million yuan which made a history record. Strategic adjustment stage (1997 ~1998)

Li ning brand succeed in 1997 but the success ended abruptly, due to the impact of the Asian financial crisis and China's economic deflation, Lining brand also got into trouble. After several years, Lining’s sales income has been hovering around 700 million and market position also