Tanner Friesen's Blog

The United Nations is an international organization that is committed to maintaining international peace, while also promoting social progress and better living standards. The UN is essential in creating world change, but the scale of global issues is far too big for one organization to address them all.

UBC’s Arc Initiative differentiates from the UN by operating on a smaller scale and providing opportunities, rather than fixing a problem. As seen in the article on Salem’s Ethiopia, Mrs. Kassahun worked with an Arc Initiative student intern to create a strategy that would improve upon her existing business model.

By empowering individuals and providing them with valuable skills, the Arc Initiative is providing local communities with sustainable opportunities – enabling long term success instead of short term solutions.

I found Eric’s blog post on Adidas to be an interesting read. I agree with Eric when he says that Adidas is losing in the US market because they are seen as “being too ‘European,’” however I think that this train of thought can be expanded upon.

There are a few main reasons why Adidas is losing market share in the US, while Under Armour is growing and Nike sits atop the athletic industry.

1. Innovation – Nike is continually releasing new and innovative apparel designs, while Adidas is always one step behind.
2. Brand image – Adidas is seen as primarily a soccer brand (being too “European) that has tried to enter into other sports. Nike and Under Armour are seen as athletic apparel brands for all sports.
3. Culture – As David Hieatt explains in his blog post, Nike has voiced its culture, while Adidas hasn’t been able to. Consumers have an emotional connection with Nike, but Adidas hasn’t been able to find its voice.

Like Eric, I believe that if Adidas wants to compete with Nike, they need to better target other sports besides soccer. Not only that, they need to be ahead of Nike when it comes to innovations, not always in the shadows. Lastly, they need to be able to connect with the people who use their products.

Although the provincial government of British Columbia initially approved Taseko’s $1.1 billion mine project, the federal government twice rejected the proposal. Government and society’s attitudes have recently changed – ethical environmental decisions take precedent over economic prosperity.

Through Taseko’s key activities, the project would’ve had negative affects on Fish Lake and its surrounding ecosystem. The decision to reject the mine project stems from increasing consciousness of environmental issues and ecological values of people in British Columbia and Canada.

If the mine project were to eventually be approved, Taseko would have to adhere to strict environmental regulations and cooperate with the First Nations people. These environmental regulations could increase the cost of the project because they would have to practice eco safe mining, but it would also provide economic benefit to BC and the First Nations people.

If the project goes through, all parties involved could see benefits – as long as ethical practices take place.

After reading Tristan’s blog post on Nike’s sales performance in China, I was shocked with what I learnt. I would’ve thought that China was one of Nike’s top markets, yet its sales consistently decrease each quarter.

China is filled with fashion minded people – Shanghai and Hong Kong are two of the world’s leading fashion cities. Also, I know many Chinese and other people of Asian ethnicities who keep up with the latest fashion trends. One thing they all have in common is their love for Nike shoes and apparel. This would lead me to believe that Nike does well in China, but this isn’t the case.

As Tristan pointed out, Nike doesn’t sell well in China because they focus on minor sports, active lifestyles are seen as only for the rich, and academics take priority over athletics.

In the last year, Nike has been able to make a lot of their footwear and apparel appeal to both consumers who are fashion conscious and those who are looking for a performance athletic boost. This strategy, along with partnering with the government to develop school athletic programs, will help Nike’s long-term goal of gaining a large market share in China.

“Coming and happening” – NHL chief operating officer John Collins’ words regarding jersey sponsorship.

In professional sports, advertising is a primary revenue stream. Advertising can be seen painted on football fields, ice rinks, and basketball courts. Many professional European hockey and soccer teams allow sponsorship on player’s jerseys. Yet, none of the major North American professional sports leagues allow jersey sponsorship (apart from the company who made the apparel).

Since team owners and league personnel are always looking for ways to increase revenue and profits, it is inevitable that jersey sponsorship will be coming to a pro sports team near you.

As an avid sports fan, I hope that it is a while, or never, before jerseys becomes a significant advertising platform. Firstly, ads on jerseys would look bad and take away from classic jerseys. How would the New York Yankees classic pinstripe jersey look with a multitude of brand logos on it? The answer is NOT VERY GOOD. Furthermore, I think that jerseys sales would plummet if leagues starting placing advertising on jerseys. I wouldn’t want to buy my favourite player’s jersey if it was splattered with advertisements.

I realize that in the near future, all pro sports jerseys will have some form of advertising on them. I just hope that the leagues prioritize keeping the classic looks of jerseys over the revenue they would gain by ruining them.

Recently, Amazon announced that it would begin to offer same day delivery in Vancouver and Toronto. This service is available on online orders made before noon. Introducing same day delivery in parts of Canada will help Amazon to compete with large Canadian retailers and retailers across the border during the holiday shopping season. Not all products will be eligible for same day delivery. Hundreds of thousands of items including electronics and household necessities will be eligible.   As same day delivery is fairly new in Canada, operational problems could emerge quickly. Possible problems could include orders not being processed properly and products not being delivered on time. Since customers will be paying upwards of $10 for this service, they might be extremely unhappy if they don’t get their order. In order to handle any problems with this new service, Amazon must have an effective call center that is able to handle any customer complaints/problems. This starts with organizational culture. If Amazon has an organizational culture where employees respect customers and act in a polite and helpful manner, then Amazon should be able to effectively integrate same day delivery into their company.

“We are playing offense,” said Starbucks CEO Howard Schultz when explaining how his company is adapting to changes in consumer behavior.

After reporting quarterly sales that were disappointing, Starbucks revealed new operations strategies that will distinguish them from competitors and add to their value proposition.

The Seattle-based coffee company stated that it will be implementing a delivery option on its app for mobile devices. This delivery option will be available in certain parts of the US next year. Lately, Starbucks has been pushing the use of its mobile app as a way to increase customer loyalty. Not only will it have a delivery option, soon you will be able to place an order on your phone ahead of time – a way to get customers in and out quicker.

I think that this is a smart move by Starbucks. Smartphones and mobile apps are becoming increasingly popular and soon it will be essential for businesses to use these. By becoming the first coffee company to offer delivery and pre-order through mobile apps, Starbucks is establishing itself as a leader in the coffee industry. This will also add to Starbucks value proposition and points of difference.

One of the most anticipated releases of 2014, the iPhone 6 and 6 Plus seemed to be a hit among consumers. First week sales set record numbers, thousands of people lined up for the new phones, and the new iPhones got great reviews – until the Bendgate news released. The Bendgate video reveals that when you apply between 70 and 90lbs of pressure, the phone will bend or break.

After this news spread, Samsung took to comparative advertising to exploit the iPhone’s flaws. They released a video showing the iPhone’s flaws and how the Samsung Galaxy Note withstands the same pressure tests as in the Bendgate video. They also released a humorous print ad (shown above).

As Ries and Trout explain, consumers aren’t receptive to comparative advertising. Many consumers find that slamming other companies to be offensive and unprofessional.

In a blog post that I read, a tech expert went to an Apple store himself and tried to bend the phone – he succeeded. When he talked to customers lining up to purchase the new iPhone, they were confident with Apple’s product despite the Bendgate scandal. They thought, “Why would [they] try and bend it” or that even if it bent, “Apple will replace it.”

It seems that despite the Bendgate news and Samsung slamming Apple’s new phones, Apple customers aren’t receptive to the negative advertising and remain loyal to the brand they trust.

After Lower Saxony recently overturned post-secondary tuition fees, all of Germany now provides free post-secondary education. Germany now joins a number of countries, including France, Denmark, and Norway, which provide free tuition.

Many Canadians, including the Canadian Federation of Students, are now pushing for Canada to follow in Germany’s footsteps. With our country’s student debt now surpassing $15 billion, one would think that this would be an effective decision.

I don’t believe that a free university education is a good idea. Although it may relieve student debt, it would cause a multitude of other problems. Tuition fees wouldn’t just magically disappear, the money would still have to come from somewhere – taxes. So although students may be relieved of student debt, taxpayers (which students will soon become) would face the burden of higher taxes. Furthermore, in a society where the job market is extremely competitive, many students rely on the education, skills, and experience that they’ve developed throughout university to help them find a job. Many students aren’t able to find a job straight out of school. With no tuition, many more students will be able to attend university and the job market will become much more competitive.

Although getting rid of tuition fees may relieve students of the debt they encounter while receiving an education, this would not benefit taxpayers or the job market.

As Nike continues to increase the prices of its signature shoes, one might ask, “Is there a limit to how much people will pay?”

The answer is no.

As shipping, materials, and labour costs continue to increase, analysts say that Nike raised the prices of their clothing and shoes by 5-10% back in 2012. One of Nike’s latest shoes released was the LeBron 12, which will put you back between $250 and $300 if you’re willing to buy the shoe. Most people might think, “250 dollars for a shoe? That’s absurd,” but the reality is that its not.

Nike has positioned themself as a global leader in the footwear and apparel industry. As Ries and Trout explain in their article on Positioning, Nike has positioned themself in the mind of the consumer as the top brand in the industry. Consumers want Nike shoes on their feet, and are therefore willing to pay more money for Nike products.

In December, the Air Jordan (a Nike brand) Legend Blue 11s will be released and will retail for almost $300. I, along with almost 1000 other people, will line up overnight at various retailers in Vancouver to buy these shoes. Again, one might think that lining up overnight to pay $300 for a shoe is crazy. The fact is, Nike has positioned themself in the consumer mind as the best footwear company and people are willing to pay hundreds of dollars for the signature Swoosh or Jumpman logo on their shoe.

Nike LeBron Article