Abstract

Adidas-Salomon (adidas) is famous for its sports shoes. The company also offers apparel and other accessories. Adidas has sponsorship deals with popular US football and basketball stars, as well as the New York Yankees. The company faces many risks-marketing risks, operations risks, social and environmental risks, legal risks, information technology risks and financial risks. The case outlines these risks and the mechanisms adidas employs to deal with them. MBA students, as part of the business strategy course, will find the case useful in understanding good risk management practices.

Learning Objectives

The case is structured to achieve the following Learning Objectives:

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Keywords

Adidas-Salomon, Corporate strategy, Risk, Athletic shoes, Adi and Rudi Dassler, Risk management, Marketing risks, Operation risks, Social and environmental risks, Legal risks, Information technology risks, Financial risks, Currency risks, Interest rate risk, Credit risk