Nike plans to expand its foreign sports brand in China to divide the Chinese market?

Contrary to some foreign-funded enterprises that have encountered Waterloo in China, the Nike Group has made great strides in the Chinese market.

On February 22, Nike announced in Taicang, Jiangsu that its five-year largest logistics center in the Asia Pacific region was officially put into use. With a construction area of ​​200,000 square meters, the logistics center will be responsible for logistics operations in mainland China including apparel, footwear, sports equipment, and Nike golf products.

With the complexity of Nike's business in China, the requirements are getting higher and higher, and traditional warehouses can no longer cope. The Nike Group began considering the establishment of a logistics center in China five years ago. Three years ago, the project was internally approved by the Nike Group. Two years ago, it finally broke ground.

Hans van Alebeek, vice president of global operations and technology at Nike Group, said: "Nike China Logistics Center will provide a reference for clarifying the sustainable development of large-scale logistics facilities."

Currently, in addition to Nike China Logistics Center, Nike has six logistics centers in Other countries in the world, which are located in Belgium, the United States, Canada, Japan and South Korea. Qi Kaige, Vice President of the Nike Group and General Manager of Greater China, said: "We are working hard to achieve the goal of doubling China's business in FY2015."

China is already the second largest market for Nike in the world. In fiscal year 2010 (June 1, 2009 to May 31, 2010), Nike Greater China earned revenue of US$1.742 billion, while its competitor Adidas’ revenue in Greater China 2009 was US$1.33 billion. Analysts believe that with the advancement of urbanization in China, the purchasing power of second- and third-tier cities is increasing day by day, and the Nike Group intends to obtain a wider market.