Company Comparison Essay: Loki USA Versus Adidas
Loki USA is perhaps one of the fastest developing companies in the United States today. Started in 1997, the company has grown to be a popular clothing line not just in the US but also in countries like Canada, Japan, and China. The clothing line remains high-performing despite fierce competition in its market niche. Loki USA operates in a market that is defined by popular multinational entities like Adidas, Nike and Puma, which have existed for many years now. However, despite it being relatively new and young in the market, Loki remains profitable and its levels of success have indeed exceeded what many startup clothing line companies have failed to achieve in many years, especially given the levels of competition in that market. The current editorial compares Loki USA and Adidas, a German multinational that operates in many other countries including the United States.
Although it is indisputable that Adidas is a larger company than Loki USA, it is true to say that the latter is far much innovative than the former. The claim is informed by the fact that Adidas employs far much expensive marketing strategies whose cost exceed that of the marketing tactics employed by Loki USA. For instance, Adidas’ marketing campaigns employ renowned sports stars with the aim of attracting customers to the clothing line. On the other hand, Loki USA relies on innovative strategies that tend to focus more on the appeal of customers rather than the popularity of the personalities used in advertisement campaigns. In this light, Loki can be described as a company that uses some of the most effective marketing campaigns in a niche where starts-ups that fail to innovate literally die off within just a few months or years of operation.
Apparently, Loki USA deals with clothing that is meant for outdoor sporting events performed in varied weathers. Consequently, the company offers products that are responsive to the temperature demands of the areas in which their customers intend to use the attires that they purchase. Loki USA has, therefore, endeavored to produce the sports gear that enhances and improves temperature levels on their own, and as per the customers’ tastes. Innovatively, the products of Loki USA lower temperatures on they own by use of the vent technology which the company’s products are installed with. It is clear that the level of innovation that Loki USA has employs in its products is far much effective than that employed by Adidas or any other company that develops and produces attires for events that require physical and aggressive participation by users. From this perspective, it is evident that Loki USA beats Adidas or any of the other popular sports attire businesses operating anywhere in the world today.
Additionally, Loki USA operates in a number of countries, which leads to the conclusion that it is also a multinational company, just like Adidas. The firm operates in Japan, Canada and China while also aiming to expand to other markets across the globe. Just like in the USA, Loki is performing positively in the aforementioned countries and it is expected that it will meet, and perhaps exceed, both financial and market development expectations in future years. Taking from the challenges that the company has gone through ever since it was established in 1997, Loki USA is poised to effectively mitigate its challenges in future regardless of the country in which it intends to operate. Apparently, Loki is currently at a better financial position than it was in its early years when it was starting up in the United States. In light of this, the company’s current financial situation can be viewed as a strength that can help it shield itself from any market shocks it could face as it operates in new markets worldwide.
Unlike Adidas which focuses on high quality but very expensive sports clothing, Loki USA focuses on cheaper but high quality clothing that could be used in events like mountain climbing and other ice-based sporting activities. Besides, the entrepreneurs behind Loki USA are experienced mountain climbers who understand the demands that such a highly physical activity require. For instance, one of the firm’s founders was involved in a mountain climbing accident, an event that changed his view regarding the safety measures that should be taken when participating in such dangerous activities. The products of Loki USA can, therefore be trusted in effectiveness and reliability as customers seek to enhance their safety measures when participating in dangerous but adventurous physical activities like mountain climbing. In this regard, it is apparent that Loki USA out performs Adidas and many other clothing companies from the safety and innovativeness front.
From the foregoing, it is clear that Loki USA remains a competitive business. Given its current financial strength and market positioning the company is poised to outperform most of its competition. In conclusion, Loki USA is indeed a perfect example of how innovation and commitment can help attain business growth and profitability.