IBM 1
, Table of contents
- Origination of Adidas 2.
- The formal institution view from Adidas in Mexico 3.
- Politics 3.
- Economy 4.
- Judicial system 5.
- Conclusion of the formal institutions 6.
- The Informal institution view from Adidas in Mexico 7.
- Culture 7.
- Religion 8.
1
- Language 8.
- Conclusion of the informal institutions 9.
- Importance of resources from Adidas based on the VRIO framework 10.
- Modern theory of international trade based on Adidas 12.
- The FDI of Adidas 14.
- Exchange rates regarding Adidas 16.
- Advantages and disadvantages of the European Union for Adidas. 17.
- The multilateral trade system 18.
- Sources 20.
‘Impossible is nothing’ 1
Adidas ®
,Origination of Adidas
The company was found by Adolf Dassler in 1924, who had a real passion making sport shoes. Later
in 1924, his elder brother wanted to join him, so he did. In 1924 they decided to work together as a
team to manufacture sport shoes. The manufacturing took place inside their mother’s house. At this
time, their company was called ‘Gebrüder Dassler Shuhfabrik’.
They began developing spiked running shoes for athletic events. They were trying to
enhance the quality of their athletic footwear, so they develop a footwear with
heavy metal spikes, utilised rubber and canvas.
The brothers had their first patent from the German trade mark office
in 1925. The shoe they developed was for middle distance
running and sprinting up to 800 meters. It was made
goatskin, chrome splits, and metal spikes.
2
In 1928 the brothers made a huge performance for their shoe
company. Lina Radka won the gold medal in the 800 meter at the Olympic games in
1928, he broke the world record with the Gebrüder Dassler Shufabrik shoes.
In 1947 the brothers had an argument that led to a relationship breakdown. So they
decided to separate from each other. Rudolf went for his own and so did Adolf.
Rudolf started Puma, which became Adolf biggest business rival. Adolf started
Adidas at the 18th of August in 1949. He came with the idea to call his company
Adidas, this because of his name. His nickname was Adi, that’s where that came
from, and his last name is Dassler, so it became Adi Das(sler).
Adidas is interested in Mexico (2018) as this is an emerging country, so they decided to do a research
if Investing in Mexico is a smart move to gain more profit. Adidas have investigated Mexico on many
aspects. And this document is the result of their research.
‘Impossible is nothing’ 2
Adidas ®
, The formal institution view from Adidas
in Mexico
Politics
Mexico offers attractive business opportunities, but developments in the country’s political,
economic and legal sphere create numerous uncertainties .The rules in Mexico are different from
elsewhere in Europe. Different countries have different institutions. If Adidas want to be a success in
Mexico, they need to constantly monitor, decode and adapt to the chancing rules.
Formal institutions include laws, rules and regulations that are set by the authorized bodies. In
Mexico it is the government.
A political system refers to the rules on how a country is
governed (politically). Business people need to
understand the political system although business
interact indirectly with the political system. Mexico is
a democratic country, where governments derive
their legitimacy from election by their citizens.
The politics of Mexico is a framework based on a 3
congressional system. This makes the President
of Mexico the head of government and the head
of state.
Mexico is a federal republic containing 31 states.
The governmental powers are dived between the
legislative, executive and judicial branches. Which
makes Mexico an indirect democracy.
The political system of Mexico contains a limited number of
large political parties. In the 20th century the most powerful
political
party was the Partido Revolucionario Insitucional, who ran Mexico as an one-party state from 1929
till the late 20th century. During that period, the Partido Revolucionario Insitucional has never lost a
presidential election.
In 1999 the Partido Revolucionario Insitucional was asked to hold a primary election and to choose a
candidate. Ernesto Zedillo (the president from 1994 to 2000) instituted other electoral reforms.
Which led to a defeat by Vincente Fox Quesada in the year 2000. It has ended a 71 years of
continuous rule by the Partido Revolucionario Insitucional. This was an election which was
considered to be the fairest and most democratic in the electoral history of Mexico.
Nowadays the politic of Mexico is dominated by three political Parties. Those are:
- The party of the Democratic Recolution
- National Action Party
‘Impossible is nothing’ 3
Adidas ®
, Table of contents
- Origination of Adidas 2.
- The formal institution view from Adidas in Mexico 3.
- Politics 3.
- Economy 4.
- Judicial system 5.
- Conclusion of the formal institutions 6.
- The Informal institution view from Adidas in Mexico 7.
- Culture 7.
- Religion 8.
1
- Language 8.
- Conclusion of the informal institutions 9.
- Importance of resources from Adidas based on the VRIO framework 10.
- Modern theory of international trade based on Adidas 12.
- The FDI of Adidas 14.
- Exchange rates regarding Adidas 16.
- Advantages and disadvantages of the European Union for Adidas. 17.
- The multilateral trade system 18.
- Sources 20.
‘Impossible is nothing’ 1
Adidas ®
,Origination of Adidas
The company was found by Adolf Dassler in 1924, who had a real passion making sport shoes. Later
in 1924, his elder brother wanted to join him, so he did. In 1924 they decided to work together as a
team to manufacture sport shoes. The manufacturing took place inside their mother’s house. At this
time, their company was called ‘Gebrüder Dassler Shuhfabrik’.
They began developing spiked running shoes for athletic events. They were trying to
enhance the quality of their athletic footwear, so they develop a footwear with
heavy metal spikes, utilised rubber and canvas.
The brothers had their first patent from the German trade mark office
in 1925. The shoe they developed was for middle distance
running and sprinting up to 800 meters. It was made
goatskin, chrome splits, and metal spikes.
2
In 1928 the brothers made a huge performance for their shoe
company. Lina Radka won the gold medal in the 800 meter at the Olympic games in
1928, he broke the world record with the Gebrüder Dassler Shufabrik shoes.
In 1947 the brothers had an argument that led to a relationship breakdown. So they
decided to separate from each other. Rudolf went for his own and so did Adolf.
Rudolf started Puma, which became Adolf biggest business rival. Adolf started
Adidas at the 18th of August in 1949. He came with the idea to call his company
Adidas, this because of his name. His nickname was Adi, that’s where that came
from, and his last name is Dassler, so it became Adi Das(sler).
Adidas is interested in Mexico (2018) as this is an emerging country, so they decided to do a research
if Investing in Mexico is a smart move to gain more profit. Adidas have investigated Mexico on many
aspects. And this document is the result of their research.
‘Impossible is nothing’ 2
Adidas ®
, The formal institution view from Adidas
in Mexico
Politics
Mexico offers attractive business opportunities, but developments in the country’s political,
economic and legal sphere create numerous uncertainties .The rules in Mexico are different from
elsewhere in Europe. Different countries have different institutions. If Adidas want to be a success in
Mexico, they need to constantly monitor, decode and adapt to the chancing rules.
Formal institutions include laws, rules and regulations that are set by the authorized bodies. In
Mexico it is the government.
A political system refers to the rules on how a country is
governed (politically). Business people need to
understand the political system although business
interact indirectly with the political system. Mexico is
a democratic country, where governments derive
their legitimacy from election by their citizens.
The politics of Mexico is a framework based on a 3
congressional system. This makes the President
of Mexico the head of government and the head
of state.
Mexico is a federal republic containing 31 states.
The governmental powers are dived between the
legislative, executive and judicial branches. Which
makes Mexico an indirect democracy.
The political system of Mexico contains a limited number of
large political parties. In the 20th century the most powerful
political
party was the Partido Revolucionario Insitucional, who ran Mexico as an one-party state from 1929
till the late 20th century. During that period, the Partido Revolucionario Insitucional has never lost a
presidential election.
In 1999 the Partido Revolucionario Insitucional was asked to hold a primary election and to choose a
candidate. Ernesto Zedillo (the president from 1994 to 2000) instituted other electoral reforms.
Which led to a defeat by Vincente Fox Quesada in the year 2000. It has ended a 71 years of
continuous rule by the Partido Revolucionario Insitucional. This was an election which was
considered to be the fairest and most democratic in the electoral history of Mexico.
Nowadays the politic of Mexico is dominated by three political Parties. Those are:
- The party of the Democratic Recolution
- National Action Party
‘Impossible is nothing’ 3
Adidas ®
