This is the detailed PEST or PESTLE analysis of Reebok which discusses the political, economical, technological, environmental and legal factors of the Company. The mentioned factors covered in this article could be positive or negative for the company, however determining those factors proactively helps the firms operating in this industry to devise the strategies to capitalize on the available opportunities and eliminate or minimize the threats.

Reebok is the international brand, which deals with the manufacturing of sports goods and it provides its products almost all countries of the world. This sports brand has introduced number of sports products like footwear, dresses, wrist bands, caps and many other products. It parent company is Adidas, which got tremendous popularity due to its unique collection of apparel and accessories. The company became well known because of innovation and excellent quality of footwear and sports apparel. Initially Reebok USA was made to supply the products in USA but after few days it was merged into Reebok International to spread its business of other countries of the world.

Political Factors

US has consistent and easy atmosphere in which the corporate activities can be continued easily. The government introduced many reforms for the development of the business and also appreciated the companies to start their working internationally. When the brand finds the favorable condition in any country, then it introduced its products there. The company introduced its products in the emerging economies like China and India, where the consumption of products is excessive. Almost all of the countries make rules and regulations to enhance the business activities in the country and this expansion of business activities can remove the unemployment and earn the revenue through tax collection or import and export duties on the products. Reebok check the regulations of the country and it enhances its business in particular country. The brand focuses on financial performance, develops leading positions in major markets, matching structure of products to the consumers, gains excellence in execution of products and extends its leadership in innovative designs (Kevin, 2010).

Economical factors

Reebok is considered among top 3 sports brands, which has largest sale of athletic apparel and footwear across the world. The company prepares the products in premium and mid-range and it targets the lower income groups, which are in billion and it also categories its products for different classes and genders of the society. Through its distant and large number of sale of the products, the brand earned huge profit and its new and innovative products are getting popularity. The company has given the attention to the lifestyle of the people and provides products, which are suitable for their needs (BrandGuide, 2015).

The brand has its GDP growth rate at 7.3% for year 2012-2013, which was 6.8% more than the previous year. Due to its strong policies, the inflation rate falls to 6.8% if compare it to 8.0% of last year. The value of the currency fell and fiscal deficit and high trade put great pressure in the financial markets. The position of the middle class was improved and it increased the sale of branded products like sports shoes of international brands (Ruchi Dalal, 2013).

Social Factors

Almost all of the countries of the world participate in different sports activities and they have introduced their policies to encourage them. The young generation of these countries takes part in different games and they look for best and suitable apparels and sports shoes, which can give them convenience during their games. So the sports products of this brand are getting popular among these young people and they feel comfortable while running during their sports. The young generation is health conscious and they are adopting such healthy lifestyle, which can give them health and make them strong, so they like to do exercise and play different sports (Ruchi Dalal, 2013).

The brand has made some tie-ups with different sports academies and schools across the world so that they can create awareness among the people about use of their sport products and remain fit and strong after playing the games. The middle aged and the old aged people want to walk and come to the healthy lifestyle and maintain their health (BrandGuide, 2015).
Technological Factor

The brand has developed its own website, where the products are shown in complete range. The new and innovative style of the sports products are also shown as their new arrival in the market and it helps the clients to choose their favorite product sitting in their homes. Reebok also offers the online shopping to its clients, so they do not need to go to the retail shop to buy the products. The online retail marketing has the annual growth rate of 35%, which is still increasing and it is hoped that it will reach to maximum in next few years. The countries, which have developed their economies and introduced new technologies, the online retail shopping is increasing rapidly (Ruchi Dalal, 2013).

The sports brand brings new changes and technological advances in its products every year so the people can find consistent innovation in the products of this company. If this brand wants to make consistent development, then it will have to continue new technological development to make its products unique and up to the expectations of the clients (BrandGuide, 2015).

Environmental Factors

Reebok has made the strong and consistent efforts to set the responsible workplace standards and it has minimized the impact on the environment. The company continued its help to achieve the fair, safe and healthy conditions of factory and it is following various rules and regulations, which are governed this industry. The brand also abides by the environment laws and regulations, which are made by the countries and it strictly adheres to them (Nikhil Sharma, 2015).

Legal Factors

Reebok has to follow different legal aspects during their business activities. The brand has to pay the taxes in the countries, where it is operating and also meet the labor wages according to the provision of their regulations. This is the responsible fashion brand in sports, so it follow the local policies and follow their rules and regulations ensuring their safe and quick supply of products and get good profit over the sale of the products. The brand has to pay the taxes according to the taxation policy of the operating countries. The products of this brand are user friendly so these are getting popular but some of the products may have restriction in any particular country so they need to understand their policies and avoid any potential problems in their markets. 



Nikhil Sharma (2015)    , Reebok Final Report, available at
BrandGuide (2015), Reebok SWOT Analysis, USP & Competitors, available at
Kevin (2010), Reebok Strategic Audit, available at
Ruchi Dalal (2013), Reebok Presentation for in Context to International Business Subject, available at

error: Content is protected !!

Pin It on Pinterest

Share This