Thanks for the post! I’ve been buying Nike’s products for a long time and I actually never realized that they had made such a change. It is very interesting to see how a change in how people think about the business (in this case, think about the sports rather than the products) can have such a significant impact in the results of the company.
I would be very curious to understand what were the implications of this change to the more operational areas of the company, such as manufacturing and supply chain. Were there any savings that resulted from the change? Or were there inefficiencies that arose from the change?
Thanks for sharing your knowledge on such an “obscure” industry for most of us! This was very instructive! I guess I’ve grown up hearing so much about the connection between NASA and space that the sheer thought of a private company “substituting” NASA is amazing to me.
What I would be very curious to understand though is why manufacturers of space parts did not react to SpaceX and lowered prices to try to prevent the new company from entering the market. I understand that they were selling prices at exorbitant prices because they could, but with the experience they had, it sounds very difficult to me that a new entrant is able to achieve lower manufacturing costs than companies that are established in the business.
But now it does not really matter why they did not react, the fact is that they allowed one of the most innovative businessman in the world to carve out a nice spot in their market and they will certainly pay for it.