ON Overview
What industry segment does ON primarily compete in?
Premium running footwear.
Which PESTEL factor most directly affects ON’s eco-friendly production?
Environmental.
What is ON’s main business-level strategy?
Focused Differentiation.
What type of manufacturing model does ON use?
Asset-light.
What is ON’s vision?
To revolutionize running through performance and sustainable innovation.
What is ON’s average price range compared to Nike?
ON: $130–$270 vs. Nike: $40–$300.
What economic factor allows ON to outsource manufacturing globally?
Cost efficiency and global trade access.
What core philosophy drives ON’s design approach?
“Form follows function.”
What is the key benefit of ON’s global supplier partnerships?
Faster production with lower fixed costs.
Name one of ON’s major goals from its corporate vision.
Global expansion or leadership in circular innovation.
What type of market environment best describes the athletic footwear industry?
Fast-paced, innovation-driven, and highly competitive.
According to Porter’s Five Forces, what is one major barrier to entry in this market?
High marketing and R&D costs.
What technology defines ON’s unique performance experience?
CloudTec® cushioning system.
How fast can ON respond to market demand compared to the industry?
4–5 weeks vs. 18 months.
What is ON’s circular product initiative called?
Cyclon program.
What trend helped ON gain market share against Nike and Adidas?
Shift toward e-commerce and niche, authentic brands.
What is the biggest driver of rivalry in the athletic footwear industry?
Constant innovation and athlete endorsements.
How does ON’s pricing reinforce its strategy?
Signals exclusivity and maintains premium brand image.
Why does ON keep R&D in-house while outsourcing manufacturing?
To protect innovation and ensure design quality.
What does “Circular Innovation” mean in ON’s strategy?
Designing fully recyclable, bio-based performance shoes.
What makes ON’s brand identity distinct from larger competitors?
Swiss-engineered innovation and minimalist performance design.
What consumer behavior trend benefits ON’s business model?
Demand for sustainable, performance-driven, direct-to-consumer brands.
How does ON deliver “value innovation” compared to competitors?
Combines minimalist design with high-tech functionality.
How does ON’s supply chain strategy enhance its competitive advantage?
Ensures agility, efficiency, and consistent quality at scale.
How does ON’s sustainability focus strengthen its premium positioning?
Aligns brand values with eco-conscious consumers and differentiates from mass competitors.