Award winner: adidas: How to Keep Running Fast in a Post-COVID-19 World?

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This case was the Overall Winner at The Case Centre Awards and Competitions 2022. #CaseAwards2022

The authors gave a webinar about writing and teaching the case on 24 March 2022. Watch it back here.

View photos and video from the awards presentation on 28 April 2022.

Who – the protagonist

Kasper Rørsted, CEO of the adidas Group, the global apparel sports company.

What?

From 2016 to 2019, the adidas Group had performed well and the period was one of sustained growth. In particular, the company had chosen to focus on a strategy of digitalisation by enhancing its digital presence and engaging in novel ways with its customers. But the first quarter of 2020 brought unexpected challenges for Rørsted and adidas.

Adidas label

Why?

With the spread of the coronavirus pandemic in the early part of 2020, social distancing and national lockdowns inevitably impacted the group’s brick-and-mortar stores and saw a massive spike in online shopping. Rørsted felt the company had already done a lot to embrace this digital acceleration, but was it enough to future-proof the company?

When?

The case is set in April 2020, the early days of the coronavirus pandemic.

Where?

Adidas was founded as ‘Adi Dassler adidas Sportschufabrik’ in Herzogenaurach, Germany in 1949 and still is headquartered there today. During the 1950s, the company’s presence as an international brand grew and they were quickly exporting to over 40 countries. By 2020, they were the leading sportswear manufacturer in Europe and second in the US only to rival Nike Inc.

Key quote

Kasper Rorsted

''The only consistent store that’s open 24/7 and is more important than ever is, of course, adidas.com or reebok.com”.''

Kasper Rørsted, CEO.

What next?

Rørsted believed that, in the medium-term, adidas’ innovative digital strategy had been successful in navigating the radically changing retail landscape. But he wanted to ensure the company’s long-term success in this unparalleled period of uncertainty and accelerated digitalisation. What more could he do to keep adidas on a steady growth trajectory in these uncertain times?

AUTHOR PERSPECTIVE 

This is the first Case Award for authors Niccolò Pisani and Ornella Lupoi, and the 41st award for IMD, including five Overall Case Awards (1993, 1995, 2002, 2014, 2022).

Winning the award

Niccolò said: “This means a lot to me. It feels very rewarding knowing that so many colleagues have found our case valuable for their own teaching and students from all the world have used our case in their learning journeys.”

Case popularity 

He reflected: “I think the case has been so popular for three main reasons.

  • Firstly, adidas, beyond being an iconic brand, offers a great business setting to discuss how disruptive the pandemic has been and, in turn, how this has affected companies’ strategies to remain competitive in a post-COVID-19 world.
  • Secondly, the case triggers an in-depth discussion on fundamental trends driving change in the business landscape nowadays, from digitalisation to sustainability and the retail disruption, and how these can inform the strategic choices that companies such as adidas need to make to future-proof themselves.
  • Thirdly, the case has a clear story that caters for different audiences, which certainly contributed to its widespread adoption.”

Adidas app iphone

Writing the case

The authors said: “We started working on the case in the summer of 2020 and published it in September of that year. So, we began working on the case when the pandemic was still in its early days. Realising that COVID-19 was going to have such a long-lasting impact on so many companies and disrupt entire sectors made us understand that adidas’ setting was ideal for a strategy and general management case study on the effect of the pandemic. Getting the case out at the right time turned out to be important too.”

Case writing advice

Niccolò said: “Keep the structure of the case simple and straightforward. Ultimately, you want to make sure students get a clear picture of the situation and understand the overall story. A simple structure that covers all the basic information in an orderly manner will ensure students understand the story of the case and will make it way more enjoyable for them to work on it.”

Teaching the case

He commented: “I have used the case in a variety of programmes at IMD, from the EMBA to different open and custom programmes. The experience has always been very positive and rewarding as participants have greatly enjoyed the classroom discussion.”

Instructor VIEWPOINT 

Discover how this case works in the classroom.

''I like to use this case study in my teaching because it represents a smart interplay between the retailer's strategy and a response to the consequences of COVID-19 disruption, and it offers insight into the ongoing digitisation in the retail sector. The exciting journey of adidas provides many opportunities for lively classroom discussion. Students can learn about corporate digital transformation and the dynamic capabilities that multinational companies need to respond to a dynamically changing and evolving environment. Because my courses are international in scope and include a multicultural audience, the case study can be used as a useful tool to discuss international value chains, the role of geopolitics, and de-globalisation. Finally, the four retail models presented in the case study provide an opportunity to discuss future retail business models.''

Gregor Pfajfar, Associate Professor, University of Ljubljana School of Economics and Business

THE CASE 

The case

Who – the protagonist

Kasper Rørsted, CEO of the adidas Group, the global apparel sports company.

What?

From 2016 to 2019, the adidas Group had performed well and the period was one of sustained growth. In particular, the company had chosen to focus on a strategy of digitalisation by enhancing its digital presence and engaging in novel ways with its customers. But the first quarter of 2020 brought unexpected challenges for Rørsted and adidas.

Adidas label

Why?

With the spread of the coronavirus pandemic in the early part of 2020, social distancing and national lockdowns inevitably impacted the group’s brick-and-mortar stores and saw a massive spike in online shopping. Rørsted felt the company had already done a lot to embrace this digital acceleration, but was it enough to future-proof the company?

When?

The case is set in April 2020, the early days of the coronavirus pandemic.

Where?

Adidas was founded as ‘Adi Dassler adidas Sportschufabrik’ in Herzogenaurach, Germany in 1949 and still is headquartered there today. During the 1950s, the company’s presence as an international brand grew and they were quickly exporting to over 40 countries. By 2020, they were the leading sportswear manufacturer in Europe and second in the US only to rival Nike Inc.

Key quote

Kasper Rorsted

''The only consistent store that’s open 24/7 and is more important than ever is, of course, adidas.com or reebok.com”.''

Kasper Rørsted, CEO.

What next?

Rørsted believed that, in the medium-term, adidas’ innovative digital strategy had been successful in navigating the radically changing retail landscape. But he wanted to ensure the company’s long-term success in this unparalleled period of uncertainty and accelerated digitalisation. What more could he do to keep adidas on a steady growth trajectory in these uncertain times?

AUTHOR PERSPECTIVE 

Author perspective

This is the first Case Award for authors Niccolò Pisani and Ornella Lupoi, and the 41st award for IMD, including five Overall Case Awards (1993, 1995, 2002, 2014, 2022).

Winning the award

Niccolò said: “This means a lot to me. It feels very rewarding knowing that so many colleagues have found our case valuable for their own teaching and students from all the world have used our case in their learning journeys.”

Case popularity 

He reflected: “I think the case has been so popular for three main reasons.

  • Firstly, adidas, beyond being an iconic brand, offers a great business setting to discuss how disruptive the pandemic has been and, in turn, how this has affected companies’ strategies to remain competitive in a post-COVID-19 world.
  • Secondly, the case triggers an in-depth discussion on fundamental trends driving change in the business landscape nowadays, from digitalisation to sustainability and the retail disruption, and how these can inform the strategic choices that companies such as adidas need to make to future-proof themselves.
  • Thirdly, the case has a clear story that caters for different audiences, which certainly contributed to its widespread adoption.”

Adidas app iphone

Writing the case

The authors said: “We started working on the case in the summer of 2020 and published it in September of that year. So, we began working on the case when the pandemic was still in its early days. Realising that COVID-19 was going to have such a long-lasting impact on so many companies and disrupt entire sectors made us understand that adidas’ setting was ideal for a strategy and general management case study on the effect of the pandemic. Getting the case out at the right time turned out to be important too.”

Case writing advice

Niccolò said: “Keep the structure of the case simple and straightforward. Ultimately, you want to make sure students get a clear picture of the situation and understand the overall story. A simple structure that covers all the basic information in an orderly manner will ensure students understand the story of the case and will make it way more enjoyable for them to work on it.”

Teaching the case

He commented: “I have used the case in a variety of programmes at IMD, from the EMBA to different open and custom programmes. The experience has always been very positive and rewarding as participants have greatly enjoyed the classroom discussion.”

Instructor VIEWPOINT 

Instructor viewpoint

Discover how this case works in the classroom.

''I like to use this case study in my teaching because it represents a smart interplay between the retailer's strategy and a response to the consequences of COVID-19 disruption, and it offers insight into the ongoing digitisation in the retail sector. The exciting journey of adidas provides many opportunities for lively classroom discussion. Students can learn about corporate digital transformation and the dynamic capabilities that multinational companies need to respond to a dynamically changing and evolving environment. Because my courses are international in scope and include a multicultural audience, the case study can be used as a useful tool to discuss international value chains, the role of geopolitics, and de-globalisation. Finally, the four retail models presented in the case study provide an opportunity to discuss future retail business models.''

Gregor Pfajfar, Associate Professor, University of Ljubljana School of Economics and Business

THE CASE 

Read the case

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TEACHING NOTE - Reference no. IMD-7-2222-T

Case video trailer

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