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TABLE OF CONTENTS

1. Asia-Pacific Athletic Apparel and Footwear Industry Introduction

1.1. Asia-Pacific Athletic Wear Market Size by Revenue, 2006-2012

1.1.1. By Athletic Apparel, 2006-2012

1.1.2. By Athletic Footwear, 2006-2012

2. Asia-Pacific Athletic Wear Market Segmentation, 2006-2012

2.1. By Athletic Apparel and Footwear, 2006-2012

2.2. By Geography, 2006-2012

3. China Athletic Apparel and Footwear Industry Introduction

3.1. China Athletic Wear Market Size, 2006-2012

3.1.1. By Athletic Apparel, 2006-2012

3.1.2. By Athletic Footwear, 2006-2012

3.2. China Athletic Wear Market Segmentation

3.2.1. By Athletic Apparel and Footwear, 2006-2012

3.2.2. Atheltic Apparel by Gender, 2012

3.2.3. Athletic Footwear By Product Categories, 2012

3.2.4. Athletic Footwear by Gender, 2012

3.2.5. China Indoor Athletic Wear Market 3.2.5.1. Indoor Athletic Wear Market Size, 2007-2012 3.2.5.2. Indoor Athletic Wear Market Segmentation, 2007- 2012

3.3. China Athletic Apparel and Footwear Industry: Trends and Developments Increasing Sports Participation The Post Olympics Effect: Leading to a Slowdown in Demand Emerging Fashion Trends in Sports Industry

3.4. Market Share of Major Players in China Athletic Wear Market, 2011

3.4.1. By Athletic Apparel, 2011

3.4.2. By Atheltic Footwear, 2011

3.5. China Athletic Apparel and Footwear Market Future Outlook and Projections, 2013- 2017

3.6. Company Profiles of Major Domestic Players in China Athletic Apparel and Footwear Market

3.6.1. Anta Sports Products Ltd. 3.6.1.1. Company Overview 3.6.1.2. Business Strategy 3.6.1.3. Financial Performance, 2008-2011

3.6.2. Li-Ning 3.6.2.1. Company Overview 3.6.2.2. Business Strategy 3.6.2.3. Financial Performance, 2008-2011

3.6.3. 361 Degrees International Limited 3.6.3.1. Company Overview 3.6.3.2. Business Strategy 3.6.3.3. Financial Performance, 2008-2011

3.6.4. Xtep International Ltd. 3.6.4.1. Company Overview 3.6.4.2. Business Strategy 3.6.4.3. Financial Performance, 2008-2011

3.6.5. Kappa 3.6.5.1. Company Overview 3.6.5.2. Business Strategy Enhancing Creativity in Design and Development Optimizing Sales Channels 3.6.5.3. Financial Performance, 2008-2011

3.7. Macro-Economic Factors of China Athletic Apparel and Footwear Industry, 2006-2017

3.7.1. Population, 2006-2017

3.7.2. Per Capita Annual Consumption Expenditure on Clothing, 2006-2017

3.7.3. Per Capita Income of Households, 2006-2017

4. Asia-Pacific Athletic Apparel and Footwear Market Future Outlook and Projections, 2013- 2017

4.1. By Geography, 2013-2017

4.2. Cause and Effect Relationship Between Industry Factors and the Asia-Pacific Athletic Apparel and Footwear Market Prospects

5. Major International Players in Asia-Pacific Athletic Apparel and Footwear Market

5.1. NIKE

5.1.1. Company Overview

5.1.2. Business Strategy

5.1.3. Financial Performance, FY’2008-FY’2012

5.2. Adidas Group

5.2.1. Company Overview

5.2.2. Business Strategy

5.2.3. Financial Performance, 2008-2012

5.3. PUMA

5.3.1. Company Overview

5.3.2. Business Strategy

5.3.3. Financial Performance, 2008-2012

6. Appendix

6.1. Market Definitions

6.2. Abbreviations

6.3. Research Methodolgy Data Collection Methods Approach Variables (Dependent and Independent)

Multi Factor Based Sensitivity Model (SPSS Analysis) Final Conclusion

6.4. Disclaimer

LIST OF FIGURES

Figure 1: Asia-Pacific Athletic Apparel Market Size by Revenue in USD Million, 2006-2012

Figure 2: Asia-Pacific Athletic Footwear Market Size by Revenue in USD Million, 2006-2012 Figure 3: Asia Pacific Sportswear Market Segmentation by Athletic Apparel and Athletic Footwear on the Basis of Contribution in Percentage (%), 2006-2012 Figure 4: Asia-Pacific Athletic Apparel Market Segmentation by Geography on the Basis of Contribution in Percentage (%), 2006-2012 Figure 5: Asia-Pacific Athletic Footwear Market Segmentation by Geography on the Basis of Contribution in Percentage (%), 2006-2012

Figure 6: China Athletic Wear Market Size by Revenue in USD Million, 2006-2012

Figure 7: China Athletic Apparel Market Size by Revenue in USD Million, 2006-2012

Figure 8: China Athletic Footwear Market Size by Revenue in USD Million, 2006-2012 Figure 9: China Athletic Wear Market Segmentation by Athletic Footwear and Athletic Apparel on the Basis of Contribution in Percentage (%), 2006-2012 Figure 10: China Athletic Apparel Market Segmentation by Men, Women and Kids on the Basis of Contribution in Percentage (%), 2012 Figure 11: China Athletic Footwear Market Segmentation by Product Categories on the Basis of Contribution in Percentage (%), 2012 Figure 12: China Athletic Footwear Market Segmentation by Gender on the Basis of Contribution in Percentage (%), 2012

Figure 13: China Indoor Athletic Wear Market Size by Revenue in USD Million, 2007-2012 Figure 14: China Indoor Athletic Wear Market Segmentation by Swimwear, Fitness wear and Underwear on the Basis of Contribution in Percentage (%), 2007-2012 Figure 15: Market Share of Major Players in China Athletic Wear Market by Revenue in Percentage (%), 2011 Figure 16: Market Share of Major Players in China Athletic Apparel Market by Revenue in Percentage (%), 2011 Figure 17: Market Share of Major Players in Athletic Footwear Market in China by Revenue in Percentage (%), 2011

Figure 18: China Athletic Apparel and Footwear Market Future Projections on the Basis of Revenue in USD Million, 2013-2017 Figure 19: Anta Sports Products Revenue by Athletic Footwear and Apparel in USD Million, 2006-2011

Figure 20: Li-Ning Revenue from Athletic Apparels and Footwear in USD Million, 2008-2011 Figure 21: 361 Degrees International Limited Revenue by Athletic Footwear and Apparel in USD Million, 2008-2011 Figure 22: Xtep Revenue from Athletic Footwear and Athletic Apparel in USD Million, 2008- 2011

Figure 23: Kappa Revenue by Athletic Apparel and Footwear in USD Million, 2008-2011

Figure 24: China Population in Million, 2006-2017 Figure 25: China Per-Capita Annual Consumption Expenditure of Households on Clothing in USD, 2006-2017

Figure 26: China Per-Capita Income of Households in USD, 2006-2017 Figure 27: Asia-Pacific Athletic Apparel and Footwear Market Future Projections on the Basis of Revenue in USD Million, 2013-2017 Figure 28: NIKE Global Revenue Contribution of Athletic Apparel and Footwear by Asian Countries in Percentage (%), FY’2012 Figure 29: NIKE Revenue from Athletic Footwear and Apparel in Greater China in USD Million, FY’2008-FY’2012 Figure 30: NIKE Revenue from Athletic Footwear and Apparel in Japan in USD Million, FY’2008-FY’2012

Figure 31: Adidas Group Suppliers by Region in Percentage (%), 2011

Figure 32: Adidas Athletic Footwear Production by Region in Percentage (%), 2011

Figure 33: Adidas Athletic Apparel Production by Region in Percentage (%), 2011 Figure 34: Adidas Group Asia Revenue by Athletic Footwear and Athletic Apparel in USD Million, 2008-2012P Figure 35: Adidas Group Asia-Pacific Revenue by Athletic Footwear, Athletic Apparel and Accessories on the Basis of Contribution in Percentage (%), 2012P

Figure 36: Adidas Group Asia-Pacific Revenue by Wholesale, Retail and Other Business on the Basis of Contribution in Percentage (%), 2012P Figure 37: Puma Asia-Pacific Revenue from Athletic Footwear and Apparel in USD Million, 2008-2012

LIST OF TABLES

Table 1: Asia-Pacific Athletic Wear Market Segmentation by Athletic Apparel and Footwear on the Basis of Revenue in USD Million, 2006-2012 Table 2: Asia-Pacific Athletic Apparel Market Segmentation by Geography on the Basis of Contribution in Percentage (%), 2006-2012 Table 3: Asia-Pacific Athletic Footwear Market Segmentation by Geography on the Basis of Contribution in Percentage (%), 2006-2012 Table 4: China Athletic Wear Market Segmentation by Athletic Apparel and Footwear on the Basis of Revenue in USD Million, 2006-2012 Table 5: China Athletic Apparel Market Segmentation by Men, Women and Kids on the Basis of Revenue in USD Million, 2012 Table 6: China Athletic Footwear Market Segmentation by Product Categories on the Basis of Revenue in USD Million, 2012 Table 7: China Athletic Footwear Market Segmentation by Gender on the Basis of Revenue in USD Million, 2012 Table 8: China Indoor Athletic Wear Market Size by Swimwear, Fitness Wear and Underwear on the Basis of Revenue in USD Million, 2007-2012 Table 9: Revenue of Major Players from Athletic Apparel and Footwear in China in USD Million, 2011

Table 10: Revenue of Major Players from Athletic Apparel in China in USD Million, 2011

Table 11: Revenue of Major Players from Athletic Footwear in China in USD Million, 2011 Table 12: Li-Ning Total Number of Retail Stores Operated in China by Franchised Retail Stores and Directly Operated Retail Stores on the Basis of Eastern, Northern and Southern Regions, 2009-2011 Table 13: 361 Degree International Limited Number of Units Sold by Athletic Footwear and Apparels and Accessories on the Basis of Pairs in Thousands, 2008-2011 Table 14: 361 Degree International Limited Average Wholesale Selling Price by Athletic Footwear and Apparels in USD, 2008-2011 Table 15: Asia-Pacific Athletic Apparel Market Future Projections by Geography on the Basis of Revenue in USD Million, 2013-2017 9

Table 16: Asia-Pacific Athletic Footwear Market Future Projections by Geography on the Basis of Revenue in USD Million, 2013-2017 Table 17: Cause and Effect Relationship between Industry Factors and Asia-Pacific Athletic Apparel and Footwear Industry Prospects

Table 18: Total Number of NIKE Stores in the World in Units, 2011 Table 19: NIKE Brand Wholesale Equivalent Global Revenue by Categories in USD Million, FY’2012

Table 20: Adidas Production of Athletic Footwear in Million Pairs, 2008-2011

Table 21: Adidas Production of Athletic Apparel in Million Units, 2008-2011

Table 22: Adidas Group Asia –Pacific Research and Development Centers in Asian Countries Table 23: Adidas Group Global Research and Development Expenditure in USD Million, as a Percentage (%) of Net Sales and Operating Expenses, 2007-2011 Table 24: Adidas Group Global Revenue by Athletic Footwear, Athletic Apparel and Accessories in USD Million, 2012

Table 25: PUMA Number of Employees by Geography, 2009-2011

Table 26: Correlation Matrix of China Athletic Apparel and Footwear Market

Table 27: Regression Coefficients Output of the China Athletic Apparel and Footwear Market

ASIA-PACIFIC ATHLETIC WEAR MARKET SIZE BY REVENUE, 2006-2012

BY ATHLETIC APPAREL, 2006-2012

Performance apparel is one of the fastest growing segments of textile industry in Asia-Pacific region. This can be attributed to rapid changes in the lifestyle…active sports such as aerobics, athletics, running, cycling, swimming, snowboarding have gained prominence in countries such as India, China in the last few years. There has been an increase in the range of high tech fabrics and…

Active sports such as aerobics, athletics, Moreover, China and India have emerged as the running, cycling, swimming, low cost outsourcing destination for clothing snowboarding have gained prominence manufacturing for the developed economies of in countries such as India, China in the North America and Western Europe in the last last few years. few years… these factors have aided the growth of athletic apparel market in Asia-Pacific region which has grown at a CAGR of 7.2% from 2006-2012… …athletic apparel market in 2012 has recorded a remarkable value of USD ~ million as compared to USD ~ million in 2006. This was due to an increase in the purchasing power…

Figure: Asia-Pacific Athletic Apparel Market Size by Revenue in USD Million, 2006-2012

20,000.0 18,000.0 16,000.0 14,000.0 12,000.0 10,000.0 8,000.0 USD Million USD 6,000.0 4,000.0 2,000.0 0.0 2006 2007 2008 2009 2010 2011 2012P

ASIA-PACIFIC ATHLETIC WEAR MARKET SEGMENTATION, 2006-2012

BY GEOGRAPHY, 2006-2012

In Asia-Pacific region, the sports and sport inspired apparel & footwear market has been on an up rise. Despite a sluggish Japanese market, Asia has several emerging markets such as India and China soaring…. …impending international sporting events and the consequent increase in the sportswear penetration in the developed markets in the last few years have shifted the focus towards low cost manufacturing destinations of India, China, Hong Kong and Indonesia. During 2006-2012, China and India accounted for the highest growth rates in the market for athletic footwear with and contributed nearly ~% and ~% to the overall market in 2012… India has been the smallest contributor to the athletic apparel market and generated revenue worth USD ~ million during 2011 from the sale of athletic apparels. In 2012, the country’s contribution inclined further by 0.2% in the overall market and reached ~%...

Figure: Asia-Pacific Athletic Apparel Market Segmentation by Geography on the Basis of Contribution in Percentage (%), 2006-2012

100.0% 90.0% 80.0% 70.0% 60.0% 50.0% 40.0% 30.0% 20.0% Paercentage (%) 10.0% 0.0% 2006 2007 2008 2009 2010 2011 2012P

China Japan Australia India Others Table: Asia-Pacific Athletic Apparel Market Segmentation by Geography on the Basis of Contribution in Percentage (%), 2006-2012

Countries 2006 2007 2008 2009 2010 2011 2012P China Japan Australia India Others

Total

CHINA ATHLETIC WEAR MARKET SIZE, 2006-2012

…a combination of government support and promotion of sporting programs for the public, China’s hosting of international sports events; increasing media exposure and rapid development of the economy have been the key drivers to sustain double digit growth for China’s sportswear market beyond 2008… …regardless of the slowdown in China’s footwear industry during the global economic crisis and sluggish growth in China’s economy in 4Q2008, the growth pace of the industry remained positive mainly due to the… consequently with the rising consumption coupled with rapidly surging purchasing power and popularity of sports among the people in China, the revenue of the sportswear industry inclined by 23.1% in 2010 and reached USD ~ million during the year.

…the market competition continued to intensify in 2011 as well, as both sports performance brands and casual brands strive to expand in the Chinese market. During 2011, the macroeconomic environment in China was… Overall, the country’s sportswear market has grown at a CAGR of 25.2% from the period 2006- 2012 and the revenue generated by the sale of sportswear in China has risen from USD ~ million in 2006 to ~ million in 2012.

Figure: China Athletic Wear Market Size by Revenue in USD Million, 2006-2012

16,000.0

14,000.0

12,000.0

10,000.0

8,000.0

USD Million USD 6,000.0

4,000.0

2,000.0

0.0 2006 2007 2008 2009 2010 2011 2012P

BY ATHLETIC FOOTWEAR, 2006-2012

…this segment of the market has grown at a CAGR of 21.9% from 2006-2012 on account of innovative designs and models which have gained the preference of the people over the years. …the Beijing Olympics held in 2008 provided a platform for China’s athletic footwear manufacturers to increase their brand presence. During 2009, the economic crisis held back the growth of the market due to financial crunch leading to less demand…

Figure: China Athletic Footwear Market Size by Revenue in USD Million, 2006-2012

8,000.0

7,000.0

6,000.0

5,000.0

4,000.0

USD Million USD 3,000.0

2,000.0

1,000.0

0.0 2006 2007 2008 2009 2010 2011 2012P

CHINA ATHLETIC WEAR MARKET SEGMENTATION

ATHELTIC APPAREL BY GENDER, 2012

The athletic apparel industry in China is majorly held by menswear, womenswear and kidswear. Menswear has occupied the dominant position in the market in 2012 contributing nearly ~% to the overall market. Menswear segment of the sportswear in China has grown dynamically over the years… On the other hand, womenswear contributed nearly ~% to the overall sportswear market in China….

Figure: China Athletic Apparel Market Segmentation by Men, Women and Kids on the Basis of Contribution in Percentage (%), 2012

Men

Women

Kids

Table: China Athletic Apparel Market Segmentation by Men, Women and Kids on the Basis of Revenue in USD Million, 2012

Particulars Revenue ( USD Million) Men Women

Kids Total

ATHLETIC FOOTWEAR BY PRODUCT CATEGORIES, 2012

Cross Training shoes have been the largest contributor to the athletic footwear market in China accounting for a share of nearly ~% in 2012 and generating revenue worth USD ~ million during the year. This is because cross training footwear… Running and jogging footwear have been the second largest contributor to the China athletic footwear market accounting for nearly ~% to the athletic footwear market in the country thereby generating revenue worth USD ~ million in 2012…

Figure: China Athletic Footwear Market Segmentation by Product Categories on the Basis of Contribution in Percentage (%), 2012

Cross Training

Running and Jogging Shoes

Basket Ball

Skating

Indoor Sports footwear and Others

Table: China Athletic Footwear Market Segmentation by Product Categories on the Basis of Revenue in USD Million, 2012

Athletic Footwear Categories Revenue( USD Million) Cross Training Running and Jogging Basket Ball Skating Indoor Sports and Others

Total

CHINA INDOOR ATHLETIC WEAR MARKET

INDOOR ATHLETIC WEAR MARKET SIZE, 2007-2012

…indoor active wears together share a high degree of similarity in the manufacturing techniques and consumer group. All three sectors of swimwear, fitness wear and sports underwear

frequently adopt flexible and highly stretchable fibers to produce tight fitting active wear for people who exercise in fitness gyms and other locations for indoor sports activities, such as indoor swimming… The indoor athletic wear market in China has developed rapidly in the recent years growing at a CAGR of 26.8% from 2007-2012. The revenue generated through the sale of indoor athletic apparels, footwear and accessories in China was recorded to be USD ~ million in 2011 thus increasing from USD ~ million in 2006…

Figure: China Indoor Athletic Wear Market Size by Revenue in USD Million, 2007-2012

800.0

700.0

600.0

500.0

400.0

USD Million USD 300.0

200.0

100.0

0.0 2007 2008 2009 2010 2011 2012P

MARKET SHARE OF MAJOR PLAYERS IN CHINA ATHLETIC WEAR MARKET, 2011

BY ATHLETIC APPAREL, 2011

The athletic apparel market in China is dominated by few major players who contribute around ~% of the total revenue of the market in 2011. Of these, Nike with contribution of ~% leads the share due to the company’s successful product execution track and a strong brand name… Adidas is the second largest player with contribution of ~% on account of its widespread sales network…. Li Ning is the third largest player in athletic apparel market in China with a contribution of ~% to the total athletic apparel revenue of the country. In IH2012, the domestic 19

market of Li-Ning accounted for nearly ~% of the sales of athletic footwear and apparel and the rest is contributed by international market…

Figure: Market Share of Major Players in China Athletic Apparel Market by Revenue in Percentage (%), 2011

Nike

Adidas

Anta Sports

Li Ning

Xtep

Peak

361 Degree

Kappa

Others

Table: Revenue of Major Players from Athletic Apparel in China in USD Million, 2011

Major Players Revenue (USD Million), 2011 Nike Adidas Li Ning Anta Sports Xtep Peak 361 Degree Kappa Others Total

CHINA ATHLETIC APPAREL AND FOOTWEAR MARKET FUTURE OUTLOOK AND PROJECTIONS, 2013-2017

…is expected that consistently high levels of inflationary pressure will affect consumer sentiment thereby, hindering the growth in domestic consumption… While the near term outlook for the sportswear industry in China remains…a few emerging trends in the industry in the future:

• Rationalization of sportswear industry in China: It involves aggressive promotion activities to clear excessive inventory, restructuring of retail channels, elimination of small competitors out of the industry are expected to continue in the short term. • • However, the long term growth potential of the industry remains optimistic of sportswear market in China. For the swimwear market sector, rising standards of living and increasing urbanization in China are expected to be the primary drivers in the next five years… Although the Chinese sportswear industry is facing numerous challenges, several sportswear brands with clear brand positioning, effective sales management and… are expected to be able to seize market opportunities in the near future along with striving to be the market leader… The athletic apparel revenue in the country will reach USD ~ million in 2014 from USD ~ million in 2011 and will further rise by ~% and ~% in 2016 and 2017 respectively to reach USD ~ million in 2017…

Figure: China Athletic Apparel and Footwear Market Future Projections on the Basis of Revenue in USD Million, 2013-2017

20,000.0 18,000.0 16,000.0 14,000.0 12,000.0 10,000.0 8,000.0 USD Million USD 6,000.0 4,000.0 2,000.0 0.0 2013 2014 2015 2016 2017 Atheltic Apparel Atheltic Footwear

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