The reasons why this brand is expensive include brand premium, craftsmanship and sponsorship fees.
1. Brand premium: Nike started early and has a high reputation. Although the quality of Nike shoes is good, basically two-thirds of the price is fictitious, which is the brand premium.
2. Process technology: Many patented technologies are used in the production process of shoes. These are factors that constitute brand value and will eventually be converted into selling price.
3. Sponsorship fees: Nike can be seen in almost 50 major sports sponsors. And in the end, every penny of these hundreds of billions of sponsorship fees is paid by consumers.