Skechers was the number one walking and work shoe brand and the second largest athletic footwear company in the US in 2016. Its advantage from the company’s point of view was that it did 'not compete directly with any single company with respect to its entire range of products' because it was both a walking and work brand, and an athletic shoe brand. The footwear industry was characterized by its 'Bing Bang Disruption': Once it took years or even decades for disruptive innovations to unseat dominant products, today businesses can be devastated virtually overnight by something better and cheaper. Even though Skechers was one of the biggest footwear companies in America, it had to fight to stay afloat in a Red Ocean environment where there was almost no room for growth. At the same time, Skechers had to fight criticisms about its integrity followed by lawsuits filed against it since 2011 of false advertisement, copyright infringement, patent violation, etc.

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Case Study