Blog: Nike's ongoing restructuring
Leonie Barrie | 11 February 2009
Nike is keen to stress that a cull of up to 1,400 jobs is part of a wider restructuring announced a couple of years ago rather than a symptom of the current economic climate.
The realignment will “bring the company closer to consumers, reduce management layers and leverage efficiencies to increase speed-to-market advantages globally,” the company said. And it will include a review of the sportswear giant’s entire supply chain from the sourcing base to the retail footprint.
Although Nike has largely been shielded from the economic slowdown – in December it recorded a 9% increase in second quarter profit to US$391m, boosted by strong performances in Asia Pacific and the Americas – US demand is slowing and profits have been hurt by the strong dollar.
But it is pinning its future growth on a focus on six core categories: running, basketball, football (soccer), women’s fitness, men’s training and sport culture. These areas alone are expected to generate about 75% of the Nike brand’s growth by 2011.
To coincide with World Water Week, which kicked off in Stockholm yesterday, the need for better use of increasingly limited water resources has turned the spotlight on the global cotton industry - one...
Inditex-owned fast fashion chain Zara has gone and done it again....
If Cambodia's US$5.5bn garment industry is not yet at a crossroads, it is approaching one, according to participants at an industry trade show held in Phnom Penh. Many industry suppliers believe that ...
Retail shares have been among the biggest fallers in the last two weeks as financial markets react to President Vladimir Putin's retaliation to the imposition of sanctions on Russia....
- SOURCING: Worldwide change in cost competitiveness
- Gap audits reveal compliance issues in Myanmar
- Water scarcity a challenge to cotton supply chains
- Li & Fung looks to new frontiers for growth
- ANALYSIS: Back-to-school spending a waiting game
- Adidas to use only Bluesign-approved chemicals
- Scientists hail first recycled cotton garment
- Accord and Alliance discord "a setback"
- Weak traffic slows sales for Abercrombie & Fitch
- Myanmar and US to develop labour rights initiative
- Global Database of the Top 1000 Apparel Producers - Company Names, Financial Performance, Key Executives, and Contact Details
- Global market review of denim and jeanswear – forecasts to 2020
- Wool in the 21st Century: new prospects for a familiar fibre
- Global Database of the Top 1000 Cut and Sew Apparel Producers - Company Names, Financial Performance, Key Executives, and Contact Details
- China - ISA Country Report