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.
A number of reports and events last week to mark the second anniversary of the Rana Plaza disaster all emphasised that while progress has been made towards a safer garment industry in Bangladesh, some...
H&M's new Conscious Exclusive collection, which launched this week, proves that high street fashion can be sustainable. And as the line gains momentum it’s using more diverse materials, including recy...
After its hashtag was the number one global trend on Twitter last year, Fashion Revolution Day is returning tomorrow (24 April) to honour the mark the second anniversary of the Rana Plaza disaster....
Strikes and protests are rare in Vietnam, but recent demonstrations by thousands of footwear factory workers underscore some of the challenges facing one of the industry's main manufacturing hubs. It ...
- DENIM DAYS: Jeans innovation bursting at the seams
- Apparel buyers point to potential in Africa
- China undisputed giant of garment exports
- Rana Plaza two years on: Challenges and concerns
- Australian brands lack supply chain visibility
- Gap’s woes “not so easy to fix”
- Myanmar garment workers strike deal
- Nepal earthquake prompts Bangladesh factory checks
- Authentic Brands acquires Jones New York
- Indian industry mulling Vietnam textile park?