Nike many senior executives quit their jobs one after another, suspected sex discrimination

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 Nike many senior executives quit their jobs one after another, suspected sex discrimination


In recent times, the massive personnel changes in sportswear giant Nike have caused many suspicions in the industry. A few days ago, Nike group issued a statement that its diversified department chief executive, Antoine Andrews, has announced its departure. In April 19th, the group spokesman confirmed that Greg Thompson, vice president of footwear business with Nike for over 10 years, has resigned. In addition to these names, in the past month, Nike executives turnover list is still very long: including Nike brand President Trevor Edwards, vice president Jayme Martin, Nike North American basketball senior brand director Vikrant Singh and global brand digital marketing innovation vice president Daniel Tawiah. At present, the industry generally believes that the Nike wave of resignation is related to a secret investigation of unfair treatment of female employees in 2017. At present, Nike group is purging the internal culture in the process, they hope to be able to get rid of the industrys BoyClub culture attacks as soon as possible through a series of measures, and to regain the loss of female users. Cause of suspicion of gender discrimination Insider disclosure by many foreign media, including the Wall Street journal, points out that recent frequent changes in the Nike group are related to a secret investigation that began last year on unfair treatment for women employees. It was said that in 2017, some Nike female employees launched a survey on the equity of the companys internal and female salaries, and formed a report that sent it to the groups CEOMark Parker mailbox. These employees describe the culture of Nike as BoysClub (mens Club). Nike human resources director Monique? Matheson recently also publicly acknowledged that the companys current personnel management is deficient and has not made progress in recruiting and promoting more women and ethnic minorities. The public information shows that although the proportion of men and women in the world is equal to that of Nike employees, only 29% of the companys hundreds of vice presidents are women. In March 2018, Mark? Parker led an internal survey on the above issues and named some of the mens employees at the later meeting of employees, emphasizing the future of a more open and active corporate culture to create a working environment for gender equality. Moreover, he also announced that he would dismiss two heavyweight directors, Trevor? Edwards? And? Jayme? Martin. One thing to note is that Trevor? Edwards has been regarded as one of the potential successors of Mark? Parker, and now Mark Parker will continue to serve as the chairman and CEO of Nike after 2020. The reporter asked whether the executives frequent departure is directly related to cultural purge and whether they will spread to China and so on, and asked the relevant person in charge of Nike public relations. They did not respond directly, only saying that there is no relevant news in China (China). Poor performance or side pressure In March, it was also the release date for the three quarter of Nike2018 fiscal year. The data showed that Nike groups revenue reached $8 billion 984 million in the third quarter of fiscal year 2018, up 7% from the same year, of which the Greater China region was very bright in the third quarter of fiscal 2018, revenue reached 1 billion 336 million dollars, increased 24% over the same period, and realized two digit growth in the last fifteen quarter, superior to its base North America. Market performance. However, in terms of net profit, the net loss in the Nike period was US $921 million, the first quarterly loss in 20 years. Nikes official explanation was that the loss was mainly caused by the US tax reform bill, which was up to 179.5% in the season and 13.8% in the same period of the 2017 fiscal year. In the absence of very good performance, executives quit by the industry is interpreted more meaning. Brand? Finance, the brand value valuation agency, points out that Nikes continuous decline in sales in the North American market and the negative impact of managerial misconduct have made its brand value fall sharply since last year. The agency also pointed out that if Nike could not solve these problems effectively in the coming time, it could lead to a further decline in brand value and even be surpassed by its rival brand, Adidas. Trevor Wade, a global marketing director at LandorAssociates, also points out that Nike has long claimed equality between men and women, and the corporate culture scandal that erupts sexism may allow consumers, especially women, to reconsider their loyalty to Nike. Previously, a survey of GirlPower has measured the purchasing power of Nike brand female consumers. The data showed that in the 2017 fiscal year, womens business brought more than $6 billion 600 million in revenue for Nike. From 2013, the growth rate of the companys female business was higher than the overall annual growth rate of 12%, and the Nike continued to grow. The stability of the female consumer market is crucial. The founder of Shanghai Liang Chi Brand Management Co., Ltd., Cheng Weixiong, an expert on shoes and clothing industry, said that although the recent turnover of senior executives is frequent, the enterprise management mechanism of Nike is more sound, and it is believed that it will not affect the normal production and operation of the enterprise too. However, this wave of top management group also shows that the pressure of Nike operation is not small at present. In Cheng Weixiongs analysis, the Nike and Adidas brands can be classified as high-end consumer goods in the Chinese market alone, and their main competitiveness is still on the brand premium. Today, the performance of the Greater China is not to be underestimated in the performance of the brand. Nike the first brand of sports shoes will be won by Adidas, and greater China will be the front line of the confrontation. In addition, the consolidation of the North American market in its base camp is also crucial. In the North American market, Nike revenue declined by 5.6% to 3 billion 571 million US dollars in the three quarter of 2018, and the market share also declined. In contrast to Nikes three consecutive quarterly decline in North American revenue, Adidas2017s revenue in North America rose to 27.4% in North America to 4 billion 275 million euros, accounting for 20.1% of its total income. The market research company The? NPD? Group data also showed that the U.S. market share of Nike brand sports shoes dropped from 34.5% to 32.9% in 2017, while the market share of the Adidas brand increased from 6.8% to 10.3%. Although Adidas has a long way to go to catch up with Nike in North America, it is also approaching step by step. For the sequelae produced by the Boys Club (mens Club) survey, Nike has also launched a related strategy for the product. During the 2018 Paris fashion week, it was also before and after the March 8th womens day. Nike launched a retail concept platform named Nike Unlaced womens sneakers for women. Special service. Cheng Weixiong analysis believes that the NikeUnlaced has targeted the concept of womens sports shoes production and service, which may bring new growth points to the performance of Nike. And now, it seems that the better women initiatives such as products and platforms for women will help to recover some of the female users who have been lost because of the sex discrimination problem. However, whether these measures can produce long-term effect remains to be further tested by the market and consumers. Source: Beijing News Editor: Gu Ying _NN6577 Cheng Weixiong analysis believes that the NikeUnlaced has targeted the concept of womens sports shoes production and service, which may bring new growth points to the performance of Nike. And now, it seems that the better women initiatives such as products and platforms for women will help to recover some of the female users who have been lost because of the sex discrimination problem. However, whether these measures can produce long-term effect remains to be further tested by the market and consumers.