The company has decided to fire 2 percent of the workforces across the world. They also are planning to change the styles of their sneakers.
The famous sports clothes company decided to increase the confidence in its own business.
This Thursday, representatives of Nike have told to the press that they are planning to change their focus onto their bestsellers and cut the number of lines. They will double the number of shoes they are selling online directly to the customers as the part of their new program for restructuring.
Almost 1 400 people will lose their jobs at Nike across the world.
The company officials declared that these changes will help their customers to receive products quicker. They are facing an enormous level of competition from big companies and small shoemaking firms. The company has noticed another problem. Their famous design became old and not as popular as it was before.
Despite its functionality, customers want to see fashion details. Last year’s sales of usual sneakers for running were flat, according to the official reports. Basketball special sneakers have dropped in sales significantly.
According to sports analyst Matt Powell, Nike’s main problem lays in the gap between basketball fashion and old-school classic. They have missed the time when all other sport shoe companies turned their attention on retro. And now they can’t catch the right mood of their audience.
For example, its long-time competitor Adidas became popular again, and their sales jumped up in the USA.