NIKE – US based Sportswear manufacturing company falls for major losses, dismisses 20% of employees.
Nike has started already firing 20% of its Indian employees and asked various other people to join its operations in Southeast Asia. (Source: Economic Times)
The company is set to drive its all attention into 12 major cities including Tokyo, New York, Shanghai, London, Mexico City and Paris. India nowhere stands into its centre outlet of completing and achieving 80% of its projected growth.
With embarking its journey in 2005, Nike had a tough road to crack success road in India with closing around 35% of its stores in the country.
Nike Indian Staff, Nike operations, downfall,Losses
Presently 200 layouts are running under the brand name.
Subsequently, as a cost saver, Nike came out with cricket bat sponsorship schemes. One of the Nike India spokespeople said, “In June, we announced that as part of Nike’s move to align the company against the Consumer Direct Offence, a strategy that allows us to serve our consumers faster and more personally, there would be workforce reductions, and that has been the case in India. Our headquarters in India remain in Bangalore with two other offices in Delhi and Mumbai.”
Since 2005, growing the product value has never been easy for Nike, a loss platform where a downfall in sales ration has been observed to Rs. 764 crore in Financial Year – 2016 from Rs. 803 crore in Financial Year – 2015 according to ROC.
Its loss ratios have also doubled from Rs. 101 crore in 2014-15 to Rs.170 crore in 2015-16.
