This report covers the latest industry developments, focusing on Nike, Shein, and Under Armour from this past weekend’s news.
- Nike plans to launch a new range of affordable trainers globally to address declining sales.
- Shein faces opposition due to alleged human rights violations as it plans a London Stock Exchange IPO.
- Kevin Plank of Under Armour sees a significant increase in total compensation, reflecting his new role as CEO.
- These updates highlight key challenges and strategic adjustments within the fashion retail sector.
Nike has announced plans to introduce a new line of trainers priced at $100 (£79) and below, aiming to counter a recent decline in sales. The sportswear giant’s revenue has decreased by 2% for the period ending 31 May 2024, partly due to growing competition from brands such as On and Hoka. The new line is poised to compete with similar offerings from Adidas, including the Samba, Gazelle, and Campus lines.
Shein is under scrutiny as the UK-based charity Stop Uyghur Genocide has urged the FCA to prevent its listing on the London Stock Exchange. The charity claims that Shein’s suppliers exploit Uyghur people in Xinjiang for cotton production. The planned IPO, reportedly filed in early June, also faces opposition from Amnesty International and the British Fashion Council. Drapers sought comments from Shein regarding these allegations.
Under Armour founder Kevin Plank’s total compensation for fiscal 2024 increased to $4.6 million (£3.6m), marking a 55% rise from the previous year. Plank, who resumed the role of CEO in March, received a salary of $500,000 (£394,000), along with $4 million (£3.1m) in stock awards and $127,220 (£100,274) in non-equity incentives. Drapers contacted Under Armour for comment on the compensation details.
These developments illustrate the evolving dynamics and strategic shifts within the global fashion industry.
