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Nike’s Stock Slides to 12-Year Low as the Company Re-examines Its Brand Strategy
By Drooid · · How we work
Nike’s Stock Hits 12-Year Low Amid CEO Memo
The same week, the company’s share price closed at $33.87, the lowest level in more than a decade. The memo also referenced a planned new campus in India and a restructuring of the firm into three geographic regions—Americas, Asia Pacific and Greater China (APGC) (Asia-Pacific and Greater China), and EMEA (Europe, the Middle East and Africa).
Recent Politically Charged Marketing Initiatives
Commentators note that Nike has pursued several high-profile campaigns aimed at socially progressive audiences. In 2019, the brand featured Colin Kaepernick in its 30th-anniversary “Just Do It” campaign. Following the 2020 George Floyd protests, Nike released an advertisement urging viewers not to ignore racism. In 2023, the company partnered with transgender influencer Dylan Mulvaney to promote women’s leggings and sports bras, and it aired a 2017 “Equality” commercial emphasizing uniform treatment in sports.
Operational Reorganization and Supply Chain Plans
Beyond marketing, the memo outlined concrete operational steps. Hill emphasized accelerating supply-chain modernization and the creation of a new Indian campus. The three-region structure is intended to streamline decision-making across the Americas, APGC, and EMEA markets. Analysts cited in the article suggest these moves aim to restore focus on product performance after the stock’s steep 81 % decline from its 2021 peak of $177.51 per share.
Commentary on the Impact of Identity Politics
Sports writers Ethan Strauss and Dan Wetzel argue that Nike’s decision to delay the release of Caitlin Clark’s signature sneaker until June—while prioritizing a WNBA player with lower sales—illustrates a shift toward identity-based decisions over pure market demand. Dan Zaksheske, cited in the piece, contends that the brand’s “woke” positioning has become costly, noting the company’s removal from the S&P 100 as a possible catalyst for the recent strategic pivot. While the memo stresses supply-chain and geographic reforms, critics maintain that the earlier political campaigns have diverted consumer attention and contributed to the share-price slump.