Nike May Be Close to a Direct Relationship With Amazon

The transcript discusses Nike's sales strategy, highlighting their presence on Amazon through third-party retailers and the impact of 2016 sporting goods bankruptcies. It explores Amazon's growing influence in retail, particularly in apparel, and the potential benefits for Nike in cutting out counterfeit sellers. The discussion also covers market pressures from Amazon's entry and Nike's strategy to protect its retailers through product segmentation.

What is one of the main reasons Nike is considering selling directly on Amazon?

• To avoid online sales

• To decrease their product range

• To reduce counterfeit products

• To increase the number of third-party sellers

How is Amazon trying to expand its presence in the apparel market?

• By opening more physical stores

• By launching a new try-on service called Prime Wardrobe

• By partnering with local boutiques

• By reducing prices on all clothing items

What is a potential benefit for Amazon if Nike joins their platform?

• Increased competition from other wholesalers

• A decrease in the number of available products

• Attracting more wholesalers to the platform

• Higher prices for Nike products

What impact does Amazon's entry into a market typically have on existing retailers?

• It leads to more partnerships

• It increases prices

• It reduces competition

• It creates pressure on existing retailers

What strategy is Nike using to protect its premium product lines?

• Reducing the number of available products

• Segmenting products to protect current retailers like Footlocker

• Offering discounts on all products

• Selling exclusively through Amazon