Nike is COLLAPSING - Why The Sneaker Giant is in Freefall-MP3

0:00This is an iHeart Podcast. Guaranteed Human.

0:34As a listener, you're looking for ways to help teams move faster, make sharper decisions, and turn scattered context into work they can use. ChatGPT for Business can help. ChatGPT for Business gives teams a shared workspace with admin controls, permissions, and access to work and codecs in ChatGPT. This means your business can move from question to answer and code to rollout quicker. Join over 10 million business and enterprise users worldwide already using ChatGPT for work. Download the ChatGPT desktop app or contact sales to learn more. The world is transforming faster than ever, and standing still isn't an option.

1:15At Oppenheimer, we're working at the forefront of the innovation economy to invest where progress begins, finding opportunities that build and protect wealth for individuals and institutions that want a seat at the edge of tomorrow. Put the power of Oppenheimer Thinking to work for you. Wealth Management, Capital Markets, Investment Banking.

1:39You already know how AI is changing how everyday work gets done, how much ground you can cover, and how fast a team can scale. To stay ahead, you need the tools that give you a competitive advantage built for this new era. Welcome to Agentic Revenue. Adio is the CRM for this world. It meets you where you work, compounds every customer signal into context, then acts on it across your pipeline to let you move it on match speed and scale. With agents and automations for every job in revenue, Adio orchestrates your work around the clock. Built to handle the scale of your workloads, extensible with API and MCP, and with the infrastructure to keep up with your most ambitious agents.

2:16Loved by high-growth startups like Granola, Modal, and Etched, Adio runs the work behind every win. That's Adio, the agentic CRM, the intelligent system that never sleeps. Picks up leads at 2 a.m., catches renewals before they slip. Hands you the answer before you ask. Try Adio free at adio.com slash iHeart. That's adio.com slash iHeart.

2:41Until now, the data your AI depends on has been trapped behind ever-increasing cloud fees. Wasabi created hot cloud storage and is redefining cloud storage for the AI era, delivering simple, predictable cloud storage for AI, analytics, media and more. Your data is free to move, fast to access and ready when your AI needs it. Hidden fees add up fast as AI workloads grow. Wasabi's flat pricing eliminates all of it. One rate, no surprises. Learn more and try now for free at Wasabi.com. Wasabi, the AI storage cloud. Proud partner of the iHeart Podcast Network. This is Jacob Goldstein from What's Your Problem?

3:14Running a business is hard enough. Don't make it harder with a dozen apps that don't talk to each other. One for sales, another for inventory, a separate one for accounting. That's software overload. Odoo is the all-in-one platform that replaces them all. CRM, accounting, inventory, e-commerce, HR. Fully integrated, easy to use, and built to grow with your business. Thousands have already made the switch. Why not you? Try Odoo for free at O-D-O-O dot com. That's Odoo dot com. Hi, it's Kristen Davis from the Are You a Charlotte podcast. Recently, Jason Lewis and I visited a Hyundai Hope on Wheels handprint ceremony.

3:57Hope on Wheels supports children and families facing pediatric cancer, and what we experienced that day was truly inspiring. It's so easy to get stuck in the negative stories of life. there's a lot of good people doing a lot of good things out there. Absolutely. And it just makes me so proud to be working with Hyundai because I didn't even know this about them. And here they are doing this incredible work. To hear more about our day with Hyundai Hope on Wheels, listen to Are You a Charlotte? Available now wherever you get your podcasts. The stock market, and this is a story I actually saw people making their own content off of it.

4:31And it's become a thing because everybody, you know, Jermaine Dupri commented on, shout out to JD, man. Just a solid, solid person. Stay down. But Nike is being dropped from the S &P 100 after falling 80 % from its peak and, you know, losing$230 billion from market capitalization in that time period. It's tough. Going from$179 to$38. And a lot of people, I've always said, like, invest in companies that you use. and that you know and everybody uses nike everybody knows nike but um it's not a bad piece of advice yeah this definitely is not a company that you should invest in just because you like jordans um which is a lesson in itself pre-falling yeah pre-falling and we talked about nike a bunch of different times and what they need to do to change it if they can change if it's just over so what is this what's what's the deal with nike dropping 80 from his all-time high can we get a round of applause for en for being a bad guy but telling the truth

5:45uh to the executive management and nike this is has nothing to do with you um i'm just breaking down the the stock overall i think um the underlying story that's not being talked about enough and we we belabor i belabor the part about jaylen uh kairi don c kanye mismanagement their talent leaving out america economy is weak and then you didn't do a great enough job marketing to the new generation and i think there was a bunch of mistakes in hindsight of course is 2020 but the part that's really important and apple has done a great job of this google kind of slipped with the deep mind and we talked about it last week keeping the talent in house that makes the company special is really important sometimes leadership thinks well because we have the brand and we have the ip that's all you need and sometimes the levers that move a business for it are some of the unseen talent that you don't always see.

6:55And then this connection from who you're selling to versus who you are as an executive is really important. The thing that I loved about Steve, Steve was the creator, innovator. He uses his own product, uses his own, like ate his own dog food. There's a lot of executives who are just there to get a check and you can see it reflected in the practices, the culture, the product line, like a bunch of products came out and like, we're like, how long are you going to re-release RetroJays? To the point, and then of course, then you have the mishap with y 'all, I get it. But that piece of advice by what you use was always the dumbest piece of advice I heard.

7:35Because if that company doesn't move GDP and at one point it did, And if you don't see how it's tied into the overall economy, it doesn't matter that you like it or not. Your feelings inside of a company don't matter at all. And most executive leadership don't even care about the consumer. So I think this is one of the greatest declines I've seen in my lifetime for a brand to be so revered. It's almost getting to Blackberry-esque territory in terms of fall off. To see a brand be so beloved. Like for those who don't know, before the iPhone, the BlackBerry was damn near a luxury item, a staple, a status symbol.

8:18Jordans were that. People were getting killed over Jordans in the 90s. Now most kids don't want any Jordan apparel.

8:28Like I said, at any point, I wouldn't touch it. I hope they get new members to the team to help shape the vision. but the retail sector overall is weak and most people want luxury items and that's been the cause of a lot of decay there as well. But I'll send it to you guys. I think this is a teaching lesson in the statement of investing in what you know. I think it's start with companies that you know, right? And then you can teach inside those lessons. I just had this conversation a week ago, like tell me the companies that you know. I don't know many companies. Well, let's start with some companies that you know and you probably just subconsciously don't.

9:03Like sneaker, like they'll know Nike. Well, is that a good company to invest? So it leads to a deeper conversation rather than saying automatically, blindly just invest in what you know. Because I could say like, what phone are you using? And somebody says Apple. Well, let me show you why that could be a great investment. So there's opportunity. It becomes like a segue to have a conversation about companies more so than it is to like, this is what you should build your portfolio around. Nike is in trouble. I am a Nike head and they are in trouble. And I'm just saying that. I'm looking at the numbers here.

9:31For the fiscal year, they're down 6 billion. Their operating margin went from 15.6 % in 2021 to 8 % here in 2026. The price to do business has cost more. The profit that they're bringing in has shrunk. They are losing in China. They are losing here. Quick one before you jump back in. You're listening for ways to help teams move faster, make sharper decisions, and turn scattered context into work they can use. ChatGPT for Business can help. Chat GPT for Business gives teams a shared workspace with admin controls, permissions, and access to work and codecs in Chat GPT. This means your business can move from question to answer and code to rollout quicker.

10:16Join over 10 million business and enterprise users worldwide already using Chat GPT for Work. Download the Chat GPT desktop app or contact sales to learn more. Being a receptionist is one of the hardest jobs out there. You have to be an expert for hundreds of people every day. And you have to do a million things at once. No wonder more small businesses are saving costs by outsourcing their front desk. But replacing them with an AI answering service? That's one giant step in the wrong direction. We're Ruby. And we believe in the lost art of the overachieving receptionist. We answer every call live.

10:59We schedule, take messages, call to confirm details, and so much more. Because only a human can connect with another human. And instead of turning our back on AI, we customized our own. Automating tasks, pulling up relevant information instantly, and so much more. So we can spend all of our time making connections. Experience Ruby for yourself right now. Call 866-GET-RUBY or visit ruby.com. At Oppenheimer, we're proven because we're grounded in discipline. For 145 years, we've been building and protecting wealth through every market cycle. With precision, clarity, and the courage to think boldly beyond the moment.

11:44This is what market-tested legacy looks like, for this generation and the next. Put the power of Oppenheimer Thinking to work for you. Wealth Management, Capital Markets, Investment Banking. You already know how AI is changing how everyday work gets done, how much ground you can cover, and how fast a team can scale. To stay ahead, you need the tools that give you a competitive advantage, built for this new era. Welcome to Agentic Revenue. Adio is the CRM for this world. It meets you where you work, compounds every customer signal into context, then axon it across your pipeline to let you move it on match speed and scale.

12:22With agents and automations for every job in revenue, Adio orchestrates your work around the clock. Built to handle the scale of your workloads, extensible with API and MCP, and with the infrastructure to keep up with your most ambitious agents. Loved by high-growth startups like Granola, Modal, and Etched, Adio runs the work behind every win. That's Adio, the agentic CRM, the intelligent system that never sleeps. Picks up leads at 2 a.m., catches renewals before they slip, hands you the answer before you ask. Try Adio free at adio.com slash iHeart. That's adio.com slash iHeart.

13:24Imagine an actor driving to set to film the scene that's going to win them an Oscar. They're focusing on the scene, not on dealing with managing an insurance claim. Because Geico is handling that. And they don't even expect a shout out in the acceptance speech. Geico provides peace of mind and they'll do the same for you. Maybe it's not an Oscar winning performance. Maybe it's building a career. Starting the business you've dreamed about. Or just taking care of your family. Whatever you're betting on, Geico will make sure you're covered. Learn more at geico.com. This is Jacob Goldstein from What's Your Problem?

14:01Running a business is hard enough. Don't make it harder with a dozen apps that don't talk to each other. One for sales, another for inventory, a separate one for accounting. That's software overload. Odoo is the all-in-one platform that replaces them all. CRM, accounting, inventory, e-commerce, HR. fully integrated, easy to use, and built to grow with your business. Thousands have already made the switch. Why not you? Try Odoo for free at odoo.com. That's odoo.com. No data, no AI. It's just that simple. Until now, the data your AI depends on has been trapped behind ever-increasing cloud fees. Wasabi created hot cloud storage and is redefining cloud storage for the AI era, delivering simple, predictable cloud storage for AI, analytics, media, and more.

14:52Your data is free to move, fast to access, and ready when your AI needs it, giving your business a competitive advantage. When your data moves freely, innovation moves faster, giving you the freedom to build, train, and do more with your data. Hidden fees add up fast as AI workloads grow. Wasabi's flat pricing eliminates all of it. One rate, no surprises. With global scale, enterprise performance, and predictable pricing, Wasabi helps organizations focus on innovation instead of cloud bills. Companies that are paying more in fees than in actual storage costs can fall behind. Don't let it happen.

15:24When your AI needs your data and you have a budget to meet, get Wasabi. Learn more and try now for free at wasabi.com. Wasabi, the AI storage cloud. Proud partner of the iHeart Podcast Network. In America, in terms of the advantage that they once had, I shouldn't even say advantage, the dominance that they once had. we spoke about it last week when your lead athlete being lebron james speaks out publicly about the direction that the company's going and the changes that need to be made that is a telltale sign uh he's on his way out of the nba obviously he won't be the marquee athlete for them going forward and there's no idea of a replacement um and he's saying look yes ybl is a big thing but we need to be going back into the inner cities we need to be speaking to our kids our youth because they can push the brand forward.

16:14It can't go from top down. And we start from the grassroots and build up. We've watched companies do that and they've done it with success. We mentioned the athleisure department, which was important. When we talked about Lululemon, all the companies, they have the partnership with Skims. Okay, that's cool. But it's kind of spiraling. Can it recover? I'm not sure. At this point, I'm not sure. BBM is, when you said it, I kind of laughed in my head like, damn, is this the moment that we're looking at for a brand that we grew up, people loved, we shopped with, we collected from. Is this the moment for them?

16:56I don't know, man. I don't know. Yeah. And y 'all should have, y 'all need to call Kanye. Well, Adidas calling him back now. For sure. They're calling him back. you can't lose generational talent and think everything is going to be good for the next generation especially if you don't love the product yeah Travis Scott and shout out to Trav but Travis Scott is not Kanye West Jesus the only one that can help um but yeah it's over but you know I mean it's still it's still a reputable brand it's not like it's what does it mean it's over like what's that I mean the era of just you know yeah monopoly um so So I don't think, you know, sometimes, you know, things just change.

17:42IBM at one point in time was the most dominant tech company. IBM is still a viable company. They still, you know, one of the largest companies in the world, but they're never going to be Microsoft. So, you know, I think Nike, everything has a life cycle. That's important to understand as well. As a business owner, no matter how big your business is, eventually it's going to decline and eventually it's going to be over. so the key is you always say it and I don't mean to cut you off but the power of right partnerships to extend like IBM didn't adapt to the new age that was coming same with Blackberry Blackberry laughed at the consumer so we don't even need consumer and you left the entire consumer base open to Apple and it happened with IBM can you talk about you think the power of partnership can I just say this real quick How many partnerships though, bro?

18:39They have partnership after partnership after partnership. And I'm like, it's not changing anything. And they've done it. They partnership with Kanye and Kyrie. People don't want to say it. That Kyrie mismanagement and Kanye mismanagement. From a marquee standpoint. Some of the Kobe mismanagement. I feel like they're trying it. I want you to get back to this point. but like even like the the terror squad ones that just dropped shout out to Joe it's like Joe's hot right now let's get that TS1 out there the Awake collab what they did with the Jordan 6 they've done it they're trying right it's just so fly did the Miami 3's they've tried it Travis has had a successful run but it's like bro when is the innovation like I know maybe it's Wimby they see something with Wimby and it's like yo he's the guy that's gonna change innovation for us or is it Caitlin Clark?

19:34I don't know what the, I don't know. But the point I want to make and Rashad, you can talk about this. When you have a great partnership, the thing is to not mess it up the first time. Go ahead. That's important. You got to value your partners. You got to value the class. Like I said, also businesses have lifetimes. Businesses have lifetimes. It's just like a person. Whether it's the Indian Tea Company, whether it's Rockefeller Steel, I mean, you look at some of the greatest companies throughout human history, they had a life cycle. No company has been around for 500 years and has been on top for 500 years or even 200 years.

20:16Even 100 years is really pushing it. Spinoffs. Spinoffs for sure. For sure. Spinoffs. But that's why you got to have spinoffs. So it's like Nike, they had a hell of a run. You know, and like I said, they still are, you know, one of the largest companies in the world. But they had a hell of a run. If you really think about Nike where it started. This is over 40 years performing at a very high level, 30 years of complete dominance. That's an unbelievable historical feat that they were able to accomplish. So it's trading at its lowest level since 1993 when Michael Jordan retired for the first time.

20:52Yeah, well, you know. That's pretty amazing. Hey, things happen. Before you sign off, you tuned in for ways to help teams move faster, make sharper decisions. and turn scattered contexts into work they can use, ChatGPT for Business can help. ChatGPT for Business gives teams a shared workspace with admin controls, permissions, and access to work and codecs in ChatGPT. This means your business can move from question to answer and code to rollout quicker. Join over 10 million business and enterprise users worldwide already using ChatGPT for Work. Download the ChatGPT desktop app or contact sales to learn more.

21:31You already know how AI is changing how everyday work gets done, how much ground you can cover, and how fast a team can scale. To stay ahead, you need the tools that give you a competitive advantage, built for this new era. Welcome to Agentic Revenue. Adio is the CRM for this world. It meets you where you work, compounds every customer signal into context, then axon it across your pipeline to let you move it on match speed and scale. With agents and automations for every job in revenue, Adio orchestrates your work around the clock. Built to handle the scale of your workloads, extensible with API and MCP, and with the infrastructure to keep up with your most ambitious agents.

22:08Loved by high-growth startups like Granola, Modal, and Etched, Adio runs the work behind every win. That's Adio, the agentic CRM, the intelligent system that never sleeps. Picks up leads at 2 a.m., catches renewals before they slip, hands you the answer before you ask. Try Adio free at adio.com slash iHeart. That's adio.com slash iHeart.

22:34I love my phone, but not my carrier. What do I do? Well, there are 250 reasons to join T-Mobile. Like what? You can keep your phone and your number, and T-Mobile helps pay it off. Up to$800 per line. So I wouldn't have to buy a new phone? Yep. Plus, your plan price stays the same for five years on experience plans. Nice. Find your reason at T-Mobile.com.

23:03This is Jacob Goldstein from What's Your Problem? Running a business is hard enough. Don't make it harder with a dozen apps that don't talk to each other. One for sales, another for inventory, a separate one for accounting. That's software overload. Odoo is the all-in-one platform that replaces them all. CRM, accounting, inventory, e-commerce, HR, fully integrated, easy to use, and built to grow with your business. Thousands have already made the switch. Why not you? Try Odoo for free at odoo.com. That's odoo.com. Maintenance fee, overdraft fee, minimum balance fee, maximum balance fee. Banking fees are just a part of modern life.

23:48Or are they? They're not at Ally Bank. At Ally Bank, there are no tricks. No hidden fine print or jumping through hoops for better rates. They just want to help you save automatically while you spend. With spending accounts and savings tools with great rates. No tricks, no hidden fees. Banking built for life today. Learn more at Ally.com. Ally Bank. Member FDIC. Okay, laundry stinks. Literally. I mean, you could just keep buying new underwear. Not that I've ever done that. Or maybe sort your clothes into piles based on how re-wearable or filthy they are. Or just use Arm & Hammer Deep Clean. It's made for real-life stings and stains.

24:30So even if you don't do laundry the, quote, right way, Deep Clean will knock it out. I mean, it is from the number one liquid detergent brand that tackles more loads than any other. Come clean with Arm & Hammer Deep Clean. Number one claim based on total wash loads sold. M &M's Popped Caramel do sound different. Oh no, people are going to be obsessed. What do you mean? People hate the sound of chewing. Maybe they won't like the crunch. Maybe we're saved. Wait a minute. Yellow. Huh? Have you been eating them this whole time? Mmm, so tasty. Hands off us. M &M's Popped Caramel. It's more fun together.

25:16This is an iHeart Podcast. Guaranteed human.