[Chinese shoes Network - Brand Dynamics] Following the first-quarter net profit fell 12 percent after Nike (stores) in fiscal year 2013 second quarter net income fell 18% again, to $ 384 million. Among them, sales of 577 million yuan in the Chinese market dragged down its performance in the global market, there has been 11% decline, ranking it first in the global market. Decline in performance, while its stock has become increasingly heavy burden. sports brand in the Chinese market, is the collective experience a cold winter, we saturated the market and channel space, delaying these brands continue moving forward. Whether it is Nike's performance shrink, or Li Ning (stores) [6.04 -3.98%], Peak and other domestic brands of closed shop and high inventories, are the industry trend of performance. In this context, the Nike series of "downsizing" move caused concern, sale Umbro and Cole Haan et al., Beneficial to focus its resources on core brands do. But at the same ti Cheap air jordans for sale me, also allowed gradually lost its transition to the field of fashion and leisure space. The other hand, its old rival Adidas, continue to promote multi-brand strategy, allowed to have more clout winter. high inventory decline in performance According to earnings in the second quarter of 2013 fiscal year, Nike's revenue rose 7 percent to $ 5.96 billion, slightly below analyst expectations of $ 6.01 billion; profit from continuing operations rose 9 percent to $ 521 million; diluted Earnings per share grew 11 percent to $ 1.14. It is worth noting that Nike have declined in Greater China and Western European markets revenues, which, Greater China revenue fell 11 percent to $ 577 million, while revenue growth in emerging markets outside China, by 11%. In the same period, the Japanese market earnings growth of 11%, the North American market recorded a 17 percent growth. "China market has become the Nike released earnings call, the most embarrassing topic." Sports b cheap foamposites rand watchers Magang said the previous fiscal year, Nike's sales in China totaled $ 2.5 billion, its total sales of $ 24.1 billion in It accounted for more than 10%. According to the investment bank estimated that the Chinese market contributed 30 percent of Nike operating profit. Therefore, the performance of the Chinese market decline, Nike unacceptable. In fact, Nike in the Chinese market decline, in its last fiscal year had revealed itself. In the fourth quarter of fiscal 2012, Nike China market sales decline had already appeared, Nike Greater China region including footwear, clothing and accessories, including the total product sales of $ 667 million, compared to the third quarter fell by 3.89 %. Morgan Stanley report shows that the fourth quarter of fiscal year 2012, Nike's global future orders growth decelerated from 18% to 12%, China's orders rose significantly reduced from 20% to 2%. Nike stock has begun to grow over the same period. As of the end of May 2 cheap jordans for sale mens 012, its stock amounting to $ 3.35 billion, and in 2012 compared to $ 2.715 billion, an increase of 23.39%. in light industry researcher Zhu Qing Hua Investment Advisor, said Belle [16.92 0.71%] (01880.HK) and Bao Sheng International [0.51 -3.77%] (03813.HK) two major distributors of Nike Greater China, Inventories also increased pressure. Pou Sheng International 2012 interim report shows that its inventory to $ 554 million already, up 37.16 percent. Belle International, said in the report, the first half of the overall inventory levels above normal channels, discount efforts to increase from a year earlier, gross profit margins being squeezed. saturated market "problems faced by Nike, is the industry-based." Magang said that the size of the entire Chinese shoes market in 2012 is 2 trillion yuan, while sports brand as a one of the segments, about 200 billion yuan The size of the market. In the past year, although the whole shoes market slowdown, but there is stil cheap jordans online l growth. The sports category has been for many years before in 200 billion figure hovering, the entire size of the market is saturated. From the point of view channels, sports goods, Nike, Adidas, Anta, Li Ning and other top-ranking sports brands, each with 6,000 to 7,000 stores, has penetrated into the vast majority of domestic cities, the channel is also increasingly saturated. "Because of the various product lines are very similar, in order to maintain earnings growth, in addition to the store level to improve their efficiency, but only squeeze competitors store." Magang said that it has matured in the sporting goods industry, which It is difficult to do. In the market size and channels both saturated premise, sports brands have suffered a "cold" shock. Domestic sportswear brand in 2013 second quarter orders will Show, including Li Ning, Anta, special steps, Pick, including the amount of orders each year there are different degrees of decline. In contrast, Ad Retro jordans for sale idas has become a highlight of the 2012 sports industry. In experienced high inventory after 2008, the Adidas have experienced income right channel, clearance stores, long growing pains. But after 2011, its performance has started to recover, and to maintain a high growth in 2012. Published data show that the first half of 2012 in the Greater China sales grew 12%. Magang think, compared to Nike and Adidas in the field of fashion product lines richer, investment is greater, so that in the face of this crisis, there are more cushion. In addition to the main brand Adidas, the Adidas also has as Y-3, clover and other sub-brand is more interested in fashion. In endorser, also it introduced such as Fan Bingbing, Yao Chen, Eason Chan and other celebrities. In terms of multi-brand operations, Adidas ahead of Nike. Zhu Qing Hua, said Adidas spent core inventory crisis is collaboration with dealers, not only to allow dealers to open discount stores, but also allow dealers to Cheap air jordan 12 for sale online free shipping sell a certain percentage of trade-terminal single-volume product updates. At the same time, it is sent to the dealer store personnel supervision, and distributors through the crisis together. However, the relationship with Nike in auto maintenance and did not form a "same risk, closely aligned" detrimental to their rapid digest inventory. Adi suffered in 2008 after the high inventories, they established a rapid response mechanism stores. Nike today's decision cycle is much longer. This is caused by the higher its stock a factor. Nike slimming In the announced $ 225 million sale of its brand Umbro (Umbro), the Nike again plans to its brand Cole Haan shoes and bags to peel. According to foreign reports, the company intends to Nike's shoes and bags brand Cole Haan sold to private equity firm Apax Partners to $ 500 million. Currently, the two sides have entered the final stages of negotiation. From the point of view marketing strategy, Nike is still insisting on it Cheap air jordan 12 taxi for sale online free shipping s investment in the brand preference, whether it's clover Adidas, Reebok or Y-3, has a relatively independent promotion plan. Before, Nike has been closed only of its own shoe factories in China, to stop a number of sports shoes under the single Asian foundries, and the termination of cooperation with a number of Asian clothing foundries, now downsizing continues. Magang said that in the hands behind the frequent sub-brands, but in reality is the core of the integration of the Nike brand, excluding those that might compete with the main brand of the brand, for investors, some of its own brand more valuable. Nike "downsizing", in addition to focus resources on core brands, but also increase cash flow during the market downturn. But also disadvantages. First, the sale of the brand to bring the performance decline has been reflected in its earnings in. Secondly, when the professional sports market gradually saturated, either Adidas or Nike, we need some other brands f cheap jordans for sale ocusing on casual fashion, etc. positioned to seek a breakthrough. And compared to Adidas, Nike, it has little room for transformation. Zhu Qing Hua said, the most important challenges in the Chinese market, Nike is currently facing, or high inventory. On the one hand, Nike needs coordinated closely aligned with the dealer, the dealer give support in the capital, product management, sales, and thus speed up the process of destocking. On the other hand, to strengthen management and enhance the treatment of terminal sales staff, to avoid excessive loss of personnel, thus affecting sales. (Chinese shoes Network - the most authoritative and most professional Footwear News)"either walk or fly - rather than a new play for the Alps, it is a deeper step towards inner self exploration." is one of the world's most difficult games, Bull X-Alps Red is how to come? 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