NIKE (NYSE: NKE) apologized for discriminating against consumers in Kunming, China

Recently, the “NIKE public apology for discrimination against consumers” on the Internet hot, sparking widespread concern in China.

Trade Date: 2021-08-20
Open: $166.27, Close: $167.79, Low: $165.43, High: $168.01, Change: $1.52
Country: US, Currency: USD, Industry: Footwear & Accessories, SectorConsumer Cyclical

On the afternoon of August 13, 2021, Mr. Mao’s family went to a NIKE (NYSE: NKE) store to buy clothes for their children and encountered “unfriendly” treatment from the NIKE clerk because their clothes were relatively plain. What’s more, the NIKE clerk used violence to take away the child’s chosen clothes. Mr. Mao’s wife went forward to the theory, and NIKE store clash with the clerk. “At that time, the child cried”, Mr. Mao said in an interview “will not go to NIKE store again. NIKE brand, also because of this incident of discrimination and the Chinese netizens questioned.

NIKE, NYSE NKE, NKE, Discrimination
NIKE, NYSE NKE, NKE, Discrimination

Eventually Mr. Mao accepted an apology from the NIKE side, the employee involved has also left, but the matter has had a major impact on the NIKE brand.

On the Internet, many people have expressed their condemnation of NIKE’s discriminatory behavior. People have reason to believe that this incident will add to the already bad image of the NIKE brand in China, which in turn will affect the sales of NIKE in China in the medium and long term.

NIKE as a well-known multinational enterprise, in staff recruitment, management, and even education and training deficiencies have emerged. Under the conditions of market economy, the concept of “customer first” has been the industry consensus, especially the service industry, connecting people’s food, clothing, housing and transport, employees should be more aware of this. More than service skills and tactics, based on the equality of respect, is the minimum professionalism. This NIKE employees based on consumer dress and differentiation, and even from the child to snatch the selected clothes, its behavior of rude, bad attitude, the lack of basic respect for consumers.

In the brand economy, NIKE as a well-known brand, more should be in the brand credibility and reputation of deep plowing, and constantly improve the brand influence and value connotation. The starting point of the brand value is to start from solving user needs, improve customer satisfaction, specifically to every practitioner, every service, every detail, there should be enough “customer awareness”. Some international chain brands, the lack of basic training for store staff, employees instead of becoming contributors to the value of the brand, but become the destroyer of brand value. A company, once the employees have this sense of self-imposed superiority, rather than the humility of the mentality, fundamentally, is the brand culture has problems.

The concept of “customer first” is not an empty phrase, and can not rely solely on the consciousness of the staff, companies need to emphasize in the daily training and education of employees, and performance appraisal evaluation criteria, incentive protection system arrangements, etc., should be adjusted accordingly, so that it is internalized in the heart and externalized in action. In short, NIKE individual employee behavior, reflecting the lack of corporate culture and deficiencies in the construction. The larger and more influential brand, the more you can not be ambiguous in this matter.

—Li Ning, Competitor of NIKE—
Li Ning Company Limited (HKSE: 2331.HK)
Trade Date: 2021-08-20
Open: $94.00, Close: $89.20, Low: $88.75, High: $95.20, Change: $-4.80
Country: CN, Currency: HKD, Industry: Leisure, SectorTextiles, Apparel & Luxury Goods
Description: Li Ning Company Limited engages in the research and development, design, manufacture, marketing, distribution, and retail of sporting goods in the People’s Republic of China. Official Website:


Jason Quintero
Industry Insights Dept
TickerInsider News Network