Nike is transforming from a marketing company into a technology brand. 7 company insiders say the changes — including mass layoffs and team restructuring — are creating internal turmoil.
https://www.businessinsider.com/inside-nike-restructure-layoffs-dtc-resale-digitalization-2021-3
I get it from a technological point of view. Leverage data to target customers and cut out the middle-man in moving the product from Asian factories to global consumers.
But Nike is not a commodity. Nike is a brand, an image.
It will be a huge challenge to package an image into something people want to buy online after the release from Covid. I would bet on max 18 months before a major decline in customer base.
But in regards to layoffs - the more Nike "digitalizes" the less human resource need there will be and they will likely look to reduce costs short-term by further layoffs.
If you hit a paywall try this link:
http://usa-newsposts.com/2021/03/29/nikes-new-ceo-is-trying-to-lead-the-company-through-its-biggest-tech-transformation-ever-some-worry-it-could-make-nike-lose-its-edge/