Nike, the world’s largest sportswear maker, has slashed the number of stores in India to around 150. The US-headquartered company is further planning to bring down these retail outlets to around 100.
The brand has also withdrawn from most of its franchise agreements in India. It has decided to go along with only one strategic partner New Delhi-based SSIPL (Sports Station), which will operate its offline stores.
In India, Nike will be directly focusing on online sales, mainly through Flipkart Group and Amazon.
The sportswear maker has hit $10.7 billion in global revenue lifted by its sales in China during the first quarter ended August 31.
The US-headquartered company began consolidating its business in India in 2016 when it shuttered 35% of its stores to cut its losses. Subsequently, it downsized its workforce in the country, asking many to join its operations in Southeast Asia.
This move was part of the company’s global-restructuring process that saw it focusing on 12 key global cities such as New York, Shanghai, London, Tokyo, Paris and Mexico City, for achieving 80% of its projected growth by 2020.