Nike cuts 1% of workforce and slashes Dunk revenue by 50 percent

Nike just announced another round of layoffs and a fresh operational reset as CEO Elliott Hill scrambles to fix sliding sales, according to Yahoo Finance. The sportswear giant saw double-digit drops across key markets, with Greater China sales plunging 22 percent in the latest quarter. Picture a massive warehouse in Beaverton stacked with millions of unsold sneakers from the Air Jordan and Dunk lines. The core problem is that previous management flooded the market and lost their cool factor, while wholesale partners felt totally abandoned. Elliott Hill stepped in with a blunt mission to let Nike be Nike again. But the turnaround is hitting a wall with Converse, China and the Jordan brand all declining in the double digits. Nike slashed Dunk revenue by almost 50 percent, which instantly excised $200 million from the division's top-line in the first quarter. Cathy Sparks took over as vice president and general manager of Greater China to fix 1,000 fragmented digital storefronts. For your business, it means watching how retail giants manage inventory and shift foot traffic back to physical stores. If the biggest sneaker brand on earth has to restructure its entire supply chain, your local suppliers might be next to change their wholesale rules.