Why Nike May Start Selling Directly on Amazon

Why Nike May Start Selling Directly on Amazon
By John Kell.

Nike could be close to selling its athletic gear directly on Amazon.com’s e-commerce site, a move that would further rattle brick-and-mortar retailers that have depended on big brands like Nike to drive sales.

On Wednesday, a research note issued by Goldman Sachs speculated Nike (NKE, -0.49%) could soon prepare to sell the company’s apparel and shoes on Amazon (AMZN, -0.09%) in a bid to court younger shoppers who have increasingly turned to e-commerce shops for their shopping needs. The speculation led to some stock movement on Wall Street: legacy Nike wholesale partners like Foot Locker (FL, -0.67%) and Dick’s Sporting Goods (DKS, +1.42%) saw shares dip as much as 5%.

The potential relationship comes at an uncertain time for the world’s largest athletic gear maker. Nike’s sales growth has slowed in North America, a development Mark Parker, the company’s CEO, attributes to consumers increasingly buying more online and make fewer trips to physical stores.

Read more at Fortune.

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