@JayHawkFanToo
Yeah, not sure I can see another company attempt to enter this market. It’s expensive to enter this market, but the potential sales are huge.
I just think it cuts sketcher too thin. They make so many different shoes now and their market strategy looks effective.
Sketchers would have to raise a ton of capital and I don’t think they can play “criminal” like Adidas and Nike as easily because these two companies have been around a long time and are entrenched in their pseudo-legal business practices (actually, extremely illegal, but these companies would be harder to nail than to a drug cartel).
However… perhaps Sketchers has an inside track on the feds doing a more-thorough investigation of both Adidas and Nike. This Adidas bust seems fishy because Nike’s illegal activities are more widespread than Adidas. Why didn’t the feds just go after the entire ShoeCo illegal activities?
Or… since Nike’s dirt is so large, perhaps they will release info about them soon, too.
I think the concept with Sketchers is to operate cleanly and show the difference between clean and dirty. If they come in clean, both Nike and Adidas will look like the trash they are. Then… every player considering one of these two big shoecos will have to drag along the reputation that they are dirty, too.
Or… maybe the big shoecos will get nailed so hard that they will be largely banned from NCAA participation. Hard to see that since they contribute so much capital to D1 and the entire structure behind it.
Eventually… the shoeco dirt will have to be cleaned up. D1 will never operate anywhere near correctly as long as they are sloshing around all those cash dollars.