**Nike’s Slump Was Foretold by Its Key Taiwan Shoe Supplier**.
Nike’s recent struggles have been well-documented, with the sportswear giant reporting declining sales and profits in recent quarters. But the writing may have been on the wall for some time, according to one of Nike’s key suppliers in Taiwan..
In an interview with FashionNetwork.com, Pou Chen Corporation chairman and CEO Peter Chen said that he had warned Nike about the challenges it would face in the Chinese market. Pou Chen is one of the world’s largest footwear manufacturers, and it produces shoes for Nike, Adidas, and other major brands..
Chen said that he had told Nike that the Chinese market was becoming increasingly competitive, and that it would be difficult for Nike to maintain its market share. He also said that Nike was facing challenges from rising labor costs in China..
Nike’s struggles in China have been well-documented. The company has been losing market share to local brands such as Anta and Li Ning. Nike has also been hurt by the US-China trade war, which has led to higher tariffs on its shoes..
In addition to the challenges in China, Nike has also been facing challenges in other markets. The company has been losing market share to Adidas in North America and Europe. Nike has also been hurt by the rise of online retailers such as Amazon..
As a result of these challenges, Nike’s stock price has fallen by more than 30% in the past year. The company has also been forced to lay off employees and close stores..
Chen said that he believes that Nike can turn things around, but that it will take time. He said that Nike needs to focus on innovation and marketing to win back customers..
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