What's the disease of Nike? Cuz it's not

clear to me what the exact the nature of

the problem is.

>> Sure. Very, very, very successful brand.

Dow component.

Right? Big, big brand going

>> Who's the biggest market cap of all the

companies you cover? It was.

>> It was. It was.

>> It was.

>> Okay.

>> Big word.

>> That's a was. Okay.

>> TJX now. Yeah.

>> Okay.

>> So, they very successful and they sat

down and said, "How do we grow?" Well,

instead of growing through a wholesale

channel where we'll take a shoe and sell

it to Foot Locker for 50 bucks, let's

sell it in our own stores and our own

website for 100 and we'll get the whole

thing and that's how we'll grow.

>> Right.

>> And they brought in a CEO.

>> to do direct to consumer.

>> And and they all tried to direct to

consumer online.

>> Correct. Online, they have some stores

online.

>> And that did not work.

>> It didn't work. They they brought in a

CEO from from the tech industry in 2019.

Maybe didn't have this the experience in

the fashion world to navigate this. He

lurched a little bit out of direct to

consumer. I think the old management

team who always also talked about going

more into DTC. They realized as they

were

approaching their strategy, we should go

slower than we said cuz this can cause

some problems.

>> cuz it causes disruption.

>> Right.

>> It sure did. Think Think about this.

When you go into a multi-brand retailer,

you when you're Nike, you don't know

what the customer who picked up a Nike

in one hand and an Adidas in the other

hand and put one of them down, you don't

know why.

When they come into your store and they

just pick up Nike, you can fall asleep

and say, "Look how these people love

Nike." All you have is information on

your brand.

>> Right.

>> You don't you lose a lot of competitive

information.

>> so interesting.