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    What Kind Of Impact Will Trump Pu Have On The Sports Industry?

    2016/11/22 11:00:00 40

    AmazonSports BrandNew Balance

     NB is burned, how will Reebok's trump marketing affect the US sports industry?

    Trump has to wait for some time to enter the White House formally, so its influence on the political level has not yet been revealed.

    However, Trump's election has made the US and the world's economic circles go against the tide.

    Let's not talk about the impact of Trump's own family industry in this whirlpool. He has been almost collective in Trump's opposite side of Silicon Valley.

    Previously,

    Amazon

    Apple, Facebook and other brand-name companies have been attacked by Trump in varying degrees.

    In recent days, American magazine also published an article analysis that Trump's entry into the White House will affect many Silicon Valley related policies, including offshore manufacturing and trade, scientific research, artificial intelligence and talent policy.

    Of course, Silicon Valley is more synonymous with technology, but these technology companies have important voice in many economic areas.

    Moreover, these policy tendencies of Trump not only have an impact on Silicon Valley, but many global company have become nervous.

    In the United States, politics and economy always seem more intimate.

    The US election has just ended, and the United States is known.

    Sports brand

    New Balance felt a "lying gun" taste.

    As we all know, the confrontation between the two party camps is particularly intense in the US general election. It is not only expressed by the candidates themselves, but also the backers or opponents behind it. The demonstrations and protests after the election are the best evidence.

     NB is burned, how will Reebok's trump marketing affect the US sports industry?

    and

    New Balance

    Matthew Robleton, vice president of the public affairs department (Matthew LeBretton), made his company embarrassed.

    He once said in an interview, "the Obama administration has been deaf to us.

    As president Trump is elected, we feel that events will go in the right direction.

    In fact, there is nothing wrong with expressing his personal views in a similar way, but his identity and the opportunity to speak have caught those who opposed the Trump administration.

    We can imagine that in such a social environment, many of Trump's opponents are in the stage of emotional excitement. Any so-called "disharmony" may become their punching bag.

    This time, Le Brayton made New Balance hit the muzzle.

    In social media, the speech of Le Brighton has caused a great stir. Many of Trump's opponents have boycotted the Facebook home page of New Balance.

    So a wave of New Balance boycott spread on social media such as Facebook, Twitter and Instagram.

    Many people who have bought New Balance products have released photos or videos of discard or even burn New Balance sneakers on these platforms.

     NB is burned, how will Reebok's trump marketing affect the US sports industry?

    In response to this sudden public opinion struggle, New Balance officials responded in a timely fashion.

    The company said that the "right direction" refers only to Trump's position on the p Pacific Partnership Agreement (TPP) and does not represent any other policies he supports.

    After winning the Trump administration's election, TPP also became a hot phrase.

    TPP is the regional free trade agreement signed by the Obama administration at the beginning of this year with twelve Pacific Rim countries such as Japan, Australia and Canada.

    However, the agreement needs approval from the legislature of various countries, and Trump's coming to power makes TPP's prospects for adoption in the United States dim, because Trump has always been an opponent of TPP.

    Some analysts pointed out that the possibility of TPP passing through Obama's term is negligible, but Secretary of state Kerrey recently said the US government will still work hard to get Congress to pass the agreement.

    Under the TPP relationship, the prices of products among member countries will decline, the speed of logistics will accelerate, trade barriers will be greatly weakened, and consumers will become direct beneficiaries.

    However, such trade liberalization will have a great impact on some enterprises that rely on the US market, especially in terms of tariffs, and New Balance is the party that has been hit. So they naturally do not want such an agreement to pass.

    In the circle of sporting goods manufacturing, overseas foundries have become a universal mode, which can save a lot of manpower and related hardware inputs. Most of the companies like Nike and Adidas are from overseas foundries.

    But New Balance is a heterogeneous group. The company is the only sporting goods manufacturer who has factories in the United States, and 1/4 of its sports shoes sold in the United States come from local factories.

    CEO Robert (Robert DeMartini) once said that lowering tariffs would expose their factories to serious risks, and they have always been on the position of protecting tariffs.

    The import tariff of footwear has been existed since the 30s of last century. At that time, there was still a large footwear industry in the United States, and the United States wanted to protect it from foreign competition.

    But today, 99% of the shoe imports from the United States are mainly imported from Asia.

    Le Brandon also said that if the tariff was abolished, New Balance's competitors would be in a favorable position and achieve higher profit margins, so that they could reinvest some of their profits in their businesses.

    A spokesman for Nike responded well to the concerns of Le Breton. He said that lowering tariffs allowed us to take back our savings and invest in innovation and invest in maintaining international competitiveness so as to create high paying jobs in the United States.

    Lowering tariffs also helps offset the rising cost of foreign labor and materials.

    Over time, the company's strategic differences make New Balance different.

    In fact, it is not surprising that Le Brighton can express his expectations of the Trump administration in his speech.

    At the beginning of this year, when Trump delivered a speech at Liberty University, he said, "we will let apple produce computers and other products in its own country, not in other countries."

    And he has expressed similar views on many occasions.

    Trump's idea is to impose import duties on offshore manufactured products to punish companies that set factories overseas or use subcontracting production methods.

    The blow of Trump's policy is obviously not limited to apple, but also has great impact on Nike and other modeling enterprises. New Balance will be delighted with such policies.

    On the 21 day of local time, Trump pointed out in a video speech that he will announce his withdrawal from the TPP on the first day of his presidency.

    {page_break}

    The case of New Banlance is still unresolved. Reebok, who has always been obscurity, has added one more foot.

    Reebok message to protesters who burn shoes or throw shoes on twitter, give them free shoes.

    This is even worse for the New Balance in the vortex of public opinion.

    This is not the first time Reebok has set foot in politics. In the early days of the election, Reebok wanted to make Hilary's signature trousers suit with the fabric of the company.

    There is no need to discuss the political tendency of Reebok here, for whatever reason, Reebok's game of lending marketing is still at the top of it.

    Taking advantage of the "crisis" of rival New Balance, let the constantly warm and self interested themselves become the focus of public opinion.

    However, this can only be a small episode. One question does require the attention of many sporting goods companies in the United States. Trump's attitude towards tariffs has great influence on the whole industry trend.

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