Adidas has decided to sell the Yeezy stock... but donate the proceeds to international charities.
👉 Background: Adidas had a long standing partnership with Kanye West or Ye that they cut-off last year over his anti-Semitic comments. As a result of this... as well as lockdowns in China, Adidas saw a $508 million worth of lossesin just the fourth quarter of last year.
👉 What happened: Now, Adidas is facing a little dilemma: it still has $2 billion worth of Yeezy brand shoes collecting dust after they discontinued the line.
👉 What else: So to toe the line between protecting their profits and holding up their values, Adidas has decided to sell the Yeezy stock... but donate the proceeds to international charities.
💡When a company has to discontinue a stock line unexpectedly, they need to make some tough decisions.
💡Adidas had a ton of options: they could've sold, donated, or burned all the shoes... But instead, Adidas chose to sell the Yeezy's but donate the proceeds to organizations that Kanye West harmed with his comments.
💡Funnily enough, back in 2013, Adidas' main competitor Nike found itself in hot water after ditching their Livestrong product line - which was a partnership with Lance Armstrong. This came after Lance Armstrong admitted to using performance-enhancing drugs.
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