When Adidas cut ties with Ye, formerly known as Kanye West, they stopped all production of Yeezy products and ceased payment going to Ye.

Adidas put the “partnership under review” last fall when he wore a “White Lives Matter” t-shirt in public and said “I can say antisemitic s*** and Adidas cannot drop me,” on a podcast (Valinsky).

Well, it seems they can.

Adidas does not tolerate anti-Semitism or other types of hate speeches.

They can’t afford to.  No, really.

Since Ye’s actions, Adidas has been losing a lot of money.  According to Jordan Valinksy at CNN.com, “The company warned … that it’s expected to lose $1.3 billion … in revenue this year because it’s unable to sell the designer’s Yeezy clothing and shoes” (Valinsky).  This is just the beginning of their problems.  They’ve ousted Ye, but now they have to take care of all of that Yeezy apparel.

Adidas is working on getting rid of unwanted, leftover products, or figuring out how to re-purpose them. Reselling inventory at a discount, donating, or up-cycling are different options that companies can consider.  It’s a matter of dollars and sense.

One option for Adidas is to remove Yeezy-identifying labels, and attempt to resell its inventory at its own stores and its retail partners for a discount.  Valinsky points out that stocks have dropped 45% this year.  Ouch.

Understandably, Adidas is doing the best it can to come up with a plan for damage control.

What plan do you think they should go with?

Many experts say its not a good idea to destroy the merchandise but they might have to.  Would you buy it?

https://www.cnn.com/2023/02/10/business/adidas-yeezy-billion-loss/index.html#:~:text=The%20company%20warned%20Thursday%20that,because%20of%20his%20antisemitic%20remarks.

https://www.google.com/url?sa=i&url=https%3A%2F%2Fstockx.com%2Fadidas-yeezy-boost-350-v2-white-core-black-red&psig=AOvVaw1aZOq30TU_CYpGE-OBN_rp&ust=1677339193159000&source=images&cd=vfe&ved=0CAwQjRxqFwoTCMCExMi9rv0CFQAAAAAdAAAAABAD