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Or how does $1.25 a day, translate into $300.00 sneakers ?
Nike’s LeBron Sneakers to Test $300 Limit

The Wall Street Journal By Shelly Banjo | The Wall Street Journal – Tue, Aug 21, 2012 9:11 AM EDT

Nike Inc.
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Nike Inc. (NKE) is raising the prices of its sneakers, assuming that the brand’s cachet will carry it through a period when

many of its shoppers are scrounging for discounts.

As labor, materials and shipping costs increase, Nike is raising shoe and clothing prices by 5% to 10%, analysts say. A test

of the approach comes this fall, when Nike will debut its priciest sneaker yet—an expected $315 LeBron James basketball shoe

that includes its own electronics.

The price leaps come after Nike’s gross margins dropped to 42.8% from 44.3% in its most recent quarter ending May 31, the

sixth-straight year-to-year quarterly decline. Nike’s margins are now lower than most of its direct competitors, rival Adidas

AG and apparel maker Under Armour Inc.

The price increases, from a company whose trendy footwear sometimes generates long lines of avid buyers, may test even the

most dedicated Nike fans.

“Prices are getting crazy excessive and as long as we continue to buy sneakers, Nike is going to keep increasing the prices,”

said Donell Brown, 30, who owns a cleaning services company in Dearborn, Mich.

(Photo: Nike)Mr. Brown said he and his friends have been posting messages on Twitter and YouTube, urging other longtime

sneaker fans not to buy the pricier LeBron shoes and to forgo waiting in line for new sneaker releases.

Nike’s price increases are also being felt at the lower end: The venerable Converse Chuck Taylor All-Star sneaker now costs

$50 compared with $45 a year ago.

Nike isn’t the only sneaker maker asking customers to pay more. Adidas’s signature three-striped Superstar shoes now cost

$70, nearly 8% more than a year ago. Overall basketball shoe prices were up 9.4% compared with a year before as of June,

according to market researcher NPD Group Inc., while soccer cleats jumped 15.5% and running shoes climbed 5.5%.

Nike’s basketball and soccer shoes make up about half its North American business, according to analysts.

Some families are already noting sticker shock as they start back-to-school shopping.

“Sneaker prices have definitely shot up this year,” said Lucy Rangel, 37 years old, who was shopping for sneakers with her

two teenage daughters at a Foot Locker store in Dallas.

Ms. Rangel said she paid $114 for a new pair of pink and purple Nike sneakers for her 12-year-old daughter, up from $69.99

she paid last year for a similar pair.

While many retailers try to attract budget-conscious consumers by touting price cuts, analysts say shoppers are willing to

spend more on products with newer technology and fresher styles. Footwear companies are strategically testing price

increases, typically raising them only when they come out with updated products.

Nike is known for some pricey shoes, going back to its first pair of Air Jordans. A new version of the Air Jordan is expected

in December at $185, up from its original 1985 price of $64.99 (or $138.38 in today’s dollars), a 33% increase when adjusted

for inflation.

Nike is “not arbitrarily taking up prices,” said spokeswoman Mary Remuzzi. “We are constantly looking at ways to enhance the

product line with new innovation and product attributes.”

The coming $315 LeBron X Nike Plus, due in the fall, is expected to come embedded with motion sensors that can measure how

high players jump. The LeBron 9 PS Elite basketball shoes, which currently retail for $250, feature Nike’s signature swoosh

in metallic gold.

Nike, based in Beaverton, Ore., says it is passing along price increases because many of key materials, such as cotton, have

risen in price over the past 18 months. Prices did moderate somewhat in the past quarter.

Nike also faces rising labor costs in China, where it manufactures a third of its products.

The company’s shares, which have soared since the recession as it continued to report solid growth, plunged 10% in June after

it reported profit dropped nearly 8% from a year earlier to $549 million, or $1.17 a share. Shares closed at $95.77 on Monday

and are now flat for the year after hitting an all-time high of $114.81 on May 3.

Adidas is struggling with similar pressures: It said last month it is closing its only company-owned apparel factory in China

to “improve efficiency.” Adidas’s increased labor and materials costs drove gross profit margins down to 48.2% from 49.2%.

“We are trying to mitigate the costs by manufacturing our products more efficiently,” said Katja Schreiber, an Adidas

spokeswoman. “In some instances we look to increase price, usually in areas where we launch new, innovative products.”

Link below

http://finance.yahoo.com/news/nikes-lebron-sneakers-test-300-000400159.html

Yes, yes ,yes something is definatlly wrong here,that’s a given.
It is also a given that labeling those who seek to rectify the injustice leveled on these workers as ideology and thus

suspect in some demeaning way is in my opinion also very wrong.
And so………as Idealists all their facts should be dismissed as…?
That the facts never the less true do not concern you as an individual and thus should not matter to you on any personal

level…..
Ultimately Nike’s major argument is that the workers at their factories making $1.25 an hour are still better for wear than

they were before Nike arrived in their country.
Really….?
So this fact justifies Nike….?
Really…?

And now Nike seeks to sell Labron James sneakers at $300.00 a pair……REALLY…?

How Much Money does Nike Make …well thats a fair question ….lets see shall we….?

Nike’s Profit Up 15% in Quarter
By THE ASSOCIATED PRESS
Published: September 22, 2011

BEAVERTON, Ore. (AP) — Nike said on Thursday that its quarterly profit rose 15 percent as sales of its athletic gear rose

faster than its costs.

Um really huh…well we need to look further into this……
Shall we………….?

NIKE Inc

Nike, the world’s largest athletic shoe and clothing maker, reported after the market closed Thursday that it earned $645

million, or $1.36 a share, for the quarter, up from $559 million, or $1.17 a share, a year earlier.

Revenue in the period, which ended Aug. 31 and was the first quarter of Nike’s fiscal year, rose 18 percent to $6.08 billion.

Excluding the impact of foreign exchange rates, revenue rose 11 percent.

That far exceeds the $1.21 a share and revenue of $5.75 billion that analysts polled by FactSet had expected on average.

Nike, based in Beaverton, Ore., said demand for its products remained strong around most of the globe. That helped make up

for the higher prices it paid for raw materials and for selling more items at a discount, both of which hurt its profit

margins during the period.

The company said its orders for September through January were 16 percent higher than a year earlier.

After falling $1.58 in regular trading to close at $84.18, Nike’s stock soared after hours.
A version of this article appeared in print on September 23, 2011, on page B8 of the New York edition with the headline:

Nike’s Profit Up 15% in Quarter.

Link Below

http://www.nytimes.com/2011/09/23/business/nikes-quarterly-profit-rises-15.html

So I guess my ultimate question would be how as Nike themselves have said,”We are constantly looking at ways to enhance the

product line with new innovation and product attributes.”,and given that the workers who make your sneakers are paid $1.25

and hour how can you possibly justify charging people $300.00 for a pair of sneakers ?

Oppss I forgot the Tiger Woods 100 million endorsements…and you know Jordan and all the rest….my mistake , and dare I even fathom what Mr. James is being paid in all this……….Incredible…:(

Oh listen hey I know your saying….”Grow up big boy…this is the way of the world…your ideological thinking is not only

useless here but it is insultive too the American way of life and all those who strive for success”

Really…………..?

Perhaps,just perhaps we need to take a step back in order to see the real forest…because all the trees are indeed blocking

our view.

Dare I even mention Mr.Romney and Mr. Ryan take a step back as well…?
Ya what the hell……why not……
Infact Mr. Obama may want to join Mr. Romney, and Mr. Ryan as well.

Friggen Idealistic Lemur …GO AWAY…!………

Don’t worry about it Lemur…it doesn’t directly affect you…..

Thank you my friends
DL

P.S.
Gezzzz I almost forgot to mention that it is estimated to cost Nike between $1.00, and $10.00 per pair in materials to make their sneaker…you know depending on the quality of the sneaker being produced…..
Quality….?
For $300.00  …..?
Better it go to the workers……….
How about quality of life……………..?
Enough said.