A $4 Billion Mistake
Arguably Colin Kaepernick is one of the most hated people in America.
After the NFL has seen a big drop in attendance, sales and popularity over his promoted antics of kneeling during the National Anthem you would think that any publicly held company would have an obligation to their stockholders to avoid this controversy.
So, it was a bit surprising that NIKE launched an Ad Campaign featuring him with a quote about the virtues of sacrifice for something you believe in.
There is no doubt that NIKE believed they would stir up so much controversy that would help their suffering brand. But as no surprise to most intelligent people it appears NIKE made an enormous mistake. One that is costing them $4 billion in stock value and the loss is getting bigger. Public ally held companies, companies that sell their shares on Wall Street, are by law obligated to make decisions that are in the best interest of shareholders. This fiduciary responsibility was vacated early this week by Nike when they decided to use Kaepernick and his self-declared claim of being a victim of social injustice and use him as their spokesman and allowing him to promote his cause in their ads. I guess they like the NFL failed to remember just who they were dependent to buy their products. The so called socially oppressed which I view in many cases as a choice, do not make up the majority of their customer base, so this move by most savvy business owners would be considered suicide and a death wish.
Overnight Nike lost almost 4 Billion Dollars in stock value.
The fact is that Colin Kaepernick did not sacrifice anything. He either didn’t want to play in the NFL anymore, or he felt that he didn’t have the skill to play anymore being demoted to second team on one of the worst teams in the NFL. What his supporters and Nike forgot is that Kaepernick opted out of his contract with the San Francisco 49ers and forfeited a $14.9 million salary.
And then the Baltimore Ravens wanted to sign him. But Kaepernick’s Muslim girlfriend publicly compared the Baltimore owner to a slave owner.
Then Denver offered him a contract and Kaepernick turned them down.
All the while Kaepernick has continued to play the victim card in the name of social injustice.
He’s laughably suing the NFL, claiming he’s been blackballed. It’s ridiculous. Kaepernick is no hero of the Liberal Left. He is a self-serving selfish athlete who has been catered too all his life trying to use social justice as a vehicle to elevate himself, nothing more.
Unfortunately, Nike shareholders are paying the price for Nike’s mistake.
I had stopped my support of the NFL and their merchandise and now I will add Nike to my list of Boycotted companies. $4 billion loss in market capitalization since Friday, is almost criminal when you consider how and why it happened.
Counting myself, sons, sons-in-law, grandsons and great grand son that is 15 customers in my family alone that conservatively is about $2,000 per year in purchases, counting sneakers, caps, shirts, shorts, footballs, soccer balls, basketballs, golf balls.