German sports goods firm Adidas-Salomon says it has struck an agreement to buy US rival Reebok for 3.1bn euros. The tie-up could create a challenger to Nike in the US market. The takeover still needs to be approved by Reebok shareholders and competition authorities. If cleared, the deal should be completed in early 2006.
Reebok's shares rose to $51 as reports of takeover talks appeared on the websites of financial papers. Adidas' offer is worth $59 per share in cash. The combined group will have worldwide athletic footwear sales of 9bn euros, Adidas said. It would have about 20% of the US sports shoe market, while Nike has 36%.
The combined group's brands will be anchored by the Adidas and Reebok labels, but will also include Taylormade, Rockport and the la-dee-da Greg Norman Collection.
I want to know if either of these two companies have thought of the consumer in all of this? What happens to the Westies, Bogans, Bunnas, Booners, Neds, Chavs, Parkies, Townies, Derros and Carnies? About the only group not affected will be the Kappa Slappers. What will they all wear now? Addibok? Reedas?
Who thinks of these people? When they make these decisions, and more importantly how will it affect society? It's going to be really strange when a liquor store is robbed by a "23 year old gent, in an Armani suit with a tweed jacket, Julius Marlowes and a trilby" rather than a "punk in a black Reebok tracksuit".
No comments:
Post a Comment