Nike’s self-inflicted wounds are risking CEO Elliott Hill’s nascent comeback

Nike isn’t turning the corner just yet. The sports gear giant’s quarterly results this week showed a company still tripping over its own unforced errors, undercutting whatever progress it’s made toward a comeback.

Nike shared some positive news in its earnings report on Tuesday, notably modest growth in North America, where revenue rose 3%. The bump reflects gains in Nike’s key footwear business and its mended relationships with the wholesalers it dumped a few years ago.

But big sales declines in China, the loss of market share in areas like running shoes to brands such as On and Hoka, and the revenue free fall at Nike’s Converse brand cast a shadow over the bright spots. Nike CEO Elliott Hill and his team gave a cautious financial forecast for the current quarter in a tough macro environment. Nike finance chief Matthew Friend told analysts, “Our consumer is under pressure around the world.”

Consumer sentiment is an easy scapegoat, but Nike’s own missteps are partially responsible for its slower-than-expected rebound too; they’re only making the comeback a steeper climb. 

Nike committed a major headline-grabbing blunder ahead of the Boston Marathon in April, when it launched an ill-advised ad campaign that appeared to mock slower runners. Elite runners........

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