Adidas likely to trim workforce in India by 25%, reduce number of franchise partners
It is also reportedly in talks with Reliance Brands to transfer its franchise business.
However, an Adidas spokesperson told TOI the news is entirely speculative. "We will continue to strategically increase our focus and investments in India and we are not aware of any workforce reductions," the spokesperson said.
Adidas has the permission to open its own stores in India from the Department of Industrial Policy & Promotion (DIPP). The company is planning for bigger stores with both footwear and apparels.
Currently, the company has 70 franchise partners, which it is likely to cut down further.
Recently, Nike India fired 20 percent of its workforce in a downsizing exercise that was a part of the company's global restructuring process.
Nike plans to focus on 12 cities in 10 countries to achieve 80 percent of its projected growth by 2020.
Earlier, Nike CEO Mark Parker had announced that Nike has been planning to cut about 1,400 jobs as part of a restructuring plan to sell more shoes directly to customers online. In addition, reduce the number of sneaker and clothing styles production by a quarter and focus on hot sellers.