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Potential new tariffs could lead to higher prices for Nike and Adidas shoes at Academy Sports & Outdoors stores, but the retailer―which holds a significant share of stores in the Deep South―hopes a laser focus on keeping its prices lower than competitors facing the same tariffs will give it an edge, The Wall Street Journal reports.
Changes that Academy’s executives have made to the retail’s supply chain to cut back on the amount of private-label goods it imports from China could blunt the impact of tariffs proposed by President-elect Donald Trump.
But tariffs or no tariffs, Academy hopes its pricing will bring inflation-weary consumers hunting for deals to its doors.
“We’re going to stay committed to being an everyday value retailer, which in the current state means on things like Nike T-shirts and Nike shoes, we price our goods $5 below” the manufacturer’s suggested retail price, says Carl Ford, chief financial officer at Academy. “If Nike takes those MSRP’s up…we will continue at that same level below MSRP, but at a higher level.”
