Why India Matters To Nike’s Next Chapter

Nike is reorganizing its global business and making a significant investment in India as the sportswear giant looks to become faster, more locally focused, and better positioned for its next phase of growth.

The changes come amid continued financial pressure. Nike reported $11.2 billion in Q1 revenue, down 4% on a reported basis, while its Fiscal 2027 outlook calls for revenue to decline by high single digits.

But during Nike’s FY27 Q1 earnings call, the focus was on where the company sees opportunity moving forward. Nike is calling its broader restructuring effort “Pace,” with the biggest change being a reorganization into three geographic businesses: Americas (combining North America and Latin America), APGC (combining Asia Pacific and Greater China), and EMEA.

Nike says Pace will eventually result in fewer roles, with those workforce decisions beginning in calendar 2027 and beyond. Investment will instead shift toward areas including innovation, storytelling, consumer connection, sport, and other priorities that, on paper, sound a lot like what Nike has always done. The difference with Pace is less about what Nike wants to do and more about how and where it intends to do it. The company says it is pursuing a more flexible operating model through new technology and a more variable cost structure, allowing it to react more quickly to consumer demand while improving speed, service, and profitability. In short, Nike knows the 18-month production period needs to be shortened if they want to stay ahead of trends.

A major takeaway is that Nike is establishing a new campus in Bengaluru while describing India as a whole as an “important growth market and manufacturing hub.” There have already been smaller clues pointing toward Nike’s growing interest in the market. Its work with Mumbai-based designer and creator Diya Joukani, for example, represented a notably localized connection with a younger Indian audience. Joukani was also tapped as a global face of Air Max, specifically with the global re-launch of the Air Max 95 “Neon”.

China continues to present opposite challenge as the brand reports declines for the ninth quarter in a row. Nike is seeking to regain momentum in a massive and established market where domestic sportswear companies such as ANTA and Li-Ning have become increasingly formidable. Earlier this year, Nike revealed that beginning in January 2027, Nike will consolidate its Chinese digital marketplace around official flagship experiences on Tmall, JD.com, and Douyin, alongside its own digital channels.

Latin America could also take on a different role by joining North America under a unified Americas organization.