The popular sporting goods company Nike announced Thursday they will be cutting 1,400 jobs and reducing 25 percent of their product lines worldwide, according to USA Today.
The layoffs are part of a strategy to start selling more of their products directly to consumers, and Nike president, Trevor Edwards, said, "“This new structure aligns all of our teams toward our ultimate goal to deliver innovation, at speed, through more direct connections."
The company also plans to pay more attention to 12 large cities where most of its sales growth is projected to come from. These cities include New York, London, Los Angeles, Paris, Mexico City, Tokyo and Barcelona among others, USA Today reported.
Nike is based in Beaverton, Ore. and has over 70,000 employees, meaning the layoffs will affect 2 percent of its workforce. Jordan Brand, Action Sports, and Hurley are also part of Nike.