Adidas Faces Criticism and Financial Success Amid Allegations Against Kanye West
ICARO Media Group
In a recent report by The New York Times, allegations of antisemitism and sexual harassment against rapper Kanye West have brought attention to sportswear giant Adidas, which partnered with West for nearly a decade. The company faced criticism for allegedly allowing West's erratic behavior to go unchecked, leading to tense work environments and instances of inappropriate conduct within the Yeezy collaboration. However, Adidas's decision to terminate their partnership did not hinder the company's financial success, as the sale of previously stored Yeezys generated billions in revenue.
The partnership between Kanye West and Adidas began in 2013, resulting in tremendous financial gains for the German sportswear company. Adidas made billions of dollars through the Yeezy collaboration while facing accusations of enabling West's problematic behavior. Former and current employees reported enduring forced screenings of pornography, hostile work environments filled with shouting and tears, and the rapper's increasing admiration of Hitler.
The report stated that West allegedly made executives watch sexually explicit films on multiple occasions. In 2022, an "ambush" occurred at the Los Angeles office after West encouraged high-profile friends to threaten a boycott. Subsequently, Adidas severed ties with West due to his public antisemitic and anti-Black comments. Staff members also complained about West's "angry, sexually crude" remarks at the first Yeezy runway show in 2015. Furthermore, allegations dating back to 2013 claimed that West showed pornography during a meeting in his Manhattan apartment and drew a swastika over a shoe sketch during an Adidas pitch.
Instances of antisemitism included West advising a Jewish Adidas manager to kiss a picture of Hitler daily and allegedly praising the architect of the Holocaust. Despite employee complaints and a "Yzy hotline" group chat, Adidas bestowed West with a significant annual expenditure of $100 million in 2019, leading to concerns about oversight.
However, Adidas rebounded from the controversy, restarting the sale of $1.3 billion worth of Yeezys stored in warehouses worldwide. These sales generated $437 million from May to June and significantly reduced the company's projected annual loss from $700 million to approximately $100 million. The current CEO, Bjorn Gulden, regarded the partnership as "one of the most successful collabs in history" in a recent podcast interview, accepting responsibility and apologizing to the Anti-Defamation League for his remarks.
Adidas has pledged to donate a portion of the proceeds from the Yeezy warehouse sale to causes fighting racism and antisemitism. Despite the termination of their partnership, Kanye West is expected to continue receiving his share of the profits.
This recent controversy surrounding Adidas and Kanye West highlights the challenges faced by global corporations when dealing with allegations of misconduct from high-profile collaborators. The story serves as a reminder of the importance of addressing problematic behavior and maintaining a responsible work environment, even in the pursuit of financial success.