The purchase gives Dick’s an opportunity to compete for market share around the globe rather than cede that ground to other retailers, Stack added. “I think what [Wall Street] needs to understand is that, like it or not, we don’t make investments for a quarter or two,” he said. “We make these decisions and investments for a lifetime.”
The longer-term goals for the acquisition are to create a global sports retail platform and leverage that expanded international presence to strengthen brand partnerships, according to Dick’s.
While Foot Locker did scale back its international business in 2024 with closures in South Korea, Denmark, Norway, and Sweden, the company remains a global player. As of February 1, the sneaker outlet operated 2,410 stores across 26 countries, with just 677 locations in the US. For comparison, all 856 of Dick’s locations are located in the United States.
Asked by an analyst about whether she thought Nike’s new segmentation would be favorable to Dick’s, CEO Lauren Hobart said, “Nike and all of our brands do a good job segmenting, and we are expecting this will be no different. We expect minimal overlap.”
She also acknowledged that Nike is making “an effort to clean up the marketplace,” which is likely motivating their segmentation strategy.
