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Nike blames ebiz software on earnings shortfall

Nothing to do with 'sweatshop' email doing the rounds

Nike has blamed i2 Technologies' e-commerce software for messing up its earnings.

The sportswear company has claimed problems with the $400 million implementation of its supply chain management system caused major order delays and inventory stockpiles.

Philip Knight, Nike's chief executive, told analysts: "My immediate reaction is 'So this is what we get for our $400 million?' But this is a process that we've begun. It will, in the long term, bring competitive advantage."

i2's stock plunged nearly 16 per cent on the Nike announcement.

So Nike's problems were nothing to do with the sweatshop email conversation being punted around the Net. This details the attempts made by one Jonah Peretti to get the word 'Sweatshop' stitched onto his trainers as part of the Personalize your Nikes promotion. ®

Here's the conversation.

From: "Personalize, NIKE iD"
<nikeid_personalize@nike.com>
mailto:nikeid_personalize@nike.com>>
To: "'Jonah H. Peretti'"
<peretti@media.mit.edu>
Subject: RE: Your NIKE iD order o16468000
Your NIKE iD order was cancelled for one or more of the following reasons.
1) Your Personal iD contains another party's trademark or other intellectual property.
2) Your Personal iD contains the name of an athlete or team we do not have the legal right to use.
3) Your Personal iD was left blank. Did you not want any personalization?
4) Your Personal iD contains profanity or inappropriate slang.

If you wish to reorder your NIKE iD product with a new personalization please visit us again at www.nike.com
Thank you, NIKE iD



From: "Jonah H. Peretti"


peretti@media.mit.edu <peretti@media.mit.edu>>


To: "Personalize, NIKE iD"


<nikeid_personalize@nike.com>


<nikeid_personalize@nike.com>


Subject: RE: Your NIKE iD order o16468000



Greetings,
My order was cancelled but my personal NIKE iD does not violate any of the criteria outlined in your message. The Personal iD on my custom ZOOM XC USA running shoes was the word "sweatshop."
Sweatshop is not:
1) another's party's trademark,
2) the name of an athlete,
3) blank,
or 4) profanity.

I choose the iD because I wanted to remember the toil and labour of the children that made my shoes. Could you please ship them to me immediately.

Thanks and Happy New Year, Jonah Peretti



From: "Personalize, NIKE iD"


nikeid_personalize@nike.com


mailto:nikeid_personalize@nike.com>>


To: "'Jonah H. Peretti'" peretti@media.mit.edu <peretti@media.mit.edu>>


Subject: RE: Your NIKE iD order o16468000



Dear NIKE iD Customer,

Your NIKE iD order was cancelled because the iD you have chosen contains, as stated in the previous e-mail correspondence, "inappropriate slang".
If you wish to reorder your NIKE iD product with a new personalization please visit us again at www.nike.
Thank you, NIKE iD



From: "Jonah H. Peretti"


peretti@media.mit.edu <peretti@media.mit.edu>>


To: "Personalize, NIKE iD"


<nikeid_personalize@nike.com>


mailto:nikeid_personalize@nike.com>>


Subject: RE: Your NIKE iD order o16468000



Dear NIKE iD,
Thank you for your quick response to my inquiry about my custom ZOOM XC USA running shoes. Although I commend you for your prompt customer service, I disagree with the claim that my personal iD was inappropriate slang. After consulting Webster's Dictionary, I discovered that "sweatshop" is in fact part of standard English, and not slang. The word means: "a shop or factory in which workers are employed for long hours at low wages and under unhealthy conditions" and its origin dates from 1892. So my personal iD does meet the criteria detailed in your first email. Your web site advertises that the NIKE iD program is "about freedom to choose and freedom to express who you are." I share Nike's love of freedom and personal expression. The site also says that If you want it done right...build it yourself." I was thrilled to be able to build my own shoes, and my personal iD was offered as a small token of precaution for the sweatshop workers poised to help me realize my vision. I hope that you will value my freedom of expression and reconsider your decision to reject my order.
Thank you, Jonah Peretti



From: "Personalize, NIKE iD"


nikeid_personalize@nike.com


mailto:nikeid_personalize@nike.com>>


To: "'Jonah H. Peretti'"


peretti@media.mit.edu <peretti@media.mit.edu>>


Subject: RE: Your NIKE iD order o16468000


Dear NIKE iD Customer,


Regarding the rules for personalization it also states on the NIKE iD web site that "Nike reserves the right to cancel any Personal iD up to 24 hours after it has been submitted". In addition it further explains: "While we honour most personal iDs, we cannot honour every one.


Some may be (or contain) others trademarks, or the names of certain professional sports teams, athletes or celebrities that Nike does not have the right to use. Others may contain material that we consider inappropriate or simply do not want to place on our products. Unfortunately, at times this obliges us to decline personal iDs that may otherwise seem


unobjectionable. In any event, we will let you know if we decline your personal iD, and we will offer you the chance to submit another." With these rules in mind we cannot accept your order as submitted.


If you wish to reorder your NIKE iD product with a new personalization please visit us again at www.nike.com


Thank you, NIKE iD




From: "Jonah H. Peretti"


peretti@media.mit.edu <peretti@media.mit.edu>>


To: "Personalize, NIKE iD"


nikeid_personalize@nike.com


mailto:nikeid_personalize@nike.com>>


Subject: RE: Your NIKE iD order o16468000



Dear NIKE iD,
Thank you for the time and energy you have spent on my request. I have decided to order the shoes with a different iD, but I would like to make one small request. Could you please send me a colour snapshot of the ten-year-old Vietnamese girl who makes my shoes?

Thanks,
Jonah Peretti

<no response>

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