Chinese Adidas employees are under investigation after allegations surfaced that they received “millions of euros” from suppliers and advertising agencies. The company has acknowledged receiving an anonymous letter detailing possible violations of the code of conduct, and is conducting a thorough investigation with the help of external lawyers to ensure compliance with laws and ethical standards in all markets.
While the letter did not provide evidence for the allegations, the authors seemed to have internal knowledge of the company’s operations. Despite these allegations, Adidas is experiencing growth in China. The company has faced challenges due to the pandemic and boycott calls following criticism of China’s treatment of the Uighur minority. However, they expect a return to double-digit growth rates in their once largest and most lucrative market.
Adidas attributes this growth to a focus on Chinese fashion tastes under the leadership of country boss Adrian Siu, who was hired in 2022. The company’s commitment to compliance and market-specific strategies indicates a positive outlook for their operations in China.
