Adidas CEO Inflames a Crisis

Illustrating how not to handle a crisis situation, Adidas CEO Bjorn Gulden might regret his comments about Kanye West (aka Ye). He renewed a conversation that could have been left behind and, instead, left the company to contain the damage.

During an interview on a Norwegian investment bank podcast, Gulden, appointed CEO in January, reflected on Ye’s antisemitic remarks, which caused the company to cancel its Yeezy partnership, along with several other brands, in October 2022. Gulden said the following about the situation and Ye:

“This is before my time,” Gulden told Tangen. “I think Kanye West is one of the most creative people in the world, both in music and what I’d call street culture. . . . And then, as creative people, you know, he did some statements that wasn’t that good and that caused Adi[das] to break the contract and withdraw the product.”

This was “unfortunate,” the CEO continued. “I don’t think he meant what he said, and I don’t think he’s a bad person. It just came across that way and that meant we lost that business, one of the most successful collaborations in the history. Very sad. But when you work with third parties it can happen, and it’s part of the game.”

Why did Gulden respond in this way? The interviewer had merely nudged: “But sometimes, um, the disadvantage of going with the big names is that they become very dominant, and you kind of had this issue with Kanye West. So, what happened there?”

Gulden could have spoken more generally about the dissolved partnership. But he defends Ye’s statements as something that “creative people” do. The interviewer agrees that these things happen in other industries, too, and Gulden laughs. The more appropriate response would be to support, not disagree with, the company decision—even though it was before his tenure. Otherwise, he raises questions of integrity, or consistency, with company values.

He could have said something like, “That was a terrible loss for the company and for customers. Kanye West is such a creative guy. But the company can’t tolerate inflammatory comments that conflict with the brand and values.” Of course, I would have preferred that he acknowledge the comments for what they are: antisemitic. But he could have said that much.

Gulden might also do more research about Ye’s comments, particularly what they mean for the Jewish community. The American Jewish Committee explains five of them, including the worst, about, “going death con 3 On JEWISH PEOPLE.”

Adidas responded well. With a concise statement, communicators reiterated the company’s decision: “Our position has not changed. Ending the partnership was appropriate.” News outlets won’t let this pass so quickly, but Gulden would do best to stay out of it at this point.

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