Under Armour's Attack on Nike | Sweat Equity | 1

Audible subscribers can listen to all episodes of Business Wars ad free right now. Join Audible today by downloading the Audible app. It's summer two thousand five in Baltimore, Maryland. Under Armour CEO Kevin Plank is staring out the window of his office as he waits for someone to pick up the phone. The sky outside is bright blue with a hazy shimmer from the humidity. Plank knows that within seconds of stepping foot outdoors, he'll be dripping in sweat. For years, sweat was his biggest nemesis. As a linebacker for the University of Maryland, the cotton t shirts he wore under his football pads would get soaked becoming heavy and clingy, slowing him down on the field. So he set out to fix the problem. Nearly ten years ago, Plank created a shirt that wicks sweat away from the body. The cornerstone product that became the foundation of a company he named Under Armour. Now that company is one of the fastest rising sportswear brands in America. A receptionist finally answers his call, and Plank asks to speak with Edward Stack. A moment later, Stack comes on the line. Kevin, how are you? Those new running shirts are selling like hotcakes. That's great to hear. Hey. Do you have a minute to chat? Stack is the CEO of Dick's Sporting Goods, the retail chain founded by his father in 1948. It's one of the largest retailers of Under Armour products. And over the years, the two men have become close. Sure. What's on your mind? Well, you know, how we're preparing to take Under Armour public? Uh-huh. Well, I just got off the phone with one of my bankers, and he says that VF Corporation wants to acquire us before the IPO. If I accept, I'll never have to work again. But, Something's holding you back. I know I should be thrilled, and I'm grateful. Don't get me wrong. But I wanted to get your take. I'm sure you and your dad have entertained offers over the years, but you've never sold. Well, look. This company is your baby, and if you sell it to VF Corp, it won't be yours anymore. So you gotta ask yourself, why did you get into this? Was it just for the money? No. No. No. No. No. Not not just the money. No. You did it because you believed in what you had. You believed in your product because you enjoyed the challenge. Right? Yeah. That's true. I just don't wanna make a huge mistake and walk away from a pile of money that could change my life. Stack is quiet for a moment. Hey. Let me tell you something. As a retailer, I would love to see a company out there that could really rival Nike. Now from my perspective, the more great products we can offer our customers the better. And of all the athletic wear companies I've ever seen over the years, you're the one that can take them …