Boots and Boulevards: How 1920s US Tariffs Almost Paved Over Nike's Start
- By Lutes Meir
- ~2 Mins
Almost Derailing Nike's Ascension by US Custom Duties in 1921 - U.S. Custom Duties in 1921 Nearly Hindered Nike's Emergence
In the aftermath of World War I, a chorus of Nationalists, Isolationists, and Protectionists grew stronger in the US, ultimately propelling the Republicans to the presidential throne. Before Warren G. Harding took office in 1921, two Republican representatives tabled the Fordney-McCumber Tariff Act, raising tariffs to an average of 38.5% as of 1922, among the highest in the world at the time.
- Tariffs
- Nike
- Protectionism
- USA
- Great Depression
The Fordney-McCumber Tariff Act was a protectionist measure designed to shield domestic industries from foreign competition, with the US tariffs hitting an all-time high during the 1920s [1][2][5]. However, regarding Nike's early growth in the 1920s, the effect of this act would have been negligible because Nike didn't exist during that decade. The company, initially Blue Ribbon Sports, wouldn't make its debut until 1964.
In essence, the Fordney-McCumber Tariff Act magnified protectionism in America during the '20s, but it didn't buckle Nike's early entrepreneurial steps. Given the company's founding took place more than four decades down the line, any influence of the 1920s tariff policy on Nike’s growth is historically impossible, as Nike’s early growth unfolded under vastly different economic times.
So, while the Fordney-McCumber Tariff Act left a deep mark on US trade and protectionism during the 1920s, it didn't dim Nike's lighting in the sports apparel industry: its shine came much later, during the latter half of the 20th century.
- The Fordney-McCumber Tariff Act, a protective measure enacted in the 1920s, significantly influenced US industry and finance by raising tariffs, yet its impact on employment policies was minimal, as Nike, a major player in the sports apparel industry, didn't exist during that decade.
- Despite the protectionist policies that dominated politics and business in the 1920s due to the Fordney-McCumber Tariff Act, the general-news of Nike's eventual rise to prominence in the sports apparel industry remains largely untouched by these early tariff policies, with the company's establishment not taking place until the 1960s.
- The community policy regarding Nike's early growth is distinct from the employment and industry policies of the 1920s US, as Nike's inception occurred four decades after the Fordney-McCumber Tariff Act was enacted, thereby dictating that any potential effects of the act on Nike's growth can only be speculative at best.
