Nike's Role in the LeBron James Sweepstakes

Alex Kennedy by Columnist Written on January 06, 2009
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igher salary than the Chicago Bulls because of the NBA's salary cap rules, they could sweeten their deal with potential endorsement money and holdings in Sheraton Hotels, a property of ITT that was run by Knicks' ownership.

Sam Smith, a writer for Bulls.com, would go on to write that "the plan being cooked up was to somehow get Jordan substantial Sheraton holdings, perhaps in endorsement money which would be separate from the salary cap and seemingly within the rules."

While the details are sketchy because a deal never went down, Nike could work out a similar plan if it wanted to direct James to a large market and, as the Western Conference executive said, "make up the difference" between Cleveland's offer and another team's proposal.

Nike not only has the power to offer LeBron incentives based on his sales performance, but also work outside the constrictions of the NBA salary cap to rid Cleveland of any monetary advantages, evening the playing field for teams that Nike wants LeBron playing for.

Based on his past career moves, LeBron's main objective when his contract expires is to get the most dough possible.

When his rookie contract ended in 2006, James rejected a max deal, opting to sign a three-year contract with an option for the fourth year instead, putting himself in position to sign another large contract when he hit his prime in 2010. He was criticized for this at the time as other young stars, such as Carmelo Anthony and Dwight Howard, chose to sign for max contracts, deciding to show loyalty to their team rather than collecting the extra cash.

And if money is what LeBron wants, money is what he will get if he cooperates with Nike in 2010.

They undoubtedly want basketball's biggest star playing in a market that will lead to increased sales production and a wave of new fans drooling over his shoes and in 2010, we will all “Witness" the company doing its best to guide LeBron to a larger market that benefits both him and the brand.


Alex Kennedy can be reached at swishkennedy@yahoo.com. This article was originally published on RealGM.com, where Alex is a featured columnist.
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written on January 06, 2009 Breaking News

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