It’s been a tough year for Nike. Spokesperson problems with Tiger Woods and LeBron James. Continued investigations into labor conditions in Nike factories abroad. Competition like the new Reebok Zig. And now, a stupid legal maneuver that could spell PR disaster.

Brands are forever trying to find ways to stop the Canal Street cottage industry of counterfeiters. (You know you’ve made it when they are selling your knock offs on a street corner). I get it. But Nike has taken anti-counterfeiting to a whole new level by litigating against an individual who bought a single pair of counterfeit sneakers online. They aren’t going after the website selling counterfeit sneakers, or the supplier who sold them to the website. So this poor customer not only paid for fake sneakers, he bought himself a lawsuit, too.

And while the statute says that the intent of the purchaser isn’t relevant, success in this case for Nike is the equivalent of convicting Al Capone on tax evasion or mail fraud, rather than racketeering. Does Nike really want to discourage us from buying their sneakers? Or has their seemingly bulletproof status, weathering spokesperson issues of gargantuan proportions, given them the sort of reputational hubris that makes them an easy target for consumer activism in 2011?

No one likes when the big corporation goes after the little guy. The question is will enough little guys notice this case, and take some sort of action, to make a difference?

cwinters General Corporate Al Capone, LeBron James, Nike, Tiger Woods

No one transforms sports legends into brands better than Nike – with Michael Jordan as the ultimate example. With 6 NBA Championships, a foray into Major League Baseball and a footwear and apparel following that makes retailers still weep with joy nearly a decade after his retirement, brand Jordan is like an MBA case study on unlocking the potential of a brand. And Nike was on its way to replicating this success, with LeBron.

Using my focus group of five – the starters on my son’s championship Pee Wee basketball team – I’d say LeBron was beating Jordan hands down. (This was the same group that in 2nd grade indicated they know Michael Jordan – he makes nice shoes.). Of these ten-year-old basketball aficionados, 4 out of 5 wear LeBron’s gear religiously – and all five of them, plus most of the bench, wear Nike basketball sneakers exclusively – leaving Converse scratching their head about where they went wrong with marketing Dwayne Wade’s apparel.

Then came The Decision.

Nike is no stranger to spokesperson scandal. They stood behind Tiger Woods throughout his marital trouble. But what happens when the scandal isn’t in the athlete’s personal life, but is directly related to the game, and specifically the personal marketing of where he’ll be “bringing his talents”? And when the fans’ approval of the legend drops like a lead balloon?

If you are Nike, you make a commercial.

I can’t be sure about the intent of this “What Should I Do?” film, but portraying LeBron as the martyr seems like a misguided approach. No one is going to feel sorry for LeBron, no matter how many crucifixion poses you insert to portray James as a victim, while attempting to harken back to the happy days when the five-story We Are All Witnesses billboard served as a point of pride for Cleveland.

I think it’s safe to say that Nike isn’t actually trying to crowdsource a solution with “What Should I Do?” I think the question is a rhetorical one, designed to portray LeBron as being in a no-win position in order to garner fan sympathy.

What should LeBron do? Spare us the pity party and just play the game. And wait for a new sports legend to fall from grace or for some other event to occur that helps fans move on.

When dealing with a reputational crisis, sometimes the hardest thing to do is be quiet, go back to doing a great job at whatever you do, and wait. But sometimes, the problem can’t be communicated away, and it takes actions to restore confidence and trust of your stakeholders.

LeBron needs to Just Do It. Talk less. Play more. LeBron may never regain the hearts and minds of Cleveland. But bringing a championship to Miami might just improve his popularity, and sell lots of sneakers, too. Nike’s betting millions on it.

cwinters General Corporate LeBron James, Miami Heat, Michael Jordan, Nike, reputation, Scandal

How long does it take for a professional athlete to lose his good name in the wake of a bad decision? If you apologize immediately, you take your hits but ultimately lose nothing. If your ego gets in the way, there is no turning back.

As Roger Clemens’ indictment came down yesterday for perjury before Congress about his steroid use, I can only think how far he has fallen. Throughout his career, Clemens was beloved in four cities for doing all the right things. However, ever since his name has been linked to steroids, he has continued to admit his wrongdoings which have led to his downfall as an individual. He even Tweeted after the indictment yesterday that he “never took HGH or Steroids” and he “did not lie to Congress.”

He, like other baseball players linked to steroids that refuse to admit they are wrong, have lost the reputation they gained while playing. Others, like Andy Pettitte and Jason Giambi, have admitted their steroid use and still have developed new ground to stand on.

In the “Summer of LeBron,” we need to be reminded that our own egos can destroy us, especially when we are wrong.

gbarone General Corporate Andy Pettitte, Baseball, Jason Giambi, LeBron James, Roger Clemens, Steroids