CBX Daily 2/7/2024

Author

Jonathan Ntege Lubwama
February 07, 2024

Today Adidas is stepping into a new profitable glow having broken free from the Ye shadow, but let’s start with how Jumia is trading food for goods in new retail row…

Now Playing:

Cultural Intelligence Download

Jumia Ditches The Food Fight For Physical Goods In New Play

CBX Vibe

African e-commerce giant, Jumia (JMIA +1.04%), made the pivotal decision to discontinue Jumia Food, its food delivery wing in favor of expanding its primary retail and Jumia Pay services. By the end of December 2023, Jumia Food ceased operations in all markets, a move propelled by a strategic reassessment. Although 11% of Jumia's Gross Merchandise Value (GMV) for the first nine months of 2023 stemmed from Jumia Food, the sector has struggled to achieve profitability since its inception and has poor unit economics even though the CEO attributed the closure to deep-pocketed rivals in the space.

Adidas Triumphing Over Its Yeezy Dilemma With 2024 Profit Outlook

CBX Vibe:

Adidas (ADDYY +0.56%) Yeezy crisis has been far from easy, but the company is projecting that 2024 is its year to turn the corner. The German sportswear maker expects operating profit to nearly double to about €500 million ($542.3 million) in 2024 following the company's break-up with Ye West and the discontinuation of its Yeezy business.

Decoding The Three-Peat Plunge In Funding For Black-Led Startups

CBX Vibe:

Capital flow for Black founders has been dwindling at the same pace as the financial community's commitment to diversify VC firms’ business portfolios. The stats are pitiful as eight out of ten venture capital firms lack any non-white representation. What's worse, Blacks still don't have a seat at the table due to racial biases. Four years ago, budding Black entrepreneurs were on the receiving end of funding reaching the heights of $850M to $1.2B. Now, startups can expect less than $324M, a major drop in financial backing, not to mention a massive blow to the unrealized revenue new Black businesses could contribute to the economy.

Is It Time To Stop Giving Your Coins To The $295 Billion Diet Industry?

CBX Vibe:

We live in obese world where diets have become trendy, they’re promoted everywhere, plastered right in your face. This industry of weight loss and weight management diet sector is expected to garner $295.3 billion by 2027, with people like you shelling out major coins to drop a few pounds. Is eating healthy and subscribing to the diet lifestyle really worth it for your bank account and scale?

Black Investors Are The Newest Heavyweights In The Stock Market

CBX Vibe:

Historical and systemic barriers might contribute to differences in access to traditional financial resources but blacks are changing this narrative by using the available resources for their development. A recent study found that over 50% of black investors showed a higher inclination to utilize social media groups or message boards for obtaining investment information, whereas only 25% of white investors exhibited a similar preference. These tools make researching, critically assessing, and buying shares easier. 

Vibes of the Week

Is it total “Ruin” for Jumia or a redirection? Stay tuned with Usher and Pheelz in our CBX Vibes!