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business newsDysfunctional Family Businesses: Adidas and Puma
Rival brothers refuse to walk a mile in each other's shoes.
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Thanks to a family feud between the brothers Dassler, each side of Herzogenaurach has its own shops, schools, politics and most importantly, jobs. On one side of the Aurach river, you’ve got Adolf Dassler’s loyalists who helped build Adidas into a $15 billion company.
On the other side, you’ve got Rudolph’s crew, who turned Puma into its $3 billion competitor. The brotherly feud may be over 80 years old, but the level of competition between the 2 companies is as relevant as ever.
But the blood wasn’t always so bad. After returning from World War I, Adolf and Rudolf began manufacturing shoes together in Mutter Dassler’s kitchen. Adolf was the craftsman, meticulous and inventive. Rudolf was the salesman, loud-mouthed and gregarious.
The Dasslers' shoe company, Gebrüder Dassler Schuhfabrik, was one of the most successful shops in post-war Germany. During the 1936 summer Olympic Games in Berlin, the brothers staged an innovative marketing coup, equipping quadruple gold medal winner Jesse Owens with his shoes.
It was one of the first and most important sponsorships in sports history.
However, Adolf and Rudolf’s relationship -- both professional and personal -- wouldn’t last. As Hitler came to power, both brothers joined the Nazi party.
It was Rudolf, however, who seemed more enthralled with the Nazi cause. After he was captured by the Americans and accused of being a member of the SS, Rudolf even blamed his brother for turning him in.
Adolf Dassler & Rudolf Dassler"The dirty bastards are back again," Adolf said, apparently referring to the Allied bombs. But Rudolf didn’t hear it that way. He was convinced his brother was referring to him and his family. In 1948, Rudolf took his company across the river for good.
Adolf called his company Adidas, a combination of his first and last name. Rudolf called his Ruda before changing it to Puma.
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