Why do you insist on comparing what happens to Nike with what happens to LULU. LULU is a retailer that make it's own products. Nike is a very large manufacturer that happens to run retail stores. And as someone else pointed out, LULU is high end and Nike? Well, . . . not so much.
The difference betwen Nike and LULU is LULU actually makes high quality products and Nike makes crap made by children. I jog and bought Nike shoes which fell apart after a month. I also have Nike shorts and shirts and the quality doesn't even come close to my LULU shorts and shirts. Nike is all marketing and no substance.
Have you ever gone into a LULU store or bought anything? Maybe actually checking out the product might be a good idea.
But, NKE is warning that future cotton prices will pressure margin. If the world #1 athletic apparel co. can't control/hedge against the rising input prices, how can a small company like LULU combat this?