Puma is establishing a sales subsidiary in Israel, but Grundman & Company, which has represented the brand in the market for 20 years, is going to remain involved as a retail franchisee and as a non-exclusive wholesaler, using its own warehouse to service smaller retailers in the country.

Nike operates in similar manner in the country, as in others, using three franchisees to manage its stores. Adidas has its own subsidiary in Israel, led by a German country manager. Puma has not yet appointed a manager for its Israeli subsidiary, which should go into operation next summer.

Grundman claims that Puma is a clear No. 3 in Israel, with annual sales of more than $25 million in a market worth about $400 million. The brand is sold in about 350 points of sale in the country in addition to seven Puma concept shops, which Grundman will continue to run. Nike is certainly the leader in Israel, followed by Adidas.

Grundman has already started negotiations with other companies that may take over Puma's role in its brand portfolio, but it is open to other alternatives. The company is part of a group that also represents Under Armour, Avia, And 1, New Era and the brands of Sole Technology in Israel. And 1, in particular, is performing very well in the market.