US sportswear maker Nike Inc's plans to open 40 to 50 factory outlets to clear its high inventory in China is a sign that the days when Chinese sportswear brands could compete against international peers through price advantages have gone.

At a Nike factory outlet store in downtown Beijing, a men's sports sweater is selling for 199 yuan ($34), down 300 yuan from its original price. A pair of sports shoes cost around 300 yuan, a price range found more often among domestic brands.

Zhao Nan, manager of the store, which is often crowded on weekends, said it offers discounts of 30 percent to 80 percent on products manufactured no earlier than two years ago.