Case Study: Nike and the Sweatshop Debate
The Nike brand is a household name that most individuals are familiar with. The Nike Corporation is approximately worth 10.7 Billion making this the largest and most profitable sporting brand in the entire world. Nike salesman has taken over the majority of sports teams and led the sportswear market for innovation and conformity. The mission statement is “To bring inspiration and innovation to every athlete in the world. If you have a body, you are an athlete” (Nike INC. 2012). Nike INC. prides itself on top sales, inspiration to push limits, and providing jobs around the world. As any respectable businessman knows when forming jobs internationally there are rules and regulations to follow. Although, Nike does follow the rules and regulations there is an ethical standpoint one must follow as well. In this case study an examination takes place of the questionable moralities, integrities, and scrutiny undergone inside Nike INC. During the early 1990s Nike INC. went under fire for outsourcing work to third world countries such as Malaysia, Indonesia, and Vietnam. In parts of the world, such as these many young woman and children work almost seven days a week for pennies per day never reaching the maximum salary owed. The environment in most third world manufacturing companies is intolerable and not suitable for any human being. The alternative for hundreds of thousands of woman and children is prostitution, starvation, and death. This is a trap for many cultures in dire need. In 1996 reporter for CBS and program 48hrs shinned light on the abuse of women working in Nike manufacturing companies. The reporter spoke with Indonesian woman who endure verbal and physical abuse while making illegal wages and harmful working conditions. After the story went public Nike then took some responsibility by installing an auditing system but still standing by the
References: Nike Inc., 2012. Retrieved From: http://nikeinc.com/pages/about-nike-inc Boje D., 2006. Retrieved From: http://business.nmsu.edu/~dboje/inthenewsNIKE.html Hill, C , (7th ed.) 2009. Ch.4. pg. 125. Retreived From: International Business: Competing in the Global Marketplace Conner, T. 2001. Still Waiting For Nike To Do It. Retrieved From: http://www.globalexchange.org/sweatfree/nike/stillwaiting