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Nike Case Study

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Nike Case Study
Transnational Corporation Case Study: Nike
What is it?
NIKE, Inc. is the world’s leading innovator in athletic footwear, apparel, equipment and accessories. Before there was the Swoosh, before there was Nike, there were two visionary men who pioneered a revolution in athletic footwear that redefined the industry.
Nike Employees
Nike Employee Networks are designed to help Nike move toward greater diversity. In the U.S., six employee networks focus attention on important communities within Nike. The intended role of each network is to foster professional development, enhance work performance, identify mentors, assist in recruiting diverse professionals, develop increased community interaction, and encourage improved teamwork and interaction within and across work groups.
Location
The Company is headquartered near Beaverton, Oregon, in the Portland metropolitan area. Nike has been criticized for contracting with factories (known as Nike sweatshops) in countries such as China, Vietnam, Indonesia and Mexico. Vietnam Labor Watch, an activist group, has documented that factories contracted by Nike have violated minimum wage and overtime laws in Vietnam as late as 1996, although Nike claims that this practice has been stopped. As of July 2011, Nike stated that two-thirds of its factories producing Converse products still do not meet the company's standards for worker treatment. It serves an area worldwide with its products. It has also been investigated into the claim of child labour in Pakistan.
Benefits for the company and the country of origin
The company employs 650 000 contract workers worldwide at relatively low labour costs. Because of the early decision to manufacture shoes in Asia allowed his company to enjoy lower labor and production costs, Nike was able from the outset to produce highquality athletic shoes at competitive prices. Nike’s presence provides an influx of U.S. currency with which host countries can buy the imports, such as high-tech

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