Nike. Inc., and Sweatshops
Case Study: Nike, Inc., and Sweatshops
Summary:
As a company, Nike has been the dominant presence in the athletic apparel industry globally. Although they were not the only company known to practice unethical manufacturing processes, they were the major target of criticism because of their leadership role. To fight back against the negative publicity, Nike changed many working conditions and practices, arranged for independent audits by very reputable individuals in the industry to rate these improvements and grade the working conditions. Nike has become one of those global companies targeted by a broad range of campaigning pressure groups and journalists as a symbolic representation of the business in society. In Nike’s case, the issues are those of human rights and conditions for workers in factories in developing countries. In the face of constant accusations, Nike has developed a considered response but the criticism of Nike still continues.
Nike produces footwear, clothing, equipment and accessory products for the sports and athletic market. It is the largest seller of such garments in the world. It sells to approximately 19,000 retail accounts in the US, and then in approximately 140 countries around the world. Just about all of its products are manufactured by independent contractors with footwear products in particular being manufactured in developing countries. The company manufactures in China, Taiwan, Korea, and Mexico as well as in the US and in Italy.
The Global Alliance report on the factories in Indonesia gave the following workforce profile: 58% of them are young adults between 20 and 24 years old, and 83% are women. Few have work-related skills when they arrive at the factory.
Nike has around 700 contract factories, within which around 20% of the workers are creating Nike products. Conditions for these workers have been a source of heated debate, with allegations made by campaigns of poor conditions, with harassment and abuse. Nike has
Summary:
As a company, Nike has been the dominant presence in the athletic apparel industry globally. Although they were not the only company known to practice unethical manufacturing processes, they were the major target of criticism because of their leadership role. To fight back against the negative publicity, Nike changed many working conditions and practices, arranged for independent audits by very reputable individuals in the industry to rate these improvements and grade the working conditions. Nike has become one of those global companies targeted by a broad range of campaigning pressure groups and journalists as a symbolic representation of the business in society. In Nike’s case, the issues are those of human rights and conditions for workers in factories in developing countries. In the face of constant accusations, Nike has developed a considered response but the criticism of Nike still continues.
Nike produces footwear, clothing, equipment and accessory products for the sports and athletic market. It is the largest seller of such garments in the world. It sells to approximately 19,000 retail accounts in the US, and then in approximately 140 countries around the world. Just about all of its products are manufactured by independent contractors with footwear products in particular being manufactured in developing countries. The company manufactures in China, Taiwan, Korea, and Mexico as well as in the US and in Italy.
The Global Alliance report on the factories in Indonesia gave the following workforce profile: 58% of them are young adults between 20 and 24 years old, and 83% are women. Few have work-related skills when they arrive at the factory.
Nike has around 700 contract factories, within which around 20% of the workers are creating Nike products. Conditions for these workers have been a source of heated debate, with allegations made by campaigns of poor conditions, with harassment and abuse. Nike has
References: CSR profile of Nike, Inc. (n.d.). Retrieved from http://www.csrwire.com/members/12858-Nike-Inc- Dutton.G.(2008) * -CNN/Money. (2004, August 2).Nike Endorsements up to $1.7B. Retrieved October 28, 2007, from http://money.cnn.com/2004/08/02/news/fortune500/nike_endorsements/ Lawrence, Anne, T., Weber, James * Nike. (2007). Audit Tools. Retrieved October 28, 2007, from * http://www.nike.com/nikebiz/nikeresponsibility/#workers-factories/audit_tools Nike. (2007). Nike’s Approach. Retrieved October 28, 2007, from * http://www.nike.com/nikebiz/nikeresponsibility/#nikesapproach/main Nike. (2007). Workers/Factories. Retrieved October 28, 2007, from * http://www.nike.com/nikebiz/nikeresponsibility/ - workers-factories/main * Nike. (2007). Nike Foundation. Retrieved October 28, 2007, from * http://www.nike.com/nikebiz/nikefoundation/home.jhtml * Nike. (2007). The Nike Mission. Retrieved October 28, 2007, from * http://www.nike.com/nikebiz/nikebiz.jhtml?page=4 U.S. Department of Labor Bureau of International Labor Affairs. (2007, October 28). Indonesia. Retrieved October 28, 2007, from http://www.dol.gov/ilab/media/reports/iclp/sweat/indonesia.htm Wikipedia * Nike Inc. Retrieved October 28, 2007, from http://en.wikipedia.org/wiki/Nike%2C_Inc