Nike case study sweatshops

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Now, it insisted, any factory found to be employing a child must take that worker out of the factory, pay him or her a wage, provide education and re-hire them only when they were old enough.

Nike — Just (Don’t) Do It

Mistakes, however, continue to happen. When it was exposed by the BBC as having employed children there, the company claimed it then re-examined the records of all 3, employees. The company's critics remain concerned at the level of wages it pays. They want to see wages increased — which they say would have only a negligible effect on retail prices. Tim Connor of NikeWatch said: "On finishing work in a Nike contract factory, the great majority of Nike workers will go back to rural areas marked by extreme poverty.

Their future economic security is very much tied up with what they earn now, in that if they are able to save enough they will be able to start small informal businesses back home. Unfortunately the company's new corporate responsibility report fails to do this.

Steve Boggan has been a journalist for more than thirty years. This is the world we live in. This is the world we cover. Because of people like you, another world is possible. There are many battles to be won, but we will battle them together—all of us.

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Common Dreams is not your normal news site. We don't survive on clicks. We don't want advertising dollars. We want the world to be a better place. But we can't do it alone. It doesn't work that way. We need you. If you can help today—because every gift of every size matters—please do. Home Subscribe Donate. I do not agree that it is ethical for Nike to pay endorsers millions while its factory employees receive a few. Nike pays endorser high amount because they help company to build strong brand image, reputation and brand equity in the market.

As a result it helps company increase profitability and revenue. On the other hand factory employees are working day and night for the company to make them successful and achieve their organizational objectives and goals.

They help company in getting cost advantage and competitive advantage in rapidly changing global market scenario. It becomes the responsibility of Nike to ensure that these employees get sufficient amount lead a good life. I agree with the fact that that Nike has to use endorsers or pay high amount to these endorsers to build their brand in the competitive market. But Nike should not ignore these workers, they should pay sufficient amount to its factory employees too as they are the real people and reasons behind the success of the company.

Yes, it is Nike's legal, economic, social and philanthropic responsibility to monitor these subcontracted factories. They are not the direct stakeholders but they are the real contributors in company's success. It becomes Nike's legal responsibility that they should get enough wages to live their life and fulfill their basic necessities, it is their economic responsibility to pay them well and make them partner in its worldwide success, it becomes their social responsibility to ensure the protection, benefits, compensation, development and growth of these workers.

Being a good corporate citizen they should take philanthropy initiatives, including direct giving, volunteerism and educational programs for the society, people, community for its growth and development. They should help employees to lead a good life. Therefore in short, it is Nike's responsibility to monitor subcontracted factories personally in order to avoid discrimination, low wages and other issues.

CSR and business ethics were not popular and common concept ten years ago. Ten years ago businesses were engaged only in profit making by selling their products. They had responsibility towards their shareholders only. But now scenario has changes due to increased awareness and globalization. Ordinary businesses are neither intrinsically human nor socially beneficial. After ten years, I believe significant number of companies will be convinced that it's in their strategic interest to incorporate CSR substantively into their operations.

More and more companies will adopt business ethics and CSR practices and will see CSR as resulting in increased competitiveness and profitability. CSR companies will be more inclined towards performing their social responsibility and promoting protection of human rights and generating economic, social and environmental benefits after ten years from now Strandberg.

Nike is a global brand that is well known of its sports equipments through out the entire world. Hence Nike moved to improve conditions and repair the damage to its corporate reputation. Nike China Report, September Nobody like to admit what they did was wrong. It is the same case as Nike when handling this problem too. The company responded to this criticism using multiple PR tactics, and as a result, entered an unusual forum that blended the relatively tolerant ethical standards of typical advertising with the stringent requirements of CSR reporting.

As more companies enter the multinational arena, and the public becomes more aware of social and environmental conditions in developing countries, the need for sufficient, transparent disclosure of corporate conduct will continually increase Robertson and Nicholson, Laws and models surrounding the reporting of operating practices have yet to be established, but the Nike case has drawn out the underlying ethical considerations for disclosing this kind of information and has brought national attention to the need for standards.

The fact that Nike has brought these ethical and legal issues to light provides us a definitive example to reference when assessing the risks involved with corporate communication. The anti-sweatshop movement in the U. Unions and college student groups have been leading the drive for sweatshop boycotts.

The anti-sweatshop movement received a great deal of popular attention when it was discovered that Kathie Lee Gifford's clothing company had employed Honduran sweatshop workers to produce her line of clothing for Walmart. A hour workweek was the norm in these factories. When this became publicized, Kathie Lee Gifford denounced these sweatshops and stated that she was unaware of the working conditions in these factories. The students at one point or another would feel that what is being taught to them is not right.

How Nike Solved Its Sweatshop Problem

Instead it seems as if the students are being recruited and taught the beliefs of these organizations and the students as a result out of their own freewill choose to believe the teachings and choose to continue to do something about it. Used or not it seems as if some good is coming from it. Considering the seemingly non-violent protest and the cause being fought for it does not seem that anyone is really being used, or manipulated.

From reading the materials regarding the Kasky Vs.

Nike, Inc. First, the speaker, Nike and its officers, engaged in commerce. And the third fact that we should consider it as a commercial speech is the content of the speech consisted of representations of fact of a commercial nature that were intended to maintain and increase sales of Nike products.

TED Case Study: NIKE: Nike Shoes and Child Labor in Pakistan

Looking at this in long term perspectives, financially it could be very lucrative for Nike, and perhaps in this case commercial speeches would be best. This new position also a way Nike tries to portrait its new image of a company that will promote good work culture in its organization. However, Nike went ahead and gave in to many demands that could effectively wear away its new reputation as an unethical business concern. For example, the company hired well known independent auditors to look into the practices of the violation of labor rights in its associate companies.

This ensured that the Nike could assess the company even if the company secretly violated labor rules to maximize profits. A bare minimum wage plan was agreed upon in various companies so that the workers could be assured of at least a decent minimum pay. Workers were offered a better safety package so that they could be kept away from harmful chemicals and reagents.

A medical plan was constituted to look into medical problems and the internal quality of the factories was made to suit internationally accepted health standards. This meant that the on-site hazards to the workers could be reduced to a great extent. Forced labor was abolished and a maximum limit on working hours was introduced.

Similarly, the company discouraged engaging the services of children below a specific age for work in the factories. Labor issues like discrimination on the basis of religion, sex, and age were to be done away with and employees had to be given a right to organize themselves to press for their rights.

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Nike should bear responsibility all the way down the pipeline for everything that goes into the production of its sneaker. Although the production was subcontracted to independently owned factories and the workers were not Nike employees, but indirectly its still have the responsibility because of the workers contribution to the company.

I believed that the company could enforce ethical work culture if it so desired. Business and Society: Ethics and Stakeholders management p CSR profile of Nike, Inc. Hoe Nike is changing the world. New York: McGraw-Hill. Audit Tools. Nike Foundation.

The Nike Mission. Sorry, but copying text is forbidden on this website. If you need this or any other sample, we can send it to you via email. Please, specify your valid email address. Remember that this is just a sample essay and since it might not be original, we do not recommend to submit it. However, we might edit this sample to provide you with a plagiarism-free paper.

Search for: Search. Nike could comply with its competitors' policy on low-cost supply chains overseas so that civil activists will not be able to point out Nike's responsibility 1.

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