Nike, one of the globally established companies representing the perfect example of a class or quality in global corporation was established in 1972 by Mr. Phil Knight, an athlete met who met track coach at the University of Oregon. Both of them together formed Blue Ribbon Sports in 1962 and later launched Nike brand. Nike is one of the leading marketers of American athletic shoes and apparels and in 1978 it was officially known as Nike Inc. after 1978 its sales started expanding all over South America and Europe. In the early 1990's despite a major economic recession, Nike's turnover surged from US$750 million in 1987 to $4 billion in 1993. Later in 1997 its stock had hit $76, but after the Asian economic crisis 1998, its profits went down by 37%.Still Nike had an annual turnover of $9 billion and net profits of $571 million. Nike has an international headquarter in Beaverton, Oregon which directly employs more than 22,000 people worldwide.
Like many other companies, Nike's majority of its supply chain is owned by other companies; i.e's subcontracted in almost 50 countries with 700 factories and 550,000 working for Nike.
The following case study outlines the controversy against Nike and its responses. The case study is based upon publicly-available material, Information provided by Nike and interviews with selected Nike staff and external stakeholders. This information is gathered from Nongovernmental organizations such as San Francisco-based Global exchange, a leading human rights organisation and other social justice organisations and also a visit by reporter of the CBSNews, 48 hours to one of the factories in Vietnam
Order a Custom Essay
The case study does not argue the readers to ban the products of Nike, but instead it offers the readers and the students the insights of the working condition of Nike and the developed policies. Although Nike admits about some problem in the overseas factories, it has taken many steps to the... [continues]
Cite This Essay
(2013, 05). Nike: the Sweatshop Debate. StudyMode.com. Retrieved 05, 2013, from http://www.studymode.com/essays/Nike-The-Sweatshop-Debate-1682629.html
"Nike: the Sweatshop Debate" StudyMode.com. 05 2013. 2013. 05 2013 <http://www.studymode.com/essays/Nike-The-Sweatshop-Debate-1682629.html>.
- MLA 7
"Nike: the Sweatshop Debate." StudyMode.com. StudyMode.com, 05 2013. Web. 05 2013. <http://www.studymode.com/essays/Nike-The-Sweatshop-Debate-1682629.html>.
"Nike: the Sweatshop Debate." StudyMode.com. 05, 2013. Accessed 05, 2013. http://www.studymode.com/essays/Nike-The-Sweatshop-Debate-1682629.html.