CASE 9 Daryl Benson NIKE: Managing Ethical Missteps—Sweatshops to Leadership in Employment Practices Phil Knight and his University of Oregon track coach Bill Bowerman founded Blue Ribbon Sports‚ later renamed Nike‚ in 1964. The idea‚ born as a result of a paper written by Knight during his Stanford MBA program‚ was to import athletic shoes from Japan into the U.S. market otherwise dominated by German competitors Puma and Adidas. The company initially operated as a distributor for
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6/18/13 Case Report: Foreign Factories When investing in foreign factories it may be tempting to invest just because of factors that seem obvious such as the potential low wages or low taxes. However good managers realize that investing in foreign factories to obtain knowledge is a very successful strategy. In order to tap global R&D potential‚ a manager must have the mindset that the knowledge could be anywhere‚ and sometime is worth the risk of setting up a factories in a high cost area
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should Nike be held responsible for what happens in factories that it does not own? Does Nike have a responsibility to ensure that factory workers receive a “living wage”? Do the wage guidelines of FLA or WRC seem most appropriate to you? Why? 3. Is it ethical for Nike to pay endorsers millions while its factory employees receive a few dollars a day? 4. Is Nike’s responsibility to monitor its subcontracted factories a legal‚ economic‚ social‚ or philanthropic responsibility? What was it
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Corporate Social Responsibility at Nike‚ Inc. Overview of Policies and Activities CSR Structure In its approach to social responsibility‚ Nike groups initiatives into six separate categories: reducing waste‚ cutting energy‚ slashing water use‚ rejecting toxins‚ supporting communities‚ and empowering workers.1 Each of these initiatives carries three types of goals: an aim‚ a target‚ and commitments. The aim consists of the overall vision of that segment‚ while the
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What were conditions like for children working in nineteenth century factories? Some sources say that they were treated horrible. For instance so source A written by Leonard Horner a factory inspector says that the conditions were terrible. Some children got caught in machines and lost body parts like a right leg. Another source‚ Elizabeth Bentley‚ a factory worker says that many workers are extremely unhealthy from inhaling too much dust. She for instance is now having lung problems and has trouble
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Hard Conditions in Factories I believe the Industrial Revolution made lives of workers harder. Even though things seemed easier. What really went on inside the factories was the hard part. Many people worked harder and longer‚ only receiving an unfair minimum wage. It was harder because children worked in factories‚ diseases‚ and unsafe conditions. First‚ children were being worked like dogs in factories. Children became crippled and injured (Document A). This happened when the machines got jammed
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In Deborah Boe’s “Factory Work” (n.d.) the author paints a picture of the monotonous and sometimes dangerous work that goes on in the life of a low income factory worker. The character remarks how the hot glue machine she works “ate” her shirt once‚ and how one of her co-workers used to have long hair until the machine “got” it. The character has been doing the same repetitive job over and over. Now she no longer needs to think about what she is doing and her mind wanders as she is working. While
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potential of foreign factories * Only use them for benefit of tariffs and trade concessions‚ cheap labor‚ etc. * Some companies do use them to full potential and gain exponentially from it. * Use them for the previous reasons mentioned‚ but also to get closer to their customer and suppliers‚ to attract skilled and talenterd employees‚ and create centers of expertise for the entire company. * The answer for why these two approaches lies in the managers hands‚ which they have answered
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_"There is a big disconnect between the vast potential of the global economy and what it does for ordinary workers. Finding solutions to these new global realities is very difficult but not impossible; it just requires some hard thinking and some hard decisions. Where are the leaders with the vision to take up the challenge?"1_ The keywords in the above excerpt are "workers"‚ "solutions"‚ "leaders" and "challenge". Nike Inc.‚ the world _LEADER_ in the athletic footwear‚ apparel‚ equipment and accessories
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passage that Nike’s Asian factories audited hundreds of factories in 2003 and 2004 and found cases of abusive treatment in more than a quarter of its South Asian plants.And in 2005 Nike returned to report its social and environmental practices. It said that staffs and employees work in a poor environment .Between 25% to 50% of its employees and staffs in the region restrict access to toilets and drinking water during the workday. Besides ‚ a lot of staffs have to work for extra hours per week and
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