Business Ethics of Nike Inc.
1.0 Introduction
Ethics, also known as moral philosophy that can be defined in basic term as what is right or wrong in humans’ morality. The definition of business ethics on the other hand, can be defined according by Wikipedia (2011), ‘a form of applied ethics or professional ethics that examines ethical principles and moral or ethical problems that arise in a business environment. It applies to all aspects of business conduct and is relevant to the conduct of individuals and entire organizations.’ It is important to implement an ethical approach in a business company, as it has various responsibilities to look upon to, such as to shareholders, employees and the community. Therefore, by embracing this positive concept of ethics as part of the business operation, it will ensure the business is in conducive to success, develop and profitability for the long term wise. In this report, based on the requirement given, I have chosen Nike Inc. as the topic of the discussion. Nike Inc. is the world leading company merchant of athletic shoes, sportswear and sports gear based on United States. Bill Bowerman and Phil Knight established the company in the 1964 and during that time Nike Inc. was known as Blue Ribbon Sports. Furthermore, the organization has been experiencing phenomenal growth and rapidly expanding since then. Krentzman (n.d.) claimed ‘Nike sold $3.2 million worth of shoes in 1972, and its profits double-up each of the subsequently 10 years’. Regardless of the remarkable success that the company has made, it’s image and reputation somehow has been tarnish several times, mainly because the unethical business practices that have been done. Therefore, it shows that in terms of corporate responsibility, the company did not tag along with its own principal and advice ‘Just do it’.
2.0 Labor Rights Nike is one of the companies that are commonly known in ‘outsourcing’ practices, according to McDaniel (2010). Outsourcing is a
Ethics, also known as moral philosophy that can be defined in basic term as what is right or wrong in humans’ morality. The definition of business ethics on the other hand, can be defined according by Wikipedia (2011), ‘a form of applied ethics or professional ethics that examines ethical principles and moral or ethical problems that arise in a business environment. It applies to all aspects of business conduct and is relevant to the conduct of individuals and entire organizations.’ It is important to implement an ethical approach in a business company, as it has various responsibilities to look upon to, such as to shareholders, employees and the community. Therefore, by embracing this positive concept of ethics as part of the business operation, it will ensure the business is in conducive to success, develop and profitability for the long term wise. In this report, based on the requirement given, I have chosen Nike Inc. as the topic of the discussion. Nike Inc. is the world leading company merchant of athletic shoes, sportswear and sports gear based on United States. Bill Bowerman and Phil Knight established the company in the 1964 and during that time Nike Inc. was known as Blue Ribbon Sports. Furthermore, the organization has been experiencing phenomenal growth and rapidly expanding since then. Krentzman (n.d.) claimed ‘Nike sold $3.2 million worth of shoes in 1972, and its profits double-up each of the subsequently 10 years’. Regardless of the remarkable success that the company has made, it’s image and reputation somehow has been tarnish several times, mainly because the unethical business practices that have been done. Therefore, it shows that in terms of corporate responsibility, the company did not tag along with its own principal and advice ‘Just do it’.
2.0 Labor Rights Nike is one of the companies that are commonly known in ‘outsourcing’ practices, according to McDaniel (2010). Outsourcing is a
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