Nike Unethical Practices - 1287 Words

NIKE Introduction The declaration by Philip H Knight that he would discontinue financial aid to the University of Oregon was a major issue that attracted the attention of the world media. That Mr. Knight had chosen to cut links with his alma mater was an issue that was greatly analyzed not just because of the business compulsions that hid behind the decision, but because the issue was important to understand the attitude of multinational companies towards business ethics. custom essays Analysis Nike was under international pressure from various communities and non-governmental organizations on the issue of practicing unethical business tactics to enhance profits. For example Nike, which outsources most of its manufacturing tasks to†¦show more content†¦The company on the contrary maintained that it was only outsourcing its manufacturing operations to the Asian firms and that the situation in these companies was not under its direct control. However, the public debate and alienation directed against the company was mounting slowly and soon the company managers felt the need to revamp the image of the company in order to arrest the sliding morale of the companys executives. This was particularly necessary because prominent media houses started specifically attacking Nikes policy to not to interfere in the affairs of its franchisees. Nike, which had a good reputation among youngsters, also started gaining reputation as a badly managed company that exploited the econom ic weaknesses of the South Asian regions. No explanations of the company that it could not interfere with the local operations could convince the US public which believed that the company could enforce ethical work culture if it so desired. Even the high profile advertisements that the company used to its advantage started to get negative appeal in the US markets and that is when the company decided that it had to do something about the deteriorating work conditions in its co-concerns. Nike was initiated into action to promote good work culture when a furore was created on the issue of child labor in Pakistan. Nike immediately compelled its associates to prevent child labor in its factories. This was an important step that let the companyShow MoreRelatedUnethical Business Practice: Nike1499 Words   |  6 Pages The role of the government also plays a major role in these challenges that are faced by Nike. As we know that government laws and regulations differ from country to country and this makes manufacturing of products very difficult challenge for the international companies like Nike. The host governments have laws concerns against consumer protection, information and labeling, employment, wages and salaries and safety of the workers who work in those firms. The international organizations must keepRead MoreEthical Companies with Unethical Practices Essay1514 Words   |  7 PagesEthical Companies with Unethical Practices Introduction American business should not be permitted to claim it is an ethical firm if it ignores unethical practices by its international suppliers. For the purpose of this assignment I will use the Nike Company to highlight its unethical practices. Despite the popularity of Nike in the American market, it has been accused of exploiting employees abroad. The corporate social responsibility stipulates that a company should maximize its profit and minimizesRead MoreEthics in Business: Overview of Nike Essay599 Words   |  3 Pagesfail to remain ethical in their activities, because they are too concerned with profits. Nike Inc. is a worldwide company that is very famous for their designs and apparel wear, also it is a multination corporation that is engaged in the design and marketing. However Nike has pros and cons in some of their actions have been questionable. History of Nike Before there was a Nike Inc., before there was the swoosh Nike was founded by Bill Bowerman a nationally respected track and field coach at the universityRead MoreSocial responsibility and Ethics in International Business Essay1392 Words   |  6 Pagesassociated resource savings. Nike, Inc. The objective of this paper is to study the social responsibilities and ethics that Nike, Inc. has produced over the last few years. As business become international, there are apprehensions on ethics and social responsibilities directed by managers and the organizations they operate (Griffin Pustay, 2010). Nike is a seller of athletic footwear and athletic apparel globally. 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The macro-environmental factors that influence Nike’s strategy include culture, demographics, social issues, technological advances, economic situation, and political and regulatory environment.    Culture is the shared meanings, beliefs, morals, values and customs of a group of people. In America, Nike has become an industry leader that influences our culturalRead More Leadership Ethics and Culture Essay1587 Words   |  7 Pagesan ethics and compliance program in place however there was a missing link between leadership and the enforcement of the program. In other words, Siemens leadership chose to ignore their established ethics and compliance program which created an unethical environment. Kellogg Brown and Root (KBR) a subsidiary of Halliburton headquarters in Houston, Texas is an international, technology-based engineering and construction company. The company provides a full spectrum of industry-services to the hydrocarbonRead MoreCross Cultural Perspective – Nike Corporation Essay1121 Words   |  5 PagesPerspective – Nike Corporation In this essay, I will attempt to present an analysis of the ethics and social responsibility issues that an organization can face when it is a global organization. One of the most recognized organizations globally would without a doubt have to be the Nike Corporation. Several years ago the Nike Corporation came under fire for using child labor in Pakistan and Cambodia to make their soccer balls. Because Nike came under fire for this unethical and inhumane practice, the organizationRead MoreNike Ethics and Human Violations1308 Words   |  6 PagesLike other large corporations, Nike looked to expand their operations outside North America. Many companies do this because of the law and wage demands of the United States making overseas operations very appealing. Employment laws are scarce and labor is cheap in most third world countries and can be easily become targeted by giant corporations such as Nike. In the beginning, Nike probably selected countries like Indonesia and Vietnam because of the vast poverty level and wage demand given theRead MoreEthical And Ethical Challenges Of Organizations1536 Words   |  7 Pagesthe profit. With globalisation and technological advances, it can put a stress on some companies as they always need profit and market share to be successful and grow. â€Å"Individual managers (tone at the top) play an essential role making sure (that unethical behaviour) doesn t happen,† (Heskett, 2011). Companies rely on their top managers to make these hard decisions about ethics. Though the company had these values and views it is the managers who make the decision for the business. Hence companies