INTRODUCTION In the business world ,fiscal command frequently triumph over the values, the values of social responsibility and ethical behavior as corporations endeavor to relieve costs and reduce contingencies in future ,nowhere is that drive for certainty and cost reduction is more enthralling then in the corporate supply chain, the global market place demands that supply chains be fleet-footed and scatter ,an efficient supply chain is responsible for changing the organization priorities by keeping the cost of the company intact and giving company the room for growth and increase productivity ( Attaran,attaran,2007) Sustainable development is a vehicle to permute many and varied corporate and institutional interest whilst giving impression of adherence to and observation of environmentally sound principles (David and Santillo 2007) BACKGROUND Nikes company issues was transparent ,perceive and concise ,Nike came under severe criticism from media over the ethics and code of workplace practices ,this includes problems of child labors ,workmen ship unethical practices ,unsafe working conditions ,wage rate ,excessive overtime restrictions on organization and environmental impacts ,watching its reputation sullied by stories of abuse Nike began to see its profit dip and was forced to lay off workers . Nike faced with significant earning losses, Phil knight Nike chief executive officer and founder on May 1998 speech to national press club admitted that the Nike product
When talking about sustainability numerous people associate it with just protecting the environment. Sustainability is far more than going green, but it is a principle that many companies have adopted and have worked persistently to improve over the last several years. Sustainability is defined as the ability to continue a behavior indeterminately, but it also includes improving human life overall. Sustainable development is broken down into three pillars: economic, social, and environmental (Harich & Bangerter, 2014). Economics is the study of how people use resources, which correlates to the goal of sustainable development by using resources to their full potential (Laszlo, C., & Zhexembayeva, N., 2011, p. 60). Economic sustainable development allows companies to give their customers what they want without overusing mutual resources. Social development combines the social world with the physical realm to provide a good quality of life (Benoit, 2010, p. 7). Social sustainability focuses on the well-being of people and their communities. Environmental development, the most recognizable, includes protecting the environment by reducing pollution, recycling, switching of electronic devices when not in use, etc. All three of these pillars make up what is known as sustainable development. In this paper, I researched a company and their involvement in sustainability and how it applies to the
The highly recognized name brand—Nike— fails to notice the faults that are happening in factories that are violating a few disturbing rules. The company’s reputation has decreased due to demands and claims Nike; implying that they utilize sweatshops to produce more products at a lower pay. The company has been sued numerous times for abusing and exploiting their employees in factories for years. Another problem that Nike has faced throughout the years was making employees work in poor environments that affected the health of many— which contributed to being abused by the manager for not going to work. Nike distributes and sells merchandise of high quality for a high value. The company is giving the satisfaction of quality service to their
The first item on Nike's ethical policy list is the treatment of its employees. This is an important issue because it shows all members who work at Nike that they are the most important assets to the company. Without the employees, there would be no customers, and granted the relationship works both ways. It is easier to work in an environment that boasts the employee’s interest before everyone else.
Nike Incorporation, formerly known as Blue ribbon Sport – BLS was founded in 1964 by Phil Knight and Bill Bowerman with an investment of $500 has developed from a small operation to a household name, located on all continents. They evolved by investing their money in design, development, marketing, sales and partnering with other low-cost but high-quality producer companies in Japan, Korea, Taiwan, and South Asia and so on and so forth to manufacture their products. (Locke, 2002)
Nike is one of the largest most popular sports/athletic brands worldwide. They are number one producer and sellers of sportswear shoes and apparel (Nike Inc, 2017). Being number one the brand now has a market value of almost $30 million, and does seem to be stopping growth (Nike Inc, 2017). Created in 1964, Nike has continuously grown adding many diffusion lines to their brand to be more distinct for different sports. Not only does Nike encompass almost all sports, but also they have brilliant marketing and their trademark “Just Do it” partnered with the swoosh logo, which is endorsed by celebrities makes Nike a desirable product. A demand that is worldwide requires employees that are willing work around the clock, are paid less than minimum wage, and even employed children workers. At least these were some of the things that Nike thought they needed, to increase profits and get their product distributed. Nike made a huge mistake trying to cut cost by exploiting workers in south Asian countries. Their ethical integrity was compromised and many consumers would not buy from Nike, however now years later Nike has revamped their image with foundations and a traceable supply chain. Hopefully, these measures Nike have taken will prevent any further ethical issues in the future.
Nike has been under a lot of scrutiny about twenty years ago during a time of starting globalization on an enormous mass-production scale. As one of the pioneers in foreign labor, Nike ran into a number of issues surrounding sweat shop, child labor and minimum wage wars.
Nike is a giant company with vast resources. Nike utilized a combination of marketing and public relations to resolve its problems. It has unlimited money for advertising and marketing. With enough money behind a company, the public will quickly forget about its wrongdoings. One example of another company that was in a bad ethical situation was Subway. It was found that Subway used the same material found in Yoga mats in their bread. As time went on and advertising continued, people forgot about what happened. Nike agreed to correct some of their discrepancies. Nike agreed to stop using a hazardous material that proved to be very harmful to its workers. Nike also agreed to raise minimum wage in many of the countries in which it operates. In addition, Nike launched an education initiative for workers in many of the countries that it operates. These
Sustainable development encompasses many various meanings, however the most frequently used definition originates from the Brundtland report (WCED, 1987, p.43) defining it as ‘’a development that meets the needs of the present without compromising the ability of future generations to meet their own needs’’. The Kyoto protocols and European trading systems are seen as mediums to ensure resource management, helping in preserving for future use. However the definition is ever evolving as according to the United Nations Economic Commission for Europe (UNECE) (2004) it didn’t include a time horizon for future generations, provides no manifestation of the part played by the environment as it’s solely economical, and cites to the hazy concept of human needs. Subsequently an array of definitions of sustainable, in its most basic it’s defined as conserving development over time.
Sustainable development is a contested concept, with theories shaped by people’s and organizations’ different worldviews, which in turn influence how issues are formulated and actions proposed. It is usually presented as the intersection between environment, society and economy, which are conceived of as separate although connected entities. We would argue that these are not unified entities: rather they
Unfortunately, the problem doesn’t stop there. In 2011, another finding on Nike’s unethical conduct was again found. A factory plant in Sukabumi, Indonesia, revealed to have treated their employees inhumanely (Nike workers 'kicked, slapped and verbally abused' at factories making Converse 2011, p. Online). Some workers that were interviewed by Daily Mail unfold the stories behind the high walls. They said physical and mental abuses are commonly happened in their working hours. The supervisor basically treated them like animals; physically punished the workers when they are making mistakes and calling them pigs or dogs, creating an unsupportive working environment.
Nike is a global corporation that has branches and factories around the world. In this report I have highlighted two unethical issues faced by Nike and how the problem started and how the company has dealt with those ethical dilemmas. Also I haveu included about my opinion regarding the issues and the ways the company has solved the dilemmas. Moreover, the best practice that can be carried out is also included in this report.
Often heard used as a marketing buzzword to boost sales or win votes, it is firmly ingrained in the contemporary public psyche. A term first largely introduced by the 1987 Brundtland Report (by The World Commission on Environment and Development) who defined and politicized the term ‘sustainable development’, ‘sustainability’ has since taken on numerous connotations.
After Brundtland Report, the term "Sustainable development" gained popularity and mainstream use (Brundtland, 1987). Sustainable development preaches that socio-economic-ecological progresses are concomitantly attainable within
In the past several decades, the term sustainable development has gained a lot of attention, however, it has since been overused to a point of saturation where it has lost the influence it previously elucidated and become a jargon for developers and slogan for environmentalists. What does sustainable development mean? For years scholars have tried to define and articulate the concept of sustainable development which has led it to become an oxymoron of sorts.
The term “sustainable development” is defined by the Bruntland Report as “Sustainable development is development that meets the needs of the present without compromising the ability of future generations to meet their own needs”. Sustainable marketing is the process by which an organisation meets the needs and / or desires of an objective group by developing, marketing and distributing in a cost-effective way, goods and services that are compatible with the environment and society, from its chain of value up to post-consumption (Hollensen, 2015). Organisations listening to the demands of the