Identify a global organization with a multinational presence.
Identify and research a cultural issue that affects this organization's interactions outside the United States.
Define the issue and provide an overview of how it became an issue in the organization.
Prepare an analysis of the ethical and social responsibility issues your organization must deal with as a result of being global.
Write a 1,050- to 1,400-word paper summarizing the results of the analysis. Include the following:
Identify ethical perspectives in the global organization.
Compare these perspectives across cultures involved in the organization.
Describe a viable solution for this issue that could be acceptable by all stakeholders.
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An investigation was conducted where Nike was found to have a large number of cases that involved forced labor or child labor law violations in some of the large apparel factories of Nike. In a particular factory in Malaysia, it was found that Nike was operating production in terrible working conditions for the employees in addition to the forced labor. It was found that Nike had underage children working in sweatshops up to seventy hours a week in unhealthy conditions making their products. Pakistan has a population of approximately 1 million people and it is also an important location or “hub” per say for the production of goods that are to be...
Cross Cultural Perspectives
A money-spinning product fed by an incongruous campaign Just Do It, Nike a global company who increased its share from $ 877 million worldwide to $ 9.2 billion within 10 years (Nike’s “Just Do It” Advertising Campaign, 2011). A brilliant profit boosting marketing campaign, in which many evoked possibilities, audacity whereas others evoked indifference for human rights standards, and the ecological system. This paper will provide an analysis of Nike’s social responsibilities, and ethical issues on global production. Concerns as child labor laws, wages violations, lack of health and safety on workplace, and ecological insolence (A Cultural Study of Nike, 2011). Additionally, this document will assess the ethical perspectives across
Bill Bowerman and Phil Knight started Nike Inc. in 1971, formally known as Blue Ribbon Sports. Bill Bowerman was a former track and field coach at the University of Oregon, and Phil Knight was a student-athlete at the University of Oregon. After numerous years of supplying under Blue Ribbon Sports, the two decided to enter the athletic shoe manufacturing business. The first employee of the company was Jeff Johnson, who helped them with branding what is known today as NIKE Inc.
As such, it applied cultural relativism to justify the use of child labor, unsafe labor practices, and near slave labor in its factories. Since then, Nike has been a driving force to ensure fair labor practices across the apparel industry. In 1999, Nike was a key contributor to the establishment of the Fair Labor Association, an organization that is “…dedicated to protecting workers’ rights around the world” (Fair Labor Association, 2016). Today, Nike continues efforts to ensure that contract factories comply with its Code of Conduct to improve labor standards in overseas factories (Nike, 2016). Because of Nike’s efforts to expand and enforce social responsibility at its factories and given the lessons learned from its sordid past, it is unlikely that Nike would resort to any of the straw men fallacies. However, given the pressure by investors to expect solid returns, one hopes the company continues its altruistic social responsibility efforts while veering away from the Friedman Doctrine and its assertion that “… the only social responsibility of business is to increase profits” (Hill, 2011).
A Greek would say, "When we go to battle and win, we say it is Nike." According to Greek Mythology, The Nike was the winged goddess of victory. Daughter of the titan Pallas and the river Styx, Nike sat at the side of the omnipotent Zeus for the duration of his plight with the titans. The goddess Nike came to be an everlasting symbol of victory and dominance on the battlefields of ancient Greece. In light of her conquests, a popular footwear company of the 20th century designed products in her name to push new levels of achievement in athletes worldwide. The Swoosh logo at the side of each shoe is intended to represent the wing of the Greek Goddess Nike. The vibrant spirit of this ancient goddess has bridged the gap between
Nike’s sweatshops had many positive effects on the developing countries that they were located even though the workers in the sweatshops were mistreated. The company created jobs and this is one of the main reasons that developing countries welcome the formulation of sweatshops. By Nike opening sweatshops in these countries they pay taxes and provide revenue for the host country’s government. In order for Nike to produce more goods in less time the company has to supply the sweat shops with high-tech machinery which improved the production process and raised productivity levels. The countries that allowed Nike to have sweatshops had no restrictions on the sweatshops or any forms of foreign direct investments so they were able to achieve high rates of GDP growth, reduction of the inflation rate and swell up the country’s trade surplus. Although most sweatshops were thought of as whole sale manipulators, human rights violators, and the work conditions were noticeably poor. The workers suffered from the absence of safety procedures and quality equipment because the sweatshops were not
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
Nike is the English version of the name of the Greek goddess Nike, which, according to legend, helped the Greeks to win on the battlefield. The American company Nike has transferred this meaning to their products - shoes, which help to achieve great sporting achievements. History of the brand had started with a search for the founders of the niche of sports footwear in the US market, which was free that time. In the early 60-is of Bill Bowerman and Phil Knight founded the company, the initial capital of it was $ 1,000. Phil Knight decided to develop high quality sports shoes in the United States, produced in Asia and sold in the United States. The company originally existed under the name Blue Ribbon Sports, but in 1971
I am writing this letter to express my concerns over Nike's labor practices in Asia. There has been much debate and controversy recently concerning Nike's Asian labor practices. It is very difficult to determine which side of the argument to defend, as both acknowledge the problems yet put a completely different spin on the facts. I will try to show that Nike has created a cloud of smoke in Asia that the public cannot see through.
Internationally recognized companies such as Nike make use of sweatshops and aid in the exploitation of labor workers in many parts of the world. A sweatshop is an industrialized provision that is known to have poor working conditions, infringement of labor law, and long hours coupled with low wages. In today’s world, sweatshops are prevalent all across the globe; however they raise the most concern in developing nations. Nike is one of the world’s most renowned sportswear companies, but has been involved in several controversies in relation to the possibility of them making profit out of sweatshop labor. In the late 1900’s most Nike products were manufactured in countries like South Korea and Taiwan, however, this changed when the labor
* Global tragedy of the commons- when a resource is held in common by all, but owned by no one, and is overused by individuals, resulting in its degradation
The price of Nike’s common stock has gone down in the past five years. It was at its highest point in 1997 and next highest in 1999.
On an everyday premise, their representatives work extended periods under horrendous conditions for a little aggregate of cash (Hase, 2013). Nike has without any help brought down the human rights norms for the sole motivation behind amplifying benefits. Also, Nike items have turned out to be synonymous with slave compensation, constrained additional time, and subjective mishandle (Wilsey, & Lichtig,2012). Other than the uncalled for wages, Nike always manhandles their laborers in unbelievable ways.
1. A decision to retain an in-house arm of agency Weiden & Kennedy by Nike exemplify the concept of organizational design by allowing Nike use the agency’s creative designers to focus solely on Nike work, giving them un-parallel access to executives, researchers and anyone else who might provide Nike advertisers with their next inspiration for marketing greatness before listening to any other organization. Having the agency in the building is having them at their disposal at anytime they need them and also the agency will have to consider them first incase of any new ad or good idea discovered by the agency or when Nike needs to salvage a problem with the help of the agency. Thus, the agency at their finger-tips serves great advantages
This paper especially focuses on the problem of Child Labor in Pakistan with respect to the case of the world-renowned sports brand Nike and its use of children in its factories in Pakistan. A set of laws that can be established to eradicate this evil from Pakistan have been elaborated upon in the paper, these proposals include the Trafficking Victim Protection Reauthorization Act (TVPRA), the International Human Right Treaty by the General Assembly, International Criminal Court (ICC), penalty laws for businesses practicing child labor, system to inspect workplaces for child labor and holding employers responsible for the education of the employed children. The recommendations section of the paper deals with methods beside laws that can aid in the eradication of child labor and includes negative publicity, introducing a rating mechanism and dealing with competing (and ethically more sound) organizations.
During the late 80s and early 90s Nike was faced with a series of labor strike back at home due to unethical labor practices by its independent countries in third world countries. It is well known for Nike to outsource almost all its production from third world countries at cheap prices and sell them in U.S. market at an abnormal profit. The company began outsourcing its products from Japan where labor was competent and wages were very low. The living standards were raised which prompted Nike to outsource its products from Thailand, Pakistan and Indonesia since wages in these countries were extremely low and labor for these products were competent due to rapid development of the Japanese economy. The outsourcing of footwear products from Asian countries enables Nike to earn high profits and enjoy a competitive advantage over its rivals in the footwear industry. The company invests the high profits realized in marketing its products through celebrities. For instance, Michael Jordan was used to advertise the positive image of Nike Company (Lipschutz and James, pp. 87-96).
The Pou Chen factory is located in a place where the minimum wage is far below the national average. It has 10,000 workers who make Converse sneakers. Most of the workers are women, and they earn only 50 cents an hour. The amount that they earn is not even enough to cover their food and very poor housing. In this factory, the women are both physically and verbally abused. Nike’s own investigations have proved these complaints to be true. The company made a statement saying that immediate actions would be taken to deal with the situation. It is interesting to note that, “an internal Nike report, released to the Associated Press after it inquired about the abuse, showed that nearly two-thirds of 168 factories making Converse products worldwide failed to meet Nike’s own standards for contract manufacturers. Twelve are in the most serious category, ranging from illegally long work hours to