Sustainable Products : Adidas Launched A Better Place

Three key issues contributed to the disappointing sales. First, internal organizational challenges prohibited the growth of the line. Rigid

Robert Swan once said “the greatest threat to our planet is the belief that someone else will save it.” Two companies that understand this concept are Patagonia and Nike. How they address these issues regarding sustainable business practice vary, however. Both have made it their mission to deliver excellence and make the best quality products within their industries, Patagonia focussing more on outdoor active wear, while Nike is more sports oriented. Part of this process has been developing products from sustainable sources. Patagonia, for example, actively took a stand against chemical intensive cotton in 1994, and has since switched to less harmful means of organic cotton within all their cotton-based products. They are even going the extra

Nike has a very sophisticated sustainability strategy. The strategy is based on company’s prospects for future, to ensure that the company remains profitable and reputable, taking into consideration the social responsibility of the company (NIKE 2013). For instance, the strategy is supposed to ensure that the company gains a stable supply for the raw materials for the product manufacturing that will ensure stable supply of the products in the market at favorable prices. The strategy also targets make the company responsive to environmental concerns, aiming at reducing environmental pollution through emissions to the atmosphere (Charter, 2001). The strategy outlines the company

TenTree has created a product with the positioning to give customers clothing options that are environmentally and socially responsible. They promise to plant ten trees for every item purchased and only use factories that are approved by WRAP. (TenTree, n.d.) They also have a large selection of t-shirts, hoodies, sweaters, tanks, hats, and toques, in a variety of different colours and sizes. (TenTree, n.d.) Satisfying the customer wants for a wide variety of socially and environmentally responsible clothing has created functional-instrumental value for their customers.

So scientist used both technology and science to create a sea drone, which sucks in the trash and releases clean water back in the ocean. For now these is just an experiment to see if it can really clean up the ocean. But while that is “under construction” the German sportswear Adidas is contributing by designing shoes using recycled plastic. Teaming up with Parley for the Oceans, a nonprofit organization, Adidas sets up trash collection zones around the world. The top half of the shoes are constructed with plastic found in the ocean. The rest is made using a 3D printer, using Tailored fiber placement, a technique that knits fibers together. But it doesn't stop there Adidas is trying to use this technique for other products such as their jerseys.

The process is just as important as the materials used in the production. Alongside production technology innovations, brands such as Adidas and Nike have begun to use recycled materials in their shoes. The way to ‘do more with less’ will involve innovations in the types of materials used in products. Adidas has prototyped Primeknit shoes made from recovered ocean fishing nets while Nike is using recycled polyester, diverting plastic bottles from landfills. Furthermore Nike has begun to implement sustainability metrics into their material choice and product design. This helps to ensure that there is greater transparency to the trade-off’s that designers are making between functional performance and environmental impact. To ensure continuous superior product performance a business must drive product innovation as well as

Lululemon is the third leading speciality sports apparel store, behind Nike and Adidas (appendix 1), retailing for women and a small range of men. They have capitalised on the growing trend of fashionable gym and street clothes (Ibisworld, 2016). Their vision is “Elevating the world from mediocrity to greatness”, through their 350 stores and online store shipping to 80 countries (Lululemon, 2016). A SWOT analysis in appendix 2 reveals the sustainable niche of Lululemon’s market, while below demographics, social trends and environment macro-environmental factors are discussed due to their relevance to Lululemon as a modern brand, the others are outlined in appendix 3.

Patagonia’s value proposition is based on embedding environmental sustainability in every business decision it makes. Its core strategy is differentiation by focusing on durability and quality of products whilst minimising its carbon footprint and use of synthetic ingredients (what). The business model revolves around developing innovative technologies and influencing competitors and suppliers alike to adopt environmentally-friendly processes (how). Commitment to these causes while maintaining quality has allowed it to develop a loyal customer base amongst high income groups and athletes (who) and significantly increase customer’s willingness to pay.

The mission of this program is to reduce greenhouse gas emissions. Nike wants to reducing overall material consume so they using waste for good. For example, Nike introduces national team kits made by using an average of 18 recycled plastic bottles per kit. Nike also introduce ColorDry technology which can eliminates the use of water and chemicals from fabric dyeing. The technology also saves energy and eliminates the need for added chemicals in the process. It is helping removing the waste water

The fact that there is so much competition in the clothing industry forces companies to seek the cheapest labor and material. To get products that are the least environmentally harmful will cost the company more money. That can lead future CEO’s to look for less expensive resources that may not meet their current standards. For example, because Patagonia makes synthetic clothing, plastics used to make the clothing release micro-plastics into the water when washed. These micro-plastics cannot be completely filtered by waste water filtering plants. (Martinko, Katherine)

It provides a conceptual framework that enables Adidas stakeholders — from its 50,000 employees on through to suppliers, customers and communities — to better and more easily understand, assess and realize the multinational footwear and sportswear company’s sustainability goals.

Apart from marketing strategies Nike has embellished on the expanding market of technology. In efforts to collaborate with issues of climate change in business the challenges and opportunities that growing organizations seek, Nike has designed a tool to advert such issues. They released a version of their Environmental Apparel Design Tool back in December 2010 in hopes that companies would use it and build from it. In efforts to stay competitive within their market and sustain leadership of sports apparels, Nike has given designers this tool to gather

Under Armour is most notable for its’ eco-friendly product line, “Catalyst”. “Catalyst” seeks to reduce waste in landfills and the production of fossil fuels by using one liter recycled water bottles to create these Under Armour Green performance products (Hollywood Productions, 2015). Under Armour desires to provide their customers with the high quality products they are known for while concurrently protecting the environment around them. Nevertheless, they don’t stop here as they continue finding innovative ways to be green through every facet of their

We are facing various social, economic, environment challenges today which are getting worse day by day, it may also include rapidly increasing population, and most important unprecedented macroeconomic stress. In order to save the world from a potential catastrophe, we have to make significant changes in our behaviour as well as the system we are in. There is an escalating global movement to address all the issues which may question the sustainability of an organisations. Sustainability of organisations, nations, humanity is becoming a primary goal of the individuals and groups in all the different sectors anyone can think of. Leaders are very keen to launch new sustainability initiatives on a daily basis in order to make the surroundings more sustainable in nature. So now in this report which is based on the case study of “Nike: sustainability and labour practises”. This case illustrates that Nike was found guilty regarding the labour practises the company was following which the reason for the external criticism Nike had to face around the world during 1990 and 2000. The main purpose of this report is to study the sustainable initiatives Nike had to take to tackle these issues and further how much those steps are similar to the theory regarding the sustainability of the organisations.

It seems Adidas works to be transparent with the global community, they are striving towards meeting all customers’ needs, in all walks of life, while giving back to communities. They follow a corporate mission that reflects human resources, social and environmental affairs, and community affairs; thus, good corporate social responsibility