Case Study Nike Sweatshops

How do you feel about the sweatshops and child labour? Do you know that your clothes or shoes might be made by them? It is often said that they should be banned. Nevertheless, why they still exist in this era? In the past, enterprises were not certain to carry weight in business ethics. In the economic globalization, the multinational factories and businesses are in fierce competition. Businessmen from the developed countries invest and build factories in the developing countries due to the low cost of labour. However, the competition in the developing countries between these factories are also fierce. Manufacturers want to get orders so they use low price strategies then indirect effects workers’ salary and benefits. The workers who work in the production line not only get low paid but also have to work long hours without reasonable compensation.
With the progress of era, more and more businesses have gradually paid their attention to this issue. For instance, The Ethisphere Institute is the leading organization in the world, which is in Scottsdale, Arizona, defines and measures the corporate ethical behaviour and promotes the standards of ethical businesses. To build up a set of positive competition it will choose the best …show more content…
As long as businesses improve their work environment and consider for their employees. In the past, we thought that the business was only aimed at making money. However, at present, paying attention to ethics is the foundation of the enterprise. Moreover, the government should improve the law, stipulate the minimum wage and working hours and strictly enforce the law so that workers in third world countries can work in a reasonable environment. Enterprises that focus on ethics usually have higher profits because the company's reputation will be established in the trust of employees, customer satisfaction, and the community to promote the company