Key Ethical Issues
Poor Working Conditions – The working conditions in Nike factories were far below the standards accepted in the developed world. Though these standards of living were normal and acceptable in those countries, the cold-heartedness of these conditions stresses Nike’s responsibility towards its employees. Substantial long working hours and overtime were the norm by Nike employees anxious to remain employed. In South Korea, Nike factory laborers worked for seventeen hours in silence. Workers were not allowed to use the bathroom more than once in an 8 hour shift and they were not allowed to drink water more than twice per shift. Source: Linkedin Corp 2017 . www.slideshare.net/DitaKovarikova/business-ethics-nike.
Low Wages – Nike …show more content…
These products could be manufactured in the U.S, however, the lure of profitability of these products and the effect on their share price is more tempting than the additional employment that could be provided if manufacturing is done in the U.S.
Advertising Costs – Top athletes and celebrities like Tiger Woods and Lebron James are paid massive amounts of money to endorse Nike’s products. Nike brand has maintained an image of quality in the sports world, but they have been less proactive in using these funds to serve the communities where they have set up their factories.
Public Relations – Nike strives to protect its public image and has employed many legal and public relations experts. The dilemma is when Nike has to admit to its mistakes at a great cost, therefore the truth sometimes is manipulated which on its own does not ethical …show more content…
Those country’s minimum wage and standards are below the US wages and standards. Nike can invest in employee welfare proactively even though this might not be the norm in those countries . Besides a lot of these factories are contracted for manufacturing processes and Nike claims they are not obligated to improve factory and employee welfare. https://www.ukessays.com/essays/business-strategy/nikes-csr-policy-ethical-issues-and-dilemmas.php
Environmental damage: The massive production processes causes noise, air and water pollution (Stockdale & Crosby, 2004). This is a dilemma for Nike as these factories have been a source of tremendous employment for the less developed countries. Pulling out of these areas will definitely affect those dependent on these
Poor Working Conditions – The working conditions in Nike factories were far below the standards accepted in the developed world. Though these standards of living were normal and acceptable in those countries, the cold-heartedness of these conditions stresses Nike’s responsibility towards its employees. Substantial long working hours and overtime were the norm by Nike employees anxious to remain employed. In South Korea, Nike factory laborers worked for seventeen hours in silence. Workers were not allowed to use the bathroom more than once in an 8 hour shift and they were not allowed to drink water more than twice per shift. Source: Linkedin Corp 2017 . www.slideshare.net/DitaKovarikova/business-ethics-nike.
Low Wages – Nike …show more content…
These products could be manufactured in the U.S, however, the lure of profitability of these products and the effect on their share price is more tempting than the additional employment that could be provided if manufacturing is done in the U.S.
Advertising Costs – Top athletes and celebrities like Tiger Woods and Lebron James are paid massive amounts of money to endorse Nike’s products. Nike brand has maintained an image of quality in the sports world, but they have been less proactive in using these funds to serve the communities where they have set up their factories.
Public Relations – Nike strives to protect its public image and has employed many legal and public relations experts. The dilemma is when Nike has to admit to its mistakes at a great cost, therefore the truth sometimes is manipulated which on its own does not ethical …show more content…
Those country’s minimum wage and standards are below the US wages and standards. Nike can invest in employee welfare proactively even though this might not be the norm in those countries . Besides a lot of these factories are contracted for manufacturing processes and Nike claims they are not obligated to improve factory and employee welfare. https://www.ukessays.com/essays/business-strategy/nikes-csr-policy-ethical-issues-and-dilemmas.php
Environmental damage: The massive production processes causes noise, air and water pollution (Stockdale & Crosby, 2004). This is a dilemma for Nike as these factories have been a source of tremendous employment for the less developed countries. Pulling out of these areas will definitely affect those dependent on these