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Business Ethical Failure: Nike Labour Policies - Research Paper Example

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An author of this research "Business Ethical Failure: Nike Labour Policies" aims to investigate the reasons and factors of the Nike company business ethical failure. The writer suggests that the fundamental cause of the Nike labor issues was the lack of business ethics in the company…
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Business Ethical Failure: Nike Labour Policies
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Download file to see previous pages Nike has directly employed over 22, 000 people in different world countries. This includes about 5200 who are based at the company’s headquarters in Beaverton, Oregon. The company has consolidated its manufacturing processes in eight different countries. It was the only footwear manufacturing brand in Japan, Korea as well as Taiwan in early 1990s (Yang & Lee, 2013). These are three nations that had been abandoned by other major footwear brand. Nike was constantly moving its manufacturing processes around the globe. It forced it to employ people from the local regions to work in its factories. Nike’s labour policies focused on using sweatshops to produce its items. The sweatshops were found in South Korea, Vietnam, Taiwan and the People’s Republic of China. As the company’s economy and revenue grew, the workers became more productive but their wages did not rise. Some employees moved from the Nike factories to look for better paying jobs. Despite this being the case, it has continued to use the cheap labour in foreign counties through the sweatshops (Alberto, Locke & Qin, 2007).
According to Allen (2006), the sweatshop labour policies denied the workers several rights. Apart from the low wages, the employees in these plants and factories worked in very unfavorable conditions that deny them the chance to lead quality lives. Moreover, they were denied the chance to be part of labour movements. They could not negotiate for better employment terms and good working conditions. ...Download file to see next pagesRead More
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