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Ethical Perspectives

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Running head: ETHICAL PERSPECTIVES: NIKE CORPORATION
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Ethical Perspectives: Nike Corporation
ETH 316
March 18, 2013 Ethical Perspectives: Nike Corporation

Cultural differences spread wide and far. This is especially true for countries on different developmental levels. Child labor is one cultural difference found between the western world and under developed countries. Nike is one organization that has struggled with the cultural differences between these two and manufacturing operations.
Nike was co-founded by Philip Knight and Bill Boweman in 1964 as Blue Ribbon Sports. At that time the athletic shoes market was predominately produced by Germany. Blue Ribbon Sports intended to compete with Germany by importing athletic shoes manufactured in Japan. Blue Ribbon’s first retail location did not open until 1972. This is when Blue Ribbon Sports became Nike. (DeTienne & Lewis, 2005)
About 10 years after Nike began contracts with Japan the market grew. Nike found cheaper operations through Taiwan and Korea, according to DeTienne & Lewis (2005). Over time production was subcontracted to the labor markets of China, Indonesia, Thailand, and Vietnam. Having production done in these countries allows for lower costs in labor and higher profit overall. This also provides work for the people in these countries boosting their income and providing them with opportunities.
By 1999 Nike held contracts with 45 countries. Because of the size Nike had become it had less control over the conditions of the factories. Nike became more aware of the working conditions and how employees were treated when global attention was brought to these factories in 1996. One example of the factory conditions and attention Nike received for it is in Pakistan during this time.
According to Ali Khan (2010), in 1995 CBS anchor Connie Chung broadcast...

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