Nike: Overdoing It - Exploiting Child Labor for the Bottom Line
Business and Management
Submitted By sprillaman
There are a wide range of companies that have been able to utilize the international market for their benefit but none of them have been as successful as NIKE, Inc. It all started with two men, two men with a passion for track and field and the desire to innovate running shoes. Bill Bowerman, a track and field coach at Oregon University, and Phil Knight, a track and field athlete at Oregon University, teamed together to form “Blue Ribbon Sports” in 1964 which later became “Nike” in 1971. Since they began, they have expanded their products from solely running shoes into athletic shoes for a variety of sports as well as fan gear, workout gear, athletic equipment, and athletic gear for sports teams. Nike has grown from their World Headquarters in Oregon to several branches located in the Netherlands, Shanghai, and Japan. Each headquarter is focused on innovating their products to fit the consumers’ needs in their respected demographic and ultimately grow in those markets. With Nike’s success comes a high demand for their products. As a result of the high demand there are 774 factories located in 42 different countries in North and South America, Australia, Europe, and Asia. A large percentage of the factories are based in the emerging markets like Korea, Indonesia, Vietnam, Brazil, and Argentina. China claims a large percentage of the factories with over 213 compared to the United States with only 65. With the theme of inspiration and innovation, Nike has been able to significantly expand across the globe and affect every country it touches.
Nike made headlines after several instances of documented child labor violations were exposed that took place in several countries including Pakistan, Cambodia, and Indonesia. The child labor violation story that took place in Pakistan was carried out by Life magazine in June, 1996. The article included a photograph of a...