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Social Responsibility Strategy

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This is a report on how I would develop a social responsibility strategy for Nike (my client): introduction The company that I am going to develop a social responsibility strategy is the Nike Company that was formed in 1962 by Bill Bowerman and Phil Knight as a result of collaboration of the two to come up with the most sufficient athletic shoes after the dominance of German and cheap Japanese athletic shoes in the American market (Almaney, 2000). The company has gained increased sales since it was formed and thus making it a global giant in the manufacturing and sale of sports equipment utilities.
The company has faced a number of challenges in its daily administration in the market as a result of stiff competition, imitation, environmental pollution and lack of raw materials. The company in the mean time has managed to be in a profit making trend as it has recorded that highest numbers of sales as compared to its competitors Adidas and Reebok, with Nike commanding 30.4% compared to 15.5% and 11.2% for Adidas and Reebok respectively (Amway, 2013). Environmental considerations and recommendations (planet)
This is the first and most important reason for Nike involvement in cooperate social responsibility; is to improve the environment with the statement from the company CEO stating that ‘the world will remain behind when we are long gone and we have to conserve it is for the future generation’. Nike isn’t resistant against any lawsuits on matters relating to environmental pollution. That is the reason for the reduction in the company’s sales as a result of the negative news that is associated with it contribution on environment pollution (Davis, 2010). The company has responded to the cry of the masses and has improvised ways that will help it achieve environment conservation as a contribution to social responsibility. The company was concerned at the fast rate in which climate was changing and thus it decided to get involved evolved in environment conservation strategies (Vestel, 2010).
Recommendations
Nike has decided to engage in social responsibility as the management opts to implement some strategies that are in line with the conservation of the environment and thus making the company a low pollutant thus a non pollutant (Almaney, 2000). The management recommended certain policies such as the treatment of the waste products released from before disposing them to the environment the waste would include waste products from the machines / factory that include smoke and rejected /spoilt leather and rubber that are used in the manufacturing of the shoes (Vestel, 2010). The company was also involved by undertaking the activity of realizing carbon neutrality as the management of the company decided to stop the purchase of carbon offsets and renewable energy certificates thus helping achieve their goal. The company also opts to engage the community living around on the importance of conserving the environment this is terms of tree planting or fencing of the wetlands this is by either participating in this activities or donating some amount money for performing this ventures (Davis, 2010). Ethical leadership considerations (people)
The company should implement the use of ethical leadership style this is to ensure that the company will be considered effective in its activities by using the equal employment opportunity law (EEO); the company has failed to perform ethical leadership this is because of the beauracratic nature of the company management system as it is reported that the company’s average Board of Directors age is 62 composed with only one of the members being 50 years while the rest are above 60 years the oldest being 79 years of age with no woman in the top management but a majority of them at the lower levels (Davis, 2010). The company doesn’t realize the importance of local leaders on its international branches, as it doesn’t appoint locals for CEO’s for its overseas branches thus making it difficult for the organization to operate effectively (Dion, 2008).
Recommendation
The company should considered the possibility of injecting fresh and young minds and even women into the management level of the company, as these young people will introduce the new trends of business management and therefore make the company to be able to compete effectively with its competitors as they will introduce new product brands and also achieve the goals of the company (Almaney, 2000). The company should also incorporate ethical leadership by appointing locals and women in its branches and thus boost the social responsibility as the whole society will be represented in the management of the company as a whole (Dion, 2008).
Organizational viability considerations and recommendations (profitability)
The company should make its financial records public and this is by stating its profits and losses publicly, this is by making their accounts known, the public and shareholders should know the short and long term plans of the company (Hopkins, 2011). The company should also be free from any legal and ethical suits that will make the company loose most of its time on legal trying to deliver itself from the courts and compensations to damages it has caused to its employees or competitors. The Company should also be in a position of producing a large number of products that will ensure that it maximizes the sales it makes in the markets that is because it targets more customers thus improved profitability (Murray, 2010).
Recommendation
As a way of the company to deliver social responsibility on matters related to organizational viability the company has to have a long-term and short-term plan that will be used to evaluate the progress it has made or plans to make (Hopkins, 2011). The company should also ensure that it participates in good business practices that will reduce the cases of conflict with its competitors this is by practicing the required business practices that will be fair and reduce conflicts with the competitors (Murray, 2010).
Legal and regulatory considerations
Nike like any other company is in a position of dealing facing legal and regulatory challenges, the company is faced with varied legal challenges this includes the issue of child labor in countries like Malaysia Taiwan and other Asian countries (Schuler & Jackson, 2007). The company also is faced with labor strikes as its employees complain of lack of machines to work with and poor pay, as claimed by Naomi Klein, in her book "No Logo” these claims tend to taint the image of the company on its investors and customers (Amway, 2013).
Recommendation
The company should look into these claims and deal with them accordingly, Nike Recommendations in matters reacted to Naomi’s comments included with dealing with the issue of employing children in its factories (Schuler & Jackson, 2007). It also opted to take its employees through training before letting them operate the machines, and providing the employees with the necessary machines to perfume their job effectively and improved the wages they were receiving as ways of dealing with legal and regulatory issues (Hopkins, 2011).

References
Almaney, A, .J. (2000). “Strategic Analysis of Nike, Inc.” Retrieved 26, February 2013, from. http://condor.depaul.edu/aalmaney/StrategicAnalysisofNike.htm
Amway. (2013). “Corporate Social Responsibility: An Amway case study.” Retrieved 26, February 2013, from. http://businesscasestudies.co.uk/amway/corporate-social-responsibility/developing-a-strategy.html#axzz2LunFfuZg
Davis, S, S. (2010). “Examples of Social Responsibility Strategies.” Retrieved 26, February 2013, from. http://smallbusiness.chron.com/examples-social-responsibility-strategies-10633.html
Hopkins, S. (2011). “Nike's Marketing Strategy.” Retrieved 26, February 2013, from. http://www.articledashboard.com/Article/Nike-s-marketing-strategy/1456078 Vestel, L, B. (2010). “Nike Makes Environmental Strides and Abandons Carbon Offsets” Retrieved 26, February 2013, from. http://green.blogs.nytimes.com/2010/02/02/nike-makes-environmental-strides-and-abandons-carbon-offsets/
Dion, P. (2008). “Nike - Social and Ethical Issues.” Retrieved 26, February 2013, from. http://www.writework.com/essay/nike-social-and-ethical-issues
Schuler & Jackson, (2007). “NIKE CASE STUDY: Ethics” Retrieved 26, February 2013, from. http://professional-ethics-articles.blogspot.com/2012/09/nike-case-study.html
Murray, J. (2010). “Viability (of a Business)” Retrieved 26, February 2013, from. http://biztaxlaw.about.com/od/glossaryv/g/viability.htm

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