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In: Business and Management

Submitted By zaheerali12
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What is Ethical Issue ?
A problem or situation that requires a person or organization to choose between alternatives that must be as right (ethical) or wrong (unethical).

History of Nike:
. Start with 2 man trying to make good shoes
. In 1964 Phil Knight and University of Oregon Track coach Billy found Blue Ribbon later name as Nike.
. Nike Sport good in Japan and US. market.
. In 1978 Nike become the world largest seller for Ethical goods.
ETHICAL Problems:
1) Role of Government:
The role of the government also plays a major role in these challenges that are faced by Nike. As we know that government laws and regulations are differ from country to country and this makes manufacturing of products very difficult challenge for the international companies like Nike.
2) Ethical Responsibility:

The management of Nike should understand that why ethical responsibility is needed within the company because it is the organization’s management to make decisions and take actions that will grow and interest of the society and as well the organization.
3) Nike Labor issue in Pakistan:
Nike has been accused of using child labour in the production of its soccer balls in Pakistan
. GATT (General Agreement on Tariffs and Trade) and WTO (World Trade Organization) member nations, like the United States, against the importation of goods made by Children.
Child labor exists in Sialkot both in the export sector and the domestic sector. This fact has been well documented and reported by the international media for several years because In Pakistan it is clearly documented that child labor is against the law.
4) Nike fail to address cooperate social responsibility early on:
. do not care about social responsibility
.they use easiest way to achieved it's goals of the company
. Fail to communicate with Top management
5) How it all started - Consumer awareness:
When the June, 1996 issue of Life magazine carried an article about child labor in Pakistan, Nike knew that it was in trouble. In this matter all activists across Canada and the United States were standing in front of Nike outlets,
6) Health and Safety Problems in Vietnam: Back Ground:
The five Nike factories in Vietnam, owned by Korean and Taiwanese subcontractors, employed over 35,000people,

Included young women, who left village to earn better wages.

Many health and safety standards in Vietnam are ignored by Nike factories like wages problem working condition .

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