Nike Sweatshops Case Study

Jun 21st, 2015
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Syracuse University
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In countries such as Vietnam, China, Indonesia and Mexico, Nike has been criticized for making contract with factories(known as nike sweatshops). Vietnam Labor Watch, is a union which picturised the factories having contracts by Nike in which overtime and minimum wage laws were violated.

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Nike Sweatshops Case StudyIn countries such as Vietnam, China, Indonesia and Mexico, Nike has been criticized for making contract with factories(known as nike sweatshops). Vietnam Labor Watch, is a union which picturised the factories having contracts by Nike in which overtime and minimum wage laws were violated. In Vietnam during 1996, the company claims, those practices have been stopped.the company has also been sued for exploiting oversees cheap labour and providing them poor working conditions with high risk in the free trade zone where most of the manufacturing units are settled.In Pakistan and Combodia also, criticism has been faced by nike for the use of child labour in the factories contracted by nike for the production of soccer balls. Thenafter Nike took certain actions to stop or atleast minimise the running practices Although Nike took action to curb or at least reduce the practiceand changed their stratergies to gain consumers interest back (Mintzberg, H,1994) . However still continued giving contacts for production to the companies situated in those areas where there are least laws and regulations which makes it hard to check whether the child labout is still used or not.External EnvironmentEXTERNAL MICRO ENVIRONMENTCUSTOMERS WorldwideSHARE HOLDERS People buying Nike shares.MARKET INTERMEDIARIES Dealers and Nike outlets are the only source.COMPETITORS Puma, Adidas, Reebok.EXTERNAL MACRO ENVIRONMENT

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