Nike company history
Discussion
Based on the company history, Nike has been the top in the industry it operates in. The video reveals that the company has been leading and also profitable as a result of exploiting its workers negatively. The company has been paying very low wages to its workers, and the conditions they are living in are very poor. Their basic needs such as food, clothing and shelter are not met, yet the workers are made to work for more than 15 hours a day (“Nike Sweatshops: Behind the Swoosh”, 2020). Despite them working hard, their standard of living is very poor. Their children are also not able to go to school since the money that the parents get cant cater for their education. Since this is a company that operates globally, there is a need for it to operate within the set code of ethics whereby a company is required to contributes towards the welfare of the society. For example, in the case of case, it does not comply with this the environment that the workers are living in is very dirty. There are also no schools that children can access education (Adda, Bosco Azigwe, & Roger, 2016). also, a company is required to manage its waste properly; this limits the company integrity since its disposes of its waste in the areas that the workers live in. The company need to ensure that it provides better services to its workers.
From the video, there are some of the ethical issues that the company is facing. Among them is harassment of workers whereby they are tortured and other prisoned if they fail to comply with the rules set by the management. The leadership is also acting in an unethical manner whereby it fails to treat the workers in a fair and just manner. Also, when Jim seek for an opportunity to speak to the corporate officials, he is told that there is no one to talk to them(“Nike Sweatshops: Behind the Swoosh”, 2020). the company also fails to allow the workers to present their grievances. Where workers talk about the conditions they are working in, they are harassed, and others fired.
After the sweetshops scandal, the company experienced a decline in its sales since its customers protested .as a result of this, the company had to ensure it complies with the set ethics. For example, the company adopted friendly environmental activities that helped in managing its waste. It also improved its production process so that there can be a waste reduction. The company also eliminated harmful chemicals that were causing air pollution. It also improved its working condition whereby it ensured that the factories are fitted with better facilities. The workers are also given protective clothes that they wear while in the factory. It also increased the minimum wage it was paying to its employees, and this resulted in an improvement in their living standard (“How Ethical is Nike?”, 2020). The company also improved on the areas where the workers live by ensuring that the conditions they live in are favourable.
Having viewed the video, my opinion towards Nike is different since this reveals that the major of the goal of the company to be the leading in the market and also make a profit at the expense of its workers. This is unethical since based on the set ethics, a company is required to provide better working conditions to its employees. As a Nike customer, this would change my purchasing behavior since this creates a bid picture about the company. Customer associates themselves with reputable companies. It is evident that after the company was exposed, it made changes, and this later contributed to an increase in its sales.
References
Adda, G., Bosco Azigwe, J., & Roger Awuni, A. (2016). Business Ethics and Corporate Social Responsibility for Business Success and Growth. Eur J Bus Innovat Res, 4(6), 26-42.
How Ethical is Nike?. (2020). Retrieved 6 February 2020, from https://goodonyou.eco/how-ethical-is-nike-e03/
Nike Sweatshops: Behind the Swoosh. (2020). Retrieved 6 February 2020, from https://www.youtube.com/watch?v=M5uYCWVfuPQ.