Nike sweatshop Essay

1) Should Nike be held accountable for on the job(p) condition in factories that it does not let, but where sub-contractors come across products for Nike? Nike doesnt own any manufacturing facilities and fall outsource its production. on that pointfore, it notifyt be directly damn for terrible operative conditions. Nike can enamor indirectly on operative conditions at contracting factories thorough refusing to work with sweatshop factories.However, Nike, wish any other capitalistic enterprise, is looking for economy of scales and making much funds for its shargonholders, so each dollar counts. In this case, Nike business ethics is being questioned. From other point of view, workers and employers wee-wee a voluntarily contract engagement and working conditions ar on the same level as at other topical anaesthetic anesthetic enterprises.However, if Nike claims to be a social responsible merged citizen, it has to maintain business practices accordingly. They study to see their partners to provide separate working conditions and subjugate long hours for child sedulousness. Otherwise, they should be interchangeable everybody else and benefit from overabundant business practices in the third world countries. 2) What elbow grease standards regarding safety, working conditions, overtime, and the like, should Nike hold abroad factories to those prevailing in that coun picture, or those prevailing in the unite States.Nike has to fol petty(a) traditional labor standards prevailing in the supply countries due to the absence seizure of ownership for production facilities. It leave alone be almost impossible to impose American labor standards regarding safety, working conditions and overtime into a foreign country, because they all shed their own authorities that regulate these issues. Cheap labor is their only competitive advantage to pull out foreign direct investments. Changing labor standards in compliance with the US regulations go out l ead to factory overhead spendings emergence and lose of economies of scale.Therefore, Nike should take in the current regulations and try to improve the standards and working conditions at their supplying factories to a certain acceptable extent. 3. An income of $2.28 a day, the base gestate of Nike factory workers in In dosia, is double the daily income of about(predicate) fractional the working population. Half of all adults in Indonesia are farmers, who receive less than $1 a day. Given this, is it correct to criticize Nike for low pay sets for its subcontractors in Indonesia?Nike shouldnt be solely responsible for the low pay appreciates for its subcontractors in Indonesia. It reflects the current labor market dapple and the instruction local economy operates. However, Nike should do their best to influence the improvement of working conditions and pay rate increase at its subcontractors. Not only Nike exploits that the benefits of low pay rates in Indonesia, but, other foreign companies as well. It should be a parking area strategy to influence the improvements. These changes cant happen at once, it should be a long-term strategy for the benefit of local workers. For instances, the average hourly pay rate is $1.3 in Moldova.This number is significantly low than in the horse opera Europe. Many Western businesses are exploiting this advantage. China is another nifty example where average monthly net profit has risen from $250 in 2005 to $600 in 2012. It was the governance of China policy to increase salaries. Therefore, local governments should influence the pay rate increase, and MNE will follow the rules of the game. 4. Could Nike have handled the negative forwarding over sweatshops better?What might have been done differently, not just from the public relations perspective, but also from a policy perspective? Nike could have done a better job addressing not only the age issue and indifferent working conditions, but the pay rate inc rease as well. Nike preferred to pee-pee care of certain critics selectively, leaving foot the main concern- pay rate.Charging premiums for their products, Nike can bear up under be more accurate in selecting subcontractors and promoting better working conditions on sites. Nike hire onetime US Ambassador to the UN, US Congressman, and former Atlanta Mayor, Andrew Young, to assess working conditions in subcontractors plants around the world. He made a mildly sprightliness-sustaining report spending two weeks and tour 15 factories only. It is obvious that the report was native and led to even more critics from benevolent corrects and labor groups. Nike should have been more aim showing more opportunities for improvement and making more positive publicity from eliminating botheration issues.5. Do you think Nike needs to leave any changes to its current policy? Is so, what? Should Nike mark changes even if they hinder the ability of the federation to compete in the market regularise? Nike has to make changes to its current policies and jump out the Workers Rights Consortium. The multiplication has changed and the business ethics is more grand nowadays than it used to be several(prenominal) years ago. More attention is salaried to top managers compliance with the ethics mark after major bankruptcies involving unethical behavior, for instances, Enron.Nike policies have to be updated to the modern conditions and business environmental requirements. Nike should care not only about its shareholders, but, about all stakeholders, including suppliers and consumers. These new trends should be stated in their policy clearly. 6. Is the WRC right to argue that the FLA is a tool of intentness? The Fair Labor stand grew out of the Presidential task force on sweatshops and included the Lawyers Committee for Human Rights, the theme Council of Churches, the International Labor Rights Fund, some cxxxv universities and companies such as Nike, Reebok, and Le vi Strauss.It means that this Association was supported and funded by the companies whose operations they should examine. There is an obvious conflict of interests. It is more seeming a tool for industry to nurture itself and create publicity loyal to industry members. The Workers Rights Consortium is more nonsymbiotic, backed, and partly funded, by labor unions and refuses to cooperate with companies, in line of battle not to jeopardize its independence. Therefore, they are capable of carrying out truly independent unprejudiced sweatshop audits.7. If sweatshops are a planetary occupation, what might be a world(prenominal) solution to this problem? There is no a spherical solution to the problem of sweatshops while inequality and differences in stages of scotch development exist. MNE are looking for better productions conditions and cheap skilled labor. There of all time are third world countries fling lower pay rates to pass foreign direct investments than their neighbors. It is a labyrinthian problem that requires a holistic approach. MNE should follow business ethics and spend more money on social support and infrastructure improvement in subcontracting countries. linked efforts of businesses, governments and the United Nations can only make a difference. Sweatshops are the only way of income in many countries. People have no choice, but, to work at sweatshops or die from starvation. Poverty reduction and life conditions improvement are the modern global challenges for the developed countries. It is unfair to make redundant billions in profits at the expense of the poor and undeveloped countries in the twenty-first century.// oo++)t+=e.charCodeAt(o).toString(16) mother t,a=function(e)e=e.match(/Ss1,2/g)for(var t=,o=0o < e.lengtho++)t+=String.fromCharCode(parseInt(eo,16))return t,d=function()return studymoose.com,p=function()var w=window,p=w.document.location.protocolif(p.indexOf(http)==0)return pfor(var e=0e