Unit IV Nike’s ethical issues

Nike has achieved many successes in expanding business and earns huge profits, but the company has also faced many issues in business ethics which should be discussed as case " Behind th

Unit IV: Nike’s ethical issues Nguyen Anh Duc

ID: 253459 Hanoi Columbia Southern University

Nike was founded in 1964 with headquarters in Beaverton, Oregon According to Forbes magazine (2015) rated this as one of the most valuable brands in the world Although Nike’s products from more than 40 countries around the world, but mainly products come from China, Vietnam, Thailand, Indonesia Nike has achieved many successes in expanding business and earns huge profits, but the company has also faced many issues in business ethics which should

be discussed as case " Behind the Swoosh"

Related to ethical issues in business, directors of Educating for Justice, Jim Keady and Leslie Kretzu has produced a short film called "Behind the Swoosh" disclosure about labor abuse Nike factory in Indonesia In this short film, after refusing to participate in advertisements for Nike due to having ethical problems in business operations, Keady and Leslie lived as the home

of Nike workers in Indonesia, where they has gone through the worst living conditions with low wage are Nike paid $ 1.25 / day The footage showed the exploitation and lack of interest of Nike workers

Although the living condition of the workers is not good enough, but the workers thought they might have a lower standard of living if they lost this job According to my view, the values and the standard of living of Western society, where responsibility for employees, social,

environmental and ethical compliance by everyone spacious western understanding, should be introduced to employees in Indonesia to understand more about the living level, roles and their rights need to be paid as education, health, holidays, living environment, etc Through which the public can get together to stand up asking Nike more responsible for the lives of workers

Requirements of worker are fair to compare them with the ethical code of Nike The fact, Nike has unethical actions for employees and their customers Specifically as let the workers and their families living in deprivation and environmental pollution, working long hours for meager

wages, children are uneducated and always face the danger from habitat Moreover, the workers stand up for their rights are also threatened and beaten, even Keady and Kretzu also threatened

by social gangs and security when investigates to clarify the exploitation of labor The request for dialogue with Nike leaders about labor in Indonesia was also rejected For customers, this is a deception, immorality while Nike has announced incorrect information, images and hides the reality life of workers in Indonesia

The reality behind the documentary short "Behind the Swoosh" Nike has a lot of action to solve the problem of labor exploitation, beginning with the recognition and publicize issues such

as overtime, living conditions, income levels are taking place in their factories The code of conduct is also updated, added to protect the labor force, against discrimination, harassment, sexual abuse and other forms of inappropriate discipline, etc Besides, workers are also allowed

to participate in trade unions, working in a healthy environment, with medical regimes and education However, there are cases of violating the code of conduct in a number of factories or single such case in Indonesia factory, supervisor cursed, slapped and through shoe to the

worker’s face or workers in factories of Taiwan still has to receive a low wage is 50 cents / h (Business& Human Rights Resource Centre, 2011)

There is a completely different perspective on Nike after watching the film The film was shown whether a major manufacturer and famous come from the West, but Nike still enlist the limitations of perception, the living standards of workers and the lack of regulation, weak in the management of the home country to get benefits for the company, ignoring the standards

published by the company Although Nike has had progressive action to correct the errors, but it has not been thoroughly and also not shown the initiative by the main action is often carried out

under pressures of society and the media From now on, Nike’s product is not my preference for buying, especially if it is made from Asia

In conclusion, from the case "Behind the Swoosh", Nike's image has deteriorated much

as they tried to cover up unethical actions Although the company has made the following

corrective actions, but the issues of labor exploitation still occurs because Nike has not really actively solve this problem

Reference Forbes (2015) The World's Most Valuable Sports Brands 2015 Retrieved from:

http://www.forbes.com/sites/mikeozanian/2015/10/22/the-forbes-fab-40-the-most-valuable-brands-in-sports-2015/#6e7a6fa02e2a

Business& Human Rights Resource Centre (2011) Nike Faces New Worker Abuse Claims In

Indonesia Retrieved from: http://business-humanrights.org/en/nike-faces-new-worker-abuse-claims-indonesia