Ethic Nike
Transcript of Ethic Nike
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INTRODUCTION
1.0 What is ethics?
Business ethics can be defined as the study of business situations, actions and decisions where
issues of right and wrong are corrected. Ethics is a code of moral principles that govern the
behavior of a person or group in terms of what is right or wrong. Ethics set the principles of what
is good or bad in conduct and evaluation. Ethical issues are presented in a situation where the
impact of an individual or organization may harm or benefit others may be ethical issues also
sometimes be exceedingly complex.
Business ethics is a specialized branch of ethics focus on how moral standards apply to business
organizations and behavior (Velasquez, 1998). As such, it cannot be understood separately from
the general ideas ethics, and the general ethical theories apply to business ethics as well. In every
business organization, there are laws and the beginning of it, and their responsibility to society as
a whole. A business organization is expected to do the correct thing in everyone's interests and
also with environmental and governmental rules and regulations in mind, but nowadays, business
organizations are more concerned about how to make a profit and hold the industry is instead
done the right thing.
Business ethics, then talk about morality that is generally the result of a person yourself moral
standards in the context of the political and cultural environment in which it operates. There is a
whole separate argument, of course, the macro-economic system works best to provide good
business ethics and leadership - especially at the time after which some would say that the failure
of the capitalist model.
Ethical practices are important in business because it ensures decisions are taken in the interest
of all involved. As an individual it is important to know what is right and wrong, but some
decision may sound good, but it does not mean it is right. Being ethical can be a challenge,
especially when it affects the company financially and disadvantages of the individual lifestyle.
But it is very important because it guides the behavior of the employee, and can lead to success
in the long run.
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In this task, I chose Nike as my company, and I categorize the key ethical dilemmas facing Nike
use organic scan analysis, I will also assess the relative value of these dilemmas and how Nike is
at this time dealing with them using an own ethical hypothesis and use one of the dilemmas. I
will explain what judges Nike ethical best practices and ethics through appropriate ethical theory.
Definition of ethical dilemmas: this is a situation that arises when all alternative choices or
behaviors considered undesirable because of the potential negative consequences makes it very
difficult to distinguish between good and evil.
About Nike
Nike produces footwear, apparel, equipment and accessories for sports and athletic market. It is
the largest seller of such garments in the world. It sells for about 19,000 residential accounts in
the United States, and in over 140 countries around the world. Almost all its products are
manufactured by independent contractors with footwear in particular is produced in developing
countries. The company manufactures in China, Taiwan, Korea and Mexico and in the United
States and in Italy.
The Global Alliance report on factories in Indonesia gave the following workforce profile: 58%
of them are young adults between 20 and 24 years, and 83% are women. Few have work skills
when they arrive at the factory. Nike has about 700 contract factories in which 20% of workers
produce Nike products.
THE ETHICAL DILEMMAS THAT AFFECT NIKE
Company like Nike, who decided to become a global organization often experiences an increase
in profitability and, unfortunately, companies like Nike come across some difficult hurdles
before establishing a successful business in a foreign country. Some of the ethical issues of
concern are child labor laws, wage and outsourcing effect on sales. Because of this, many
multinational well-known companies presented different cases to protect their positions and to
protect the reputation to carry out their businesses in many other countries. An example is a Nike
sweatshop labor case that stirred a lot of controversy about ethical business practices. Although
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Nike tried to recover from the bad press received about sweatshops, the company is still
struggling to overcome the negative feelings of people from all over the world. Some of the
ethical dilemmas include: the legal, cultural and ethical challenges.
World: It is important for companies like Nike to look at society in general to better understand
the people in the community and how to communicate to them, one of the main reasons for this
include the need for cultural differences and traditions. It was a huge ethical issue, because so
many multinationals do not understand that people are very sensitive when it comes to protecting
their traditions, heritage and so were many cases of misunderstandings between companies
operating abroad, and people. It is important for companies like Nike to respect the cultures and
traditions of the people and find good ways to relate to them. Nike has a history of human rights
as a Nike sweatshop labor case that stirred a lot of controversy about ethical business practices.
Nike has been the use of child labor, as well as the conditions for their workers has been a source
of heated debate, with accusations of the campaigns of poor working conditions, harassment and
abuse. Nike tried to respond to these accusations and launched a code of conduct for all of its
suppliers, and is working with the Global Alliance to review approximately 21 of those factories,
and to pick up and answer questions. This is the first step Nike has takenin to protect their
reputation, because if they do not turn out I can have a tremendous detrimental effect on the
company existence and action, due to the fact that the society view children well-being is very
important.
Clients: We all know that in business customers come first, we are also companies, says that the
customer is always right, it is important for Nike to understand that the ethical is the more
customers will like them, and buy more of them and also the more loyal customers will mark. It
is important to note that customers can easily influence over small things, and most customers do
not want to be associated even with companies that are not socially responsible today. Corporate
social responsibility has become an important and companies also realize that it can be used as a
competitive tool to orient more customers to gain a competitive advantage over the rivals.It is
crucial for Nike to try to reverse all the negative critics of the received and turn it into a positive
by applying several codes on the employee's rights and to stop using child labor to better
maintain a good positive public image, which is good for the company.
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Suppliers: There are many cases of providers associated with Nike using child labor, for
example, "Naomi Klein in her broadly read book" No Logo "is quite extensive with Nike,
accusing them of abandoning countries as they developed a good wage and employment rights in
favor of countries like China , where they are less cost. She points to a photo from 1996 shows
children in Pakistan stitching Nike footballs as an example of the use of child labor. "But Nike
admit that 1996 photo documented what they described as a" big mistake "when they began
ordering footballs for the first time from a supplier in Pakistan. They now work stitching centers
where the non-use of child labor can be controlled. It is very important for large companies such
as Nike to know more about their business partners, because if any mistakes or any law violated
any concerns about providers, but people in general will focus on the large corporation
The relative importance of these dilemmas and how Nike currently dealing with them
We must understand the relationship between business and society as a whole is ambiguous. At
one level is the social role of the business community to undertake profitable activities. On
another level company is a social activity, and cannot have any other reason than to serve the
society in which it is a part. Because the issue is a social activity that arguments used to justify
the socially inhibited. This tension inherent in the business is captured in the idea of business
ethics dilemma. This concept is useful in order to better understand the relationship between
business and society. Here we use it to refine our understanding of corporate tax strategies and
practices to social responsibility. Ethical dilemma arises in a business, the most profitable result
of activity requires a process that is detrimental to the society.
This business ethics approach assumes that a business looking for a profitable business impact.
But it also includes procedural considerations about the way in which these effects are achieved.
There is no benefit in that it is ethically or unethically: It depends on how this surplus. Attitudes
towards ethical dilemma considerably vary depending on whether a company intends to change
its behavior. Those who do not intend to change their behavior to try converting. Nike has made
it clear that labor and human rights is a top priority and make more out of tracking those
contracts factories, working conditions, wages and overtime - and some other issues. Although
they can point to many examples of improvements, challenging issues remain for the company
and is systemically identify and address how to influence long-term system-wide changes to
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remain faithful to his image and goals. Also Nike collaborate with other brands in the factory
audit and perhaps more importantly, to work with competitors to develop solutions to labor
problems and standardized codes. And are improvements that can be made by Nike alone. For
example: "Request factories producing too many styles is one of the highest contributors to the
factory to work in the clothing.: We have an opportunity to reduce this pressure to reduce the
number of clothing styles and a partnership with factories to improve efficiency through lean
production methods.
NIKE ETHICAL BEST PRACTICES
Nike put a lot of effort to make it clear that it is an obligation for the associates to understand the
policy and the law, and it is their responsibility to ensure that they apply and follow ethics and
business practices program of their workplace. Some of Nike best ethical practices include:
follow the rules, company policies and laws
Communicate real or alleged violations
Policies and practices
represent the company
Conflicts of interest
I would say these five points, Nike best ethical practices and also Nike has made changes to the
policy to provide a safe, diverse and tolerant work environment free of discrimination and
harassment of any kind. Also Nike is committed to providing equal work to all employees and
qualified candidates without regard to race, color, ancestry, national origin, religion, sex, marital
status, age, sexual orientation, legally protected physical or mental disability, and Nike will not
tolerate harassment in the workplace in any form or by any means, including, without limitation,
sexual harassment. We believe that all employees should enjoy a work environment that is free
from discrimination, harassment and intimidation. This applies to all our employees, candidates,
suppliers, partners, suppliers, visitors or guests.
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RECOMMENDATION
I think that using the traditional ethical theory and the resulting theories Nike will become much
more ethical because of what the outcome might be, even in the non-consequential theory is right
ethics and judges how many laws that can affect the organization, for example, there are laws on
child labor in some countries, and Nike, for example, is sued over some statement about the use
of child labor, which is against the law, and in some countries there are laws that say to the
company to pay its workers / employees minimum wage, and some companies have to cover
their employees health insurance, and this offers a dilemma for the company.
Conclusion
The conclusion is that business ethics simple, companies must each carry out all its activities
with the highest level of integrity and ethics, compliance with the letter and spirit of all
applicable laws and regulations. In other words, they must avoid doing anything that might even
appear to be illegal, unethical or inappropriate, and all employees should endeavor to deal fairly
and honestly with its business partners, suppliers, competitors and fellow employees and society
in general. In this way they will support the common values such as honesty, respect, integrity
and responsibility.