Case Study: Nike

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Headquarters of Nike
Oregon USA -- All research and decisions done here
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Number of contract workers
650 000
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In how many factories
700
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% of workforce in asia
over 75%
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main demographic of workers
women under 25
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Advantages for LEDCs due to Nike (e.g Vietnam)
Creates employment, higher wages, improves skill base, other MNCs are attracted causing positive multiplier, local tax funds local govt
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Disadvantages for LEDCs due to Nike (e.g Vietnam)
Undermines national culture (westernisation), MNCs may have political influence and are unelected, can withdraw at any time, environmental concerns
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Nikes ethical trading policy
No child labour (und 15 y/o), No harassment or abuse of workers, Only voluntary overtime, Can work maximum of 6 days per week, minimum wage is set
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HOWEVER, in some factories:
overcrowded living conditions, 12 y/o are working, 12 hour shifts standing up, being fired or abused for not doing overtime, wages are less than $30/month (one Nike top)
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Other cards in this set

Card 2

Front

Number of contract workers

Back

650 000

Card 3

Front

In how many factories

Back

Preview of the front of card 3

Card 4

Front

% of workforce in asia

Back

Preview of the front of card 4

Card 5

Front

main demographic of workers

Back

Preview of the front of card 5
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