Nike Case Study

Nike, Inc. is an American multinational corporation that is engaged in the design, development, manufacturing and worldwide marketing and sales of footwear, apparel, equipment, accessories and services. The company is headquartered near Beaverton, Oregon, in the Portland metropolitan area. It is one of the world 's largest suppliers of athletic shoes and apparel and a major manufacturer of sports equipment, with revenue in excess of $24.1 billion in its fiscal year 2012. As of 2012, it employed more than 44,000 people worldwide. In 2014 the brand alone was valued at $19 billion, making it the most valuable brand among sports businesses.

The company was founded on January 25, 1964, as Blue Ribbon Sports, by Bill Bowerman and Phil Knight, and officially became Nike, Inc. on May 30, 1971. The company takes its name from Nike, the Greek goddess of victory.

The problem

In the mid 1990s, NIKE was riding high, it’s signature “swoosh” the epitome of cool. Then, reports emerged that its subcontractors in Asia, particularly in Vietnam, were underpaying and mistreating workers. The outcry turned into a public relations disaster for NIKE, one from which it still has not fully recovered. Human rights groups, not reporters, were the first to uncover the abuse in Vietnam. Yet reporters and NIKE itself should have seen trouble coming. The case is a textbook example of how one country’s history and culture helped create a hostile environment for a company like NIKE.

When NIKE arrived in