International Business Case Study Nike

Nike is a great and famous company around the world for its brand. However, we have heard of various human rights problems, working conditions and payments in its companies in Asia or in the Middle East. An important step for a business is to select those markets that offer the best profit potential. Also in an industry or a market, for a business it is important to determine the benchmark for its competitive position. The external market meters for product quality, service quality, consumer satisfaction, brand awareness and market share are significant markets meters that refer to the strength of a competitive business position.

But, how did Nike come to that situation through its expansion strategy. Internal meters such as unit cost, time

At the beginning it ignored the situation, claiming that it was not under her responsibility how the subcontractors the company was working treated its employees. The situation created dissatisfaction from many consumers. In addition, many NGOs focused on these Nike issues by publishing and disseminating Nike's situation around the World Wide Web. Nike began to understand that it needed to understand the international standards of work and corporate responsibility in this process of globalization. It was about time for Nike to respond to this. They created a code of conduct and changed the agreement with their subcontractors by imposing some rules like wage, working conditions and although these rules were basic it showed interest from Nike to improve the problems created by its suppliers. It also created a department of control in order that environmental, ethical or labor issues are in compliance with the regulation and agreement made. Nike reviewed all agreements with its companies around the globe and made mandatory to have a healthy working space. It created a grading system for its suppliers to monitor and determine these demands. It has created reward system for those companies or managers that create healthy and good working conditions. Up to today Nike works hard in corporate social, environmental, ethical and organizational issues. It supports sportive events, environmental and community issues. In response to the

I believe in every profit they make companies have profits in mind. Every decision is adjusted not to touch too much profit. While expanding in other countries, for Nike would have been better to create a working environment that is in compliance with her code of ethics. The company although not directly should have felt responsible for those workers that created its products. Nike should have taken full responsibility of the situation. I think accepting that the agreement made was not a good one and taking measures to improve the situation might have created a better light for Nike. Expanding not only through agreements but merging with the market, culture and improve the working environment boosts employee morale and also fights bad phenomena like poor working conditions, child labor and other factors that impact negatively the world we