Connect and transact with thousands of top North American companies today, Image credit: FocusFantastic/shutterstock.com, Founded in 1964, Nike is the largest and most recognized sports apparel brand in the world today. I believe that it is Nikes responsibility to set the standard for other shoe and apparel manufacturers and use its platform to act as a role model for its peers (as many of the athletes that Nike currently endorses are). Finally we come up with promotion and advertising campaigns which became a grand success not only because they introduced sportspersons , they also introduced innovative ideas and wise strategies and the image of the Product, due to this process we can say that Nike targeted a huge no of audience and created a Prestigious brand which will be easily available for average people . In addition, Nikes most recent 5-year plan includes a 50% increase in the representation of women and 35% representation of racial and ethnic minorities in the corporate workforce. Nike - Giving Back to Our Communities - NIKE, Inc. We're committed to building a future where everyone, regardless of where they are from, the color of their skin, their abilities or who they love, can thrive. I appreciate the approach to sustainability discussed which began with increased scrutiny into the process of manufacturing and then seeped into the materials themselves. As a result, Nike Grind transformed 30 million pairs of athletic shoes into running tracks, basketball courts, and playgrounds (CSR Journal, 2021). Glad to read Nike is taking meaningful steps towards becoming a more sustainable company. PDF BREAKING - media.about.nike.com Today there are so many things like the shoe brand that you didn't know had something to do with nike the goddess of victory. PDF FY20 NIKE, Inc. Impact Report BREAKING BARRIERS In a recent report, Retired businessman who paid OceanGate $110,000 for a Titanic dive 2 years ago says it was a kamikaze operation. Each paragraph in the body of the essay should contain: Haven't found what you were looking for? As the year concluded, Phil Knight recognized that Nikes growth became synonymous with slave wages, forced overtime, and arbitrary abuse Knight vowed to make a change. This has been a defining moment for our society - and a defining moment for NIKE. Nike and their Just Do it slogan is one that is very known throughout the world. Thomas Regional are part of Thomasnet.com. In conjunction with the United Negro College Fund and other organizations, the Jordan Scholars Program, this initiative awarded collegiate scholarships to high school seniors in North America and Greater China, eight-graders receiving high school scholarships (The CSR Journal, 2021). Check your Inbox or join StudyHippo now to benefit from thousands of ideas, Nike And Its Impact On Society Essay Example, Nike Tactics and Marketing Function Audit Essay Example, Burberry Investigative Report and Competitors Essay Example, Advertisement Analysis - Dior Addict Lipstick Essay Example, The Cover-Up By Sophie Darch Essay Example, Threat of Substitutes Product Essay Example, David Beckham Case Analysis Essay Example, Free online plagiarism checker with percentage, a topic sentence that states the main or controlling idea, supporting sentences to explain and develop the point youre making, evidence from your reading or an example from the subject area that supports your point. I think that a viable business case for a sustainable product lifecycle is the most powerful tool that Nike has in influencing its competitors to follow suit if Nike can save money in manufacturing while still delivering a superior product, cost-conscious competitors in the athletic apparel space will follow suit. Statistica.com. Nikes CSR and corporate governance programs center on providing a healthy and tolerant work environment for all employees. Nike (NKE) CEO Mark Parker likes to ask his team a single question: Can we double our business, while halving our environmental impact? The worlds largest athletic gear company, which first kicked off a recycled shoe program back in 1990, has hit a steady sustainability stride ever since. The company revamped its management tools one such example includes the Sourcing & Manufacturing Sustainability Index (SMSI), a tool used to evaluate factories on health, safety, and environmental dimensions. Subscribe to Well Adjusted, our newsletter full of simple strategies to work smarter and live better, from the Fortune Well team. This button displays the currently selected search type. Other competitors might have the resources to contest but they dont have the ability to use them appropriately. A cost-benefit analysis of each of those initiaves, identifying their return both in terms of profitability in the long run and environmental outcomes, could present evidence to incentivize other companies to adopt similar measures. Very interesting! How has Nike impacted society in a positive way? - Profound-tips There are also in the manufacturing of design outing shoes, sports wears (cloths, shorts, hats, hoodies ect.) Nike has created products with high quality in almost every sport around the global. As a result of the disparities plaguing the manufacturing portions of Nikes supply chain participants in the late 1990s, efforts shifted to minimizing the environmental footprint and improving product innovation, and transforming manufacturing. The factory features high-tech equipment designed to eliminate the use of water and process chemicals from fabric dyeing Nike names the innovation ColorDry. See Figure 2 for an image of the factory [9]. These consumers will naturally push Nike to develop the newest, coolest, best products and will push other retail brands to do so as well. The industry accounts for 10% of global carbon emissions and 25% of the worlds chemical usage [2]. We are pleased to share NIKE's progress in this FY21 Impact Report. Privacy Statement and For example, the close-loop, factories & transportation standard, as well as the setting up sustainable index are now almost the standard action plan of each of the global apparel companies, such as Nikes competitor Adidas and other fashion brand Zara and H&M. This collaboration with the U.D. To that end, the company invests in promoting a work environment that celebrates diversity and inclusion. BUS101: Case Study | Saylor Academy Nikes Corporate Social Responsibility and Sustainability program resonates with the companys core belief that sports can change the world for the better. Nike leverages the unifying power of sports to promote its CSR agenda in three key areas: diversity and inclusion, community investment, and environmental sustainability. The genius of Nike The genius of Nike is that it has managed to land its single-minded brand thought across extremely diverse cultures. By enhancing the product quality by greening the supply chain, Nike ultimately eliminated toxic chemicals from its production process. According to an article posted in Chicago Now, Nike President Charlie Denson said, "Our ability to be authentic, stay connected, and remain distinctive through innovating across all areas of our business is a definitive competitive advantage." The Nike sports shoes with a signature swoosh design were used to demonstrate how globalization presents difficulties and possibilities for multinational firms, employees who manufacture Nike's products, and consumers. Nike - Giving Back to Our Communities - NIKE, Inc. Did you know that Zeus, basically the king of the gods said that he would protect nike forever and keep her close to him. Im sure Nike has processes in place to monitor such effects, but Id make sure these reactions arent offsetting the hard work. However, 40% of teen girls do not participate in sports. For instance, Patagonia invested $1M in a campaign to encourage more environmentally conscious individuals to vote. We use cookies to give you the best experience possible. 481 Crores on its CSR Initiatives in FY23, Complete CSR Report of Tata Consultancy Services (TCS) in India FY 2022-23, The Ultimate Report on CSR of Infosys Limited, , 2024 , , , , Residents across India can now track and recover stolen or lost mobile phones with Governments Sanchar Saathi, Where the mind is without fear and the head is held high: Remembering Rabindranath Tagore on his 162nd birth anniversary, Maharashtra Day gift: Discount for Senior citizens, students and specially abled passengers in Mumbai Metro starting today, 8th Edition of India Art Festival Jan 17-20, India Leaders for Social Sector (ILSS) to Organize Leadership Program - April 5-13, Second season of SBI Green Marathon in 15 cities, First edition of The Penguin Classics Festival. COVID-19 Response Nike's COVID-19 response was widespread, covering the costs of food and apparel for global communities and extra assistance for their employees. The efforts included $30 million for food and medical care and a $5.7 million dollar donation of footwear and apparel to healthcare professionals and front-line workers. Company. This diversity presents an opportunity for marketers to create brand loyalty across sports. Due to this reason Nike is now a world wide brand used by each and every people in different parts of the, This project is focused onthe unethical behaviors of Nike. Copyright 2023 IPL.org All rights reserved. (2013, May 17). Athletes React to Nike Pregnancy Ad, Running Magazine, March 16, 2021. https://runningmagazine.ca/the-scene/athletes-react-to-nike-pregnancy-ad/. Very well done and a great read. How has Nike contributed negatively to society? FY20 NIKE, Inc. Impact Report. https://purpose-cms-preprod01.s3.amazonaws.com/wp-content/uploads/2021/04/26225049/FY20_NIKE_Inc_Impact_Report2.pdf. MAGMA EUROPA S. Z O.O.Prezydenta Gabriela Narutowicza Street, No. Sustainability initiatives create a solid foundation to adapt to climate change pressures. Despite these efforts, the company continues to be criticized for not acknowledging its past treatment of female athletes.[8]. I am personally excited to see corporations like Nike and Patagonia take initiative around climate change. I am also struck by the magnitude of the opportunity that you describe in the apparel space. By: Jenna DeWalt. The impact of textile production and waste on the environment Therefore Nikes new priorities is making sure that their factories were not taking advantages of its workers anymore, and to ensure for a competitive wage and a safe work environment is provided for each worker. As a committee, we have been proud to monitor the development of NIKE's purpose 2025 Targets and the company's performance against these targets. 40, loc. Nike does not use fur, angora, or other exotic animal hair or skin in its products, which is a step in the right direction. I picked Nike because thought that she was an interesting goddess and because I didn't know she was a god till. I think Nike is in unique position thanks to brand strength; for millions of customers, Nike represents superior athletic apparel technology as endorsed by the worlds best athletes. Our purpose is to break barriers and build community to change the game for all. Michelle Peluso Chair, Corporate Responsibility, Terms and Conditions, Producing its items sustainably is a way for Nike to prove (the way that only Nike could) to mass-market shoppers that you dont have to compromise on performance and durability to make a more environmentally-friendly product. How ethical is Nike? | Ethical Consumer 10.04.2022. The current study assessed Nike's marketing campaign in Glamour. Policies like these could help guarantee short lead time even under extreme conditions and minimize bullwhip effect. Click here to see the entire package. In a recent report, Nike disclosed that . NIKE In a recent report, Nike disclosed that 71% of footwear and apparel uses Nike Grind, which is made of recycled polyester and other materials. For example, collaborating with technology partners MivroBenefits and Workplace Options supports contract manufacturers in improving communication, enhancing worker knowledge and experience, and enabling the ease of access to human resource tools and policies (CSR Journal, 2021). In 2019 Nike's highest paid Executive Officer received an astonishing $13,968,022 - around 11m. This concept features potential applications to create materials by using and reusing them at their highest potential to generate little or no waste. As I was researching about Inditex (Zaras mother company) and its actions against climate change, my answer to your open challenge would be in the global apparel industry, is sustainability even a competitive advantage or is it rather a norm? She is the goddess of speed strength, and victory. Nike Inc. A Growth Company Nike Globalization Issues: The Good and the Bad - Studybay The ball should bounce the same for everyone, this initiative is rooted in the core belief that basketball cultures influence goes beyond the court and that education and mentorship are integral components on and off the court in assisting youth to opportunity by creating and supporting innovative solutions for underrepresented communities (The CSR Journal, 2021). Nike plans to grow its E-Commerce business to $7 billion by 2020 (a $5 billion increase over todays position). Aug 15, 2022 As of May 31, 2022, Nike employed approximately 79,100 workers worldwide. In addition, 2014s introduction of ColorDry technology in Taiwan addressed the topic of water outpacing the worlds population growth and water demand. We believe every worker has the right to work in safe, hygienic and healthy workplaces. For example, about one in three children are physically active. Their target customers are people who care more about the utility and quality of the product than the price. The difference between Nike and its competitors is that Nike produces their products for men, women, and children in different ways based on the basis needs, physiology, preference of design, and the trends in the market. 1337 Words | 6 Pages Whenever I say nike, most people would think of the shoe nike. During the last few years, the company has offered a new perspective to the consumer market. Disclaimer: This report contains excerpts from the FY19 NIKE, Inc. Impact Report. Retrieved from https://revive.digital/blog/nike-the-global-brands-journey/, Ryan,T. (2018, June 14). A commonality between most multinational organizations is contracting factories in poor Asian countries to manufacture their products. Retrieved from https://www.businessfor2030.org/covid19-1/2020/4/23/nikes-covid-19-response-includes-innovation-working-closely-with-suppliers, Ciment,S. (2020, February 9). Nike also committed to training nearly 100,000 coaches to help communities most in need. Nike (NKE) CEO Mark Parker likes to ask his team a single question: Can we double our business, while halving our environmental impact? The worlds largest athletic gear company, which first kicked off a recycled shoe program back in 1990, has hit a steady sustainability stride ever since. In 2014, Vietnam, China, and Indonesia manufactured roughly about 43%, 28%, and 25% of total Nike branded footwear and it has also operations in other country such as Argentina, Brazil, India, and Mexico. 1, 90-135,d, Poland. First-movers like Nike are doing a great service by embedding sustainable product lifecycle practices into their products, and less forward-leaning apparel companies should be able to lean forward using the same technology as a result. And focus on sustainability has been the means to achieve it. It starts to bridge the gap between performance-seekers and sustainability-seekers; they no longer believe there is necessarily a trade-off, and can vote with their dollars for brands that offer both. Once approved, these will be the world's first rules on AI. Im interested in the extent to which these types of innovations are practical in faster moving consumer goods, like products in a Unilever or P&G portfolio. Accessed 1, October 2021. As alluded to earlier, the company has done a great job at incorporating synthetic fabrics to address cotton and water supply shortages, but in some cases, synthetic fibers can emit gases like n20, which are 300x more damaging to the environment compared to co2 [12]. For employees, Nike worked with suppliers to implement proper health and safety protocols at their facilities and provided paid time off and free virtual counseling for those who were experiencing mental and emotional distress due to the pandemic. Nike is one of the most popular brands for the youths involved in sports activity. Many Greeks prayed to nike for strength and victory. Titanic submersible: documents reveal multiple concerns raised over universal presence across the globe in a short period of time has impacted the social trends economically, socially, as well as culturally. Womens Sports Foundation shows that girls are less active than boys. Nike boosted their credibility and reliability, by manipulated uses of Ethos, Logos and lastly Pathos. Retrieved from https://purpose.nike.com/sustainability-governance, Nike. Nike also hopes to extract their resources more sustainably. The ColorDry investment marks Nikes strong commitment to taking a future outlook and reducing its reliance on constrained resources. In 2020, Nike allocated $4 million to support diversity and inclusion in communities throughout North America through its Until We All Win program. In the late 90s, the company suffered from negative allegations regarding harsh labor and factory conditions. As a committee, we have been proud to monitor the development of NIKE's purpose 2025 targets and the company's performance against these targets. Through the Supplier Climate Action Program, Nike ensures their suppliers and manufacturers are committed to their goal of carbon neutrality by 2025. This is due to Nike gets its merchandise generally from foreign manufacturers. These aspects are Nike social performance, those mainly related to equity and community welfare. As part of their community outreach program, Nike spent more than $89 million in 2020 to help over 17 million kids around the world get active in sports and exercise. This caused a negative impact on society because it took jobs overseas that could have been here in the USA to some Americans. 10+ million models from leading OEMs, compatible with all major CAD software systems. Jordan Brand Wings core principle is to strengthen the community through an investment in youth by offering access to opportunities that level the playing field to young people worldwide (Nike, 2020). FORTUNE is a trademark of Fortune Media IP Limited, registered in the U.S. and other countries. In continuous efforts, Nike recognizes its impact on specific demographics in alignment with its mission and vision for the world of sport. The staff of Fortune and a panel of experts recently named 50 companies to its 2016 Change the World list. To maintain its competitive advantage, Nike will need to expand and improve their supply chain practices to ensure that protocols protecting the safety and wellbeing of all workers are enforced. Nike should now use these same sustainability principles and apply them to its dotcom business, which is an important strategic focus for the next 5 years. Poor African Americans reasonably have some impenetrability extending apprehension for exploitation of workers abroad when the injustices they face in their own country are similarly acute. Flyleather is also 40% lighter than regular leather and strongly impacts cost reduction and production waste. Nike is doing an incredible job focusing on social impact within developing nations. In 2020, sustainable material integration increased from 41% to 59% in their clothing lines. Great read. Nike, a company started in Oregon in the 1960s, soon became a multinational corporation and today produces its shoes and apparel in 42 different countries, employs one million people around the world in the manufacturing, and reports revenue of $36 billion. For example, Nike Grind was established to focus on repurposing material deemed waste or recyclable. (2019, July 22). NIKE: Is it the sustainability transformation of the decade? They also prayed for them not to die and for super human powers. [5] The company also expanded its digital training tools to include the Coaching Girls program which aims to make sports more fun and inclusive for girls through coach education and leadership training. In using these countries, Nike continues to realize huge profit margins due to the availability of cheap labor in these countries. LEGO: The missing bricks in their global supply chain? Nike also implemented a two-to-one match for all employee donations made to organizations addressing COVID-19-related relief and support. Copyright 2023 Thomas Publishing Company. How Is Nike Using Automation, Robotics in Its Manufacturing? However, it does use leather, wool, and down feather without specifying sources. The late 1990s brought about environmental concerns that went mainstream, producing products focusing on recycling, supply chain water usage, and toxic substances in the manufacturing process (Paine et al., 2016). In addition, top management committed to sustainable business development by no longer considering labor relations as a risk management strategy but as growth strategies comprising sustainability, brand enhancement, capital efficiency, and profitability (Sharma, 2013). We wont send you irrelevant messages or spam. The escalating disapproval and movements against Nike, on the other hand, have not had much of a bang on a major part of their market, metropolitan African-America. In other word this essay is made to assess the impacts of Nike society. Most content is the property of NIKE, Inc. Corporate Social Responsibility is a form of corporate self-regulation integrated into a business model. "As of this FY19 NIKE, Inc. Impact Report, I have been President and CEO of NIKE for less than two months. Like Nike, these are global companies steeped in supply chain excellence with a significant environmental footprint it will be interesting to see if some of the less visible but equally culpable polluters in industries outside of apparel are confronted with the same cost-reduction, quality-preserving, and environment-conserving mandate from consumers or the media in coming years. Website Last Modified June 28, 2023. This has positive effects on shopper behavior beyond athletic gear these shoppers will hold green products in higher esteem relative to their conventional alternatives. The essay will be exploring the ethical situation of Nike, the unethical behaviors, as well as the companys role in reducing and correcting its unethical issues.Nike is no doubt one of the worlds leading footwear and apparel company, but continues to outsource its manufacturing to factories in Asian countries like China, Thailand, Bangladesh, India, and South Korea. Accessed 20, October 2021. In 2020, Nike introduced two new CSR programs, their Juneteenth learning initiative, and their Unconscious Bias Awareness training program to promote a greater understanding of racial equality and social change. Nike And Its Impact On Society Essay Example | StudyHippo.com The Nike Corporation prides itself in being a leader in their industry because of their innovation, and protecting these ideas with patents. See More importantly, 92% of total waste from landfills and incineration without energy recovery has been saved from this initiative in manufacturing. Suliman, Adela. Retrieved from https://www.businessinsider.com/nike-ceo-john-donahoe-how-company-responds-colin-kaepernick-controversy-2020-2, Dean,M. (n.d.). Part Two: Nike's Global and Societal Changes - LinkedIn Nike Corporate Social Responsibility (CSR) and Sustainability - Thomasnet Their swoosh logo and "just do it" slogan are highly recognized among the public. In addition, while the brand has set a science-based target to reduce greenhouse gas emissions, there is little evidence they are on track to meet their target of operating entirely on renewable energy by 2025. Discover the world's research 25+ million members Engineers reduced waste by about 60% on average for every Flyknit shoe vs. whats used for traditional shoes, saving nearly 2 million pounds of fabric-scrap waste since 2012. Product stewardship based on environmental innovations produced eco-friendly materials, products, and process innovation strategies deployed. Finally, in response to societal problems via stakeholder engagement, it was assumed that leadership tracked some societal issues, such as childhood obesity and related diseases. There is also no clear indication that the company - which relies heavily on trees and plants for their textiles - has a policy in place to address deforestation. The stock prices of the brand began to dip sharply and fell by 50% by the end of 1998, as a result of which the management had to call off at least 1600 workers from all over its global units. Could it be that by responding to some customer concerns about the social and environmental impact of their purchases that Nike may have opened up another avenue of future profitability? (PDF) Nike-A Case Study Just Do It - ResearchGate Nikes COVID-19 response was widespread, covering the costs of food and apparel for global communities and extra assistance for their employees. associated with NIKE's three purpose pillars - people, planet and play. Hableton, Brittany. In 2020, The Washington Post reported that members of the Uighur Muslim minority in China working for Nike were subjected to coerced working conditions and ethno-religious discrimination. From their humble beginnings as a shoe and t-shirt company, Nike has grown into an international conglomerate with an estimated global brand value of $30 billion in 2021. How Nike is staying on track to be more diverse and sustainable [1] Headquartered near Beaverton, Oregon, the company operates more than 1,000 retail stores worldwide and employs over 73,000 people in 170 countries.[2]. This practice has led to a number of ethical issues over the years for the company, bringing the social responsibility standing regularly under.