3. TABLE OF CONTENTS
DITA KOVAŘÍKOVÁ AND DOAN THI VAN
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I. Introduction
II. Nike company
III. Timeline
IV. Top Salaries
V. Promotion
VI. Globalization
VII.Problems in Vietnam
VIII.Question Time
IX. Conclusion
X. References
4. DITA KOVAŘÍKOVÁ AND DOAN THI VAN
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―Just Do It.‖ Three simple
words, yet together they
represent one of the most
popular sports apparel
companies in the world:
Nike. However, over the
years their great success
has come with an even
greater cost to those who
suffer under their inhumane
sweatshop practices.
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Nike employs more than 1 million workers
The U.S. is currently home to 66 of these factories, and employs
8,151 men and women.
Comparatively, Vietnam, a smaller and poorer country, has only 40
factories, yet employs 171,276 workers — the majority of which
are young women and children.
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1991: Problems when activist Jeff Ballinger
publishes a report documenting low wages and poor
working conditions in Indonesia.
1996: Nike tasked with working
to improve the lives of factory laborers.
1998: Nike faces weak demand and unrelenting criticism.
It has to lay off workers, and begins to realize it needs to
change.
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2005: Nike becomes the to
publish a complete list of the factories it contracts
with.
2005-Present: The company continues to
post its commitments, standards, and audit data
as part of
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• Mark G. Parker - President and Chief Executive Officer
• Charles D. Denson - President, NIKE Brand
• Donald W. Blair - Executive Vice President &
Chief Financial Officer
• Trevor A. Edwards - Executive Vice President, Global
Brand & Category Management
• Eric D. Sprunk - Executive Vice
President, Merchandising & Product
Source: www1.salary.com
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(tennis) – $70 million from Nike
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(basketball) –
$90 million from Nike
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(golf) – $100 million from Nike
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(golf) –
$200 million
(estimated) from Nike
14. GLOBALIZATION
DITA KOVAŘÍKOVÁ AND DOAN THI VAN
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= is process of interaction and integration
among the people, companies and
governments of different nations
Their profit Their Cost
15. WHY DID NIKE CHOOSE VIETNAM?
DITA KOVAŘÍKOVÁ AND DOAN THI VAN
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• Vietnam is developed country
• Nike sets minimum wages to
Vietnamese workers
• Vietnam is cheaper than other
countries
16. WHAT WENT WRONG
DITA KOVAŘÍKOVÁ AND DOAN THI VAN
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• Vietnamese workers endure physical, mental abuse
• Poor and dangerous working conditions
• Long work hours
• Hired children
• Workers cannot go to the toilet more than once per 8-
hour shift and they cannot drink water more than
twice per shift.
• Workers with skin or breathing problems were not
move to department without chemicals
• Inadequate heath and safety measures
17. WORKERS CANNOT LIVE ON
NIKE FACTORY WAGES?
DITA KOVAŘÍKOVÁ AND DOAN THI VAN
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47 $ per month -> 1,6 $ per day
A simple basic meal costs 70 cents
(like rice, vegetables and some
tofu)
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• American companies should be concerned with
human labor conditions, but ultimately it is the
government, in which the contracted factories
exist, that is responsible for the mistreatment.
• Companies like Nike are allowed to seek the
least expensive avenue of manufacturing, or the
idea of outsourcing would be nullified.
• Companies like Nike must keep the idea of
cultural relativism in mind
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Although a job in Vietnam is better than no
job, it is still unfair for these workers in
developing countries to be treated in such
horrendous way when compared to the way
we are treated. This global inequality needs
to be stopped and many groups which
some have been mentioned previously exist
to help stop this
Conclusion
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• Nike pays low wages to the Vietnamese workers – do you
agree that it is unfair and unethical?
• How should Nike change their working conditions in
Vietnam in the future?
• Do you think that people would stop purchasing Nike’s
products if they know more about the unfair behavior to
the Vietnamese workers?
• Do you agree that Nike deserves reprimand for inhumane
working conditions and overpaying of their executives or
celebrities?
