What is the Nike scandal?
Nike stuck with the NBA star in 2003 when he was accused of sexual assault by a hotel employee, which Bryant, who died last year, denied. The criminal case against him was dismissed and a civil lawsuit settled.28-May-2021
Nike is facing snarls in its supply chain that are slowing imports from its Asian factories and dragging down sales. Consumers' preferences, priorities, and values are reshaping industries.18-Mar-2021
What was the reason for failure of Nike?
Nike's ERP failure Due to result of the improper handling of its ERP implementation, Nike lost sales of $100M dollars and saw an additional decrease of 20% of its share price. The company had to invest another 5 years and millions of dollars more to overcome the problem and to get the software working properly.08-Oct-2019
In those days, the Far East sneaker supply chain was in its infancy, deliveries were spotty, inflation was high, and runners bought whatever shoes they could find regardless of brand. Nike won that market by guaranteeing delivery and an inflation-proof discount in return for getting its orders six months in advance.15-Jun-2004
Does Nike violate human rights?
Nike does not have a great track record on respecting human rights in its factories, including reports of wage theft, violence and discrimination against women, unsafe working conditions and retaliation against union organizers.30-Mar-2017
Nike says the factory has stopped using forced labor. So how credible are the sneaker company's assurances? The South Korean-owned Taekwang factory is one of Nike's largest suppliers, producing 8 million pairs of Nike footwear a year—including signature lines such as Air Max and Shox.05-Jan-2022
What issues is Nike facing?
Another challenge facing Nike is the global competitiveness in the sportswear industry. The presence of other brands, such as Adidas, and Puma. The current expenditure in advertising and promotional sales in the company cost the company much money.
Throughout the years, Nike is one of those companies that has been linked over and over in various ways to child labor and unsafe conditions in their factories. As recently as 2020, investigations showed that Nike (along with Apple) was linked to forced labor from the Uyghur people in China.14-Mar-2022
What ethical issues has Nike faced?
Nike Ethical Issues
How Nike transformed supply chains to survive Covid
How did Nike resolved their ERP problem?
To gain control over its manufacturing cycle, they decided their manufacturing systems need centralized as its planning processes. As a result of this, Nike decided to replace its ERP system by switching from the SAP vendor to i2 Technologies, Inc.21-Oct-2019
The biggest hurdles for Nike in India were its entry model and its lack of aggression. When the global sports majors entered the Indian market in 1995-96, government policy dictated that they had to have a local partner.14-Jun-2013
Is Nike supply chain sustainable?
The changes at Nike also included turning to more sustainable packaging solutions. It has reduced the number of split packages and leveraged pop-up cartons made from 65% recycled content, improving the company's packaging both on a sustainable and customer level.04-Feb-2022
Some of the industries most significantly hit by global supply chain shortages include semiconductors, automobiles, industrials, retail, and restaurants. Below, we'll highlight how issues have progressed for each of those industries.26-May-2022
Why are companies having supply chain issues?
Supply chain problems emerged during COVID-10 lockdowns due to shifts in demand, labor shortages and structural factors. Evolving geopolitical factors are now causing new risks and pockets of stress. Affected sectors include metals and mining, chemicals, automotives, semiconductors and technology.25-May-2022
Nike had been accused of using sweatshops to produce its sneakers and activewear since the 1970s, but it was only in 1991 when activist Jeff Ballinger published a report detailing the low wages and poor working conditions in Nike's Indonesian factories that the sportswear brand came under fire.29-Jun-2022
How did Nike respond to the accusations of sweatshops?
NIKE RESPONDS TO CHALLENGES In 1998 Nike revenues and stock prices decreased by approximately 50 percent, and the company laid off 1,600 workers. Nike launched a large public relations campaign to combat the damaging allegations of child labor, inhospitable working conditions, and low or nonexistent wages.
Almost all Nike shoes are manufactured outside of the United States. The leading manufacturer of Nike shoes is China and Vietnam each accounting for 36% of the total manufactured world wide. Indonesia accounts for 22% and Thailand for 6% of the Nike shoes that are being produced world wide.
Who is Nike owned by?
4 The co-founder of Nike, Phil Knight, and his son Travis Knight, along with the holding companies and trusts they control, own more than 97% of outstanding Class A shares. 5 This allows the Knight family to exercise effective control of Nike even though it is a publicly traded business.
China and Taiwan are the leading supplier of synthetic leather worldwide. Nike also uses real leather that is LWG certified. Nike is one of the worlds largest users of white leather and teams up with tanners, suppliers, and other distributers to be most efficient.
Does Apple run sweatshops?
Apple “found no evidence of forced labor anywhere we operate,” a spokesperson told The Information. Apple said it looks for forced labor as part of “every assessment” it conducts. “We will continue doing all we can to protect workers and ensure they are treated with dignity and respect,” the spokesperson said.10-May-2021
What is the Nike scandal?