Nike Case Study

Nike a case study

Nike has been controlling international shoe markets for sometime now. Nike is able to boast itself as the biggest market seller in performance enhancing shoes ranging from basketball, baseball, jogging shoes etc.

Even though Nike have all these variety of shoes to boast about that comess out of it's production line, Nike is pummeled by sharp criticism from non profit organisations and other environmental groups about the amount of ecological carbon footprint it produces every year.

Though Nike declined these false allegations, it backfired and the organization understood in the hard way that it had to rebuild it's entire supply chain and table to market strategy.

Nike wanted to address the allegations one by one;

1) Nike was procuring the raw materials needed for the manufacturing of a shoe from various supplies. It's alleged that these suppliers were forcing their workers to do over time. Even though the company's policies are against it, it does not have a jurisdiction control over the suppliers. It has been even told that children of labourers were being staffed in the manufacturing units which is illegal.

The company addresses these issues by taking these workers plight into consideration and takes a motto that corporate leadership should work on addressing these activities first.

2) After that Nike was facing allegations in the ecological footprint left by the company.

Even though Nike was a million dollar company back then in 2008, it made considerable amount of CFC emissions which were not directly from their manufacturing plant but from the other supply levels. Even though Nike showed diligence in creating new shoes in air series the materials involved in making these performance shoes were procured from suppliers which amounted to 65% of the environmental pollution the industry caused.

Nike wanted to address this issue by trying to reduce the number of materials in their shoes that cause an environmental hazard. First they wanted to start with an approach which could help them to achieve less environmentally polluting shoes in their production lines.

For this a core committee has been formed which did an analysis about how these shoes can be environmentally viable and convincingly good for customer to adore that shoeline. The core committee analyzed the entire line of materials and found out that most of them requires other suppliers to supply them.