Business ethics study of Nike
Nike workers claim military paid to intimidate them
As news posted on the top of the passage revealed,Nike ’s factory has been accused for providing low wages to its labors that could only cover the basic needs and one meal per day. Further, the owner of the factories also forced the workers to accept the lower wage and tried to exempted from the higher wage.
The Nike’s ethics could be examined in two opinions. First one is Milton Friedman’s which announced that the social responsibility for business manager should be maximize the profit and shareholder‘s return without breaking the law. To this extent,Nike is an ethical firm indeed. Nike opened its factories overseas to lower the cost for production for labors,and actually Nike did not break the law to go against the worker’s willingness. The Nike‘s factories itself did break the law but not Nike.However, according to Ed Freeman’s view that only satisfied all stakeholder‘s needs and reached an overall happiness,then the business could achieve the ”capitalism tick“. The stakeholders include every part involved in the business event. So clearly,only Nike‘s factory is satisfied in this situation.The workers in the factories are unhappy about the low wages, and the Nike is disappointed at the situation because the Nike’s public claims tried their efforts to care about the labors‘ welfare revealed by the news. Further, the bad fame of the sweatshop may lower the stocks’ value and the shareholders are annoying too. Hence,the majority of the stakeholders are unhappy,so Nike is unethical to this extent.
Reference:
http://www.abc.net.au/news/2013-01-15/nike-accused-of-using-military-to-intimidate-factory-workers/4465058
http://site.ebrary.com/lib/ubc/reader.action?docID=10187339&page=171
I have posted the blog on time .However after I changed the appearance of the blog, the post only existed in the pages now. Therefore, I reposted on 4th,Oct.