To that end, the company invests in promoting a work environment that celebrates diversity and inclusion. 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.
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Nike is focusing corporate responsibility efforts in the areas in which they can have the greatest impact and create the most value: Through the materials they design into products, through the process of making those materials and products, and in the world of sport where products are used.
Nike is a member of a number of corporate responsibility and sustainability organizations and we are committed to solving critical issues that affect the people in our value chain.
According to Bethel University (2017), corporate social responsibility(CSR) is the accountability that Nike or any corporation must create prosperity while protecting and benefiting society. Therefore, Nike does have a social responsibility to the contract employees who manufacture Nike products in foreign factories.
Nike uses some eco-friendly materials, including organic and recycled cotton and polyester, and has water reduction initiatives in its supply chain. The brand has also set a deadline to eliminate hazardous chemicals by 2025 and the good news is that it is on track to meet its target.
1. Why did Nike fail to address corporate social responsibility early on? Nike fail to address Corporate Social Responsibility early on because to be remain competitive, keep on producing in low cost and increasing profit, Nike footwear factory has moved to the other country with low costs labor.
Do you think Nike has a bigger responsibility than other companies because of its size and position as market leader?
Yes, Nike has a bigger responsibility than other companies as a market leader because the company and the brand are known and famous throughout the world. Aside from that, the founder of Nike which is Phil Knight is known to be one of the richest men in the United States.
Nike’s Community Support Program. 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. Nike also committed to training nearly 100,000 coaches to help communities most in need.
What has Nike done to become more sustainable?
The pioneering sportswear brand has set its 2021 sustainability goals, with the aim of reducing carbon emissions and creating long lasting products that have a minimal impact on the environment. First came the sneakers and swimwear crafted from recycled waste plastics.
NIKE Global Impact and CSR Report – NIKE Spent $81.9 million on community development
- Letter from the CEO.
- Corporate Governance.
- NIKE Global Impact on Communities.
- Unlocking Sport and Play for Girls.
- Sports Coaching.
- Learning and Culture.
- Industry Partnerships.
- Reducing Environmental Footprint.
What has Nike done for the community?
Since 2010, the Nike Community Impact Fund has awarded more than 375 nonprofit organizations with more than $3.75 million in grants. With this recent round of grants, the total impact for 2016 is $800,000, including grants in Oregon where NCIF began and the national expansion of the program.
Corporate Social Responsibility Examples: The Good
- Reducing carbon footprint.
- Engaging in charity work.
- Purchasing fair trade products.
- Investing in environmentally conscious businesses.
- Getting involved in volunteer work.
- Improving labour policies.
What is Nike ethical policy?
NIKE’s good name and reputation result in large part from our collective actions. That means the work-related activities of every employee must reflect standards of honesty, loyalty, trustworthiness, fairness, concern for others and accountability.
When did Nike become sustainable?
In 2009, teams at Nike became accountable for corporate responsibility as part of their business KPIs. Today, 57,000 materials in Nike’s production chain have an environmental rating; a programme tracks the company’s water footprint across over 811 vendors; and Nike product designs are rated for sustainability.
Why is Nike not sustainable?
Environment. Nike received Ethical Consumer’s worst rating for its cotton sourcing policy, because it lacks a clear approach to use of pesticides and herbicides. Cotton accounts for 12.34% of all insecticide sales and 3.94% of herbicide sales, even though cotton covers only 2.78% of global arable land.
What ethical issues has Nike faced?
Nike Ethical Issues
- Child Labour. Although Child Labour laws are in place in countries NIKE still choses to overlook this and children as young as 12 years of age are made to work in the factories for long hours.
- Expensive Endorsements.
- Low wages.
- Expensive Products.
- Fainting in Cambodia factories.
What are the challenges facing Nike?
Wall Street has concerns about the increased competition Nike faces from rivals Adidas and Under Armour, the demise of retailers that sold its products, supply chain issues and the pending retirement of co-founder Phil Knight.
What business level strategies is Nike pursuing?
Nikes business level strategy has three major components, that is, cost leadership, management of industry segment and product di…they are, and how much other countries love their products.
What business strategy does Nike use?
The Nike marketing strategy, in summary, is, invest heavily in marketing, use emotional advertising that every human being can identify with, offer premium products at premium prices and sell their products primarily through 3rd party retails stores.
How can Nike improve their marketing strategy?
Nike relies heavily on advertisements to promote their products, especially those featuring high-profile athletes and celebrities. Additionally, Nike makes use of sales promotion strategies like discount codes to entice potential customers to buy their products.
What role does Nike’s leadership play in addressing the issue of sustainability?
Nike operates using a Considered Design Index, a set of guidelines against which the company can gauge the environmental impact of each product. The ideal goal — and that which the Nike executive team propagates — is to create items without generating any end waste, to create a closed-loop system.