Most raw materials in NIKE’s supply chain are sourced in the manufacturing host country by independent contractors. Overseas manufacturing of products features in the strategies of rivals Under Armour Inc. (UA), VF Corporation (VFC), Lululemon Athletica Inc. (LULU), and Adidas AG (ADDYY) as well.
In this post
Who is Nike’s biggest supplier?
Key Takeaways
- Nike is the largest seller of athletic apparel and footwear, generating nearly $37.5 billion in sales.
- Most of its products are sourced from China, Vietnam, Indonesia, and Thailand.
- Major suppliers include Pou Chen, PT Pan Brothers, Fulgent Sun International, Delta Galil, and Eagle Nice.
Does Nike have suppliers?
Over 90% of Nike footwear and branded apparel is made by factory groups that we have worked with for over 15 years. Nike is growing with suppliers that share our commitment to sustainability and understand that empowered workplaces are productive, profitable and successful.
Who produces Nike products?
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.
Where is Nike clothing manufactured?
There are about 600 factories located in 46 different countries that exclusively manufacture Nike shoes. Out of these Nike vendors, about 36% are located in China and Vietnam each. Another 22% are located in Indonesia.
Who supplies Nike with their materials?
Like footwear, all of NIKE’s apparel is manufactured outside the US by independent contract manufacturers. In fiscal year 2014, NIKE was supplied by ~430 apparel factories operating in 41 countries. China, Vietnam, Thailand, Indonesia, Sri Lanka, Pakistan, and Malaysia accounted for most of the apparel production.
Where does Nike source its materials?
Nike gets most of its cotton from suppliers in China, India, Turkey, and the United state Of America. Nikes plan is to have at least 10% of organic cotton in all of their appeal that contains cotton by 2015. Synthetic leather is also used often in nike products.
How many suppliers does Nike work with?
In 2019, Nike’s footwear components were supplied by 112 different factories in 12 countries, with no factory accounting for more than 9% of branded footwear.
How does Nike work with suppliers?
To ensure its high quality standards are met at every step of production, Nike maintains continual communication with its suppliers, providing support through tools and training to initiate suppliers in its ‘Lean Management’ framework and Total Quality Management (TQM) approach (http://panmore.com/nike-inc-operations-
Where does Nike get its rubber from?
This shows that 70% of Nike shoes use environmentally preferred rubber and that the main places to get it from would be Thailand, Indonesia, or Malaysia. DESCRIPTION: The rubber is extracted in the jungle of Thailand. The workers collect the bark and sap of the rubber tree.
How does Nike produce their products?
Most of Nike’s factories are outsourced, meaning that they don’t own the actual facility and they ‘contract’ the factories to produce for them. They contract the manufacture of their apparel, equipment, and even footwear.
Does Nike use child labor?
Nike has admitted it cannot guarantee that its products will not be made using child labour in a report designed to address the accusations that have plagued the company.
Where does Nike outsource?
Nike + outsourcing = competitive advantage
Nike has no manufacturing plants of its own but chooses to outsource the work to contractors in the Philippines, Vietnam, China, Indonesia, and Taiwan. There are 500,000 people worldwide involved in the production of Nike footwear.
Where does Nike distribute their products?
NIKE distributes its products through three major channels: By selling products to wholesalers in the US and international markets. By direct-to-consumer (or DTC) sales, which include in line and factory retail outlets (see graph below) and e-commerce sales through www.nike.com. Sales to global brand divisions.
What resources does Nike use?
The natural resources Nike uses is cotton for the fabric, water to grow the cotton, and oil to run the machines. The man made items used in production is fabric, sewing machines, and computers. Nike is the world leader in athletic shoes.
What raw materials do Nike use?
Nike uses six raw materials for its footwear manufacturing: Polyester, Rubber, EVA foam, Cotton, Synthetic Leather, and Leather.
What material does Nike use for clothing?
Sustainable Cotton
As of 2020, 100% of the cotton we use across our entire product line is certified organic, recycled, or Better Cotton sourced through the Better Cotton Initiative (BCI).
Are Nike shoes made out of kangaroo?
Kangaroo skin is also used by sporting goods companies, including Nike, Adidas, and Puma—frequently for bags, jackets, shoes, or soccer cleats. The @Prada Group is now kangaroo-free: the company announced it publicly!