Nike:Trans-National Corporation (General Information (Known for sweatshop…
Reasons for operation in LEDCs
Labour is much cheaper so less money will be spent on employees
If their facilities and factories are set up in foreign countries they spend less money on taxes getting a 'tax rebate'
Many people in LEDCs are unemployed so TNCs like Nike can use the excuse that they are providing employment and giving them privelige
Poor health and safety, so little to no money will be spent on employee health safety
Land prices are very low
No unions to protect workers' rights (except ACFTU in China)
The Birth Rate is high so there will rarely be a shortage of workers
Countries operating in
Nike actually chooses not to disclose all of the 120 countries that they operate in, however some known ones are
Founded January 25, 1964 by Bill Bowerman and Phil Knight
Worth an estimated $28.1 billion
Makes sportswear including shoes, uniforms, socks caps, and other merchandise.
Originally founded as Blue Ribbon Sports
Has become world -famous with its iconic swoosh.
Competes with Adidas, Reebok, and Jordan brands.
Operates in 120 countries
Known for sweatshop controversy and horrible working conditions with exploitation.
Nike's company is named after the goddess of victory from ancient Greece.
In their foreign facilities they employ children as young as ten years old.
Kobe Bryant (Retired)
Russell Westbrook (Jordan brand)
Chris Paul (Jordan Brand)
Horrible working conditions
Children will often be slaves where their own or their families' lives are at stake.
Children will be confine to as small as a square metre in the factories
They will often be exposed to toxic chemicals and develop diseases such as respiratory types or cancer.