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reek

Created in 1972

Named for the Greek goddess of victory

Just Do It!

Employs 33,000 people worldwide

Reported earnings of $19.2b at the end offiscal year 31-05-2009

Ranked the 31st Top Brand (2006)

1st Sports Brand on the list


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So What Happened?


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Child Labour Scandal

June 1996


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So What Happened?

Child Labour in Pakistan

12 year olds were paid 60c/day to make

footballs

Company had factories in South Korea,

Indonesia & Thailand

Children worked 12 hour days in sub-standardconditions


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The Solution

Code of Conduct: all suppliers must agree to it

Creation of an Excessive Overtime Task Force

Wages: Nike, Other Brands, NGOs to effectchange

Short-term results poor, hope for success in

the Long-Term Nikes CSR website: nikebiz.com


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Critique

The CSR cost for Nike is about $10 million to $12 milliona year, just for the CSR staff and expenses, to go to

these sustainability meetings all over the world. Theyhave two or three Nike people at every meeting. Thats

part of the CSR game.

I figure 75 cents per pair of shoes to the worker would fixthe problem. If Nike instead paid workers 75 cents

more per pair of shoes, do you know what that would

cost Nike compared to the CSR cost? That would costthem $210 million a year.

Jeffrey Ballinger, Anti-sweatshop activist


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CSR as Crisis Management?

In June 2007, Nike apparently renounced its use

of CSR as "a risk and reputation management

tool

It was to become a core "business objective.

Source: Nike back in responsibility rehab by

Steve Bruin The Oregonian, 3rd June


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So what is CSR?

A commonly used term to describe CSR in its

current evolutionary state, CSR was

mentioned on national television news for the

first time in early 2004. Appears to promotethe social at the expense of the environmental

dimension so Corporate Responsibility has

emerged in preference to CSRSource: Rebecca Collings


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Discussion

Is CSR as a crisis management tool really CSR?


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Kantian approach

The motive behind the programme matters

CSR should be governed by duty not self-

interest

CSR programmes would exclude evaluation of

programmes benefit to the organisation

Focus on Corporate duties & beneficiaries

allowed to define scope of the relationship


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Friedman Approach

Social responsibility of business is to be

successful

CSR programmes should be governed by the

self-interest of the corporation

Businesses arent governments (risk to

democracy)


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Any Questions


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Thank You!

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