Nike

Nike

1. Manufacturing

   • Factories
     • Guangzhou, China
       • Nike gets tax benefits and is allowed to pay low wages
       • Nike is able to source, produce and sell many of its products within the country
     • Southeast Asia
       • labour is cheep
       • the countries involved offered various government incentives to get Nike to choose them rather than other economies
       • Raw materials are grown in these countries or nearby
       • the countries are close together, reducing transport
       • the countries are in a trade block which means that products can be transported between them without import or export costs
     • there have been accusations of long working hours and child labour
       • Also taking advantages of poor health and safety regulations
   • Poorer regions have become economically dependent on large companies like Nike
     • leads to high unemployment
     • standard of living can decline
     • Contributed to rural-urban migration

2. Retail

   • The biggest retail market outside the US is in Japan
   • China is Nike's fastest growing market with its own retail headquaters
   • 6.4 Billion in sales in 2008

3. Headquaters

   • Beaverton, Oragon, USA
   • Jobs
     • American workers
     • Manufacturing
     • Sales
     • Advertising
   • Environmental effects in the US
     • The company spent millions of dollars
       • They are also resurficing playgrounds and making new soles with the recycled rubber of old trainers
     • Trying to reduce production of Greenouse gasses

4. Branches

   • sold in 180 countries worldwide
   • 52000 shops worldwide
   • 1 million jobs created by Nike worldwide