And in some factories the workers were forced to work all seven days of the week. They were also paid below the minimum and were also punished if they refused to work overtime. They wanted to reconstruct the signals being given out so that they could be sustainable as well as profitable. Discuss the meaning and implications of the statement by a Nike representative that “Consumers are not rewarding us for investments in improved social performance in supply chains.” The statement means that NIKE has spent lot of money to improve the welfare of its workers and to improve the working conditions in their factories. However, doing so has cost them a lot of money.
Why hose local laws, when there are well accepted international laws for such transactions”. (Jack Brandt; Chief Executive Officer, Cadmex Pharma) When the local customs and laws conflict with the customs and laws of an organization operating abroad, which should prevail? The customs and laws of the jurisdiction that the business has chosen to operate in will commonly prevail. If the company has multiple locations in other countries, the same will apply for each operating location. Compliance with the law of the nation is an initial understanding going into the contract from the
The tobacco industry is expected by its stakeholders to act ethically in its business decisions. As part of the legal structure of the business organisation, the firm officers and directors within the tobacco industry have a legal fiduciary to act in the best interests of the stakeholders within it's firm (Campbell 2011). However conflict of interests within the stakeholders tends to occur as each one may have different objectives on what they want the directors and mangers to follow through on. For example when a person must choose whether to advance his or her own personal interests or those of other is know as a conflict of interest and it is one of the most common ethical issues that occurs in the workplace today (Ferrell, O. C 2011).
Were the consequences they experienced as a result of their role appropriate under the circumstances and why? No, the consequences were not appropriate. I believe the captain and the others that were blame for the accident because a scape goat was needed. Management knew about the radar not working it was not fixed for a year, because it would cost too much to fix and maintain it. The crew was half of what it should of.
Capital One Melvin Jackson Professor Shawn Richmond Sr. Seminar in Business Administration May 31, 2010 Identify and describe the key environmental forces that have immediate strategic implications for Capital One. Two key environmental forces that have immediate strategic implications are political and economic. Legislators have been rallying consumer support to reform credit card policies due to the failing economy. Since so many consumers are without jobs or have taken pay cuts in the last few years, the ability for them to repay their debts is severely diminished. Credit card companies had been charging outlandish interest rate.
Nike is not the only Western retailer to face criticism over how foreign workers work in poor conditions because these companies want big profits. When a factory collapsed in Bangladesh and killing more than 1000 workers, labor activists blamed American and European retailers because they wanted cheap production and do not care about safe working conditions. Even U.S. workers are suffering because they had their biggest pay drop on record, even though corporate profits have soared.
They are paid very low wages, sometimes as little as three cents an hour, and children as young as four and five years old are forced to work (Guarini 1). In 1996, the U.S. Department of Labor estimated that out of 22,000 U.S. garment shops, at least half were in serious violation of wage and safety laws (Liebhold 1). Since the U.S. market has become so competitive, companies have resorted to using sweatshops because they are all fighting to produce their products at the lowest prices. To avoid the strict labor laws in the United States, companies fire their workers in America and go overseas to third world countries where the minimum wage is set very low and labor laws barely exist. U.S. companies take advantage of these workers because of their willingness to work under conditions that American workers would not.
Unskilled workers fared poorly in the early U.S. economy, receiving as little as half the pay of skilled craftsmen, artisans, and mechanics. About 40 percent of the workers in the cities were low-wage laborers and seamstresses in clothing factories, often living in dismal circumstances. With the rise of factories, children, women, and poor immigrants were employed to run the machines. Industrialization of the New South was a major change to the economy, after the civil war the agrarian lifestyle was abandoned. Due to the substantial industrial growth labor unions were formed to protect the workers and desire for better wages plus safe working environments (AP&P, pg 248-251).
Work conditions were horrible for the few people who happened to have jobs in the 1930’s. They worked long hours for very little pay and they were treated badly by their bosses. The Fair Labor Standards Act helped workers by establishing a minimum wage of 25 cents an hour and a standard work week of fourty four hours for businesses engaged in interstate commerce. The Fair Labor Standards Act placed regulations and limits on how long a person could work and also ensured that a person would be paid a certain amount of money. Even though work places now were under regulation, many workers still had little or no contribution to rules, or determining whats right or wrong.
Political units (countries) also experience consequences from business. And how does Nike relate to these ethical principles? To answer this quetion, we will look in to ethical issue on the responsibility of the dominate firm, Nike in its supply chain relations. Who is responsible for inappropriate behavior when it occurs in Nike