Social Responsibility

1. Discuss the challenges regarding corporate social responsibility that companies in the apparel industry face in their supply chains around the world:

The apparel industry faces many challenges in regards to corporate social responsibility in their supply chains around the world. Today factories in Asia and Africa are suffering from abusive treatment and unsafe working conditions. Statistics suggest that between 25% and 50% of factories treat their workers as nothing more than means of generating a profit and deny their workers’ rights that we take for granted here in the states. Reports have confirmed that there are factories that restrict access to drinking water and restrooms during working hours. Additionally, there have been reports that employees work more than 60 hours a week and that workers who refused the overtime hours were punished as a result. Further, there have been reports of workers not being paid at all and reports of workers who are forced to work for wages below the minimum but who have to continue working because those are the only jobs available to them and without them they would not survive.

2. 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:

Nike’s vice president of corporate responsibility, Hannah Jones, explains that “premium brands are in a lonely leadership position” and that premium brands are not being rewarded by their consumers for attempting to invest in improving “social performance in supply chains”. The meaning of this statement is simple; Nike believes that their consumers are not financially supporting their attempts to improve the conditions of their supply chains. What Nike is saying is; why should our organization invest our revenue in something our consumers are not rewarding us for? From this statement it could be inferred that Nike believes its number one aim is to generate revenue...