just answer 1,3,5

Chapter 3 Brief Integrative Case 1.2 The case of Nike and human rights Questions 1,3,5 Brief Integrative Case 1.1 Advertising or Free Speech? The Case of Nike and Human Rights at ting Thco Netheobal leader in the product and marketing tapes to come parts and the merchandise including shoes the fact that the theme and equipment, husenedled water released the sales of the man for many years Consumers around the world recognition was taking to further in Nike's brand name and logo. As a supplier and the woma of practice whether of professional sports flyres and organisations, and someone can be farge hvertiser to the general public, Nike is widely knows found thy Gelending Nike was a pioneer in offshore manufacturing establishing the this reputationer company owned assembly plants and engaging third party In 2002. Mare Kaskywe Nile, ing that the com tractors in developing countries. As an early adopter of any knowingly made and miling this manufacturing model Nike has faced a variety of ethical denial of direct participation in busive labor conditions and moral challenges over the last three decades. abroad. Through corporate new release, full page ads in In 1996. Le magazine published a landesak artide about major newspapers, and letters to editors, Nike defended its the labor conditions of Nile's overseas subcontractors, enti conduct and sought to show that allegations of misconduct tled "On the Playgrounds of America. Every Kid's Goal is to were unwarranted. The action by the plaintiff, a local cit Score In Pakistan, Where Children Stitch Soccer Balls for ren, was predicated on a California State w prohibiting Six Cents an Hour. Their Goal is to Survive. Accompanying unlawful business practices. He alleged that Nike's public the article was a photo of a 12-yearold Pakistani boy stitch statements were motivated by marketing and public rela Inga Nikoembossed soccer ball. The photo caption noted tions and were simply false. According to the allegation that the job took a whole day, and the child was paid Nike's statements misted the public and thus violated the US$0.60 for his effort. Up until this time, the general pub California statute. Nike countered by claiming its state lie was neither aware of the wide use of foreign labor nor ments fell under and within the protection of the First familiar with the working arrangements and treatment of Amendment, which protects free speech. The state court laborers in developing countries. Almost instantly. Nike concluded that a firm's publie statements about its opera became a poster child for the questionable unethical use tions have the effect of persuading consumers to buy its of offshore workers in poorer regions of the world. This products and therefore are, in effect advertising. Therefore, label continued to plague the corporation as many global the suit could be adjudicated on the basis of whether Nike's human interest and labor rights organizations have moni- pronouncements were false and misleading. The court tored and often condemned Nike for its labor practices stated that promoting a company's reputation was equiva around the world. lent to sales solicitation, a practice clearly within the pur In the years following. Nike executives were frequent tar view of state law. The majority of justices summarized their gets at public events, especially at universities where stu decision by declaring. "because messages in question were dents pressed administrators and athletic directors to ban directed by a commercial speaker to a commercial audi products that had been made under "sweatshop" condi ence, and because they made representations of fact about tions. Indeed, at the University of Oregon, a major gift from the speaker's own business operations for the purpose of Phil Knight, Nike's CEO, was held up in part because of promoting sales of its products, we conclude that these mes student criticism and activism against Nike on campus. sages are commercial speech for parposes of applying state Nike took immediate action to repair its damaged brand. laws barring false and misleading commercial messages In 2001, the company established a Corporate Responsibil. (Kasky Nike Inc. 2002). The conclusion reached by the ity and Sustainability Committee to ensure that labor praccourt was that statements by a business enterprise to pro tices were ethical across its supply chain. By 2003. the mote its reputation must, like advertising, be factual repre- company employed 86 compliance officers (up from just sentations and that companies have a clear duty to speak three in 1996) to monitor its plant operations and working truthfully about such issues. conditions and ensure compliance with its published corpo In January 2003, the US Supreme Court agreed to hear rate code of conduct. In 2005, Nike became the first among Nike's appeal of the decision in Kasky Nike Inc from the 101 Court god to rule on whether Nilu' pressements percent of water the California Supeme Court. In particular, the US. Supechoved 75 percent recycled about the working conditions at subcontracted ched or do plants were a factorial speech and North American en 100 whether a private individual (such as Kasky) has the 2005 theo to power 100 to the ground. Numbered worldwide facilities with As part of its domestie SR, as Ralph Niders Pub with cutive presa con CAFLICO and Clayducational and phone Bacal, Nike's friends of the court included the America with Head Started Sear created by pro Chamber of Commerce, other MNC coding advocate physical Thong youth. PL Mobli and Microsoft, and the Bushadition the First Lady Michelle Oba New larly on the grounds that does it worth the lets Move cap into sco US In conjunction with the US. Olympic Despite the rely of this Fint Amandine debate Nake also sponsors Frect Play, which som Torty MNCS, the US Supreme Court diumid the evolved and feel included in ance of the the potentially wide eaching for bi prediction of youth sports by endo (6 10 3 in June 2008 si pretty de pasochod a free cedural issues runding the sent their deg op voller youth couches. Furthermore. Nam to detectors such as burned and suited thi Nise widely on the appeal at the US decation, the latter through grade by the Supreme Court level in both the ring and dissenting School Innovation Fund in support of the Pomos 1. What ethical faced by MNCs in their for workers could bring allegations of 102 on both sides Supporters of any included California, acting as son, Justice Stephen Brand Sandra Day Connor Coil Liberties Unice, the Bus Roundtable, the opinion, Nie statements were described as a mix of "com Literacy Initiative and cal speech. This site to Despite Nike's impressive CSR profile, the Nike as well as other MMC, that the Court pere hobune State Sorel Sper decision is sustained and stage procedent, Nike's promotion or "advertisements preparate advertising about benine peactices or corporate This could create a minefield for multinational final Although the cast huset to nationwide procedent x CSR initiatives could still be subjected to legale social reportedly (CSR) in peral, given the sensitivity would effectively elevate statements on human right of the Nile has allowed its actions to speak louder ment by companies to the level of corporate marketing the words in the years to. As part of its international advertising Under these conditions, it might be difficult CSR pri Nike has sind relief afforts (donating to MNCs to defend themselves against allegations of Telefin 200 und Haltarthquake relief in 2010) rights bases. In fact, action such as the issue and to od dvocated far wes and employment practices in its semination of a written company code of conducto and operations. Nii claim that it has not ahas into the category of advertising declarations. Alth de pood is certain countries tener of lower Kasky was never fully resolved in court, the laborisothers and that is cares abroad are cice with local time It raised remain to be addressed by global companies con for purchase and convingers Super Court level and the lingering criticismo Despite the publicity of the case, at both the sales The NetCommenty impact Fund (loemally called labor practices overseas, Nike has thrived over the by Nirao au scrive supporter of the Millennium Nike winked as the most valuable apparel brand by Foto a nonprofit organization supported decade. With strong and growing sales and profits global Deslo Gratis particularly those directed at improw Funer in 2019. It is estimated that the Nike brand ng the lives al adelocent piris in developing countries (ige work US$12 billicobar ahead of tival Adidas (USSET anesty Buildet. Bralci lepia, and Zambie " The computy has expanded its operations into it hoog betur health education, and come opportant types of clothing and sports equipment and has continue with more than the ones international purtatens to distribe how no signo al slowing down suggesting that is there? une dotated products and variety of care le lave mamilially recovered in the global markes, ACO the plote. Este impact is a key co post of Nat's CSR profile. The company has fowledon Questions for Review ping in the areas where its products fied, incorporating wel that in the most of wanded for deres In 2011, duct in their operation 2. Would the ww of third party independent contraction Insulate MND from being and the pro u offer MNC od de hield charge of abuse of their employee Do you think that woments by companies that describe pood social and moral conduct the other workers are part of the image those canesco and there are part of their advertising De consumers judge comes and use their buying decision on their perceptions of corporate bond values is the historie made in question (Made in the USA) now being replaced by made by quity (ca. "Made by Company X" or "Made for Company by Company Y & Given the principles noted in the case, how can.com panies comment on their positive actions to promote man that think well the Would you propose that condo this boot carportende of the c) with some of the lo comptyinen What does Nike's continued to in spite of the site about consumers' actions to negative publicity? Have American media and NGOs cute the impact of 'stator practices and corporate social responsity is sales How should managers of an MNC respond to such negative publicity! ENDNOTES 1. Ericka Cruz Guevarra, "Oregon Student Organizers Protest Nike over Sweatshops." The Columbian, July 31, 2017. https://www.columbian.comews/2017! Jul/31/oregon student-organizers protest-nike-over sweatshops! 2. Mare Kasky Nike Inc, No. 994446, 02 CD.O.S. 3790 (Cal. San Francisco Superior Cl. 2002). https:// Law justia.com/cases/california/supreme court/4th/ 27/939.html 3. Linda Greenhouse. "Free Speech for Companies on Justices Agenda." New York Times, April 20, 2003, AIT. 4. Linda Greenhouse. "Nike Free Speech Case Is Unex pectedly Returned to California." New York Times, June 27, 2001, A 16. 5. "Nike and Child Labour-How It Went from Lagard to Leader. Mallen Baker, http://www.mallenbaker net/es/CSRfilesike html 6. What We Do Nike Global Community Impact Fund. 2019. http://communityimpact.nike.com/ what we do 7. "Protecting the Environment." Nike 2019. https:// purpose. nike.com/protecting environment. 8. Apparel 50: 2019," Brand Finance, February 2019, Ittps://brandfinance.com/images/upload/apparel 50 locked.pdf