Nike's Dispute With the University of Oregon

The paper examines the success of Nike in the 1990s, identifying their core values, the elements of their competitive advantage and their subcontracting policies. The effects of the bad publicity caused by the poor conditions in their sweatshops are analyzed, the company's turn to the corporate social and environmental responsibilities is described. Recommendations are suggested about the strategic development of Nike over the next five years. The paper responds to the following tasks: Explain Nike's mission, vision and values in about 1990, and critically analyze the basis of Nike's competitive advantage at that time. Critically evaluate Nike's approach to the protests after 1990, taking into account the various stakeholders with which they had to deal. Advise Nike how to develop their business over the next five years, starting from the date of the case.

3 Analysis of Mission Statement

As stated in the case, the mission of Nike was to “increase brand awareness and foster consumer loyalty”. The mission statement states that Nike would produce a brand of shoes that would benefit its consumers, majority of whom are celebrity sport players and these celebrities would in turn endorse the product that would increase the publicity of the products.

Another of Nike’s missions was to produce a variety of goods for athletes and also be recognized in the fashion industry. Nike at the time was booming and they wanted their name heard in every part of the world. They wanted to make sure that each and every pair of shoe worn by an athlete or an individual was recognized. Another mission that was stated was to produce as much shoes as possible for less and to sell for more thereby making profit. This motive led to the outsourcing of the s...

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...an advanced shoe making company with the needs of our clients in mind as well as employees”. To be able to achieve this mission, I would also include international codes of conduct that must be adhered to home and abroad. On the part of University of Oregon, if I were the president I would remain with the workers rights consortium and probe further into the causes and effects of these sweatshops. I would also educate the student body as well as teachers to get involved in preventing sweatshop activities. I would sponsor students in doing extensive research on these sweatshops and also prevent any apparel made in a sweatshop from being sold on campus. In addition, I would set up a trust fund for workers who have been victims of the sweatshop environment where by they could use these resources for their children in giving them the basic amenities they require.